Philippines Social Commerce Market

Philippines Social Commerce Market Overview:

The Philippines social commerce market is projected to exhibit a growth rate (CAGR) of 16.60% during  ​2024-2032​. The increasing internet penetration, rising smartphone usage, expanding e-commerce platforms, growing digital payment adoption, social media engagement, and the convergence of online shopping with social networking platforms are some of the factors contributing to the market expansion.

Philippines Social Commerce Market Trends:

Rising Internet penetration

The country has been witnessing a steady increase in internet users, primarily fueled by improved infrastructure, the affordability of smartphones, and the availability of affordable internet data plans. As more people gain access to the internet, they are exploring online shopping opportunities, with social commerce emerging as a convenient avenue for purchasing products and services. For instance, the Philippines had 86.98 million internet users, accounting for 73.6 percent of the total population by January 2024. The trend of high smartphone usage is especially notable among the younger demographic, who are digitally adept and prefer interacting with brands via social media. With their inclination toward mobile browsing and online shopping, younger users are a significant contributor to the expansion of the social commerce platforms market.

Widespread adoption of smartphones

The country boasts a high smartphone penetration rate, with a significant portion of the population relying on their mobile devices for internet access and various digital activities. With the increasing affordability of smartphones and the availability of budget-friendly models, more Filipinos are empowered to browse social media platforms and make purchases directly through their mobile devices. According to the results of the Women and ICT (Information Communications Technology) Development Index (WIDI) survey, 84.9 percent of women respondents in households used smartphones in 2022. This increasing mobile penetration, prompting social commerce platforms to optimize their interfaces for mobile users, offering seamless shopping experiences tailored to the preferences and behaviors of users is providing an impetus to the market growth.

Convergence of online shopping with social networking platforms

Based on the Digital 2023 report on the Philippines, there were 84.45 million social media users in the Philippines in January 2023. Social media sites like Facebook, Instagram, and Twitter are emerging as powerful e-commerce platforms where companies can display their goods, engage with clients, and complete transactions. These sites have developed beyond being simple communication tools. Moreover, these platforms are leveraging features such as shoppable posts, in-app checkout options, and influencer marketing to create immersive shopping experiences that blur the lines between social interaction and online commerce, which is creating a positive outlook for market expansion. With Filipinos spending a significant amount of time on social media, businesses are capitalizing on this trend by establishing a strong presence on these platforms and tapping into the vast potential of social commerce, thus contributing to the market growth. 

Philippines Social Commerce Market News:

• In August 2023, Temu entered Southeast Asia, challenging Shopee, Lazada & TikTok Shop. Its quiet launch in the Philippines in August 2023 signifies the beginning of Temu's anticipated entry into the region.
   

Philippines Social Commerce Market Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the country level for ​2024-2032​. Our report has categorized the market based on business model, device type, and product type.

Business Model Insights:

• Business to Consumer (B2C)
• Business to Business (B2B)
• Consumer to Consumer (C2C)
   

The report has provided a detailed breakup and analysis of the market based on the business model. This includes business to consumer (B2C), business to business (B2B), and consumer to consumer (C2C).

Device Type Insights:

• Laptops and PCs
• Mobiles
   

A detailed breakup and analysis of the market based on the device type have also been provided in the report. This includes laptops and PCs and mobiles.

Product Type Insights:

• Personal and Beauty Care
• Apparel
• Accessories
• Home Products
• Health Supplements
• Food and Beverages
• Others
   

The report has provided a detailed breakup and analysis of the market based on the product type. This includes personal and beauty care, apparel, accessories, home products, health supplements, food and beverages, and others.

Regional Insights:

• Luzon
• Visayas
• Mindanao
   

The report has also provided a comprehensive analysis of all the major regional markets, which include Luzon, Visayas, and Mindanao.  

Competitive Landscape:

The market research report has also provided a comprehensive analysis of the competitive landscape. Competitive analysis such as market structure, key player positioning, top winning strategies, competitive dashboard, and company evaluation quadrant has been covered in the report. Also, detailed profiles of all major companies have been provided.

Philippines Social Commerce Market Report Coverage:

Key Questions Answered in This Report:

• How has the Philippines social commerce market performed so far and how will it perform in the coming years?
• What has been the impact of COVID-19 on the Philippines social commerce market?
• What is the breakup of the Philippines social commerce market on the basis of business model?
• What is the breakup of the Philippines social commerce market on the basis of device type?
• What is the breakup of the Philippines social commerce market on the basis of product type?
• What are the various stages in the value chain of the Philippines social commerce market? 
• What are the key driving factors and challenges in the Philippines social commerce?
• What is the structure of the Philippines social commerce market and who are the key players?
• What is the degree of competition in the Philippines social commerce market? 

Key Benefits for Stakeholders:

• IMARC’s industry report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the Philippines social commerce market from 2018-2032.
• The research report provides the latest information on the market drivers, challenges, and opportunities in the Philippines social commerce market.
• Porter's five forces analysis assist stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the Philippines social commerce industry and its attractiveness.
• Competitive landscape allows stakeholders to understand their competitive environment and provides an insight into the current positions of key players in the market.