- Now that both e-commerce and social media occupy an increasing share of consumer waking hours, platforms are experimenting with blends of the two: social commerce, or transactions with social features on social media, as shown in survey results below.
- Implemented correctly, social commerce combines the convenience of online shopping with the network effects of social media, resulting in a powerful growth driver.
- Based on ARK’s research, as more platforms transition from pureplay to social, the ecommerce market could scale 50% at a compound annual rate, from approximately $390 billion last year to nearly $3 trillion by year-end 2025.
- According to our estimates, $390 billion or 22% of all e-commerce sales in China were social commerce sales in 2020. By contrast, in the US social commerce barely registered 1% of total ecommerce sales.
For further details see:
Social Commerce: The Next Wave In Online Shopping