DUBLIN, Feb. 16, 2024 /PRNewswire/ — The “Africa & Middle East Social Commerce Market Intelligence and Future Growth Dynamics Databook – 50+ KPIs on Social Commerce Trends by End-Use Sectors, Operational KPIs, Retail Product Dynamics, and Consumer Demographics – Q1 2024 Update” report has been added to ResearchAndMarkets.com’s offering.
Social commerce industry in Africa & Middle East is expected to grow by 34.0% on annual basis to reach US$12.58 billion in 2024.
The social commerce industry is expected to grow steadily over the forecast period, recording a CAGR of 27.6% during 2024-2029. The social commerce GMV in the region will increase from US$9.39 billion in 2023 to reach US$42.54 billion by 2029.
The social commerce market is poised to record strong growth in the Middle East and Africa markets over the medium term. This surge in online commerce, including social buying among young generation shoppers, will aid the industry growth across the region in 2024. In the Middle East, young generation shoppers are also making luxury purchases through social channels.
New players have entered the Middle East market in 2023 and the trend is projected to continue further in 2024. In the African region, too, the industry is experiencing a surge in the competitive landscape. Even B2B e-commerce firms are planning to enter the social commerce market to accelerate revenue growth. Overall, the publisher maintains a positive growth outlook for the industry over the next three to four years.
The rising usage of social media platforms will drive the trend of social buying in the Middle East in 2024
A significant population chunk in the Middle East is using social channels. According to the RetailX Middle East E-Commerce Region 2023 report, nearly 98% of the population uses at least one social media platform in Qatar. The adoption of TikTok, which is making significant strides in the regional market, has also grown substantially over the last 12 months. This is also translating into higher social commerce revenue for TikTok in the GCC region. According to TikTok, 41% of the users have made purchases through the platform in GCC.
According to RetailX, 79% of social media users are looking for brands or things to purchase in the UAE. Furthermore, 59% of the people have stated that they bought products on social channels over the last 12 months. In the Emirates, consumers are even making luxury purchases through social media channels. The publisher expects similar trends to emerge in other regional markets over the medium term. To tap into the growing sector, the publisher also expects social commerce firms to increase their investment in the market over the next three to four years.
B2B e-commerce firms are expanding their footprint in the fast-growing social commerce sector in Africa
An increasing number of small businesses are leveraging social commerce capabilities to drive their sales and revenue growth in Africa. The lack of capital and capacity to open stores and grow their businesses is driving the social commerce market in Africa. Amid the growing market size, even B2B e-commerce firms are expanding their footprint in the sector.
MarketForce, for instance, announced that the firm plans to launch the social commerce platform Chpter in Kenya. This platform will enable merchants to leverage social media conversations to drive sales and revenue growth. With the rising usage of social channels among consumers across age groups, MarketForce is seeking to boost its revenue growth through Chpter in the African market. The firm, notably, ceased B2B e-commerce operations in three of its five African markets. Exiting Nigeria, Rwanda, and Tanzania, the firm is only focusing on Kenya and Uganda.
With a lot of room for growth in the African social commerce market, Chpter can accelerate revenue growth for MarketForce over the medium term. The success in the sector might also lay the foundation for its B2B e-commerce expansion in other African markets over the next three to four years, which is currently facing funding hurdle.
Social commerce platforms have reported strong revenue growth in the United Arab Emirates
Amid the growing trend of social buying in the Emirates, platforms are enjoying a strong growth period in the country, registering significant revenue increases during the first six months of 2023.
SleekFlow, a leading software platform for social commerce in the Asia-Pacific region, reported an impressive fivefold increase in revenue in the UAE during the first half of 2023. Not only has the company done well in the Middle East, but it is projected that around 20% of the new revenue over the next two years will come from the UAE. The significant growth in the UAE is attributed to their strategic collaboration with L’Occitane ME’s Accelerator Program, which is powered by Chalhoub Group’s The Greenhouse. This partnership officially brought SleekFlow’s versatile social commerce platform to the UAE, making a significant impact on the retail scene in the region.
The growth achieved by SleekFlow in the United Arab Emirates market is a testament to the growing market. Going forward, the publisher expects more regional and global platforms to enter the market over the next three to four years.
This report provides a detailed data centric analysis of social commerce industry, covering market opportunities and risks. With over 50+ KPIs at country level, this report provides a comprehensive understanding of social commerce market dynamics, market size and forecast, and market share statistics.
Scope
Country reports in this bundled offering provide in-depth analysis of Social Commerce industry. Below is a summary of key market segments offered at country level:
Ecommerce Industry Market Size and Future Growth Dynamics by Key Performance Indicators, 2020-2029
Social Commerce Industry Market Size and Future Growth Dynamics by Key Performance Indicators, 2020-2029
Social Commerce Industry Market Size and Forecast by Retail Product Categories, 2020-2029
- Clothing & Footwear
- Beauty and Personal Care
- Food & Grocery
- Appliances and Electronics
- Home Improvement
- Travel
- Hospitality
Social Commerce Industry Market Size and Forecast by End Use Consumer Segment, 2020-2029
- B2B
- B2C
- C2C
Social Commerce Industry Market Size and Forecast by End Use Device, 2020-2029
- Mobile
- Desktop
Social Commerce Industry Market Size and Forecast by Location, 2020-2029
- Domestic
- Cross Border
Social Commerce Industry Market Size and Forecast by Location, 2020-2029
- Tier-1 Cities
- Tier-2 Cities
- Tier-3 Cities
Social Commerce Industry Market Size and Forecast by Payment Method, 2020-2029
- Credit Card
- Debit Card
- Bank Transfer
- Prepaid Card
- Digital & Mobile Wallet
- Other Digital Payment
- Cash
Social Commerce Industry Market Size and Forecast by Platforms
- Video Commerce
- Social Network-Led Commerce
- Social Reselling
- Group Buying
- Product Review Platforms
Social Commerce Industry Market Size and Forecast by Consumer Demographics & Behaviour,2023
- By Age
- By Income Level
- By Gender
Companies Mentioned
- YouTube
- Brimore
- Taager Shopping
- Divar Shopping
- Trumpet
- Digikala
- Boards
- Easy Social Shop
- GROO
- KiliShop
- Copia
- Jiji Nigeria
- Sendbox
- reselr.com
- Tajer
- Fordeal
- atonzo
- BabyGroup.co.za
- Trendyol
- TurkSey
- The Luxury Closet
- Zbooni
- SellAnyCar.com
- Floranow
For more information about this report visit https://www.researchandmarkets.com/r/l3yig5
About ResearchAndMarkets.com
ResearchAndMarkets.com is the world’s leading source for international market research reports and market data. We provide you with the latest data on international and regional markets, key industries, the top companies, new products and the latest trends.
Media Contact:
Research and Markets
Laura Wood, Senior Manager
press@researchandmarkets.com
For E.S.T Office Hours Call +1-917-300-0470
For U.S./CAN Toll Free Call +1-800-526-8630
For GMT Office Hours Call +353-1-416-8900
U.S. Fax: 646-607-1907
Fax (outside U.S.): +353-1-481-1716
Logo: https://mma.prnewswire.com/media/539438/Research_and_Markets_Logo.jpg
SOURCE Research and Markets