Social Commerce in China and India: Unpacking the Divergent Paths to Growth and Scalability Challenges.

While social commerce has exploded in China, its growth in India has been comparatively sluggish. Social commerce, which integrates social interaction and e-commerce, has become a dominant force in China, but faces significant hurdles in achieving similar scale in India.

In China, social commerce is not just an emerging trend but the primary way consumers discover, engage with, and buy products online. China's social commerce subsector has grown significantly since its emergence around 2015, accounting for 14% of China's online retail sales in 2018 and serving over 300 million shoppers. By 2021, the market had expanded to 2.5 trillion yuan (over $374 billion) with nearly 800 million participants. This success is driven by platforms like Douyin (TikTok's Chinese version) and Xiaohongshu, which have revolutionized consumer engagement and sales. These platforms recorded impressive numbers during shopping festivals, with Douyin alone achieving massive livestreaming durations and significant sales through short videos. The Chinese digital ecosystem, characterized by the integration of social media, digital payments, and mobile technology, has further propelled this growth. The younger generation of Chinese consumers, particularly those born after 1980, 1990, and 2000, are also at the forefront of driving consumption through social commerce.

India, with its large internet user base and increasing smartphone penetration, presents a potentially lucrative market for social commerce. The Indian social commerce market was valued at USD 7.2 billion in 2024 and is projected to reach USD 54.3 billion by 2033, exhibiting a CAGR of 22.40% during 2025-2033. Social commerce in India is driven by the increasing digital adoption and the growing influence of social media on consumer behavior. Platforms like Meesho, Shopsy, and DealShare are key players, alongside larger e-commerce companies such as Amazon and Flipkart. Social commerce is particularly thriving in Tier 2 and 3 cities, where trust in social sellers is higher than in traditional e-commerce websites.

However, despite these promising figures, social commerce in India faces several challenges that hinder its ability to replicate China's success. One significant factor is the difference in platform dominance. In China, WeChat is a "super app" that integrates various functionalities, including social networking, e-commerce, and mobile payments, creating a seamless shopping experience. While India has a large WhatsApp user base, its capabilities for facilitating commerce are limited compared to WeChat.

Another challenge lies in the maturity of the e-commerce ecosystem. China's e-commerce market is more developed, with a higher percentage of overall retail sales occurring online. This has led to greater consumer comfort and familiarity with online shopping, which is not yet as prevalent in India.

Moreover, differences in consumer behavior and trust dynamics play a role. In China, influencer marketing and live streaming are highly effective in driving sales. While influencer marketing is gaining traction in India, it has not yet reached the same level of influence. Building trust and credibility remains crucial for social commerce platforms in India.

Lastly, infrastructural and logistical challenges in India, such as varying internet speeds and logistical complexities, can impede the seamlessness of social commerce transactions.

In conclusion, while social commerce is growing rapidly in India, it still lags behind China due to differences in platform dominance, e-commerce maturity, consumer behavior, and infrastructural challenges. As India continues to address these challenges and adapt social commerce models to its unique market dynamics, it has the potential to unlock significant growth in this sector.


Written By
Isha Nair is a business and political journalist passionate about uncovering stories that shape India’s economic and social future. Her balanced reporting bridges corporate developments with public interest. Isha’s writing blends insight, integrity, and impact, helping readers make sense of changing markets and policies. She believes informed citizens build stronger democracies.
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