Nowadays, social networks have become an integral part of everyday life. Facebook, TikTok, Instagram, Snapchat, Twitter, and Pinterest among others continue to engage users with relatable content, making them spend hours scrolling through their feeds.

With almost 90% of Asia Pacific’s population surfing through mobile commerce, brands and retailers put this media to greater use, thus inventing a fairly new concept called Social Commerce.

Earlier, businesses simply relied on social channels to improve their brand presence and connect with their customers. But, social commerce today has evolved into a full-fledged medium for online shopping.

In a joint survey conducted by Magento and Hootsuite, almost 6 in 10 consumers claimed that one-quarter of their online shopping is influenced by Facebook and YouTube.

So, what exactly is social commerce in Southeast Asia and how can you benefit from it?

What is Social Commerce

Let’s begin by understanding ‘what is social e-commerce’.
Investopedia explains social commerce as ‘The use of networking websites such as Facebook, Instagram, and Twitter as vehicles to promote and sell their products.’ Although the definition may seem complex, implementing it is pretty simple. To put it in context, as users interact with unique content, brands, and businesses leverage social presence to achieve their marketing goals successfully.

These practices include—

• Offering discounts and promotions, to users who share products on their social feeds.
• Providing personalized buying options and a seamless browsing-to-checkout journey.
• Attracting users with striking graphics such as videos and images, compelling product descriptions, interesting posts, etc.
• Encouraging user-generated content such as product endorsements, reviews, and recommendations, etc.

In a nutshell, social commerce companies create a mini-shopping experience directly onto the users’ social pages and motivate them to shop by interacting with the products and services. Consumers can directly buy products, or share them with their friends and followers, or otherwise review them directly on these social vehicles.

Social Commerce’s Emerging Importance

Social commerce is a direct response to evolving consumer behavior. With users spending an average of 2 hours and 21 minutes daily on social media [1], its influence on consumer demand is immense. By adopting a social commerce strategy, brands can enable a swift and direct customer journey. This provides consumers with a seamless buying experience, allowing them to checkout without leaving the social media app or platform. As social commerce continues to gain prominence here are some of the many benefits it offers brands.

1. Building a community: By merging shopping and social media, businesses can build deeper connections with their customers. Brands can learn what consumers want directly and generate word-of-mouth marketing from satisfied customers. A strong community fosters brand loyalty and also leads to repeat purchases as online shoppers tend to value genuine interactions.
2. Easy shopping experience: Prospective buyers spend a lot of time on social media platforms. Brands can capitalize on this and boost sales by making it easier for users to purchase their products via these platforms. By removing barriers to purchase like external redirects, consumers are able to conveniently make purchases within the same platform.
3. Wide reach: Social commerce widens a brand’s reach. By leveraging social media, brands can connect with a global audience and expand their customer base beyond their geographical location.
4. Direct customer feedback: Most social media platforms have built-in features that provide sellers with valuable insights for targeted marketing. Brands can identify ideal customers and tailor their offerings accordingly. Creating surveys and polls is one way to gather immediate customer feedback on social media.

 

Difference Between Social Commerce and E-commerce

If you run a business, you’ve probably heard of social commerce vs. e-commerce. But what do they mean? Well, they’re two different ways your customers can buy from you online. Understanding these ideas and their distinctions is essential for making informed choices about how your brand sells online.

While e-commerce mainly involves selling products through dedicated online stores or marketplaces (think Amazon or eBay), social commerce blends social media into the buying and selling scene through platforms like Facebook and Instagram.

To help you better understand the key differences between social commerce vs. e-commerce, here’s a chart we put together:

 

Differences	Social Commerce	Marketplace and webstore e-commerce
Types of platforms	Social media platforms like Instagram, Facebook, or TikTok.	Online stores or shopping sites like Amazon, Shopee, Taobao, Sopify.
Features	Encourages social features like reviews, sharing, and commenting alongside shopping.	Focuses on clear product details, search tools, and secure checkout.
User journey	Users may encounter products organically through social media feeds or targeted advertising.	Websites cater to a more intentional shopping journey, where users are actively searching for a specific product. While Marketplaces also cater to “browse and buy” shoppers.
Benefits	Raises brand awareness and encourages community engagement, leading to increased social influence.	Provides a clearer and faster path to a transactional event for a user.

