The global social commerce e-market is expected to touch USD 2.9 Trillion by 2026. The future, invariably, seems to be rock solid. Not just some selected few countries in America or Europe, but globally. And, why not? Social media is helping sellers reach the personal spaces of potential buyers.
A buyer or a seller, this blog is an interesting read for you. It recounts how social e-commerce is the next big thing in our lives.
In 2020, the projected social commerce market size was USD 559.7 billion. It is growing progressively at a Compound Annual Growth Rate (CAGR) of 30.8%.
Currently, the B2C (Business-to-customer) market segment has a market share of 32.6% of social commerce. It is forecasted to evolve and further grow at a CAGR of 29.6%.
B2B (Business-to-business) on social media, on the other hand, is growing faster. The segment is growing at a CAGR of 32.6%.
The C2C (customer-to-customer) segment will touch USD 280.3 billion by 2026.
One area that is progressively growing is video commerce. The market size of the online video niche globally is all set to reach USD 22.85 billion by 2028. The growth rate forecasted between 2021 and 2028 is a CAGR of 18.4%, according to globenewswire.
Take the case of Samsung. In 2019, the Electronics division of the brand invested hugely in an online video campaign in the US. It was for promoting the latest Galaxy smartphones. Video commerce's future lies in the growth potential of video streaming activities. Live streaming on social media is an easy way for brands and buyers to engage.
The Indian story encapsulates the global sentiments. As per predictions, India will have 228 million shoppers on social media by 2022. In 2021, the number stands at 157 million shoppers. If not a double, the projections show a 45% increase in social commerce user base in India, according to indianretailer.
Experts attribute the growth to the widely available economic data plans in India. Also, the second-most populated country in the world has an internet penetration rate of 45% in January 2021.
YouTube, WhatsApp, and Facebook are India's three leading social commerce platforms. Also, video commerce growth is attributed to platforms like Meesho and Trell.
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It means growth potential! Unlimited, immersive, and cross-border!
Provided you treat social commerce as an essential entity, an integral part of your e-commerce business.
Let's get this straight. Selling on social media is not different from selling at your online store. It cannot exist in a vacuum. It should be integrated to become part and parcel of your overall e-commerce strategies. A little tweak here and there to interlink it with your present sales channels. It can do wonders for your business. With a store on social media, your chances of getting traction from the younger generation are maximum.
It is important to incorporate features to make it a seamless experience for your buyers. Incorporate 'buy now' buttons to decrease the sales funnel.
Also, the growth of the social commerce industry means that social commerce is not just for a lucky few. On the contrary, any scale of a business can benefit from it. Only you need to play your cards well. If you are a small businessman, this is the time to take advantage of the 'go local' sentiment. Through social media, small-time retailers have similar opportunities as the bigwigs in your industry. There is more freedom, more flexibility, and democratization.
The growth of social commerce is an opportunity for all e-commerce businesses. Big, small. B2B or B2C. It is for business owners, CEOs, CXOs, marketing heads, etc., to make the most of it. One of the dominating marketing trends of 2022, the time is ripe now to embrace social commerce.
Keen to know how to go about it? Please read our other blogs on social commerce here for tips and tricks, the latest trends, and more.