In the landscape of Ecommerce, the way buyers shop and connect with their favorite brands has evolved dramatically. Social Commerce plays a vital role at the intersection of e-commerce and social media. This glossary is your gateway to understand what is social commerce, benefits of social commerce, challenges, key components and future of social commerce.

What is Social Commerce?

Social commerce is a subset of eCommerce that uses social networks.

It is often abbreviated as s-commerce. Social commerce is the fusion of e-commerce and social media. It allows buying & selling products or services directly through social media platforms like Instagram, Facebook, Pinterest, TikTok and others. It is the approach to leverage the power of social engagement, social proof and turning social interactions into sales. Social commerce is exponentially revamping the online shopping landscapes, offering a dynamic and interactive way for consumers through their favorite social media apps.

What are the Types of Social Commerce?

There are majorly 5 types of social commerce that includes:

  • Native social media solutions (Eg. Instagram, Facebook, Pinterest, TikTok)
  • Marketplace sales (Eg. eBay)
  • Shopping List
  • Live shopping event
  • User Curated Shopping

What are the Benefits of Social Commerce?

Many eCommerce marketers wonder if social e-commerce will work for their business. In fact, it offers a myriad of business benefits for your brand. From increasing traffic to sales, to increase customer engagement to social proof. Here are some more benefits of social commerce.

  1. Consistent Audience and Sales Growth
  2. Boost in Social Proof
  3. More Authentic Engagement and traffic
  4. Customer Loyalty and retention
  5. Business Metrics from social

What are the Key Components of Social Commerce?

Social commerce comprises several key components for the success of your business. These key components include:

  1. Social Media Platforms
  2. User Profiles
  3. Reviews & Ratings
  4. Product listings
  5. Social Sharing
  6. Analytics & Insights
  7. Integration with eCommerce Platforms.

These key components work together to create a dynamic & interactive social shopping environment.

How Does Social Commerce Work?

Social commerce is an emerging form of e-commerce that leverages social media platforms and networks to facilitate the buying and selling of products and services. Here’s a breakdown of how social commerce typically works:

  1. Discovery: Social commerce begins with the discovery phase, where users come across products or services through various methods. This can include targeted ads, influencer recommendations, user-generated content, or recommendations from friends and connections.
  2. Product Display: Social media platforms provide businesses with tools to showcase their products or services effectively. Businesses create dedicated store pages or product listings with detailed descriptions, images, videos, and customer reviews. 
  3. Social Engagement: Unlike traditional e-commerce, social commerce encourages user engagement through likes, comments, shares, and reviews. Users can ask questions, seek opinions, or share their experiences with the product or service. This social engagement not only helps users make informed purchasing decisions but also creates a sense of community around the products or services.
  4. Recommendations and Referrals: Social commerce often relies on peer recommendations and referrals. Users can share their positive experiences with products or services, which helps to build trust and influence others to make purchases. Businesses may also leverage influencers and brand ambassadors to promote their products to their followers, further increasing reach and visibility.
  5. Social Proof: Customer reviews and ratings play a significant role in social commerce. Positive feedback and high ratings act as social proof, assuring potential buyers of the quality and reliability of the product or service. This can influence purchase decisions and increase conversion rates.

It’s important to note that the specific features and functionalities of social commerce can vary across different social media platforms and e-commerce ecosystems. Businesses need to understand the platform’s capabilities and user behavior to effectively leverage social commerce for their products or services.

What is the future of Social Commerce?

The future of social commerce is exciting and holds great potential. Here are some key trends and possibilities that could shape the future of social commerce:

  1. Integration of Social Commerce Features: Social media platforms will likely continue to enhance their e-commerce capabilities. We can expect more seamless integration of shopping functionalities directly within the platforms. This could include features like in-app checkout, virtual try-on experiences, and personalized product recommendations based on user preferences and social connections.
  2. Influencer Marketing and User-generated Content: Influencers and user-generated content will continue to play a significant role in social commerce. Brands may increasingly collaborate with influencers to promote their products, leveraging their engaged and loyal audience. User-generated content, such as reviews, photos, and videos, will also remain important for building trust and authenticity.
  3. Social Shopping Communities: The future of social commerce may involve the growth of dedicated social shopping communities, where users with similar interests come together to discover and discuss products. These communities may facilitate peer recommendations, real-time feedback, and personalized shopping experiences, creating a sense of belonging and community around the products or brands.

It’s important to note that the future of social commerce will be shaped by evolving consumer behaviors, advancements in technology, and regulatory considerations. Businesses will need to adapt and stay informed about these trends to effectively navigate and leverage the opportunities that social commerce presents.


In conclusion, social commerce is a rapidly growing form of e-commerce that combines the power of social media and online shopping. It involves leveraging social media platforms to promote, sell, and purchase products and services. With features like product discovery, social engagement, seamless purchasing, and peer recommendations, social commerce offers businesses exciting opportunities to connect with customers, build communities, and drive sales.

As technology continues to advance and consumer behaviors evolve, the future of social commerce holds immense potential for innovative experiences, integration with emerging technologies, and enhanced personalization. Businesses that embrace and adapt to the evolving landscape of social commerce can tap into this growing trend and reap its benefits.