Key Features That Drive Social Commerce Success

Social commerce has continued to thrive thanks to several key features, from organic user content to live shopping. Let’s take a closer look below.

1. Shoppable content and ads

Brands can create shoppable content or ads by directly tagging a product in their posts, be it an Instagram photo or TikTok video. This means customers can click on a product and buy it without ever leaving the app, eliminating shopping friction.

2. Influencer partnerships and marketing

Influencers are the key to unlocking new customer bases. Partnering with these online celebrities can produce marketing content that feels more authentic, like a TikTok creator recommending a new skincare product and sharing the link with their engaged followers.

3. User-generated content (UGC)

UGC is any content (photos, videos, or reviews) created by customers rather than the brand itself. This becomes powerful social proof. For example, a company can repost a customer’s reel showing how they style a pair of jeans, complete with a shoppable link.

4. Shopping livestreams

Live shopping events allow brands or influencers to showcase products in real-time, usually with special deals and Q&A sessions. This creates a sense of urgency and community, like when a beauty brand hosts a livestream to demonstrate a new makeup palette and viewers can buy it instantly.

5. In-app purchases

This feature enables a complete transaction within the social media app itself, from adding to cart to checkout. Instead of redirecting to an external website, this frictionless experience keeps the user on the platform and makes impulse buys easier than ever.

Social Commerce Types

Imagine scrolling through Instagram or Facebook and stumbling upon a cool T-shirt you just have to have. That’s a social commerce example in action!

Now, let’s explore some various types of social commerce in detail:

1. Social shopping platforms
   These are platforms like Instagram Shopping or Facebook Marketplace, where you can browse and buy products directly within your favorite social media app.
2. Social media marketplaces
   Platforms such as Facebook Groups where users can buy and sell items to each other, create a marketplace within the social network.
3. Peer-to-Peer selling
   It’s like having a virtual garage sale on social media, where you sell things directly to your friends or followers, often seen on platforms like Instagram.
4. Social commerce integrations
   Some e-commerce platforms allow merchants to showcase and sell their products directly within social media posts or ads, often through integrations like those offered by Shopify.
5. Influencer marketing
   Influencers collaborate with brands to promote products to their followers, leveraging their influence to drive sales through sponsored content.
6. User-generated content
   Reviews, ratings, and recommendations are shared by regular users on social media, which can help others decide what to buy.

Popular Social Commerce Platforms

Did you know that certain social media platforms aren’t just for connecting with friends and sharing memes anymore? In fact, they’ve become booming marketplaces where you can shop for your favorite products without ever leaving the app. Awesome, right?

On that note, let’s check out some popular social commerce sites that are changing the way we shop online.

1. Instagram
   Think of it as a photo album where you not only see amazing pictures but also shop from them. You might spot a trendy outfit or a stylish gadget in a post, and with features like Instagram Shopping, you can tap on it and buy it right there, without leaving the app.
2. Facebook
   It’s like a virtual marketplace where you can find everything from clothes to furniture. Facebook Marketplace lets you buy and sell items locally, so you might discover a hidden gem being sold nearby. Plus, businesses can set up their own online stores with Facebook Shops, making it easy to browse and buy their products without ever leaving Facebook.
3. Pinterest
   Picture a digital vision board where you collect ideas for home decor, fashion, recipes, and more. Pinterest is all about inspiration, and when you find something you love, you can click on it to learn more or buy it directly from the website it’s linked to. It’s like window shopping online but with a handy “Buy” button.
4. TikTok
   It’s not just for funny videos any more– TikTok is also a place to discover and shop for products. Brands and creators often showcase products in their videos, and with features like “Shop Now,” you can click on a product you like and buy it instantly, all while enjoying your favorite TikTok videos!
5. Youtube
   For customers on the hunt for in-depth reviews and instructional guides, YouTube is the go-to platform. Brands can best leverage this platform by partnering with creators to provide authentic and engaging reviews on their products. Similar to TikTok, creators can now directly tag products within their videos or livestreams for convenient purchasing.

Challenges and Risks of Social Commerce

While social commerce can open doors to endless opportunities, brands must be ready to navigate a unique set of challenges to turn social media engagement into sustainable sales.

