Social e-commerce has a bright future, and the market is expected to reach 2.9 trillion US dollars in 2026!

Social commerce refers to e-commerce companies using social media platforms such as Facebook, Instagram, and Pinterest as a means of online marketing and promotion of products and services.

In recent years, the user base of social media platforms has become increasingly large. For example, as of the third quarter of 2021, Facebook had approximately 2.91 billion monthly active users, with users spending an average of 34 minutes per day on the platform. The rise in social media usage has driven the development of digital promotion.

Therefore, more and more sellers and companies have seen the importance of social media among users. At the same time, they also regard social media as one of the more important means in product marketing strategies. The huge user base and traffic ensure the exposure of products.

According to the global social e-commerce market report released by Reportlinker.com , during the 2020 epidemic, the global social e-commerce market was valued at approximately US$559.7 billion, and is expected to grow to US$2.9 trillion by 2026, growing rapidly at a compound annual growth rate of 30.8%.

The report pointed out that in 2021, the scale of the US social e-commerce market was US$51.2 billion, accounting for 6.9% of the global market share. As the world's second largest economy, China's e-commerce market is expected to reach US$1.5 trillion by 2026.

In addition to the United States and China, the e-commerce markets in Japan and Canada are also worthy of attention. According to analysis, the markets in these two countries grew by 23.2% and 24.6% respectively; in the European market, it is expected to reach a market size of 1.9 trillion US dollars, among which Germany is the most promising with a growth rate of 25.4%.

Therefore, when sellers and companies are planning their market, they can take the above markets into consideration .

Since 2020, maintaining social distance has not only hindered people's communication, but also hindered the development of offline retail. Online retail has caught up with this spring breeze and has flourished. In addition, the popularization and promotion of high-speed networks and smartphones have accelerated the rapid development of e-commerce on social media platforms.

In addition to social e-commerce giants such as Facebook, Pinterest and Instagram are also becoming more and more popular among users. Many users will check relevant product information on the platform before shopping , or pay attention to a certain product because of the platform's recommendation, and then complete the purchase directly on the platform.

As for social media platforms, they have also been constantly updating and optimizing their e-commerce services recently. While attracting more new users and traffic, they have also helped sellers increase product sales and improve service quality.

For example, Pinterest recently launched Pinterest TV, which allows creators to showcase and tag products so that consumers can shop on retailers’ websites. According to Pinterest, this feature has helped creators gain followers during the pilot phase, with some creators more than doubling their followers after live streaming. This will greatly help creators’ traffic and product promotion in the future.

Under the epidemic, the number of users of social media platforms has continued to increase, which has become an important factor in promoting the development of social e-commerce. I believe that in the next few years, the development of the social e-commerce market will continue to show an upward trend. Sellers and companies can pay more attention to the dynamics and trends in this area and not let the traffic go to waste.

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