Is your business ready for the next decade?
At Spaceshop Commerce, we dedicate ourselves to helping our clients navigate the complexities of eCommerce, and we understand that staying up to date with the eCommerce world can be difficult.
We also believe that staying ahead of the trends is essential, which is why we’ve taken the time to provide you with the top 20 eCommerce statistics for 2020.
(P.S. We’ve cited each of our sources below, so if a certain statistic catches your eye, follow the link for more information!)
Top eCommerce Stats for 2020
eCommerce around the globe has been steadily increasing over the past few years, and is not going to stop anytime soon. In 2017, eCommerce sales were responsible for $2.3 trillion worldwide, and it is expected to be nearly doubled by 2021. The projected global sales for 2020 comes out to a predicted $3.9 trillion. (17).
Although the United States has a booming eCommerce world, and our younger generations have been spending more and more on online shopping, we are not the leading country when it comes to eCommerce. (9)
Below are the top 10 countries that are spending money online (in billions):
- China – $656.3
- United States – $500.47
- United Kingdom – $83.83
- Japan – $78.64
- Germany – $68.01
- South Korea – $62.69
- France – $45.54
- India – $29.47
- Canada – $28.63
- Australia – $19.33 (8)
While knowing the countries with the highest eCommerce revenue, it could be intimidating trying to penetrate such an active marketplace. Due to this, Search Laboratory has researched the global marketplaces that are on the rise due to a variety of reasons, such as access to new technology. We’ve provided their infographic below:
Going global no longer requires a company to necessarily have a global presence: many customers across the world are looking outside their country’s borders for products. In fact, over a six month period conducted by Nielsen found that a majority of shoppers purchase from overseas businesses besides North American shoppers. Exact percentages are displayed below:
Nielsen also provided a list of selected categories and countries, and conducted a study for the most active countries and industries, respectively, for each. This is also provided below:
Statisa reports mobile eCommerce, also known as mCommerce, as one of the key figures of eCommerce to look out for in the coming decade, and we couldn’t agree more. Statista also reported the increase of mobile sales from 2015 to a projected 2021, with 2020 hitting about 42.9% of all U.S. retail sales specifically. (17)
Business Insider reported that in 2017, Cyber Monday’s first $2 billion came from mobile shoppers, a third of the total revenue that day. 37.6% of retail visits and 21% of revenue was attributed to smartphones for that day. (6)
Adobe Analytics conducted a study and found that these sizable percentages are not only for large retailers. Small retailers are actually 30% more likely to capture a sale on mobile than large retailers. Adobe also conducted a study to measure the sales from smartphones and tablets, which is shown below:
While mCommerce can result in huge successes for some retailers, it could result in consumers going to a competitor if they’re not happy with their mobile experience. 79% of shoppers were reported to not re-engage with a business whose mobile experience is less than satisfactory. (9)
ReadyCloud reported that 44% of internet retail minutes were spent on mobile, with 11% on tablet and 45% on desktop. Furthermore, ReadyCloud states that a majority of consumers prefer a mobile website over a mobile app, as displayed below:
The world of eCommerce is huge, with hundreds of opportunities to explore in a variety of countries, but a lot of it has to do with Amazon’s success. The online retailer is such a force to be reckoned with that we’ve made a section specifically for it in this list.
Amazon’s reported earnings for the first quarter of the fiscal year reached $59.7 billion, with a net income of $3.6 billion. (7)
Even after finding a product on a competitor’s website, 90% of shoppers will visit Amazon to price check. This happens because 50% of Amazon’s sales come from third-party sellers, and their customer service, competitive prices, and staple 2-day shipping has captured an enormous amount of loyal shoppers. (2)
90% of shoppers will visit Amazon to price check.
Statista predicts Amazon’s market share of the U.S. eCommerce retail market to hit 47% in 2020. (16) To put it in perspective, that is more than Apple (3.8%), eBay (6.1%), Wal-Mart (4.6%), and Wayfair (1.3%) combined. (2)
Amazon’s Fulfilled By Amazon program (or Vendor program for larger brands) has historically given sellers a 30-50% increase in sales. Consumers have grown to be loyal to Amazon due to consistent performance and the convenience of 2-Day Prime shipping, so seeing that something is fulfilled by Amazon allows consumers to put more trust in their purchase. (11)
According to TechRadar, which tracked Amazon’s latest Prime Day sales, “members bought more than 100,000 lunchboxes, 100,000 laptops, 200,000 TVs, 300,000 headphones, 350,000 luxury beauty products, 400,000 pet products, 650,000 household cleaning supplies, and more than 1 million toys.” Prime Day 2020 is expected to exceed these numbers, so getting established on Amazon in preparation is encouraged now more than ever. (20)
Users are much more likely to purchase a product if they understand how it is used and have more detail about it than not. Supporting this information is a statistic by Animoto that states that 73% of shoppers are more likely to purchase a product if a video displaying and discussing the product is readily available. (1)
BigCommerce states that 42% of customers seek out testimonials of products; 69% of shoppers want more reviews on eCommerce sites; and a total of 77% of shoppers will read reviews before purchasing a product. (3)
77% of shoppers will read reviews before purchasing a product.
Smart Insights reports that 80% of shoppers are deterred by inconvenient return policies. (13) Salesforce reports that 74% of shoppers will seek out a competitor if their current checkout process is too cumbersome. (11)
In terms of customer service, more and more people are leaning towards self-serving tools, such as chatbots that offer assistance on a website. Customer service call lines reach an average of 11 minutes until assistance, whereas chatbots can get help for a customer within 45 seconds. This leads us to agree with Business Insider’s prediction of 80% of business utilizing chatbots in 2020. (5)
Personalization and localization have become a trend that has increased within the past few years, and does not show signs of stopping anytime soon. Gartner has reported a 15% increase in a company’s profits once they have utilized personalization, and Accenture found that 75% of customers will buy from a retailer again if the latter knows the customer’s habits and/or purchase history. (4)
This concludes our list of the top eCommerce statistics to look out for and include in your business for 2020. If you need any help with getting a website for your company, getting started on Amazon, or utilizing any of these tips for your 2020 marketing plan, feel free to reach out to our experts at Spaceshop Commerce.