1. Fragmented product inventory

Managing inventory across multiple social platforms and your main e-commerce site can lead to stockouts or overselling. Say your product sells out on Facebook Shop but the inventory count isn’t updated on Instagram, you can end up selling items you don’t have.

2. Complex multi-platform shop management

Each platform has its own unique tools, analytics, and content requirements, making it difficult to maintain a consistent brand presence and track performance. Brands may have to create a separate content calendar, ad strategy, and customer service approach for each of its social commerce channels.

3. Unclear performance benchmarks

Measuring the ROI of social commerce can be tricky because platforms offer different metrics, and a sale might originate from a post but be completed elsewhere. It can be hard to tell whether a specific TikTok video or an Instagram ad drove the most sales if the customer journey isn’t tracked properly.

4. Data privacy concerns

Users are increasingly wary of how their data is used, and a privacy breach on a social media platform can quickly damage a brand’s reputation. A brand can face a backlash if it’s revealed that customer data, such as purchase history or personal information, was exposed due to a security lapse on a platform.

5. Confusing social media algorithms

Algorithms constantly change, making it difficult for brands to predict their content’s reach and visibility. This means a post that went viral last week might get little to no engagement this week, creating an unstable environment for a sales-driven strategy.

Fascinating Social Commerce Statistics

Want to know some interesting facts about social commerce? Read on:

• Social commerce revenue is projected to hit $6.2 trillion by 2030 [2].

Between 2023 and 2030, social media retail is expanding by 32% annually, resulting in significant growth. This makes 2024 the best time for businesses to establish their presence in social commerce.
If not now, then when?

• 71% of global shoppers reveal that social media could become their primary shopping channel by 2030 [3].

Brand websites and third-party marketplaces are no longer the only channels that consumers rely on for online shopping. As of 2025, 7 in 10 global shoppers are shopping directly on social media platforms.

• TikTok, Instagram, and Facebook are the leading platforms for social commerce.

Millennials make up the biggest portion of Facebook users — 67% share that they plan to continue to shop on the platform over the next five years. Gen Z continues to favor TikTok and Instagram as their shopping platforms of choice.

Trends in Social Commerce

Let’s explore some of the major social commerce trends today, and how they could potentially change the online shopping sphere in the coming years:

1. AI-powered e-commerce tools

AI gets smarter with each passing day, helping brands personalize the shopping experience from product recommendations to virtual assistants. The global AI-enabled e-commerce market is set to be valued at a staggering $8.65 billion in 2025 [4].

2. Physical pop-up stores

Brands are now taking their businesses offline, using physical pop-ups to create immersive, in-person experiences that generate online buzz. Think of it as a living, breathing Instagram post: a photo-worthy event that gets customers to create their own content and tag the brand.

3. Short-form videos

Platforms like TikTok, Instagram Reels, and YouTube Shorts dominate discovery and shopping, with content that’s easy to create and consume. With 73% of consumers leaning towards short-form videos for product discovery, brands are now keeping their videos (53%) under the 2-minute mark [5].

4. Micro-influencer partnerships

Brands are shifting from big-name sponsorships to micro-influencers with smaller, more dedicated followings for better engagement. Content from these partnerships can feel more authentic and trustworthy, with micro-influencers outperforming mid-tier influencers by 46% [6].

Benefits of Social Commerce

Although social commerce positively impacts the overall sales volume, that’s not the only benefit you can get.

1. Improved Customer Engagement

Social networks open a two-way communication channel between your business and customers. It does not just help you to promote your products, but also, enables your audience to relate with them. Users are more likely to read reviews, comments and opinions from previous customers on these channels. This further enhances the authenticity of your business and helps them make an informed decision accordingly.

Some channels go further than this, and help you build a seamless shopping experience with them. For example, Instagram has introduced Shoppable Instagram Feed that lets you tag your products collected from user generated content or your own posts and embed it directly to your e-Commerce websites. So, with just two or three clicks, shoppers can easily navigate to the right product page and purchase that specific item.

2. Consistent audience growth

The primary aim of social commerce in Singapore is to build a consistent audience. As per Kiepo’s analysis, Southeast Asia has a new user generation rate at 16.98%. These statistics highlight the importance of social channels in the lives of Generation Z and how your business can expand its scope of advertising and marketing; Resultantly, thus exposing your sales activities to a newer user base every time.

