As we cautiously ease out of pandemic practices, consumers are heading back into brick-and-mortar stores and outlets and resuming some of their “normal” shopping habits. E-commerce transactions, which understandably skyrocketed during the crisis, have fallen again.
According to the International Monetary Fund, the increase in e-commerce transactions is reversing across some economies more than others. Online spending rose from 10.3% in 2019 to 14.9% at the pandemic’s peak, but it fell sharply to 12.2% in 2021. Lower demand, increased interest, and rising inflation rates have pushed away the appeal of online shopping. People are feeling the pinch and are reserving their funds for the fourth quarter when the holidays will bring new spending pressure.
However, this drop isn’t the whole story, and as hybrid shopping routines emerge from the wreckage, e-commerce vendors can learn how to tap into social media trends and breathe new life into e-commerce sales.
How Can Social Media Address the E-Commerce Slowdown?
The value of social commerce sales is predicted to keep growing exponentially over the next several years. In 2022, these sales are predicted to reach $992 billion and grow to $2.9 trillion by 2026.
Companies that use a social media platform for selling products will be in a better position than those that rely on traditional channels alone. For example, consider the common trends of influencer lists and product hauls. Entrusting your brand message to a social media personality is an important strategy for converting younger generations to buy online — more specifically, buying from your business instead of others.