The rise of social commerce

The rise of social commerce

  • 17.03.2025 16:48
  • zawya.com
  • Keywords: dangerous, success

Social media is increasingly influencing retail decisions in South Africa, with platforms like Instagram, Facebook, and TikTok reshaping how consumers discover and purchase products. Influencer recommendations, personalized promotions, and engaging content are key drivers of these trends, with many South Africans now relying on social commerce for purchases. Brands must adapt to this evolving landscape by integrating digital and social-first strategies to stay relevant.

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Estimated market influence

YouGov Profiles

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Analyst rating: N/A

YouGov Profiles provides valuable consumer insights that help businesses understand their audience and adapt to changing retail habits.

KLA

KLA

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Analyst rating: Buy

KLA's analysis of YouGov data highlights the growing role of social media in retail, aiding brands in staying relevant.

Context

Analysis of Social Commerce's Impact on Retail and Market Dynamics

Key Findings from YouGov Profiles

  • 68% of South Africans scroll social media without a specific goal, making them receptive to product suggestions.
  • 46% trust influencer-endorsed products, highlighting the growing influence of social media personalities.
  • 42% have purchased products directly due to social media promotions.
  • 23% prefer engaging with ads on social media over traditional websites.
  • 56% actively seek visually engaging content to share online.
  • 67% increased their time spent on social platforms, reflecting a shift in consumer behavior.

Market Trends and Business Impact

  • Shift in Retail Dynamics: Social commerce is reshaping the traditional shopping journey by blending retail with social engagement. Brands must adapt to this evolving landscape to remain relevant.
  • Influencer Marketing: With 46% of consumers trusting influencer recommendations, brands are increasingly leveraging influencers to drive credibility and sales.
  • Digital Advertising Preferences: The preference for interactive and immersive digital content (23%) underscores the need for businesses to pivot their advertising strategies toward social platforms.

Competitive Dynamics

  • Platform Competition: Instagram, Facebook, and TikTok are key battlegrounds for brands aiming to capture consumer attention.
  • Engagement-Driven Strategies: Businesses must focus on creating visually engaging and shareable content (56%) to enhance brand visibility and customer trust.

Strategic Considerations

  • Balancing Digital and Traditional Retail: Brands need to integrate seamless, engaging, and aligned strategies that cater to new shopping behaviors while maintaining traditional retail touchpoints.
  • Investing in Influencer Partnerships: Collaborating with influencers can significantly boost product discovery and trust among consumers.

Long-term Effects

  • Evolution of Retail Models: The rise of social commerce is likely to redefine how brands interact with customers, potentially leading to more personalized and interactive shopping experiences.
  • Increased Focus on Visual Content: The demand for visually engaging content (56%) suggests that creativity will play a pivotal role in future marketing strategies.

Regulatory Implications

  • While the text does not explicitly mention regulatory impacts, the growing influence of social commerce may prompt scrutiny on advertising practices, influencer transparency, and data privacy standards.

Conclusion

The rise of social commerce presents both opportunities and challenges for businesses. Brands must adopt digital-first strategies, leverage influencer partnerships, and create engaging content to stay competitive in this evolving retail landscape.