Social commerce: from impulse buyers to loyal customers

Key summary

Social commerce lets people buy directly on social media platforms. It’s growing fast and helps brands turn impulse buyers into loyal customers, especially when combined with subscription models that deliver convenience and recurring value. But success depends on smooth logistics, relevant offers and clear communication.

Have you ever bought something through a video on social media? With social commerce on platforms like Instagram, TikTok and Pinterest, consumers are increasingly shopping without leaving the app. Social commerce has been reshaping online retail for years by boosting loyalty, increasing engagement and creating smoother buying experiences. Several brands are already seeing success. So how do you turn impulse buyers into loyal customers?

The European social commerce market is expected to grow at a compound annual growth rate of 26% between 2024 and 2030. This growth is driven by the rise of influencer marketing and live shopping events. Global brands like IKEA and Zara are already leveraging this trend to increase both sales and engagement through social media.

Still, it is important to keep the impact in perspective. Social commerce remains relatively small, accounting for less than 1% of all e-commerce sales in Europe. However, it is widely accepted that a significant portion of purchases is influenced by social media.

What makes social commerce so challenging?

Despite its potential, many brands struggle to unlock the full value of social commerce. One major challenge is platform dependency. Algorithms shift constantly, making visibility and engagement unpredictable.

Then there is the competition. Standing out with unique content is tough. Logistics can also be a hurdle. Orders are not always processed smoothly. Some influencers, for example, fail to meet customer expectations as they transition from content creators to retailers.

But the biggest challenge is the loyalty paradox. How do you turn impulse buyers into repeat customers? Subscription models can help, but they come with risks.

How can subscriptions strengthen your social commerce strategy?

Subscriptions offer predictability, recurring revenue and, when done right, build loyalty and community. But they can also backfire. Irrelevance, complexity or lack of transparency can drive customers away. In practice, we see conversion drop when onboarding is not seamless or benefits are unclear.

A great moment to introduce a subscription is right after a successful first purchase. Think of a repeat service for personal care products or a seasonal campaign for summer sports or holiday items.

5 common Subscription Models 

• Replenishment subscriptions: Deliver essential products on a fixed schedule, such as razors or skincare.

  
  

  Strength: Convenience

  Pitfall: Irrelevance or forgotten updates

  Personal note: These are my favorite because they make life easier.

  
  

• Curation subscriptions: Surprise boxes with personalized items, such as fashion, cosmetics or lifestyle products.

  
  

  Strength: Discovery

  Pitfall: Mismatch or predictability

  
  

• VIP subscriptions: Exclusive perks like early access or discounts, such as Amazon Prime or Bol Select.

  
  

  Strength: Flexibility

  Pitfall: Operational complexity

  
  

• Product-as-a-Service: Customers pay for use instead of ownership, such as eyewear plans or fitness equipment with maintenance.

  
  

  Strength: Flexibility

  Pitfall: Operational complexity

  Observation: Younger consumers love this model because they own less but access more.

  
  

• Access subscriptions: Customers pay for content or experiences, such as Netflix or MasterClass.

  
  

  Strength: Entertainment or enrichment

  Pitfall: Content fatigue

  
  

How do you get customers to subscribe?

Success starts with relevance, simplicity and clear communication. Timing is everything. Align your offer with a recognizable customer moment and create urgency or interaction. For example:

• Offer a repeat service right after a first purchase, such as razors

• Launch seasonal subscriptions around key events

• Provide exclusive early bird deals for loyal fans

  
  

Social Commerce and Subscriptions: A Powerful Combination

Social commerce is about bringing products directly to consumers. But without a strategy, engagement fades quickly. Subscriptions create continuity and deepen relationships through tutorials, reviews and personalized content. The data from subscriptions also helps refine your offering over time.

Subscriptions are not a silver bullet, but they are a powerful building block for brands looking to make social commerce sustainable.

Curious about upgrading your social commerce? Reach out to

Cazijn Langeler

Managing Director Retail

cazijn.langeler@igh.com 

+31610545518