We expect social commerce sales in the US to reach $101.38 billion this year, driven by existing buyers increasing their spending. While social commerce plays a smaller role in holiday shopping, it's popular among Gen Z, who are more likely to make purchases influenced by creators. TikTok and Facebook are the top platforms, with apparel brands poised to benefit the most.
Here are five charts on social commerce ahead of the holiday season.
Despite slowing, US social commerce sales will grow 23.5% this year, reaching $82.82 billion, per our forecast.
Social buyer growth is also slowing (down from 21.3% in 2021 to just 3.3% this year), meaning most sales growth is from established buyers spending more on social commerce. Social buyers will spend an average of $750.40 on social commerce this year, up over $122 from 2023.
Only 12% of US consumers plan to buy holiday gifts via social media this year, per a May 2024 survey from Bryl.
Given the importance of value this holiday season—28% of consumers say holiday shopping will strain their budget, an August 2024 survey from Bankrate conducted by YouGov—brands should use exclusive discounts or promotions to encourage shopping on social platforms.
Gen Z consumers are twice as likely as the average consumer to buy holiday gifts via social commerce this year, according to a May 2024 survey from Basis Technologies in collaboration with GWI.
Among Gen Z social shoppers, 82.0% have made a purchase after seeing or because of content produced by a creator/influencer, the most effective way to encourage Gen Z social purchases, according to a March 2024 EMARKETER survey.
Last year, nearly a third (32%) of Gen Z adults said they had or planned to make a holiday purchase via TikTok Shop, according to a December 2023 survey from CivicScience.
TikTok is the most popular platform among Gen Z social buyers, with 67.1% saying they made a purchase on the platform within the last 12 months, per a March 2024 EMARKETER survey. However, among millennial, Gen X, and baby boomer social buyers, Facebook is the most popular platform to make a purchase.
Clothing/apparel will be the top type of purchase consumers make during Black Friday/Cyber Monday this year, followed by electronics, gift cards, and entertainment content, per a May 2024 survey from Medallia Market Research.
In addition to using creators/influencers to encourage social purchases, apparel brands should harness the power of positive online ratings or reviews, the No. 1 factor that led consumers to purchase new clothing brands or products and No. 2 driver of accessories purchases, according to a June 2024 EMARKETER survey. Shoppers are also more likely to purchase via mobile apps and social platforms compared with other categories.
This was originally featured in the Retail Daily newsletter. For more retail insights, statistics, and trends, subscribe here.