Latest news with #socialcommerce
Skift
2 days ago
- Business
- Skift
State of Travel 2025: Our 7 Favorite Charts
The future of travel is unfolding now; you just need the right data and insights to see it. Here are our favorite insights from the State of Travel 2025 report. Skift Research is back this summer with its annual State of Travel 2025 report! We present more than 300 charts and insights from every corner from the travel industry: Airlines, hotels, short-term rentals, online travels, experiences, cruises, and car rentals. It's a lot, and you should review them all. But we asked Skift Research analysts to pick their favorite charts – together they represent the most important stories in travel right now. 1: Social Media Bookings Social commerce is a booming opportunity in travel, with Skift Research estimating that social commerce bookings for hotels, airlines, and short-term rentals could be worth a huge $7 billion. Robin Gilbert-Jones in his report Social Commerce in Travel: Opportunities and Consumer Trends writes: 'Social media is no longer just inspiring travel, it's where trips are being researched, priced, and booked. As platforms evolve into powerful sales channels, creators are becoming the new travel agents, short-form video is replacing static ads, and the booking journey is evolving into a low-friction social interaction.' 2: Vacation Rentals – Airbnb's Dominance Our analysis of the vacation rental market shows that Airbnb continues to be the dominant player, with 44% of the global market as of 2024. This analysis is based off our deeper market sizing efforts across hotels and short-term rentals in our report, Global Accommodation Sector Market Estimates 2025. Author Saniya Zanpure writes: 'The global accommodation market, valued at $1.2 trillion in 2024, is projected to reach $1.3 trillion by 2026. Driven by increasing travel demand, the Asia-Pacific region is forecasted to overtake Europe in accommodation revenues by 2026. Despite ongoing geopolitical and regulatory challenges, we anticipate continued moderate growth for the accommodation sector.' 3: The Problem With 'Loyalty' This chart is from our survey based report, European Travel Insights: Unveiling the Top Trends for 2025. Author Varsha Arora writes: 'Our analysis of Loyalty Stickiness, a measure of how consistently travelers engage with brands despite price fluctuations, reveals that many frequent travelers remain flexible, switching brands based on pricing and convenience. These insights provide actionable recommendations for brands to refine their loyalty strategies, focusing on more personalized, flexible, and experience-based rewards to enhance retention and reduce loyalty leakage.' 4: Where Airlines Find High Margins The chart above shows that travelers exhibit stronger loyalty to airlines than they do to hotels. Airlines generally having robust frequent flyer programs that offer valuable incentives, such as free flights, priority boarding, and lounge access. In our recent report, Airline Loyalty: The Financial Powerhouse at the Center of Airline Strategy, author Ashab Rizvi writes: 'Airline loyalty programs have become significant financial powerhouses, with some experts arguing that the value of an airline's loyalty program can even surpass that of the airline itself. This is partly because loyalty programs often demonstrate better growth and higher profit margins compared to the core airline business, while also generating steady cash flows.' Our analysis below shows the high margins of loyalty programs at airlines such as Qantas and IAG. 5: Global Hotel Performance Is Softening The Skift Travel Health Index yields a monthly score that tells us how healthy the global travel industry is. It tracks overall performance across 22 countries and 4 key sectors: airlines, hotels, vacation rentals, and car rentals. It goes beyond tracking simple demand, considering various KPIs, consumer intent, upcoming booking trends, and supply analysis. From our May 2025 Highlights, we can see that though global hotel performance grew mid- to high-single digits in 2024, year-on-year growth has softened into 2025, with May 2025 reporting a slight 2% decline versus May 2024. 6: AI Visibility For Travel Is Surging In our report, AI, Google, and the Shift from Keywords to Context in Travel, Seth Borko notes a dramatic increase in travel's AI visibility (i.e. the frequency with which consumers encounter AI when searching for travel) on Google. In November 2024, less than 3% of flight-related keywords returned an AI Overview. Over the the six months through April 2025, that visibility nearly tripled. Now nearly 9% of flight keywords triggered an AI Overview. Hotels seem to have a lower visibility baseline, but there has still been a similar exponential increase in the frequency of AI Overviews on Google, going from less than 1% of hotel search keywords six months ago to nearly 3% today. He writes: 'While AI Overviews offer faster, more contextual responses, they don't necessarily democratize access for travel companies. Instead, these summaries often favor a handful of major players, reinforcing a winner-takes-all model. And even those that feature prominently may see reduced traffic due to the rise of 'zero-click' behavior, where users read summarized content without clicking links to the original sites. 