Since you acquire new shoppers through these channels, it is equally important you maintain the same level of relationship with every user that interacts with your business. By using the right methods to connect with them, you encourage the shoppers to resonate with your brand, and they are more likely to recommend your products.

Having a social commerce strategy therefore allows you to roll out new audience growth and consistently retain your existing consumers.

3. Increased average order value

It is no secret that millennials are the primary users of social channels. Brands and businesses now understand the dynamics of the millennial market and how they need to cater to them.
Seamless shopping experience, direct checkout, interactive lookbooks, etc. are a great way to convince these users to shop more online.

Also, it increases your average order value (average amount customers are likely to spend in one go) based on the content shared on your audience’s social page, the ease of purchase cycle regardless of the device they use, what their friends and followers are shopping for these days, etc.

The point is, that social media can influence users to spend more, and you can leverage this information to curate better suggestions for your shoppers.

Furthermore, integrating your multichannel management platform with your social channels can help you synthesize the datasets into actionable insights.

4. Higher search engine ranking

It is already proven that social media not only increases traffic to your website but also, leads to direct transactions. How? Better engagement helps you drive relevant content according to the users’ interests, thus motivating them to make frequent purchases.
This further helps you to create link build-up, recommendations, feedback, comments, etc. Such organic actions improve your digital footprint, resulting in maximizing your search engine ranking.

5. Improved customer insights

Social commerce simplifies your efforts to measure and evaluate business insights. Since all these channels come with ready metrics for impressions, engagement, and reach, you can measure them regularly. It helps you group your audiences appropriately, thus, sharing the right content with all of them.

Depending on the objectives and KPIs you set for social commerce, you can formulate an effective plan and determine what is beneficial for your business.

A/B testing your recent initiatives, monitoring your content relevancy and studying your followers and prospects helps you in understanding specific insights.

Social commerce is a trend that is going to get much stronger in the coming years. The Social Commerce Global Market and Trajectory Report projects this trend to grow to $604.5 billion in the next seven years. It is not only going to help you expand your brand presence but also enable you to create winning retail strategies.
So, when the competition grows, ensure that you invest the right amount of money, time, and effort to maximize your chances of success through Social Commerce.

How to Execute a Social Commerce Campaign

A social commerce campaign is important because it helps businesses reach more people and sell more products through social media. It’s where you can showcase your products to a huge audience, engage with customers, and boost sales– all from the comfort of your favorite social media apps.

Without an effective social commerce campaign, businesses might miss out on the opportunity to connect with potential customers and grow their brand online.

To ensure your efforts pay off, here are some best practices for social commerce that can help you execute a successful social commerce campaign:

1. Set clear goals:
   Start by defining your campaign objectives. Are you looking to increase sales, boost brand awareness, or drive website traffic? Having clear goals will help you tailor your campaign strategy accordingly.
2. Know your audience:
   Understand who your target audience is and where they are most active on social media. Use demographic data, insights from past campaigns, and market research to create buyer personas and customize your messaging to resonate with your audience.
3. Pick the right platform: Select the social media platforms that align with your audience demographics and campaign goals. Each platform has its own strengths and features, so choose the ones that best suit your brand and objectives.
4. Create compelling content: Make content that people will love, like eye-catching pictures or funny videos, and make sure it tells them what you’re selling and why they should care.
5. Implement social commerce features: Take advantage of social commerce features offered by platforms like Instagram Shopping, Facebook Shops, and Pinterest Buyable Pins. Make it easy for users to browse and purchase products directly from your social media posts.
6. Leverage influencers: Collaborate with influencers who have a strong presence and influence within your target audience. Partnering with influencers can help increase brand visibility, credibility, and engagement, leading to higher conversion rates.
7. Promote your campaign: Get the word out there with sponsored posts, ads, or giveaways to make sure people see your campaign.
8. Monitor and measure performance: Keep an eye on how your campaign is doing by tracking key performance metrics such as engagement, reach, click-through rates, conversion rates, and return on investment (ROI).
9. Learn and improve: Use what you’ve learned from your campaign to make your next one even better, so you can keep growing your business.

