Even with limited capital, it’s easy to set up a business nowadays thanks to ecommerce growth. With consumers increasingly relying on online shopping — it is estimated that 95% of purchases will be made online by 2040 — ecommerce is opening the doors of opportunity to countless entrepreneurs.
And, those ecommerce sales opportunities are rapidly growing. In 2017, ecommerce was responsible for $2.3 trillion in sales, which is expected to nearly double to $4.5 trillion by 2021. In the U.S. alone, online shopping already accounts for 10% of retail sales and is expected to grow at a year-on-year rate of 15%.
Knowing key ecommerce statistics and facts, from demographics and shopping behavior, to shopping cart abandonment and trends, will provide you with a deeper understanding of what’s going on in ecommerce now — and where it’s headed.
Digging into Ecommerce Demographics
Millennials and Gen Xers are the biggest online shoppers, with 67% of millennials and 56% of Gen Xers preferring to shop online versus in a brick-and-mortar store. Part of the reason you see these two segments of the population spending more money online is that they spend more time shopping online. Millennials and Gen Xers spend 50% more time shopping online than their older counterparts: 6 hours versus 4 hours.
Though women are stereotypically pinned as shoppers, when it comes to online shopping, men dominate the stats, spending 28% more than women shopping online.
Breaking Down Ecommerce Shopping Behavior
The statistics about ecommerce shopping behaviors are incredibly revealing: 43% of online shoppers have reported making purchases while in bed, 23% at the office, and 20% from the bathroom or while in the car.
It turns out that alcohol boosts sales for ecommerce businesses, with 10% of customers reporting that they made purchase drunk. Men ended up being more than twice as likely to make purchases under such conditions, with 14% reporting to have done so, while only 6% of woman reported doing so.
Given the role that booze plays in making online purchases, it should be no surprise to find out that 42% of online shoppers have made a purchase that they regretted, and 21% have accidentally bought something they didn’t want.
Though 48% of online shoppers have overspent or bought something unplanned while shopping online, the purchase path is not straight: 85% of customers start a purchase on one device and finish it on another.
Ecommerce Market Share: US vs Global Trends
Though the United States is often thought of as the largest market for ecommerce, it isn’t. However, it does make the list of the top 10 largest ecommerce markets in the world:
China: $672 billion
USA: $340 billion
United Kingdom: $99 billion
Japan: $79 billion
Germany: $73 billion
France: $43 billion
South Korea: $37 billion
Canada: $30 billion
Russia: $20 billion
Brazil: $19 billion
Nielsen’s Global Connected Commerce report provides a detailed breakdown of the most lucrative industries by country, with South Korea taking the cake in fashion (77%) and beauty products (66%), as well as non-food household groceries (52%), packaged grocery food (51%) and fresh groceries (37%).
However, when it comes to books, stationery, and music purchases, Japan leads the charge at 79%. Spain tops the charts for travel with 67%, and Brazil takes the highest spot on the podium with consumer electronics at 57%.
As more global markets are developed, the US’s share of ecommerce market sales is steadily decreasing. From a global share of 20.2% in 2015, the US is expected to be down to 16.9% by 2020. On the other hand, there is a rise in B2B ecommerce global sales in Eastern markets.
The ecommerce marketplace is also bolstering globalism with 57% of online shoppers having made a purchase from an overseas retailer. The preferred payment method used by these shoppers varies around the world. Globally, credit cards are the preferred method of payment, being used in 53% of transactions, followed by digital payment systems (43%) and debit cards (38%). However, digital payment systems are the most preferred method in China and Western Europe, while cas