'For travel marketers, this signals the need for a fundamental change in approach. Long-standing reliance on search engine optimization and marketing strategies are being transformed. Even Google itself is at risk of falling revenue from paid advertising. As traveler behavior shifts toward AI platforms, travel businesses will need to adopt new digital strategies, adjust their content formats, and revise their marketing methods.' 7: New Competition From Banks The entrance of banks and credit card companies into travel has been a key topic in online travel in recent years. With financial institutions launching their own dedicated booking platforms, there has been a disruption of the online distribution landscape with banks now competing directly with online travel agencies and gaining market share. We cover this topic in depth in our report, The Rise of Credit Card Companies in Online Travel. Pranavi Agarwal writes: 'In 2022, at a JPMorgan Chase investor day, executives said, 'We saw an opportunity during the pandemic to own our own destiny in travel.' In a broken and dull travel loyalty ecosystem, new entrants such as banks and credit card companies are rapidly disrupting the distribution landscape: shifting from facilitating other brands' loyalty programs to launching their own competing booking platforms.' Read and download the full State of Travel 2025 report – for free! – for 300+ charts and insights on nearly every corner of the travel industry. What You'll Learn From This Report: 300+ insights defining the state of travel in 2024 Proprietary and third-party data highlighting travel industry performance Consumer insights, sector deep dives, and executive perspectives Regional overviews of travel and tourism performance, based on proprietary Skift Research surveys and data Data-driven insights on the current state of all travel sectors: airlines, hotels, short-term rentals, online travel, traditional travel agents, multi-day tour operators, tours and activities, cruise, and car rental Insights into the economic climate as well as major travel trends including the impact of AI, experiential travel, business travel, luxury travel, and sustainability
Yahoo
3 days ago
- Business
- Yahoo
Pinterest (PINS) Stock Is Up, What You Need To Know
What Happened? Shares of social commerce platform Pinterest (NYSE: PINS) jumped 3.2% in the morning session after an upgrade from analysts at Morgan Stanley, who boosted their rating on the stock to "Overweight" from "Equal Weight." The investment bank also raised its price target on the visual discovery engine's shares to $45 from $37, suggesting a potential upside of about 21% from its previous close. Morgan Stanley's increased optimism is based on the belief that Pinterest's investments in technology, particularly GPU-enabled innovations, are starting to pay off. Analysts at the firm noted that checks within the advertising industry show improved ad efficiency, relevancy, and performance-driven growth on the platform. This has led them to forecast revenue growth of 17-18% for Pinterest in the second half of 2025, which is about 4% above the general consensus on Wall Street. An "Overweight" rating generally means an analyst believes the company's stock will perform better than others in its sector. After the initial pop the shares cooled down to $37.87, up 2% from previous close. Is now the time to buy Pinterest? Access our full analysis report here, it's free. What Is The Market Telling Us Pinterest's shares are quite volatile and have had 17 moves greater than 5% over the last year. In that context, today's move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business. The biggest move we wrote about over the last year was 5 months ago when the stock gained 26% on the news that the company reported fourth-quarter results, which beat analysts' revenue and EBITDA expectations. Its quarterly guidance for both metrics outperformed Wall Street's estimates. The growth was driven by a record-high 553 million global monthly active users (MAUs), up 11%, and a 6% increase in global average revenue per user (ARPU). Overall, we think this was a good quarter with some key metrics above expectations. Following the impressive performance, Bernstein upgraded the stock from Hold to Buy, adding, "It's possible that this quarter was a one-off, though we see enough evidence in execution to believe the pace of progress is sustainable." Pinterest is up 23.8% since the beginning of the year, and at $37.87 per share, it is trading close to its 52-week high of $41.10 from July 2024. Investors who bought $1,000 worth of Pinterest's shares 5 years ago would now be looking at an investment worth $1,472. Unless you've been living under a rock, it should be obvious by now that generative AI is going to have a huge impact on how large corporations do business. While Nvidia and AMD are trading close to all-time highs, we prefer a lesser-known (but still profitable) semiconductor stock benefiting from the rise of AI. Click here to access our free report on our favorite semiconductor growth story. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Forbes
14-07-2025
- Business
- Forbes
AI Is Fueling A $100 Billion Boom In Social Commerce
