social commerce: tips for selling on social media

Andy Stofferis • Dec 18, 2024 • 12 min read

What is social commerce? What are the benefits for businesses selling on social media? Find out in this article, plus read our top tips on getting started.

Social Commerce businesswoman using live video interaction with customers on camera device, vlogging and selling make up products

Today over 5 billion people use social media globally. By 2028, this number is set to exceed 6 billion. Given this explosive growth in social media use, social media platforms have been increasingly enabling social commerce (also referred to as ‘selling on social’) to enable users to buy products and services directly through social media apps and platforms.

The social commerce market was valued at over $492 billion dollars in 2021, and is expected to grow significantly. By 2026, it could reach $2.9 trillion dollars. Some of the drivers of this accelerating growth is the widespread use of smart phones, improvements in social media shopping features, and increasing number of people using social media.

Given this large business opportunity for marketing and sales, social commerce is now an essential component of digital marketing. Businesses and entrepreneurs can leverage social media networks to advertise their products and services, engage with customers in real-time, and create a seamless shopping experience using new shopping integration features and interactive digital experiences.

Below we look at the definition of social commerce, the benefits of social commerce for businesses, and 8 tips and best practices to help businesses succeed at selling on social media. Social commerce expert, Julian Poole who is Head of Digital at Sweep in Estonia, shares his insights, vast experience, and tips about how to sell on social media in the article below.

What is social commerce and selling on social?

Social commerce is a type of e-commerce that uses social media networks to assist with buying and selling goods and services.

Estonia-based social commerce expert, Julian Poole, defines it as being about “creating a direct, seamless shopping experience within social platforms, rather than directing users to an external site".

Selling on social media has rapidly become a critical aspect of digital marketing for most companies. Julian explains that:

“Social commerce is not only an important part of digital marketing; for many brands, it’s become essential. As audiences spend more time on social platforms, brands have realised this is the new form of TV and if you’re not present and engaging you’re not relevant to your target audience.”

Originally from Australia, but more recently residing in The Netherlands and Estonia, Julian has been involved in social commerce since the early days, back when platforms like YouTube and Facebook were just starting to get big. He’s spent the last 20 years working with global brands like Booking.com, Starbucks, and Marley Spoon, helping them navigate and leverage social channels for both engagement and revenue growth. Poole has also partnered with a range of international clients in diverse sectors, from trading and gold to fashion and telecommunications, and shares key insights about this new and growing marketing sector.

‘Selling on social’ is gaining in popularity as it helps brands and businesses increase their sales. It does this by allowing social network and social media users to discover new products and services, and to buy directly through these social media apps and websites. For example, on Instagram, users can browse and purchase via shops that are integrated within the Instagram platform.

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E-⁠Residency is a great option for location-independent professionals looking for a tax-competitive, administratively simple business environment. It also opens doors to many social commerce opportunities. As Estonia is part of the EU, e-⁠Residency provides digital access to the world’s largest trading bloc (the EU market), as well as a thriving startup and business ecosystem.

Social commerce is distinct from traditional e-commerce, or at the very least, is a sub-category of it. E-commerce typically involves buying products and services via websites and online shopping apps like Amazon.

An accountant's checklist to starting an e-commerce business

Xolo offers this checklist to help e-commerce entrepreneurs streamline operations, manage finances effectively, and build a strong, sustainable business strategy

Social commerce by comparison embeds the shopping experience within social media apps and platforms like Facebook and Instagram. That means that users can browse the platform, discover brands, engage with brands, and shop directly within the platform.

There are several different types of social commerce that brands can enable users to shop their products and services via social media platforms and apps:

Social media marketplaces: users can view and purchase products directly via the social media site (e.g. Facebook marketplace).
Social media posts with shoppable links: users can create posts containing shoppable links that direct customers to shoppable storefronts within the social media apps or network.
Influencer marketing on social media (with affiliate links): Influencers promote products with affiliate links to websites or platforms where people can purchase those products.
Social media ads with product purchase links: Companies can pay for ads to promote their posts containing product purchase links.
Social commerce communities: Users can create communities or groups about brands or categories of products. For example, this could be a Facebook group or subreddit where users share their thoughts, feedback, reviews, and experiences.
User generated content (UGC): social media users create positive content and stories about their experience with specific products and brands.
Peer-to-peer selling: Sites like Etsy and Ebay allow people to sell products online to each other.

