Social commerce is not just the latest buzzword. It has been around for a few years, picking up steam since 2015, but rapidly accelerated when the COVID-19 pandemic hit in 2020. It has quickly become a relevant part of online shopping.
Whether it is Facebook, Instagram, or Pinterest, everyone’s favorite social media platforms have become lucrative sales channels for all brands venturing into social commerce, including MLM companies.
And as social commerce has been proving itself to be more than a fad, we believe that social commerce is the future, and your direct selling company should reap the fruits of success.
If you want to learn more about social commerce vs. ecommerce, we take a closer look at the key similarities and differences in this blog post.
Manage your social commerce with data, not guesswork. Here are 37 mind-blowing statistics about social commerce that will show how your direct selling company can make better decisions with your efforts.
General Social Commerce Stats
- Social commerce sales are predicted to value $605 billion by 2027. (Statista)
- Social commerce revenues are estimated to exceed $3.4 billion in 2028. (Statista)
- By 2023, 71% of small businesses plan to sell on social media platforms. (Statista)
- 49% of retailers engaged in social commerce say it helps them personalize customer experiences based on behavior and increase the visibility of their product listings. (eTail/Stackla)
- There were almost 80 million social buyers in the US in 2020, a 30% increase from 2019. (Statista)
- 87% of people say social media helps them decide what to buy. (16Best.net)
- 97% of Gen Z consumers use social media as their top source of shopping inspiration. (Influencer Marketing Factory)
- An AdWeek survey found that 49% of TikTok users purchased a product at least once after seeing it advertised, promoted, or reviewed on the short-form video platform. (Influencer Marketing Factory)
- 24% of people surveyed by the Influencer Marketing Factory (IMF) said they shop on social media more than once a week, and 29% of respondents said once a week. (Influencer Marketing Factory)
- 70% of internet users in the US who regularly watched live streams led by influencers said they were likely to buy products recommended by the influencers. (Insider Intelligence)
- More than 50% of people surveyed by the IMF said they’d bought something during a live stream shopping event. (Influencer Marketing Factory)
- According to a McKinsey study, conversion rates are approaching 30% to ten times higher than conventional ecommerce. The most showcased product categories are apparel and fashion (36%), beauty products and food (7%), consumer electronics (5%), and home decor (4%). (Influencer Marketing Factory)
- According to Canadian social commerce statistics from 2021, shoppable images and videos are – by 20.8% – more likely to influence shoppers’ purchase decisions. (eMarketer)
- 66% of consumers have been inspired to purchase from a new brand after seeing social media images from other consumers. (Stackla)
- 79% of people say user-generated content (UGC) highly impacts their purchasing decisions, while only 12% say branded content is impactful. (Stackla)
- $81.05 was the average value of online orders referred through social media during Q2 of 2021. (Statista)
- Apparel and accessories are the largest categories for social commerce. (Insider Intelligence)
- Apparel made up 21.69% of the total social commerce revenue in 2020. (Grand View Research, Facebook)
- According to eMarketer, by the end of 2022, 44.1% of Gen Z digital buyers ages 14 and older will have used Buy-Now, Pay-Later (BNPL) services at least once that year, compared with only 37.2% of millennial digital buyers. (Influencer Marketing Factory)
Social Commerce on Instagram
- Instagram is a preferred platform for 92% of retailers engaged in social commerce, followed by Facebook (77%), Twitter (57%), and Pinterest (47%). (eTail/Stackla)
- 60% of people discover new products on Instagram. (Instagram)
- 40% of respondents are more likely to purchase from brands that post real, raw, or unpolished content. (Instagram)
- 44% of people surveyed use Instagram to shop weekly, using features like product tags and Instagram’s Shop tab, and 28% of their shopping activities on Instagram are planned. (Instagram)
- 130 million Instagram users tap on shopping posts to learn more about products every month. (Instagram)
- Over 1 in 4 (27%) teens and young adults expect to shop directly through social media feeds and special in-app features. (Influencer Marketing Factory)
Social Commerce on Facebook
- 1 in 4 business owners is selling through Facebook. (10 Ecommerce Trends)
- With 56.1 million buyers, Facebook ranks as the top social commerce platform in the US. (Insider Intelligence)
- 78% of US consumers say they’ve discovered products on Facebook. (Curalate)
- 62% of people said they have become more interested in a brand or product after seeing it in Facebook stories. (Facebook)
- By Q1 of 2021, there were one million active Facebook Shops with over 250 million active participants every month. (AdWeek)
- According to Facebook’s research, consumers are increasingly keen to try out live shopping, with 89% of people expressing an interest in the option. (Social Media Today)
Social Commerce on Pinterest
- People who use Pinterest every week are 7x more likely to say it’s the most influential platform in their purchase journey when compared to other social media platforms. (Pinterest)
- Pinterest is a visual discovery platform, perfect for reaching new audiences. 89% of users are on Pinterest for purchase inspiration, and more than 25% of their time on Pinterest is spent shopping. (Influencer Marketing Factory)
- 85% of Pinterest shoppers have more in their basket than shoppers on other platforms. They also spend twice as much per month. (Pinterest)
- 77% of weekly Pinterest users have discovered a new brand or product on the platform. (Pinterest)
- 83% of weekly Pinterest users have purchased based on the content they saw from brands on Pinterest. (Pinterest)
- Pinterest generated over $1 billion in ad revenue in 2019. (Statista)
Key Takeaways
In 2022, social commerce deserves the spotlight. It helps MLM businesses provide a seamless omnichannel shopping experience, allowing people to shop instantly from anywhere.
When social media first came on the scene, they were all about building an online community and engagement. In the past years, that shifted to sales. And this trend continues with the growth of social commerce.
Direct selling companies now have (or will soon have) the ability to sell directly to consumers worldwide via their favorite social media platforms. This is an exciting leap forward, but not without some trade-offs.
On the one hand, social media became additional marketplaces for people to shop. But, on the other hand, there may be implications as some brands might have to rely on third parties (= social media) to sell.
Relying 100% on social media giants might not be a smart move. However, infusing a social element into your ecommerce strategy could be just what your company needs to do to re-energize your online business – especially if you are targeting Gen Z and millennials.