Social commerce is being driven by platforms like TikTok shopSocial commerce is booming and set to hit over $100 billion in 2026. With social commerce set to account for over 8% of total e-commerce sales, some product areas, such as beauty, now account for over 50% of the global sales. Social commerce is also democratising selling for small business owners, with low barriers to entry and little or no equipment required to start selling, other than a smartphone. Nowhere is this clearer than on TikTok Shop, the fastest-growing online retailer in 2024. According to TikTok, most TikTok Shops are small and medium-sized businesses. However, AI automation, not influencers alone, gives small businesses the edge. AI-driven tools such as automated messaging are quietly becoming the backbone of this social commerce revolution. This piece explores how AI and TikTok are reshaping social commerce, what that means for small businesses wanting to maximise their growth today, and why it matters Shop's unstoppable growth driving social commerce With over 1 billion users worldwide and 15 million active sellers, TikTok Shop has quickly become a force to be reckoned with online. According to TikTok's official figures, US TikTok Shop sales increased by 120% in the last 12 months to June 2025, and UK TikTok shop sales showed triple-digit the end of 2024, TikTok Shop has launched in Spain, Italy, France, Ireland, Germany, Mexico, Brazil, and most recently, Japan. The breadth of the offer has expanded, too, with 70 million products across 750 major driver of TikTok Shop's success is the rise of real-time interaction: LIVE Commerce LIVE selling is the new digital high street Powering the growth of TikTok Shop has been the rise of LIVE streams. These allow sellers to interact with potential buyers in real time, demonstrate how their products work or look, and answer any questions on sizing, fit, and color, just like you would in a physical store with a shop assistant or owner. One of the most compelling and engaging parts of social commerce, LIVE shopping is a fast-growing area worldwide and across platforms. Beauty also continues to dominate in this area, with the products lending themselves to live demonstrations. TikTok's official figures show that the UK live-stream record is held by Cosmetics. The 12-hour LIVE marathon generated $2.2 million in sales with two products selling every second. Live selling offers small businesses an excellent opportunity to launch directly onto social media without a traditional website. P. Louise is the perfect example of how a small business, started by make-up artist-turned-entrepreneur Paige Williams and entirely self-funded, has leveraged the exposure generated by social selling to create one of the UK's fastest-growing companies. Many "born on TikTok Shop" brands that have found success on the platform also find success off the platform. Businesses in the UK, like Made By Mitchell, Glow For It, and Mallows Beauty, have attracted the attention of high-street retailers, who now stock their products on the UK high street in 'Trending on TikTok' the personal touch in social commerce However, while social commerce makes selling more interactive, scale still requires tech support. That's where AI and tools like chat marketing platform Manychat step in. 'For small brands, AI is finally closing the gap between social media engagement and real business outcomes,' states Ido Mart, chief marketing officer of Manychat, via email. AI-powered tools like automated DM responses allow small businesses to have what Mart describes as 'an authentic presence at scale.' These tools allow small businesses to connect and interact with customers in a way that feels tailored and private to that individual customer, without the brand needing to monitor every message at every step. 'We had one creator tell us recently that using Manychat helped her secure over 65,000 leads in a year, which translated into more than $1.5 million in revenue for her business that could be directly attributed to the automations she set up with us,' Mart shares. Without AI, small businesses would struggle to take advantage of the benefits of social selling unless they had the budget for a team to monitor responses. With AI, monitoring only the reactions that need human interaction is possible, while automating the vast the social commerce AI pitfalls While tools like DM automation can unlock scale and growth for small businesses, 'small retailers often hesitate to adopt AI in DMs, fearing loss of control or authenticity,' according to Mart. The solution? Don't be afraid to start slowly and introduce just the level of automation that feels comfortable for you. 'AI doesn't have to be all or nothing. With the right system, you set levels of automation that match the context. You can automate routine replies and stay involved where it counts,' explains Mart. He also highlights an essential factor in automation—that it's not just about what is said; it's about the context and whether or not it feels relevant to the audience. 'Automation doesn't erase your presence. The audience still hears your voice, shaped by your choices. The tone, timing, and content are still yours.' The key here is designing automation that reflects your brand to help deliver conversations that feel human 'without having to be in every one.'Same goals, new tools Whether it's a TikTok LIVE or an automated DM conversation, the goal for e-commerce businesses is the same as it's always been - driving connection and conversation. TikTok Shop, social commerce, and AI-powered automation tools are giving small businesses what they've lacked for some time—the potential for expanded reach and the tools to enable them to handle larger volumes of customers. These tools allow them to unlock what Mart calls 'the real benefits of AI: infinite scale, clear traceability, constant iteration, and smart segmentation.' To compete in tomorrow's retail landscape, small businesses must master the social commerce tools already reshaping today's feeds.
