Social Commerce Market Size, Share, and COVID-19 Impact Analysis, By Business Model (Business to Consumer (B2C), Business to Business (B2B) & Consumer to Consumer (C2C)), By Product Type (Personal & Beauty Care, Apparels, Accessories, Home Products, Health Supplements, Food & Beverage & Others), By Platform Channel (Video Commerce, Social Network-led Commerce, Social Reselling, Group Buying, Product Review Platforms), and by Region (North America, Europe, Asia-Pacific, Latin America, Middle East and Africa) Analysis and Forecast 2022-2030
Market Perspective
The global Social Commerce Market was valued at USD 584.9 billion in 2021. The market is projected to grow USD 2900.3 Bn in 2030, at a CAGR of 31.6%. E-commerce enterprises that use social media platforms like Facebook, Pinterest, and Instagram to market and sell their products and services online are referred to as social commerce.
The use of social media in marketing is rising, owing to the immense potential that social media platforms have in digitally promoting, marketing, and selling things online, as well as providing businesses with access to a vast audience that they would not otherwise have been able to reach. After more than a decade and a half of existence, social commerce is rife on social media platforms that make a product profitable through motivating and engaging content.
COVID-19 ANALYSIS
COVID-19 has had a positive influence on the world economy, wreaking havoc on global trade and affecting households, businesses, financial institutions, industrial facilities, and infrastructure corporations all at the same time. Individuals were driven to spend more time on social media because of the COVID-19 pandemic, prompting shops to increase their ad spending. As a result, brands have expanded their reach to include new customers and product categories. In addition, pandemic-related lockdowns, and limitations in 2020 influenced in-store customers, especially non-digital groups. As social separation became the norm, users began to gravitate toward internet buying. Customers felt more at ease and confident spending time and money in a digital environment, paving the path for market expansion.
Increased Time Spent on Social Media Platforms
Increased average time spent on social media platforms during a pandemic and the simplicity of purchasing things online. The pandemic has forced us to adapt and connect in new ways, emphasizing the significance of keeping connected. Social commerce reduces unnecessary processes and streamlines the purchasing process by allowing customers to check out immediately through social media networks. As a result of the increased preference for simplicity of product discovery and checkout, the market is projected to gain traction. Furthermore, the market is likely to benefit from an increase in potential consumers via various social media sites such as Facebook, Pinterest, Snapchat, and Instagram.
Increasing Number of Small Businesses and Individuals to Showcase their Products Across the Population
Provided new options for small enterprises and individuals, social commerce has become a democratizing force. When compared to e-commerce platforms, social buyers are more likely to buy from a small business when shopping through social commerce. Several factors contribute to this trend, including the fact that people are spending more time on social media platforms. According to studies, the average person spends over two hours each day on social media and is more inclined to buy from a brand they have never heard of before.
Concerns Pertaining to Fake Websites & Products Impacting Market Growth
The increasing usage of social commerce might get impacted by duplicate products and fake websites. Several malicious e-commerce platforms have emerged across the world. the number of bogus and harmful e-commerce sites selling smartphone accessories, luxury watches, and other items has risen dramatically in the country during the festive seasons.
SEGMENTATION
The global social commerce market is segmented by Business Model (Business to Consumer (B2C) & Business to Business (B2B), Consumer to Consumer (C2C)), By Product Type (Personal & Beauty Care, Apparel, Accessories, Home Products, Health Supplements, Food & Beverage & Others), By Platform Channel (Video Commerce, Social Network-led Commerce, Social Reselling, Group Buying, Product Review Platforms) and Region. Based on the business model, the market is categorized into business-to-consumer (b2c), business-to-business (b2b), consumer to consumer (c2c). Based on product type, the market is categorized into personal & beauty care, apparel, accessories, home products, health supplements, food & beverage & others. Based on platform channel, the market is categorized into video commerce, social network-led commerce, social reselling, group buying, and product review platforms. Based on the region, the market is categorized into North America, Europe, Asia-Pacific, South America, Middle East and Africa.
