$3.7 Trillion Video Commerce Market Analysis, Trends and Forecast up to 2029: Growing Integration of AR and VR, Mobile 5G Subscriptions, Role of AI, Rising Trend of Interactive Videos - ResearchAndMarkets.com

Barchart · 10/15 09:08

The "Global Video Commerce Market: Analysis By Product Category (Apparels, Personal & Beauty Care, Accessories, Home Product, Health, Food & Beverages, and Others), By Region Size and Trends and Forecast up to 2029" report has been added to ResearchAndMarkets.com's offering.

The global video commerce market was valued at US$695.01 billion in 2023. The market value is expected to reach US$3.70 trillion by 2029. The market is expected to grow at a CAGR of approx. 32% during the forecasted period of 2024-2029.

The global video commerce market is concentrated. Broadly, there are three categories of Video Commerce players: social media platforms, e-commerce platforms and dedicated technology providers. Platforms like Facebook, Instagram, TikTok and YouTube all support Video Commerce capabilities. The main advantage of broadcasting a show on a social media platform is that traffic is considerably higher than on a native brand.com site.

The growth of the video commerce market is underpinned by young adults (Gen Z and younger cohorts), which generally favor new technologies, have more confidence in social platforms and online transactions, and use their smartphones to a far greater extent than older generations. On the other hand, video e-commerce is rapidly growing, with big e-commerce brands like Amazon, Pinduoduo, Alibaba, and JD.com taking advantage of this marketing strategy to dominate the e-commerce market. Video commerce has essentially become part of daily life in China, where more than two-third of consumers said that they bought products from a video commerce broadcast in 2022.

Asia Pacifc held the highest share of the market. In China, live commerce has transformed the retail industry and established itself as a major sales channel in less than five years. China's video commerce leadership is also manifested in much higher e-commerce penetration rates. Many of the major e-commerce platforms in China, such as Alibaba's Taobao and JD.com, have integrated video commerce into their platforms. The video commerce market has also been flourishing in India as the number of video commerce consumers are increasing in India over the years.

In North America, the video commerce market is still in its infancy. But in the coming years, the market is expected to grow significantly. In the US, the penetration rate of video commerce is increasing in the past few years owing to the rise of smartphones, improved technology (e.g., logistics and supply chain management), convenience, and better and more convenient payment options.

The apparel segment held the highest share in the market, whereas personal & beauty care is expected to be the fastest-growing segment in the forecasted period. Apparel is a highly visual product, and video commerce provides a way for customers to see how the product looks and fits a real person, which can be more informative and engaging than just seeing a photo.

On the other hand, video commerce can be used to provide personalized recommendations for products based on a customer's skin type, hair type, or other characteristics. This can help to create a more personalized shopping experience and increase customer loyalty. Thus, owing to these benefits, video commerce in the personal and beauty care segment is expected to grow significantly in the coming years.

Competitive Landscape:

Some of the strategies among key players in the market are new launch, mergers, acquisitions, and collaborations. TikTok has launched TikTok Shop in the US, which enables in-app purchases. TikTok did this in collaboration with TalkShopLive, which provides the underlying tech and supports the streams. TikTok Shop also announced a partnership recently with Bambuser in the US. On the other hand, in April 2023, Firework announced that the company has been named a BigCommerce Technology Partner, providing tens of thousands of BigCommerce merchants access to Firework's full suite of video commerce capabilities - including short-form, shoppable video and livestream shopping.

Whereas, in June, 2024, Channelize.io announced an update to the company's video commerce capabilities: effortless Playlists Management and Floating Video Playlist Layout. Effortless Playlists Management update introduces effortless Playlists Management within the Channelize.io Dashboard. The Dashboard now has a new Playlists option in the side navigation.

Key Attributes:

Report Attribute Details
No. of Pages 138
Forecast Period 2024 - 2029
Estimated Market Value (USD) in 2024 $0.92 Trillion
Forecasted Market Value (USD) by 2029 $3.7 Trillion
Compound Annual Growth Rate 32.0%
Regions Covered Global

Market Dynamics

Growth Drivers

  • Increasing Video Commerce Penetration in E-Commerce
  • Escalating Social Commerce Market
  • Increasing Number of Internet Users
  • Increased Adoption of Video Commerce Technology by the Fashion Industry
  • Surging Gen Z and Millennial Population
  • Advantages of Video Commerce Over Other Form of Commerce

Challenges

  • Lack of Awareness
  • Regulatory Challenge
  • Slower-Than-Expected Technology Adoption

Market Trends

  • Growing Integration of AR and VR in Video Commerce
  • Increase in Mobile 5G Subscriptions
  • Increasing Trend of Short-Form Videos
  • Escalating Role of AI
  • Rising Trend of Interactive Videos
  • Personalization
  • Rapid Growth of Live Video Streaming

Global Market Analysis

  • Global Video Commerce Market: An Analysis
  • Global Video Commerce Market: An Overview
  • Global Video Commerce Market by Value
  • Global Video Commerce Market by Product Category (Apparel, Personal & Beauty Care, Accessories, Home Products, Health, Food & Beverages, and Others)
  • Global Video Commerce Market by Region (Asia Pacific, North America, Europe, and Rest of the World)
  • Global Video Commerce Market: Product Category Analysis
  • Global Video Commerce Market by Product Category: An Overview
  • Global Apparel Video Commerce Market by Value
  • Global Personal & Beauty Care Video Commerce Market by Value
  • Global Accessories Video Commerce Market by Value
  • Global Home Products Video Commerce Market by Value
  • Global Health Video Commerce Market by Value
  • Global Food & Beverages Video Commerce Market by Value
  • Global Others Video Commerce Market by Value

Companies Featured

  • Alibaba Group (Taobao)
  • Shopify Inc.
  • Amazon.com, Inc. (Amazon Live)
  • Alphabet Inc. (Youtube)
  • Wayfair Inc.
  • Bambuser
  • Channelize.io
  • Firework
  • LiSA
  • BuyWith
  • ShopShops
  • LiveScale

For more information about this report visit https://www.researchandmarkets.com/r/eo4s4f

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