Global Social Commerce Market Intelligence Report 2023: GMV will Increase from $680.86 Billion in 2023 to Reach $1,393.80 Billion by 2028

DUBLIN, Oct. 23, 2023 /PRNewswire/ — The “Global Social Commerce Market Intelligence and Future Growth Dynamics Databook – 50+ KPIs on Social Commerce Trends by End-Use Sectors, Operational KPIs, Retail Product Dynamics, and Consumer Demographics – Q2 2023 Update” report has been added to ¬†ResearchAndMarkets.com’s offering.

Global social commerce industry is expected to grow by 15.1% on annual basis to reach US$680.9 million in 2023.

The global social commerce industry is expected to grow steadily over the forecast period, recording a CAGR of 15.4% during 2023-2028. The global social commerce GMV will increase from US$680.86 billion in 2023 to reach US$1,393.80 billion by 2028.

This report offers an in-depth, data-driven analysis of the social commerce industry, delving into both its opportunities and risks. Featuring an extensive array of over 50 key performance indicators (KPIs) on a country-by-country basis, this report provides a comprehensive insight into the dynamics of the social commerce market, encompassing market size forecasts, statistical data on market share, and more.

The landscape of retail is undergoing a profound transformation, characterized by shifting consumer shopping behaviors and evolving marketing strategies. Notably, social media platforms have emerged as powerful catalysts of growth for retailers on a global scale.

The concept of social shopping, while originally popularized in China, is gaining significant traction in numerous countries worldwide. An increasing number of brands are collaborating with platforms like TikTok to foster new customer relationships and drive incremental revenue through entertaining and interactive content.

TikTok has achieved rapid growth and prominence within this space, prompting more players in the online commerce sector to bolster their investments in incorporating social shopping features into their platforms. This trend, coupled with the emergence of innovative startups, has injected a new level of competition into the global social commerce market.

The market’s expansion has also attracted heightened interest from private equity and venture capital firms, a trend that is anticipated to persist and flourish over the next three to four years, according to the publisher’s expectations.

Chinese social commerce firms are seeking to expand their operations globally to accelerate growth

Social shopping is a mainstream phenomenon in China. Consumers across demographics are buying products through live stream events and social platforms. The trend is also gaining momentum in other nations, and as a result, to capitalize on the growing trend and accelerate their growth, China-based firms are expanding their geographical footprint.

SuperOrdinary, the Chinese social commerce firm, facilitates deals between brands and influencers, helping both to find consumers. Four years after its launch in China, the firm is now taking the business model to the global market, with an initial focus on the United States creators. The firm owns an array of sites and platform that allows creators to earn when they share products on their platforms and profiles.

Kuaishou, another Chinese social commerce firm, is seeking to expand its global footprint as it competes for market share with TikTok, one of the leading players in the global social commerce segment. The firm is targeting expansion in the Brazilian market and has adopted a localization strategy to better its retention rate and drive increased traffic to the short video-sharing mobile application.

While both SuperOrdinary and Kuaishou are seeking to expand their international footprint, TikTok is also making an increasing investment in the global market to further strengthen its position as the market leader.

Social commerce firms are raising funding rounds globally to scale and grow their business

Amid the growing market size and demand for the innovative social commerce shopping experience, many startups have emerged in the global market. These startups are now raising funding rounds to further accelerate their growth as well as scale their business. For instance,

In October 2022, Elenas, one of the leading Latin American social commerce startups, announced that the firm had raised US$20 million in its Series B funding round, bringing the total fund raised to US$28 million, as of October 2022. The firm allows women in the region to sell products from the digital catalog to consumers through social channels. Between Series A and Series B rounds, the firm recorded revenue growth of 5x and is looking to further scale its business by increasing its seller network in Mexico and Colombia.

In December 2022, Kapu, the Kenya-based social commerce startup, announced that the firm had raised US$8 million in a Seed funding round. The firm is planning to use the capital to scale its business and operations across Kenya, before launching in other regional markets. Like Elenas, Kapu is also planning to increase its seller network, thereby further expanding its reach among the consumers. From the short to medium-term perspective, the firm is also expected to offer support for WhatsApp orders, which will simplify the shopping process for both sellers and buyers.

As more innovation takes place in the growing social commerce segment, the publisher expects an increasing amount of venture capital and private equity funds to flow into the global market over the next three to four years.

E-commerce retailers are making further inroads into the social commerce sector amid growing competition

With social platforms becoming a preferred shopping channel for some consumers, e-commerce marketplaces are losing market share to social commerce platforms, such as TikTok and Facebook. Consequently, e-commerce retailers are investing in the space to build their presence in the social commerce sector.

Amazon and Walmart, two of the leading retailers in the United States, are increasingly investing in the space. While Amazon has launched a TikTok-inspired shopping feature, Walmart has launched a platform for creators to sell products, in a major push in the social commerce sector in the United States.

With big giants investing in the space, the publisher expects the competition to further intensify over the next three to four years, which also supports the growth of the global social commerce industry.

Scope

Ecommerce Industry Market Size and Future Growth Dynamics by Key Performance Indicators, 2019-2028

Social Commerce Industry Market Size and Future Growth Dynamics by Key Performance Indicators, 2019-2028

  • Social Commerce Industry Market Size and Forecast by Retail Product Categories, 2019-2028
  • Clothing & Footwear
  • Beauty and Personal Care
  • Food & Grocery
  • Appliances and Electronics
  • Home Improvement
  • Travel
  • Hospitality

Social Commerce Industry Market Size and Forecast by End Use Segment, 2019-2028

  • B2B
  • B2C
  • C2C

Social Commerce Industry Market Size and Forecast by End Use Device, 2019-2028

  • Mobile
  • Desktop

Social Commerce Industry Market Size and Forecast by Location, 2019-2028

  • Domestic
  • Cross Border

Social Commerce Industry Market Size and Forecast by Location, 2019-2028

  • Tier-1 Cities
  • Tier-2 Cities
  • Tier-3 Cities

Social Commerce Industry Market Size and Forecast by Payment Method, 2019-2028

  • Credit Card
  • Debit Card
  • Bank Transfer
  • Prepaid Card
  • Digital & Mobile Wallet
  • Other Digital Payment
  • Cash

Social Commerce Industry Market Size and Forecast by Platforms

  • Video Commerce
  • Social Network-Led Commerce
  • Social Reselling
  • Group Buying
  • Product Review Platforms

Social Commerce Industry Market Size and Forecast by Consumer Demographics & Behaviour,2022

  • By Age
  • By Income Level
  • By Gender

For more information about this report visit https://www.researchandmarkets.com/r/b35zpi

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