China and the USA comprise some of the largest markets globally for social commerce. The most prominent selling platforms include WeChat, Douyin, Facebook, Instagram, TikTok, Pinterest, and Snapchat.

Many social media sites like these have native social commerce features built-in, enabling users to shop online within each platform. Facebook, for example, has over 3 billion active monthly users, and built-in social commerce tools so that businesses can create customised shopfronts. It also offers features and integrations in select countries with other online shopping platforms so that businesses can create shoppable posts and ads.

The power of selling through social media platforms has grown rapidly over the last few years. It has created opportunities for businesses and entrepreneurs to connect and engage with customers and boost revenue. Below are some of the many benefits of social commerce.

1. Increase brand visibility and reach

Social media sites enable businesses to connect and engage with a broader audience and reach new customers online, providing increased brand visibility. Poole explains that “social media is the new TV or shopping centre where audiences are spending their time. It’s so much easier to reach and engage audiences on these platforms than traditional marketing methods.”

Every social media post, story, reel and live event has the potential to help you connect with potential customers and then engage with them through likes, shares, comments and DMs. Users who like your products and brand can then help to amplify your content and reach by creating user-generated content (UGC) and sharing your products with friends and followers.

2. Enhance customer engagement

According to social commerce expert, Julian Poole, one of the most critical benefits of social commerce is enhanced customer engagement.

“It’s about meeting people where they already are. When done right, it doesn’t feel like shopping; it feels like an organic part of the user’s social experience.”

Social commerce also gives users the opportunity to engage with brands and businesses in real-time, and to ask questions and have their comments addressed by customer services. This can help build brand loyalty and reputation.

3. Improve search engine optimization (SEO)

By having a strong and engaged social media presence, businesses can indirectly enhance the search engine optimization (SEO) of their websites. That’s because social media sites may drive additional traffic to a businesses' website, encourage backlinks, and help build brand awareness.

4. Customer insights

Many social media platforms have their own native analytics dashboards so that businesses glean insights about customer behaviour and preferences. For example, you can ascertain which product images get the most engagement, what the demographics are of your audience, and what type of posts are most popular or result in the most conversions.

Data insights help businesses optimise their social media content and profiles so that they can enhance marketing and sales. Poole says social commerce allows you to “capture deeper demographic and psychographic insights about your existing and potential audiences.”

One of the most powerful aspects of selling on social is the ability for customers to leave reviews and comments on your page or through tagging your business in social media posts about your brand. Indeed, many consumers want to see reviews before they trust a brand enough to buy their product.

Poole says that “social commerce allows brands to communicate directly with customers, answer their questions, showcase real-life product usage, and encourage community-driven content like reviews or unboxing videos. This level of engagement isn’t just transactional; it builds loyalty, strengthens customer relationships, and offers genuine social proof—all of which are powerful in driving repeat purchases.”

6. Create a seamless shopping experience

Social media platforms that enable shoppers to buy products and services directly via the platform allow for a seamless and frictionless shopping experience. This has been created through features like in-app checkouts and product tagging in social media posts that link to a shoppable storefront.

7. Cost-effective marketing

Selling on social media can be more affordable than traditional marketing and e-commerce. This is because you can reach a large number of prospective customers through organic posts without necessarily having to spend huge amounts on advertising.

Poole explains that with social commerce it is “very easy to set up and test the waters, measure everything and see if it's right for you and your business.”

Outside of testing the waters of social commerce, Julian Poole is a surfing enthusiast

8. Collaborate with influencers

Social commerce provides brands the opportunity to collaborate with digital influencers who can help promote products and services to their audiences. If the influencers have a loyal and engaged following, this strategy can often help brands to reach new audiences and sell products directly from social media and without spending vast amounts on advertising.

9. Cultivate a sense of community and build customer loyalty

Brands can leverage social networks to build a sense of community and customer loyalty and trust. By sharing engaging and authentic content, brands can establish themselves online. Plus, they'll gain a swathe of committed followers who help to promote their products to others, while also being repeat customers themselves.

