Social Commerce Market Report 2025

The social commerce market size has grown rapidly in recent years. It will grow from $764.49 billion in 2024 to $877.03 billion in 2025 at a compound annual growth rate (CAGR) of 14.7%. The growth in the historic period can be attributed to rise of social media platforms, influencer marketing boom, user-generated content, integration of shopping features, trust in peer recommendations, convenience and accessibility.

The social commerce market size is expected to see rapid growth in the next few years. It will grow to $1.45 trillion in 2029 at a compound annual growth rate (CAGR) of 13.5%. The growth in the forecast period can be attributed to live shopping experiences, expansion of social payment options, emergence of social commerce platforms, niche community engagement, sustainability and ethical commerce. Major trends in the forecast period include live commerce and video shopping, augmented reality (AR) for virtual try-ons, shoppable content and social ads, integration of chatbots and AI, marketing and affiliate programs.

The rise in social media usage is anticipated to drive the growth of the social commerce market during the forecast period. More individuals are turning to social media platforms such as YouTube, Facebook, and Instagram for various purposes. During the COVID-19 pandemic, social media usage surged as people were restricted from going out, leading to increased shopping and marketing activities through these platforms. For example, in January 2024, We Are Social Ltd, a UK-based media company, reported a 1.5% increase in social media usage, up from 0.9% in January 2023. Consequently, this rise in social media usage is fueling the growth of the social commerce market.

The growth of mobile commerce is expected to further propel the expansion of the social commerce market during the forecast period. Mobile commerce involves using wireless handheld devices, such as smartphones and tablets, to conduct online commercial transactions. Social commerce enhances mobile commerce by establishing a mobile-centric ecosystem that includes social interactions, influencers, and personalized recommendations, thus driving mobile transactions. For instance, in October 2024, MobiLoud, a US-based company that converts websites into mobile apps, reported that mobile commerce is currently valued at over $550 billion in the US alone, with projections indicating a growth of more than 50% in the next two years.

Major players in the social commerce industry are increasingly adopting a strategic partnership approach to deliver a more integrated and seamless shopping experience for users. This strategy involves companies leveraging each other's strengths and resources to achieve mutual benefits and success. A notable example is the partnership formed in November 2023 between Amazon.com, Inc., a US-based e-commerce giant, and Meta Platforms, Inc., a US-based technology company. This collaboration is deemed a significant development in the realm of social commerce, as it serves to bridge the gap between traditional e-commerce and social media, offering users a more cohesive and efficient shopping experience. Beyond enhancing user experience, this partnership strategically positions Amazon as a prominent player in the competitive landscape of social commerce, allowing it to contend with other platforms such as TikTok and Snapchat in the evolving market.

Major companies in the social commerce market are concentrating on expanding their platforms and features to boost user engagement and enable seamless shopping experiences. For example, in September 2023, ByteDance Ltd., a China-based internet technology company, launched 'TikTok Shop' in the U.S., introducing a social commerce platform with a dedicated shop tab, product tagging by creators, and secure checkout options. This initiative has attracted over 100,000 creators and 200,000 sellers, aiming to leverage the growing trend of product discovery through social media, where 57% of users report finding products this way. As platforms like TikTok continue to innovate in this area, the potential for social commerce to transform online shopping dynamics becomes increasingly evident.

In April 2022, Amazon.com, Inc., a US-based e-commerce services provider, acquired the Indian startup GlowRoad Technologies Private Limited for an undisclosed amount. This acquisition allows Amazon.com, Inc. to strengthen its presence in the Indian e-commerce market by leveraging GlowRoad Technologies Private Limited's expertise in social commerce and community-driven shopping, ultimately enhancing its competitive advantage and expanding its customer base in India. GlowRoad Technologies Private Limited is an India-based company specializing in social commerce.

Major companies operating in the social commerce market include Amazon.com Inc., Microsoft Corporation, Alibaba Group Holding Limited, Facebook Inc., Tencent Holdings Limited, ByteDance Ltd., Instagram LLC, YouTube LLC, PayPal Payments Private Limited, Salesforce.com Inc., Xiaohongshu Inc., Pinduoduo Inc., Adobe Inc., LinkedIn Corporation, eBay Inc., TikTok Inc., Shopify Inc., Twitter Inc., Snapchat Inc., Pinterest Inc., Etsy Inc., Sina Corporation, Weibo Corporation, Wix.com Ltd., Squarespace Inc., BigCommerce Holdings Inc., Poshmark Inc., Automattic Inc., Renren Inc., Fabulous Inc., Big Cartel LLC, Volusion LLC, Ecwid Inc., PrestaShop SA, OpenCart Limited, Miva Inc., Zen Cart.

North America was the largest region in the social commerce market share in 2024. Europe was the second-largest region in the social commerce market. The regions covered in the social commerce market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the social commerce market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Social commerce refers to the direct buying and selling of products or services through a social media platform. It merges social networking with e-commerce, enabling users to discover, share, and purchase products while engaging with friends, influencers, and brands all within the same platform.

Social commerce encompasses various product categories including personal and beauty care, apparel, accessories, home products, health supplements, food and beverages, among others. Customers have the convenience of directly purchasing beauty and personal care items or services through dedicated social commerce apps. These platforms are accessible across diverse devices such as laptops, PCs, and mobiles, catering to different business models such as B2C, B2B, and C2C interactions. Social commerce serves both individual consumers and commercial entities, offering a versatile avenue for transactions and engagements.

The social commerce market research report is one of a series of new reports that provides social commerce market statistics, including social commerce industry global market size, regional shares, competitors with a social commerce market share, detailed social commerce market segments, market trends and opportunities, and any further data you may need to thrive in the social commerce industry. This social commerce market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The social commerce market includes revenues earned by entities by offering services such as promoting and selling products or services within the framework of a social media platform. Social commerce is the incorporation of e-commerce and social media which is used for buying or selling goods or services directly within a social media platform such as Facebook and Instagram. It also includes local and global marketplaces, including small businesses that sell products to various social media followers and individual buyers. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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