Globe and Mail
07-07-2025
- Business
- Globe and Mail
Does META's Growing Social Commerce Footprint Make the Stock a Buy?
Meta Platforms META has been taking initiatives to boost its presence in the social commerce domain, which is a subset of e-commerce, and essentially means using social media platforms to promote and sell products or services. META offers a social commerce experience to its users through Facebook, Instagram, and WhatsApp. According to Shopify, which cited Statista data, 89% of social media marketers prefer Facebook to drive social commerce sales, while one-third of social commerce buyers prefer to buy through Facebook. Instagram, on the other hand, is used by roughly 26% of the global population over the age of 13. Shopping tags and shop tab helps users discover products and purchase them over the Instagram platform. For WhatsApp, META has introduced AI tools that help businesses on WhatsApp assist their customers and help them discover new products. Integrated AI helps businesses on WhatsApp create ads on Facebook and Instagram more easily. Meta Verified on Instagram, Facebook and WhatsApp is a popular initiative under which the company offers four subscription plans to help businesses build credibility. All plans include the verified badge, account support and impersonation protection. This boosts consumer trust and attracts new businesses to the platforms. In first-quarter 2025, WhatsApp Business Platform, as well as Meta Verified subscriptions, contributed to deliver 34% year-over-year growth in Family of Apps other revenues, reaching $510 million. META's Latest Offerings to Attract Marketers The company recently announced features to the Ads Manager that enable businesses to manage their marketing strategy across WhatsApp, Facebook and Instagram. Businesses can now upload their subscriber list and either manually select marketing messages as an additional placement or use Advantage+. META's AI system will then optimize budgets across placements to maximize performance. Ads Manager will help businesses in creating ads in Status once the feature is available. Meta Platforms is planning to introduce Business AI that can make personalized product recommendations and facilitate sales on any business' website. Over a WhatsApp chat, the Business AI can also follow up with customers to answer questions and provide updates. Moreover, Meta Platforms plans to launch calling and voice options for large businesses that use the WhatsApp Business Platform, thereby strengthening the relationship between businesses and customers. In June, Meta Platforms introduced channel subscriptions, promoted channels and ads in WhatsApp's Status tab in Updates, which is currently used by 1.5 billion people per day globally. This is expected to further attract advertisers, thereby driving META's ad revenues, which accounted for 98% of total revenues in the first quarter of 2025. Meta Platforms' focus on integrating AI into its platforms — Facebook, WhatsApp, Instagram, Messenger and Threads — is driving user engagement to boost ad revenues. AI is heavily dependent on data, of which META has a trove, driven by its more than 3.43 billion daily users. Meta AI usage continues to increase, with roughly one billion monthly users globally. The company's initiative to add updates that will help Meta AI deliver more personalized and relevant responses is expected to boost engagement. META Outperforms Sector, Peers META's shares have appreciated 22.8% year to date (YTD), outperforming the broader Zacks Computer & Technology sector, as well as its advertising peers, including Alphabet GOOGL, Amazon AMZN and Snap SNAP. Meta Platforms, Alphabet and Amazon are expected to absorb roughly 50% of the projected global ad spending by 2028. Shares of Alphabet and Snap have dropped 5.2% and 14%, respectively, on a YTD basis. The broader sector and Amazon have climbed 8.2% and 1.8%, respectively, over the same timeframe. META Stock's Performance META shares are trading above the 50-day and 200-day moving averages, indicating a bullish trend. META's Estimate Revision Shows Upward Movement The Zacks Consensus Estimate for second-quarter 2025 earnings is pegged at $5.73 per share, up by a penny over the past 30 days, indicating a 11.05% year-over-year increase. The consensus mark for 2025 earnings is pegged at $25.31 per share, up 0.6% over the past 30 days, indicating a 6.08% increase over 2024's reported figure. META Shares are Overvalued META shares are overvalued as suggested by the Value Score of D. In terms of the forward 12-month Price/Sales (P/S), META is trading at 9.11X, a premium compared with the broader sector's 6.65X. Meta Platforms shares are trading at a premium compared to Alphabet, Amazon and Snap. In terms of the forward 12-month P/S, Alphabet shares are trading at 6.32X, while Amazon is trading at 3.25X and Snap at 2.52X. P/S Ratio (F12M) Here's Why You Should Hold META