Below are 8 tips and best practices to help any business succeed in selling on social media.

To succeed in creating a trusted and loyal following of engaged followers and brand ambassadors, it’s important for brands to remember to be social.

After all, it is 'social' media!

While it’s tempting to only focus on creating and sharing content, remember to also engage with your followers. Respond to comments, questions, and DMs. Share their content, and tag people and other brands in your posts.

2. Request reviews

Make it easy for shoppers to leave a review on your social media pages. These reviews can be powerful tools to help build credibility and trust.

Your business can then display reviews on your product pages, share quotes from positive reviews as posts on social media, and can even incentivise people to leave reviews by offering discounts.

3. Collaborate with influencers

Partnerships with influencers can help your brand attract and engage with a new audience. Before diving in though, consider the following:

choose influencer partnerships carefully and strategically to ensure your values are aligned; and

provide trackable links or affiliate links for them to use so you can measure the impact of the partnership.

8 tips for social commerce infographic with image of businesswoman selling makeup by vlogging on social media

4. Encourage user-generated content (UGC)

Finding ways to encourage and incentivise your fans and followers to share how they experience your products and services can help build credibility and trust for your brand. Shoppers often look for feedback and opinions of other shoppers to shape their decision-making on what to buy.

According to Poole:

“UGC adds a layer of authenticity that no brand-generated content can match. Encourage customers to share photos, reviews, or videos using your products. This not only builds trust but also provides fresh content for your own social channels.”

A key way to add social proof to your content is to highlight positive feedback and reviews that you receive by sharing them on your feed and engaging with positive comments.

5. Use shoppable posts and stories

Many social media platforms enable shoppable tags as a useful feature for brands to use in their posts. Create visually engaging and captivating content with embedded shoppable links. This will make it easier for people to view and buy your brand's products online.

Poole says that “shoppable posts are a game-changer for reducing friction in the customer journey. Cater to impulse buys by letting users tap to buy directly from a story or post. This will make the entire process more seamless.”

6. Use video content

Video is one of the most popular content formats online and on social media platforms. Research shows that customers want to see more videos from brands.

From product demos, reviews, and informational sessions, videos can be a powerful tool for encouraging sales on social media sites. According to Hubspot, “67% of marketers say sharing marketing videos on social media (YouTube, Instagram, TikTok) has the biggest ROI.”

It’s important to always stay aware of the latest social media trends and social commerce trends.

One social commerce trend that could help increase sales is to livestream events. Use them to showcase your products and services and engage with prospective buyers in real-time. Try limited-time special offers as a way of rewarding people for attending, and could increase attendance at future events.

8. Review analytics and insights

Use analytics to make data-informed decisions about what types of content works best to optimise sales on social. By studying your analytics data you can then adjust your social commerce strategies. This way, you’ll continually improve the performance of your posts, campaigns, and engagement.

When it comes to measuring return on investment (ROI) of social commerce, tracking key performance indicators (KPIs) is important. Julian Poole explains:

“Establishing measurable goals and a scoreboard from the start is essential to justifying ROI and ensuring your social commerce efforts are effective. By setting specific KPIs, you can continuously optimise and adjust your strategy to maximise returns and adapt to changing audience behaviour.”

Some of the quantitative analytics data you might want to track includes engagement rates, click through rates (CTR), conversion rates, and customer acquisition costs. Use customer feedback, reviews, and comments to analyse how you're doing on a qualitative basis.

While selling on social media may not be an overnight solution, Poole says that:

“Consistent, authentic social selling can significantly differentiate a brand, especially in crowded markets where traditional advertising feels impersonal or invasive.”

Companies are quickly realising the many competitive advantages that social commerce offers. Poole explains that social commerce allows brands to “reach and engage customers in a way that feels personal and immediate.

To succeed at social commerce, businesses need to create purposeful social commerce strategies that leverage the tactics mentioned above to create a seamless, enjoyable, and engaging social commerce shopping experience.

Estonian e-⁠Residency can help companies reach their social commerce goals in various ways, including through access to the world’s largest single market, and by connecting entrepreneurs with a bustling business ecosystem and a global network.

This article was written by guest contributor and seasoned digital nomad Andy Stofferis (www.andysto.com).

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