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Foundations

Part of Social commerce in England for 2027 starts by defining the transaction, not the market

Why IDBR cannot show social commerce market size in England

Social commerce market size in England cannot be read from IDBR. See what its business register can show, what it cannot, and what sales evidence is needed.

IDBR cannot show social commerce market size in England: it is a research frame, not a sales measure. Its business counts can help define a population for research, but they cannot establish which businesses sell through social platforms or how much they sell. Keep the register frame separate from evidence of social-commerce sales.

The distinction matters when reviewing a market-size figure in a board paper or funding document: a business population and a measured market are different things.

What IDBR can show about a research frame

The IDBR is a register of VAT- and PAYE-registered businesses used by the ONS as a sampling frame. The UK Statistics Authority’s assessment describes it as holding “a wealth of data on the UK's business population” in its IDBR assessment report.

The ONS publication UK Business Activity, Size and Location counts enterprises and local units by region and industry. That can help frame a population of registered businesses for research. It does not identify which businesses sell through social platforms, how much they sell, or how much of their revenue is attributable to social activity.

An enterprise and a local unit are different units of counting. Choose which one is relevant to the question and state it: a count of local units should not be labelled a count of businesses without explaining the distinction. Nor does a registered business address establish where its customers are or where its orders are delivered.

The IDBR covers the UK, rather than being an England-only register. Regional information may help define a research population, but it does not turn the register into a record of social-commerce buyers or transactions in England.

How IDBR counts differ from sales evidence

Before using a figure, separate the population question from the sales question. These sources answer different things:

SourceWhat it can supportWhat it cannot establish alone
IDBR and ONS business countsA frame of registered businesses, with counts by the categories providedSocial-commerce participation or sales value
ONS internet-sales dataContext about online retail in Great BritainEngland-only social-commerce sales
Merchant commerce recordsSales observed in the records of participating merchantsA national market total without a defensible population and coverage method

Social-sale categories belong to transaction measurement; they do not change what a business register records.

Three social sale definitions

Platform-checkout value

Where order completes
Inside social channel
Evidence source
Transaction records
Overclaim risk
Low
Can be added together?
No

Referred-order value

Where order completes
Merchant site
Evidence source
Analytics records
Overclaim risk
Low
Can be added together?
No

Influenced value

Where order completes
Anywhere
Evidence source
Attribution method
Overclaim risk
High
Can be added together?
No

Use the ONS business counts to describe a frame, not to supply the missing sales variable. If a report presents registered-business numbers next to platform or merchant data, label each as a separate measure rather than implying that the register contains channel-level revenue.

Use the register as a frame, not a multiplier

A register can help researchers define which businesses they intend to investigate. It cannot show that every business in a selected industry or region uses social commerce. To establish that, the research needs to check participation with the businesses or with suitable transaction evidence.

That distinction rules out a tempting shortcut: taking an observed sales figure from a small group of merchants and multiplying it by a count of businesses in the register. The registered businesses have not thereby been shown to sell socially, and the observed merchants may not represent the wider population. A national estimate needs evidence about participation and coverage, not just a large-looking denominator.

ONS internet-sales data provide context for online retail, but they are not a conversion factor for IDBR counts. They cover a different population and measure from an England social-commerce market estimate.

ONS internet sales share

27.4% of retail sales

Great Britain, 2025

Includes Wales and Scotland, excludes NI

No social checkout or referral split

For a research project, record the population definition before collecting merchant responses: the geography, industry categories, business unit and registration coverage. Then record which parts of that population were contacted, which supplied usable evidence, and which may be missing. If participation or sales records are unavailable for a part of the frame, state that limitation rather than filling the gap with an assumed share.

What evidence is needed beyond the IDBR frame

To move from a population frame to an observed merchant finding, obtain sales evidence from the businesses being studied. The evidence needs to show that the relevant orders and values are present in the source records, and that the reporting period and exclusions are clear. A screenshot of a platform dashboard or a headline supplied without its underlying scope does not, by itself, show how the figure relates to the IDBR population.

Keep the frame and the observed merchant records traceable as separate parts of the analysis. A reader should be able to see whether the finding describes only the participating merchants or whether an England-wide estimate is being attempted. For an attempted wider estimate, explain how merchant participation and gaps in coverage were handled; if those adjustments cannot be supported, report the observed sample finding instead.

A merchant-level calculation sequence addresses sales measurement, not the task of identifying businesses in a register. It does not supply the missing population evidence.

Merchant-level calculation steps

  1. Extract order ID, route, date, destination, value, discounts, returns, tax
  2. Deduplicate by order ID
  3. Report gross ordered value and retained value
  4. Keep platform checkout separate from referred website orders
  5. State attribution window and test a shorter one
  6. Divide retained value by eligible completed orders only

For guidance on the separate question of whether a sample can be compared fairly, see the social-commerce benchmark research framework. For transaction records, the measurement and reporting guide provides related context.

Describe what the evidence supports

A market-size claim should make clear whether it is an observed count, an observed sales value for participating merchants, or an estimate intended to represent a wider population. Do not present these as interchangeable. If the evidence only covers a group of respondents, name the result as a sample finding; an IDBR frame does not make it a national figure automatically.

A concise methodology note can make the claim easier to assess. Include:

  • Population:the geography, industry scope and business unit used to define the frame.
  • Register coverage:that the IDBR concerns registered businesses, and any limits this creates for the businesses the study can include.
  • Participation evidence:how the study established whether businesses in scope actually conduct social commerce.
  • Sales evidence:which merchant records support the reported value and what period they cover.
  • Coverage limits:businesses, channels or records not captured, and whether the result is a sample finding or a wider estimate.

Avoid making the ONS business count look like a market value by placing it in a sales chart without a clear label. If no reliable bridge connects the frame to observed social-commerce sales, say so. A bounded finding with an explicit population and evidence trail is more useful than a national total that the underlying records cannot reproduce. Where the evidence supports only participating merchants, publish the merchant total or sample finding as that, not as a total for England.

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