Stock Right Now Meta Platforms is spending heavily on expanding AI infrastructure. For 2025, capital expenditure is expected to be between $64 billion and $72 billion, driven by META's Gen AI initiatives and core business. Operating expenses are expected in the $114-$119 billion range, with headcount expected to increase within infrastructure, monetization, Reality Labs, Generative AI, regulations and compliance. Regulatory concerns in the United States and Europe, along with tariffs and premium valuation, make the stock a risky bet. Although these investments bode well for the company's longer-term prospects, we believe the lack of monetization of new platforms, such as Threads and Meta AI, is a concern. Meta Platforms plans to focus on scaling and deepening engagements for Meta AI over the next few years. Ad revenues are expected to suffer from uncertainty related to higher tariffs and challenging macroeconomic conditions. META currently has a Zacks Rank #3 (Hold), which implies that investors should wait for a more favorable point to accumulate the stock. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Only $1 to See All Zacks' Buys and Sells We're not kidding. Several years ago, we shocked our members by offering them 30-day access to all our picks for the total sum of only $1. No obligation to spend another cent. Thousands have taken advantage of this opportunity. Thousands did not - they thought there must be a catch. Yes, we do have a reason. We want you to get acquainted with our portfolio services like Surprise Trader, Stocks Under $10, Technology Innovators, and more, that closed 256 positions with double- and triple-digit gains in 2024 alone. See Stocks Now >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Alphabet Inc. (GOOGL): Free Stock Analysis Report Snap Inc. (SNAP): Free Stock Analysis Report Meta Platforms, Inc. (META): Free Stock Analysis Report This article originally published on Zacks Investment Research (
Arabian Business
01-07-2025
- Business
- Arabian Business
UAE shoppers to favour social media over traditional e-commerce by 2030: Report
Social media is rapidly overtaking traditional e-commerce platforms in the UAE, with nearly all consumers (96 per cent) expecting to make most of their online purchases through platforms like TikTok, Instagram, and Facebook by 2030, according to DHL's newly released E-Commerce Trends Report 2025. The global report, based on a survey of 24,000 online shoppers across 24 markets, including the UAE, highlights a major transformation in how digital consumers discover, evaluate, and purchase products. Social commerce dominates UAE shopping In the Emirates, 86 per cent of consumers say they have already made a purchase via social media, and 93 per cent report that viral trends and social buzz influence their buying decisions. Facebook and Instagram lead the trend locally, with 69 per cent and 68 per cent of respondents, respectively, stating they have completed purchases through those platforms. The findings suggest that brands operating in the UAE must prioritise mobile-first, in-app shopping experiences tailored for the region's digitally engaged population. The report also points to the growing role of artificial intelligence in online retail. AI-powered tools, such as virtual try-ons, voice-enabled product search, and intelligent shopping assistants, are increasingly in demand. In the UAE, 89 per cent of shoppers say they want these technologies to guide their decisions, and 59 per cent already shop via voice commands. Sustainability is another decisive factor. According to the report, 82 per cent of consumers in the UAE consider environmental impact when shopping online, and 42 per cent say they have abandoned their carts due to sustainability concerns. Additionally, 68 per cent express willingness to participate in recycling or buy-back programs offered by retailers. Logistics and delivery remain key to converting browsing into purchases. DHL's research shows that 84 per cent of UAE consumers will abandon their purchase if their preferred delivery option is unavailable, while 85 per cent will do the same if the returns process doesn't meet expectations. Trust is also critical, with 67 per cent of respondents saying they would not buy from a retailer if they don't trust the delivery and returns provider. 'Our E-Commerce Trends Report underscores how UAE shoppers are becoming far more discerning as they increasingly rely on devices to make purchases,' said Samer Kaissi, CEO of Gulf Cluster and UAE Country Manager at DHL Global Forwarding Middle East and Africa. 'To succeed in today's competitive e-commerce market, online retailers need to understand how they can attract a diverse mix of shoppers and turn these browsers into repeat buyers. The rise of the environmentally conscious shopper also marks a transformational shift in buying behaviour – one that retailers should not take lightly,' he added.
