Beijing (PingWest)—Amid the COVID-19 crisis, the global market for Social Commerce estimated at $89.4 Billion in the year 2020, is projected to reach a revised size of $604.5 Billion by 2027, growing at a CAGR of 31.4% over the analysis period 2020-2027, according to ResearchAndMarkets.com's latest report.
The Social Commerce market in the US is estimated at $26.9 Billion in the year 2020. China, the world`s second-largest economy, is forecast to reach a projected market size of $103.3 Billion by the year 2027 trailing a CAGR of 30.5% over the analysis period 2020 to 2027.
In China, social commerce has gone further than in the US. E-commerce giant Alibaba strives to develop its own live streaming services in order to drive the gross merchandise volume. Short video apps, including TikTok's sister app Douyin and Tencent-backed Kuaishou, are also actively promoting e-commerce business on their own platforms. In addition, Tencent also provides online shopping functions on its social software WeChat.
Social commerce sales in China totaled $186.04 billion in 2019, nearly 10 times the number of sales in the US, which reached $19.42 billion last year.
Among the other noteworthy geographic markets are Japan and Canada, each forecast to grow at 28.1% and 27% respectively over the 2020-2027 period. Within Europe, Germany is forecast to grow at approximately 22.1% CAGR.