Facebook leads surging 'social commerce' market: Survey

Facebookis leading the fast-growingmarketof "socialcommerce" that is expected to be worth some $36 billion in the United States this year, a research firm said Wednesday.

A report bymarkettracker eMarketer estimated some 56 million US residents would be making at least one purchase onFacebookthis year, giving thesocialmedia giant a 22.3 per cent share.

Another 32 million people will have bought something onFacebook-owned Instagram, giving it a 12.9 per cent share, according to eMarketer's forecast ofsocialcommerce.

The number three player is Pinterest, with a forecasted 13.9 million buyers, or 5.6 per cent of themarket, the report said.

According to eMarketer, USsocialcommercesales will rise by 35.8 per cent to $36.62 billion this year, a slip deceleration from the pandemic-fueled 39 per cent growth pace in 2020.

Overall, some 90 million Americans will be usingsocialcommerce, which could reach around five per cent of US retail sales by 2024, according to the group.

It excludes travel and event tickets, tips and gifts, money transfers, gambling and food services.

Despite the strong growth, the United States lags behind China, which has been a leader insocialcommerceand is expected to have some 424 million people making purchases on its platforms such as WeChat this year.

"US marketers can look to China as a roadmap forsocialcommerce's development, as many of the trends that will drive its growth, like livestream shopping, originated in China," said eMarketer senior analyst Jasmine Enberg.

"Keep in mind, however, that it's not an apples-to-apples comparison," she added.

"Thesocialand e-commercelandscapes in the US are far more fragmented than those in China, and consumer behavior and attitudes toward digital shopping,socialmedia consumption, online privacy and payments are different as well."