Business Model Insights
Based on the business model segment, the global social commerce market is categorized into business-to-consumer (b2c), business to business (b2b). The business-to-consumer (b2c) segment has dominated the market share in 2020 of the global social commerce market owing to the growing demand for the business-to-consumer (B2C) business model is fueled by factors such as a shift in consumer thinking and more digitization. Customers can easily examine, select, and order a product while assessing it by reading reviews made by other users on social commerce sites.
Product Type Insights
Based on the product type segment, the global social commerce market is categorized into personal & beauty care, apparels, accessories, home products, health supplements, food & beverage & others. The apparels segment has dominated the market share in 2020 of global social commerce market owing to widespread appeal and demand on social media platforms, the clothes and apparel industry is the most important online company. Fashion merchants explored new ways to generate new forms of purchasing experiences, engage influencers/creators, and interact in new ways during the COVID-19 epidemic, when consumers were shopping online, spending and exploring maximum time online and on multiple social commerce sites. Express, a U.S.-based fashion company, for example, allowed regular shoppers and influencers to become "Style Editors," setting up Express stores and being compensated for driving sales and attracting new customers.
Platform Channel Insights
Based on the platform channel segment, the global social commerce market is categorized into video commerce, social network-led commerce, social reselling, group buying, product review platforms. The video commerce segment has dominated the market share in 2020 of global social commerce market owing to the rising live stream shopping has exploded in popularity, enticing spectators to participate in a live shopping event. Walmart, for example, tested a live shopping event on TikTok in 2020, which allowed the brand to grow its TikTok following by approximately 25%.
REGIONAL INSIGHTS
The global social commerce market is categorized into North America, Europe, Asia-Pacific, Latin America, Middle East and Africa. Asia Pacific region is dominating the market share of global social commerce market owing to the Factors such as increased communications infrastructure investments, the expansion of the internet and smartphones, and the global reach of social media websites such as Facebook, Instagram, and Twitter are all contributing to the region's growth. Furthermore, in nations like China, the growing number of smartphone and social media users encourages regional market growth.
However, North America region is anticipated to grow over the next few years of global social commerce market owing to the rising e-commerce and social commerce landscapes in the United States are much more fragmented, with differences in customer attitudes and behaviour regarding social media usage, digital purchasing, payments, and online privacy. According to GWI, in 2020, 51% of consumers in the United Kingdom and the United States will use YouTube to identify products and conduct more research before making a purchase.
PLAYERS PROFILED:
· Etsy, Inc.
· Fashnear Technologies Private Limited (Meesho)
· Meta Platforms, Inc. (Facebook)
· Pinduoduo Inc.
· Pinterest, Inc.
· Reddit Inc
· Poshmark, Inc.
· Roposo
· Snap, Inc.
· Taobao
· TikTok (Douyin)
· Trell Shop
· Twitter, Inc.
· WeChat (Weixin)
· Xiaohongshu
· Yunji Sharing Technology Co., Ltd.
· Others
SEGMENTATION
By Business Model
- Business to Consumer (B2C)
- Business to Business (B2B)
- Consumer to Consumer (C2C)
By Product Type
- Personal & Beauty Care
- Apparels
- Accessories
- Home Products
- Health Supplements
- Food & Beverage
- Others
By Platform Channel
- Video Commerce
- Social Network-led Commerce
- Social Reselling
- Group Buying
- Product Review Platforms
By Region
- North America- U.S., Mexico, Canada
- Europe- UK, France, Germany, Italy
- Asia-Pacific- China, Japan, India
- Latin America- Brazil, Argentina, Colombia
- The Middle East and Africa- United Arab Emirates, Saudi Arabia
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Social Commerce Market Size
- June-2022
- 148
- Global
- information-technology-communication-iot
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