The eCommerce and eCommerce marketing landscape is highly dynamic. What was relevant yesterday might already be outdated today. To stay successful and keep up with market evolution, it's essential to monitor global trends that indicate the direction to move in. Consider the trends outlined in our article to enhance your development strategy.
15 top Ecommerce statistics from Shopify
If you're running an online store, it's crucial to stay in the loop about the ecommerce industry to maximize your income. Here are the top stats from around the world so you can sell better in 2024.
- China continues to lead in global ecommerce sales according to the International Trade Association, accounting for more than 50% of all retail sales worldwide, with total online sales just over the $3 trillion mark in 2022.
- After China and the US, the third-largest ecommerce market is the United Kingdom, taking up 4.8% of the retail ecommerce sales share. The UK is followed by Japan (3%) and South Korea (2.5%).
- The UK is forecast to do more than $143.8 billion in ecommerce sales in 2023 (Statista).
- Latin America (including Peru, Brazil, Argentina, Chile, Colombia, and Mexico) saw $104 billion in ecommerce sales in 2022, up 22.4% from $85 billion in 2021.
- The Singapore ecommerce market is one of the top 5 fastest growing countries in the world, with a 25.5% growth in sales in 2022 (Insider Intelligence).
- The US ecommerce market is forecasted to reach more than $940.9 billion in 2023, a little over a third of China’s total (Statista).
- Recent studies show that around 218.8 million US consumers will shop online in 2023 (Insider Intelligence).
- Over 50% of consumers shop online for free delivery, followed by coupons and discounts at 38.7%. (Data Reportal).
- Recent reports state that the average shopping cart abandonment rate is 70.19% (Baymard Institute).
- 28% of US shoppers use mobile phones while in a physical store to look up discounts, compare pieces, and read product reviews (PYMNTS).
- 30% of consumers report that influencer recommendations guide online purchases, compared to only 27% for recommendations from friends or family (HubSpot).
- As of May 2023, the average conversion rate across ecommerce sites was 2.02%, a 0.2 percent point increase from the previous month (IRP Commerce).
- B2C online marketplace sales (Think Amazon and eBay) in the US are expected to reach $2.1 trillion by 2024 (Research and Markets).
- The gap between ecommerce growth and retail growth in 2022 was nearly nonexistent, just two-tenths of a percentage point (Insider Intelligence).
- There were 41.8 million online shoppers between 25 and 34 years old in 2022, with millennials as the largest group amongst digital buyers (Insider Intelligence).
The primary eCommerce trends, according to the Shopify team's research
We've briefly outlined each trend so you can draw your conclusions on how to leverage them for the growth of your online business.
- Global inflation impact
Inflation now tops the list of worries for 40% of global consumers, surpassing concerns about poverty, social inequality, unemployment, and the coronavirus. Even renowned global brands like Olaplex are feeling the squeeze, as CEO JuE Wong discusses the impact on net sales despite a 38.6% increase in Q2 2022. For those venturing into cross-border ecommerce, understanding and adapting to inflation's influence on customer decisions is crucial. Research the inflation rates of your target countries and consider adjusting your pricing strategy accordingly.
- New marketing channels: trends & impact
Recent years have seen exciting advancements in advertising, introducing new marketing channels. Social commerce, marked by features like Facebook, Instagram, and TikTok shopping, has gained prominence. Live shopping, an extension of social commerce popularized in China, is rising, with the market expected to reach $4.92 billion in 2023.
Connected TV advertising, found on platforms like Hulu, Roku, and YouTube, is another emerging channel. Customer perceptions of these ads are akin to traditional TV, but streaming service ads are favored. Hoka, an athletic footwear company, experienced a 68% increase in ecommerce website visitors and social media followers with a globally connected TV ad campaign. Also, make sure to consider new marketing tools to boost your sales in 2024.
In our previous article, you can also explore the trends in web design, as it's a significant and influential part of marketing
- Surge in mobile shopping
The pandemic reshaped global ecommerce, with a lasting impact on consumer habits. Mobile commerce (m-commerce) is gaining momentum, driven by advancements like branded apps, 5G, and social shopping. In 2022, Shopify merchants saw 69% of online sales from mobile during BFCM.
As smartphone and tablet usage continues to rise, online retail expands. Predictions indicate that mobile commerce will constitute 42.9% of ecommerce sales by 2024. Social commerce, a subset of mobile shopping, is expected to triple by 2025, particularly in China where 84% of consumers shop on social platforms. Brace for more branded apps, SMS/Facebook Messenger campaigns, and social commerce content on platforms like TikTok and Instagram.
- Booming sales in China and APAC
According to Insider Intelligence and eMarketer, Southeast Asian countries dominated the list of fastest-growing ecommerce markets in 2022. The top performers include:
- Philippines (24.1%)
- India (22.3%)
- Indonesia (20%)
- Malaysia (18%)
- Thailand (16%)
The Philippines and India are projected to hold the top two spots until 2026. In 2023, digital buyers in India are expected to contribute over $21 billion to ecommerce spending, while Indonesia's spending is set to rise by more than $16 billion.
- Slowly Stabilizing the Supply Chain
The pandemic, described by Wharton professor Morris Cohen as a seismic disruption to supply chains, prompted a shift in focus toward building resilience. The traditional features of supply chain management—globalization, low-cost supply, and minimal inventory—were challenged.
COVID-19 revealed an increasing frequency of severe supply chain disruptions. Levi Strauss faced a 19% revenue decrease in Europe in 2022, and McKinsey reports major disruptions to manufacturing occurring every 3.7 years, on average. Normalization is expected by 2023 at the earliest, but the pandemic exposed vulnerabilities to future political instability, natural disasters, and regulatory changes.
Experts suggest that supply chain issues may become the new normal, with global crises affecting manufacturing. Brands like Volkswagen adjusted delivery targets in 2023 due to ongoing supply chain challenges. Rebecca Heilweil, a supply chain reporter, emphasizes the susceptibility of the system to future problems.
- Creating localized content for global shoppers
According to PayPal, 57% of customers shop internationally, with nearly two in five making international purchases in the last three months. A study by Flow.io found that over two-thirds of English-speaking shoppers wouldn't buy from a non-English site, while in Japanese and South Korean markets, this reluctance increased to 41% and 36%, respectively.
Using the local language on your site, beyond relying on Google Translate, is crucial for global sales success. It enhances the customer experience from the first impression to checkout. Flow.io's report highlights the importance of having product descriptions (67%), product reviews (63%), and the checkout process (63%) in the shopper's language. Localization doesn't have to be all-or-nothing; it's about creating a tailored experience.
If you need more detailed information on the overall e-commerce trends in 2024, check out our previous article
Summary
We hope our article has provided insights for crafting your online business development strategy in 2024. If you require technical assistance in advancing your project, submit a request on our website. Our specialist will reach out to provide you with a comprehensive consultation on collaborating with us.
