eCommerce Statistics You Must Watch Out For

There’s no stopping eCommerce. With most stores establishing their digital counterparts, there’s already a shift in consumer behavior. And if you want to venture into this industry, knowing the latest eCommerce statistics could help you formulate the right strategies. We have to tell you. The competition gets rougher and tougher by the minute.

Today, there are around 12 million – 24 million eCommerce websites worldwide. But don’t let the number intimidate you as only a small percentage earn $1000 annually. That means, there’s still a lot of potential. 

Future of eCommerce  

eCommerce accounts for 14.1% of retail sales across the globe. And experts believe it will increase by 22% in 2023. This is not surprising considering that most shoppers purchase through their mobile phones instead of PCs or laptops. Since it is a handheld gadget, shopping became more accessible. 

And according to 99Firms, it is expected that 95% of purchases will be made online in 2040. As early as now, you should prepare for the demand. Otherwise, you will not be able to keep up, and your business might close down.      

Small Businesses and eCommerce 

More than ⅓ of small businesses still do not have their own eCommerce website. But there are platforms and tools that can help you set up one. Take for example, Shopify. You need to put your brand out there if you want to survive in the years to come.  

Shopping Cart Abandonment Rate

Another critical eCommerce statistics is the high shopping cart abandonment rate. On average, 68.8% do not push through with their purchase. As a retailer, you must understand the reason why a potential sale suddenly stops. It could be a high shipping fee and a seemingly unsafe payment gateway, to name a few.   

Take note that 23% of people will abandon their cart if you ask them to create an account before checking out. 

eCommerce Shipping 

Shipping plays an important role in the ecosystem of eCommerce. Most people continue with their online purchase once they see that it is free shipping. Also, 40% back out if the shipping could not make it on their expected date. And 20% will not continue to order if the shipping date is not clearly stated.  

What do these eCommerce statistics mean to you? 

When creating an eCommerce website, it’s more than about the design and layout. You also need to identify and finalize the logistics, including the delivery time of your products. Not doing so can make you lose a lot of potential from your business.  

Consumer Experience and Sales 

Instead of just looking at the Return on Investment, retailers must also look at the Return on Experience or ROX. This can help when scaling a business. Specifically for eCommerce, your ‘storefront’ is your eCommerce website. A poorly designed one can result in a bad consumer experience, which can be translated to a decrease in sales.  

Speaking of experience, 53% of online shoppers leave reviews on Amazon. As most of us know, people base their decision on what others say about the product. The more positive reviews, the better. And with more than 50% of online shoppers willing to provide honest feedback, you must ensure that their experience is seamless.  

Here’s another surprising fact. Around 50% of consumers shared that they will buy a product from a website’s chatbot using conversational marketing. This proves that knowing the language of your market is essential. 

Your eCommerce website’s speed can also contribute to the user experience. If your website loads after 1 second, your bounce rate could increase by 32%.

Subject Matter Expert Reviews  

We’ve already mentioned consumer reviews and how it could affect one’s decision to purchase. However, there are industries where people specifically look for subject matter experts to review the product or services. The top three industries are electronics, financial services, and automotive. 

eCommerce Mode of Payment

Credit card is the preferred mode of payment for most online consumers. This is followed by digital payment systems and debit cards, respectively. With this data, you need to work on your payment gateway and show your customers that it is easy and safe to transact. 

Social Media and eCommerce 

In China alone, 55% of social media app users purchased items through the platforms. This goes to show that having your own eCommerce website isn’t enough. It’s time that you leverage the power of social media. Use its features so that you can directly persuade your visitors to make an online purchase. Proper social media marketing is necessary. This includes limiting your posts to 80 characters or less. 

In addition, 25% of shoppers check social media reviews before they purchase products. That is why you need to boost your marketing efforts on the most dominant platforms.   

Email Marketing for eCommerce 

While most brands allot a significant portion of their budget on social media, you should not forget to work on your email marketing. More than 60% of consumers preferred to be contacted through email. It’s more personalized, and the contents are highly compelling compared to what you can see on social media. 

This form of marketing contributes 20% of traffic to eCommerce sales.

Omnichannel vs. Multichannel 

You might have read that your business should be visible in multiple channels. If you have a Facebook page, then you might need to have an Instagram account as well. That is true, and that’s what you call utilizing multi-channel.

However, 52% of online stores have omnichannel capabilities. This means that you can easily communicate and even track individual consumer behavior across all channels. With this, you can lift data, and at the same time, address their concerns without the need to analyze different algorithms and analytics.  

Conclusion 

As business owners and marketers, knowing these eCommerce statistics can help you shape your business. You can anchor your future marketing plans from these data and get ahead of the competition. And while physical stores will always be there, buffing your eCommerce strategies is one of the surefire ways to expand your operations. 

If you fail to work on a good strategy, you could lose massive potential earnings. In fact, businesses have lost $756 billion due to poor eCommerce personalization. Just think about that.