Social commerce to become a $1.2 trillion market by 2025

Social commerce

Social commerce

The trend of social commerce is on the rise and the most popular products include consumer electronics, decor, and clothing. Additionally, online influencers are playing a significant role in products related to personal care and beauty. 

Social media shopping on the rise

Shopping on social media platforms such as Instagram, Facebook, WeChat, and TikTok is growing faster than ever. According to a study by Accenture, social media shopping will take over traditional forms by 2025. Social commerce or transactions taking place entirely on social media platforms are expected to reach $1.2 trillion in 2025. from last year’s total of $492 billion. The sales are driving high with Millenial and GenZ consumers who make up for 62 percent.

This year, the most popular products sold on social media consist of electronics, home decor, and clothing. Shopping on social media is great news for owners of mom-and-pop shops. According to a survey over 50 percent of buyers stated that they were more likely to support small businesses when compared to huge retailers. This trend will allow smaller and newer brands to gain traction and build a customer base.

More on the rise of social commerce

The Accenture study also shows that about 3.5 billion people used social media last year, spending about two and a half hours on the platforms. Users from China were 80 percent more likely to make social media purchases unlike people in the US and UK. According to the study, social commerce is less saturated than in the west. The study shows that China is going to remain on the top of social commerce in terms of maturity and size. After China, developing markets of India and Brazil are rolling similar trends.

Accenture’s study is based on an online study of social media users from India, Brazil, China, the US, and the UK. In addition to studying the habits of 10,053 users, it also carried out detailed interviews between August 12 to September 3, 2021.

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