Social Commerce: A Comprehensive Insight into the Online Shopping Revolution
In today’s digital age where online shopping has become a norm, businesses can no longer overlook the potential of social commerce. With major platforms like Facebook, Instagram, Twitter, Pinterest, and WhatsApp, providing a platform for millions of businesses to marketing their products and services, social commerce is indeed taking a bold step into the future.
If you’re seeking to boost your online shop presence or crafting a winning online strategy, these social commerce statistics will help you better comprehend the current market, learn best practices to attract more buyers, and ultimately grow your business.
Unveiling the Bigger Picture: General Social Commerce Statistics
There are several insightful general statistics that reflect the social commerce industry.
- Social media platforms have become a popular medium for product discovery, with 27% of customers preferring them over other channels.
- Furthermore, 41% confess to discovering a product via social media in the previous three months, this figure has increased by 14% Year on Year.
- It has been revealed that 67% of customers have purchased through these platforms, with 53% planning to increase their social shopping in the future.
- Astonishingly, global sales via social media platforms reached an estimated value of $992 billion in 2022.
- By 2025, social commerce is projected to become a $79 billion industry in the US.
- Close to half (47%) social media marketers confess that MKTG Plan sells directly within the application.
- Trust is a critical component of social shopping, with 54% expressing concerns about the legitimacy of companies selling on these platforms. Only 41% feel comfortable making transactions, and a mere 37% believe these platforms can safeguard their credit card information.
- At present, 30% of eCommerce businesses already utilize social media for sales, with an expected 12% planning to follow suit in 2021.
Breaking it Down: Social Commerce by Demographic
When it comes to demographic information, various interesting revelations came to light, with Gen Z, Millennial, and Gen X social media users leading the pack. Here’s what we found:
- Over 1 in every 5 users from these generations purchased a product directly via social media over the past three months.
- For the most part, consumers aged between 18 and 54 prefer discovering new products through social media.
- Interestingly, TikTok was found to be the most trusted shopping platform for Gen Z, but it scored the lowest trust points overall.
- By the end of 2023, the US is expected to have 107 Million social buyers.
- In the world of Pinterest, 85% of male users believe that the platform offers a personalized experience.
- Countries like Thailand, India, and the United Arab Emirates saw record high usage of social commerce.
- Social commerce seems to have a huge impact on impulse buying, with 41% of Gen Z and Millennial users making a spontaneous purchase every 2-3 weeks.
- Video platform YouTube equally plays a role in social shopping, with 51% of US and UK consumers using it as a research tool for products to buy.
Let’s Talk Money: Social Commerce Purchasing Stats
In the realm of social commerce purchasing, several intriguing figures stand out.
- The average worth of online orders referenced through social media during the Q2 of 2022 was $86.21.
- The shopping habits are also tilting towards mobile apps, with 54% of customers saying they were worried that companies selling on social media sites may not be authentic.
- Education and inspirational content including livestreams and stories act as catalysts in encouraging customers to buy on social platforms.
Narrowing Down: Social Commerce Stats by Platform
Each social media platform has unique attributes that make it stand out from the crowd. Here’s what we observed about these platforms:
Facebook Social Commerce Stats
- Overall, Facebook is acclaimed as the most trusted platform for social shopping.
- It has the highest number of consumers who have carried out in-app purchases within the last three months.
- With over 63.5 million buyers, Facebook leads the social commerce platform race in the US.
- During the first quarter of 2021, Facebook had over one million active shops with more than 250 million active participants each month.
Instagram Social Commerce Stats
- Following Facebook, Instagram secured the third spot as the most trusted social shopping platform.
- Instagram boasts of having 41 Million social buyers in the US, making it a lucrative platform for marketers.
YouTube Social Commerce Stats
- Occupying the second position, YouTube is recognized as an important platform for social shopping.
TikTok Social Commerce Stats
- 45% of consumers confessed to making a purchase within the TikTok app in the past three months, despite the platform being considered as least trusted overall.
Pinterest Social Commerce Stats
- Pinterest ranks higher in terms of conversion rates and cost-per-acquisition, making it a significant platform for social commerce.
Diving Into Businesses: Social Commerce Statistics for Businesses
Businesses are also harnessing the power of social commerce. Let’s review these specifics:
- Of the marketers surveyed, 47% reported that their brands are currently selling directly within social applications.
- Encouragingly, 93% of US executives claimed that their businesses are shifting eCommerce activities to social media.
These revealing social commerce statistics from MKTG Plan paint a clear picture of how influential and far-reaching social commerce is in the current worldwide online shopping scene.
Social commerce refers to the process of selling products and services directly through social media platforms. It enables businesses to reach a larger and more diverse audience, streamline their sales process, and enhance the overall shopping experience.
Social commerce is important because it allows for a more personalized and immersive shopping experience. Through social media platforms, businesses can directly engage with their customers, build stronger relationships, and better understand their needs and expectations.
With social commerce, businesses can reach more potential customers, decrease drop-out rates in the sales funnel process, and obtain real-time feedback from customers. This feedback can be used to enhance products, improve marketing strategies, and boost overall business growth.