Social Media Market Report 2025

The social media market size has grown rapidly in recent years. It will grow from $252.95 billion in 2024 to $286.53 billion in 2025 at a compound annual growth rate (CAGR) of 13.3%. The growth in the historic period can be attributed to internet penetration, smartphone adoption, social connectivity, content sharing culture, adoption of visual content.

The social media market size is expected to see rapid growth in the next few years. It will grow to $466.56 billion in 2029 at a compound annual growth rate (CAGR) of 13%. The growth in the forecast period can be attributed to e-commerce integration, augmented reality (AR) and virtual reality (VR), privacy and security measures, short-form video dominance, influencer marketing. Major trends in the forecast period include short-form video dominance, ephemeral content growth, rise of social commerce, audio-based platforms, increased emphasis on privacy,.

The rising penetration of mobile devices, tablets, and other electronics, along with increasing data consumption, is set to drive the growth of the social media market. As sales of internet-accessible electronic devices like smartphones and tablets rise, users tend to spend more time on social media platforms. For instance, in November 2022, the International Telecommunication Union (ITU), a Switzerland-based United Nations agency, reported that global internet penetration reached approximately 5.3 billion people, accounting for 66% of the world's population, with a growth rate of 6.1% from 2021. This surge in smartphone usage is anticipated to boost overall internet usage, thereby propelling the social media market forward.

The growth of internet usage is expected to be a key factor driving the social media market in the coming years. The Internet serves as the underlying infrastructure for the entire social media ecosystem, enabling users to communicate, connect, share, and engage across various platforms. As of November 2022, the International Telecommunication Union reported that the Internet was used by 5.3 billion individuals, constituting 66% of the world's population. This represents a 6.1% improvement compared to 2021, marking an increase of 5.1% in 2020-2021. Hence, the rising trend in internet usage is a significant driver for the social media market.

Social media companies are leveraging their platforms for electronic commerce of goods and services to boost revenues. This trend is driven by the increasing adoption of e-commerce and online shopping among consumers, fueled by the expanding reach of the internet and smartphone penetration. For example, as of August 2023, the U.S. Census Bureau reported that retail e-commerce sales in the second quarter of 2023 reached $269.5 billion, marking a 7.7% increase over the second quarter of 2022. Social media platforms play a crucial role by enabling targeted advertising based on consumers' social behaviors, geographic locations, and demographics. Instagram, a photo and video-sharing social networking service, has incorporated a 'shopping' tab into its app's 'Explore' page. Survey data from Instagram for Business in 2022 revealed that 44% of users shop on Instagram weekly using features such as the Shop tag. Other social media platforms such as Snapchat and Twitter have also integrated shopping advertisements, facilitating direct purchases within their platforms.

In August 2023, Sprout Social Inc., a US-based social media management software company, acquired Tagger Media for approximately $140 million. This acquisition is intended to enhance Sprout Social's platform by integrating Tagger’s influencer marketing and social intelligence capabilities, enabling brands to execute more effective and comprehensive social media strategies. Tagger Media is recognized for its innovative solutions that empower businesses to measure the ROI of their social investments and optimize their marketing efforts, making it a valuable addition to Sprout Social's offerings in the competitive social media landscape.

Major companies operating in the social media market include Meta Platforms Inc., Youtube LLC, Instagram LLC, Twitter Inc., LinkedIn Corporation, Snap Inc., Pinterest Inc., TikTok Inc., Reddit Inc., WhatsApp Messenger, WeChat, Tumblr, Discord Inc., Twitch Interactive Inc., Foursquare Labs Inc., Yelp Inc., Nextdoor Inc., VKontakte Ltd., Sina Weibo, LINE Corporation, Viber Media Sàrl, Telegram Messenger LLP, Meetup Inc., Tagged, Hi5, XING SE, Renren Inc., Bebo Inc., Ning Inc., Classmates Online Inc.

Asia-Pacific was the largest region in the social media market in 2024. Africa is expected to be the fastest growing region in the forecast period. The regions covered in the social media market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the social media market report are Australia, China, India, Indonesia, Japan, South Korea, Bangladesh, Thailand, Vietnam, Malaysia, Singapore, Philippines, Hong Kong, New Zealand, USA, Canada, Mexico, Brazil, Chile, Argentina, Colombia, Peru, France, Germany, UK, Austria, Belgium, Denmark, Finland, Ireland, Italy, Netherlands, Norway, Portugal, Spain, Sweden, Switzerland, Russia, Czech Republic, Poland, Romania, Ukraine, Saudi Arabia, Israel, Iran, Turkey, UAE, Egypt, Nigeria, South Africa.

The social media market includes revenues earned by entities by providing services that enables customers to interact, create and share content and information. Social media enables users to share pictures, video and audio files. This market includes revenues from sales from advertisement and other services offered on social media platforms. 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.

Social media is a technology-based platform that facilitates the sharing of concepts, ideas, and knowledge through online groups and networks.

The primary categories of social media include social media advertising and social media subscription. Social media advertising, a form of digital advertising, utilizes platforms such as Twitter, LinkedIn, Instagram, Facebook, and Pinterest to deliver sponsored advertisements to the target audience. The diverse range of services encompasses social networking, microblogging, instant messaging, and photo-sharing networks, catering to various sectors such as retail and wholesale, transportation manufacturing, food and beverages, financial services, information technology, electrical and electronics manufacturing, media and recreation, transportation services, healthcare, and others.

The social media market research report is one of a series of new reports that provides social media market statistics, including social media industry global market size, regional shares, competitors with a social media market share, detailed social media market segments, market trends and opportunities, and any further data you may need to thrive in the social media industry. This social media 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 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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