Millennials on top in social commerce growth spurt

Brand owners are being urged to rethink their social commerce strategies on the back of a new analysis which shows TikTok is not the exclusive domain of Gen Z consumers, with Millennials now outshopping their younger counterparts across TikTok, Instagram and Facebook.

That is according to a survey of over 1,000 UK shoppers by the Retail Technology Show, which reveals that, on average, Millennials made 21 purchases on TikTok in the past 12 months compared to the 20 items bought by Gen Zers.

Compared to Gen Z consumers, Millennials also made more purchases across Facebook (20 vs 14) and Instagram (19 vs 18), making them the fastest growing demographic for social commerce, with the number of purchases made by Millennials across TikTok, Instagram and Facebook rising +36% year-on-year.

However, while Millennials lead the way on spending on TikTok, Insta and Facebook, Gen Z just outstrip them on the number of purchases made on Roblox (13, up from nine last year – a +44% increase, against 12 made by Millennials).

With social commerce growth in the UK predicted to more than double in the next four years, rising to almost £16bn by 2028, according to Retail Economics, overall, across all UK consumer age ranges, TikTok dominates as the top social channel for making purchases.

The Retail Technology Show research shows that the average shopper bought 11 times in the past 12 months on TikTok, up +37.5% from eight purchases last year, followed by Instagram and Facebook (ten purchases each).

As more and more brands embrace TikTok, including Currys and Nivea, TikTok is also investing in helping retailers grow revenues. Launched in July 2023, its £1Million Club claims to help new merchants grow to £1m in revenue on the platform through a series of incentives and support.

Retail Technology Show event director Matt Bradley said: “The rise and rise of the social media channel has been well-charted, and it shows no signs of stopping. As shoppers’ seemingly insatiable appetite for content-led commerce continues to grow, this has given rise to a new cohort of ‘TikTok made me buy it’ consumers, an increasing valuable shopper segment that retailers want to tap into.”

“However, with mass adoption and a wider demographic of consumers outside of just Gen Z now driving this growth, retailers will need to adapt how they engage and retain social shoppers, requiring data-led decision making in order to optimise targeting and engagement.”