Measuring ROI and Performance in Social Commerce

What numbers should brands be looking at to determine their overall social commerce ROI? Here are some KPIs that can give you a better picture of your online performance:

• Conversion rate: This KPI measures the percentage of people who make a purchase after interacting with your content.
• Click-through rate (CTR): CTR reveals how compelling your ad or post is by measuring the percentage of people who click on it.
• Average order value (AOV): AOV gives you the average amount a customer spends per transaction, showing your revenue potential and opportunities for upselling.
• Engagement rate: This metric indicates strong brand visibility by measuring how much your audience interacts with your content.
• Return on Ad Spend (ROAS): ROAS shows the total revenue generated for every dollar spent on a social ad campaign, helping you determine if your ad budget is profitable.
• Website traffic: This tracks how many visitors are led from social media to your website, with a high amount indicating your social content is successfully driving users to your storefront.

How Anchanto helps you win with Social Commerce

Anchanto makes it super easy for businesses to succeed in social commerce.
Here’s how:

• Multi-channel integration
  Anchanto seamlessly integrates with various social media platforms, allowing businesses to manage their inventory, orders, and fulfillment processes across multiple channels from a single dashboard. This saves time and ensures everything runs smoothly.
• Order management
  With Anchanto, you can process and fulfill orders from social media platforms instantly. We take care of updating your inventory and sending shipping notifications automatically.
• Inventory management
  We help you keep track of how much stock you have left across all your social commerce channels. This prevents running out of products and keeps your operations running smoothly.
• Analytics and insights
  With Anchanto’s analytics, you can see how your social commerce is performing. This helps you understand trends, see what your customers like, and make smart decisions to grow your business.
• Customer support
  Anchanto’s support team is there to help you with anything you need. Whether it’s technical help, training, or advice on strategy, we’re always ready to assist you.

To wrap it up, with Anchanto on its side, businesses can truly unlock the full potential of social commerce and stay ahead of the competition.

Reach out to us today to know more!

FAQs

1. What is Social Commerce?

Social commerce is when you shop for products directly on social media, like Instagram or Facebook, instead of going to a separate website or store.

2. How does Social Commerce Work?

Social commerce leverages social media platforms like Facebook and Instagram to seamlessly integrate shopping experiences, allowing users to discover, browse, and purchase products directly within their social feeds.

3. What are Some Social Commerce Examples?

• Purchasing a pair of shoes directly from a brand’s Instagram Shop.
• Buying handmade crafts from a seller’s Facebook Marketplace listing.
• Discovering and purchasing a new gadget through a sponsored post on TikTok.

4. Why is Social Commerce Important?

Social commerce matters because it lets businesses sell directly on social media, reaching more people and boosting sales right where customers spend their time online.

5. How can small businesses leverage social commerce effectively?

Small businesses can effectively leverage social commerce by building a strong social media presence, utilizing key features like shoppable posts and live streaming to expand their customer reach and boost sales.

6. Which industries benefit most from social commerce?

The industries that stand to benefit from social commerce include beauty and wellness, fashion, food and beverage, home goods, and electronics.

7. What role does influencer marketing play in social commerce?

Influencer marketing helps brands widen their online reach and build trust, providing potential consumers with content that feels personal and less hard sell. This type of content often reads as more authentic, as consumers are more likely to trust suggestions from people they follow over direct ads from the brand itself.

8. How is AI shaping the future of social commerce?

With automation tools like AI-powered chatbots, brands can provide 24/7 customer support and handle large request volumes. AI has also introduced tailored product recommendations, so your marketing content reaches the right customers at the right time, driving higher conversion rates.

References:

[1] – Hootsuit.com – 60 social media statistics marketers need to know in 2025

[2] – Tidio.com – 11 Key Social Commerce Statistics To Know (2025)

[3] – Dhl.com – 2025 SOCIAL COMMERCE TRENDS

[4] – Hellorep.ai – The Future of AI In Ecommerce: 40+ Statistics on Conversational AI Agents For 2025

[5] – Firework.com – 40+ Short Form Video Statistics: The Jaw-Dropping Numbers You Must Know in 2024

[6] – Thesocialcat.com – Influencer marketing report 2025: Why nano and micro-influencers win