The Rise of Social Commerce: How Brands Are Shaping the Future of Online Shopping
The integration of social media and eCommerce has led to the rise of social commerce, a model that allows consumers to make direct purchases within social platforms. What started as basic product links has expanded into a multi-billion-dollar industry, with brands and consumers embracing the convenience of shopping directly within social media environments.
In recent years, social commerce has grown substantially, reflecting a change in how products are discovered and purchased online. The numbers are hard to ignore. TikTok surpassed $10 billion in consumer spending, a testament to its evolving role in shaping buying behavior and its impact on the consumer culture.
But TikTok is not the only platform leading this reformation. Major retailers like Walmart, Target, and Ulta Beauty are investing in social commerce to better connect with customers and increase sales.
As a result, brands are turning to influencers to help bridge this gap. Influencers, once niche players in the digital world, are now essential to the marketing strategy of many brands. Consider that Generation Z consumers are now 117% more likely to shop from influencers, a statistic that highlights the growing power of social media. With product recommendations and creating authentic connections with their audiences, influencers have become key touchpoints in the customer journey.
Walmart’s content creation platform, Walmart Creator, provides digital tools for influencers and creators to produce social media content and earn commissions on sales of Walmart products. The initiative is part of Walmart’s push to strengthen its digital presence and social commerce strategy, which includes a partnership with Roblox to tap into the platform’s large user base.
Similarly, Target is enhancing its social commerce efforts by collaborating with Linktree, a platform that allows creators to curate shoppable product recommendations, enabling influencers to promote Target’s fashion, beauty and home goods while earning commissions on sales. This partnership benefits both parties since influencers earn rewards for their content and Target gains exposure to a highly engaged audience. Target has tapped into influencers with its affiliate program with celebrities like Tabitha Brown and Taylor Swift.
In the beauty industry, Ulta Beauty is advancing its digital engagement strategy amid increased competition. CEO Dave Kimbell highlighted the company’s focus on boosting social relevance through influencer partnerships and content-driven initiatives.
“We’ve disrupted the beauty category for more than 30 years, and we understand how to successfully manage competitive forces,” Kimbell said during the company’s second-quarter earnings call in September. “To accelerate our social relevance and enhance our brand awareness, we have scaled our creator and influencer networks, and we are expanding our culture-forward activations to ensure we are at the heart of the social and cultural conversation for beauty.”
Ulta Beauty saw “meaningful growth, earned media value, and positive social sentiment,” generating over 250 million social impressions, Kimbell added.
Meanwhile, Expedia has introduced shoppable storefronts that allow social media influencers and brands to share travel recommendations via the Expedia app. The new Travel Shops feature makes it easier for users to go from travel inspiration on platforms like Instagram and TikTok to booking travel experiences. Launching initially as an invite-only program, it will be widely available next year.
As social media becomes a central hub for both travel inspiration and financial advice, platforms like TikTok are playing a similar role in shaping how millennials and Gen Z approach financial literacy. Algorithms are driving 79% of these consumers toward curated financial content, making it easier for “finfluencers” to influence decisions. The rise of social media-driven financial guidance, however, also raises concerns about the credibility and risks of misinformation, prompting financial institutions to adapt and offer more personalized, transparent services to regain consumer trust.
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