Social Commerce: The Future of Shopping Is Social, Seamless, and Instant

Monday, July 28, 2025

Online shopping is no longer a linear process. Today, consumers discover products in seconds—not via webshops, but through their social media feeds. A tap on a video, a swipe, and a spontaneous impulse buy. Welcome to the world of Social Commerce, where social media, e-commerce, and artificial intelligence merge into a seamless new shopping experience.

Based on the presentation by Prof. Dr. Richard Geibel and Victoria Frings from the E-Commerce Institute Cologne, this article explores the evolution, benefits, and challenges of Social Commerce in 2025 and beyond.

Social Commerce: A New Stage in E-Commerce Evolution

While e-commerce and social media have coexisted for decades, Social Commerce marks their convergence. It’s not just about promoting products on Instagram or TikTok—it’s about enabling direct purchases within the platform itself. Consumers no longer need to leave the app to check out. The product comes to them, exactly where they are digitally active.

Why Social Commerce Is Booming: Motivation and Stakeholder Value

The traditional buying process—with multiple steps from discovery to purchase—was often too complex and time-consuming. Many purchases were abandoned midway. Social Commerce removes those barriers, offering speed and convenience with just a tap.

It also fosters trust: consumers often rely more on recommendations from friends or influencers than on branded advertising. Platforms benefit from higher engagement, brands access new and younger audiences, and influencers can monetize their reach more effectively than ever before.

Social Commerce in Action: TikTok, Snapchat & Amazon Live

Leading platforms are shaping this new landscape:

TikTok Shop: Active in Germany since April 2025. Creators promote products directly in livestreams. Requirements: 1,500+ followers and verified profiles.
Snapchat & Nike: Limited edition sneakers sold out in under 30 minutes—triggered by a scanable link during the All-Star Game.
Instagram & Facebook: Meta allows Amazon purchases without leaving the app.
Amazon Live & Amazon Haul: Live shopping as a response to Chinese discount giants like Temu and Shein.
ABOUT YOU & OTTO: Entertaining livestreams, some even accessible via Apple Vision Pro.

AI & FOMO: Psychological Strategies in Digital Sales

A key element of the new customer journey is the targeted use of psychological triggers. Especially the phenomenon of Fear of Missing Out (FOMO) is used to drive action. Limited-time offers, exclusive access, and real-time notifications create urgency. Combined with AI-based personalization, Social Commerce enables emotionally charged, instant purchase decisions.

But with great power comes great responsibility.

Risks and Regulation: The Ethical Dilemma of Digital Shopping

The rise of Social Commerce raises urgent ethical questions around data privacy, youth protection, transparency, and consumer addiction. Social scoring, cyberbullying, overconsumption, and manipulative design patterns are pressing concerns.

The key question is: What kind of digital world do we want to live in? The answer requires joint consideration from regulators, platforms, and society.

Conclusion: Social Commerce Is Here to Stay—But Needs Guardrails

Social Commerce is more than a trend—it’s the logical evolution of digital buying behavior. The opportunities are vast: new revenue streams, improved customer experience, and innovative models. However, the boom must be accompanied by clear ethical standards and consumer protections to ensure long-term trust and sustainability.

About the Authors

Prof. Dr. Richard C. Geibel is Professor at IU International University and Director of the E-Commerce Institute in Cologne. His research focuses on e-commerce, digital business models, and innovation management.

Victoria Frings is Project Manager at the E-Commerce Institute and Research Associate at IU. Her work explores consumer behavior and digital transformation in retail.