How Social Commerce on TikTok and Instagram Is Changing Retail in Australia

Learn how TikTok and Instagram are putting the social into retail.

The Rise of Social Media Commerce in Australia

Social commerce in Australian retail is becoming well embedded as a legitimate and profitable way to blend shopping and social media into a seamless (and quite addictive) customer experience.

Traditional ecommerce isn’t going away anytime soon, but more and more people are spending time on popular platforms TikTok and Instagram, making them the perfect opportunities for retailers to capitalise on.

Retailers have been using these platforms as a branding tool; now they’re seeing the benefits of driving serious conversions through them.

How Consumers Shop Through Social Media

Forget window shopping—social media is the new lens where we discover all things new and trending. From what we wear to what we eat, clever algorithms are serving us a myriad of digital delights. A product going viral on TikTok can sell out in just a few hours, thanks to its hyper-focused consumer targeting abilities.

Instagram’s integrated shopping experiences featured in its feed, stories, reels and via dedicated Instagram stores is a retailer’s goldmine. Instagram shopping in Australia is thriving because of its ability to mimic natural behaviour: tapping through Stories, watching Reels, and being served up shoppable posts at an almost sub-conscious level.

What’s the key takeaway here? Basically, it’s convenience that’s being served up. People are already comfortable using these platforms, and are consuming hours of content daily. What we have here is a captive audience, ready and primed to purchase.

The Role of Influencers in Driving Sales

Influencers are adding value to the brands they’re representing by adding social proof to the customer experience. Whether it’s a TikTok creator styling outfits or a skincare influencer showing results over time, trust is the number one currency. These aren’t just ads; they’re recommendations from people you feel like you know.

Some retailers are even building entire campaigns around influencer-led content, with affiliate links and exclusive discount codes integrated directly into posts. The result? Immediate, trackable ROI. Personalities are building the trust currency that is translating into real sales.

Creating a Winning Social Commerce Strategy

To stand out, retailers need more than just a famous person and product placement. A great TikTok ecommerce strategy isn’t just about trends; it’s about understanding what drives action.

Shoppable Posts and Live Shopping Events

Instagram has gone from being a peer to peer image sharing tool to a driving force in the way individuals plan and fulfil their shopping journey.

Instagram shopping in Australia is being shaped by brands that create immersive experiences with every scroll. Product tags, pricing, and purchase buttons are integrated into aesthetically pleasing content that doesn’t interrupt the feed. It comes across as genuine rather than overly salesy.

Live shopping events are also gaining traction. They bring the energy of an in-store event to a virtual space, allowing viewers to ask questions in real-time, get exclusive deals, and see products in action. These events have proven especially powerful for fashion, beauty, and tech retailers, where virtual interaction is just as impactful as being there in person to experience the excitement of the event.

Engagement-Driven Marketing Tactics

Passive content has gone the way of the dodo – it’s dead. Interactive retail content is where the buzz is at.. Polls, quizzes, countdown stickers, and AR try-ons are both fun as they are important conversion drivers.

To drive conversion, the experience must feel organic. This means creating engaging social media retail experiences that treat followers like a community of like-minded individuals, not just an audience of followers.

It’s about sparking conversations, encouraging user-generated content, and rewarding interaction. Hashtags, challenges, and comments sections have become touchpoints for brand connection. If your followers are talking, sharing, and tagging their mates, you’re doing it right.

Best Practices for Selling on TikTok and Instagram

While there isn’t a set formula that can be copied to guarantee results, some tactics work better than others. TikTok and Instagram each have their own vibe and appeal, so your content needs to feel native to the platform while still aligned with your brand.

Using Short-Form Video Content for Conversions

Short-form video is the engine behind successful social commerce in Australia. It’s entertaining, quick to consume, and surprisingly persuasive. From unboxings to tutorials and teasers, these bite-sized videos capture attention and often lead to impulse buys.

TikTok retail trends in Australia are favouring raw, relatable content over polished ads. The more “real” it feels, the better it performs. The key is to get the attention of individuals who think and feel “just like you”. Think behind-the-scenes moments, product hacks, or genuine customer reactions over overblown productions that while impressive, can disconnect viewers.

Leveraging AI-Powered Social Ads

AI has gone from being a buzzword to becoming a staple in modern marketing. Leveraging AI-powered social ads allows for ultra-targeted campaigns that adjust in real-time based on engagement, demographics, and even time of day.

For example, a retailer might run one version of a TikTok ad during the morning commute and another during evening downtime, each tailored to what users are most receptive to at those times.

AI also helps personalise Instagram shopping experiences, with smarter product recommendations that increase the likelihood of conversion. AI tools are powerful sales converters that take a lot of the guesswork out of the social ads process. 

Australian Retailers Successfully Using Social Commerce

So many Aussie brands have embraced social commerce and are seeing the rewards in their digital conversions and sales. New businesses are being built daily and thriving, thanks to the lower point of entry compared to a pure bricks and mortar business. It’s the reason why social selling Australian retailers are fast capturing a greater market share within their industries.

Fashion retailers are leaning hard into TikTok ecommerce strategy, with behind-the-scenes content, trend-based videos, and styling tips that push their collections into the spotlight. People watching this type of content find it instantly relatable. Beauty brands are using Instagram retail innovation to launch products through AR filters and influencer takeovers.

Then there are local lifestyle and homewares brands killing it with engaging social media retail strategies—creating content that inspires, educates, and converts all in one.

The great thing about social commerce Australian 2025 success is that it’s now an equal paying field, thanks to the availability and ease of use across these social commerce platforms. The DIY ethos of social commerce marketing is a welcomed alternative to the long, drawn out and often expensive advertising campaigns that ad agencies would offer. Small businesses are not only active but are thriving, thanks to clever content and community engagement.

Platforms like TikTok and Instagram have evolved from content sharing into serious retail contenders, making it easier for users to move from discovery to purchase in just a few taps. And let’s be honest: no one wants to be redirected to another app or site anymore, when they can do it all through their favourite platform.

The way people shop is changing, and TikTok and Instagram are leading the charge in Australia. For retailers, the opportunity is massive. But it’s not just about being online—it’s about showing up in the right way, with the right content, at the right time.

Retail Fest is the place to keep up with what’s next. Join the community, get inspired by industry leaders, and discover how to turn social scrolls into sales. See you there!