2020 Has Reshaped Ecommerce—Here’s How
November 19, 2020
It’s difficult to overstate how much the covid-19 pandemic has changed our day-to-day lives. From work to recreation, our habits have shifted. These shifts have had a major impact on the economy. The pandemic has also affected where people are able to go and how they shop, which has resulted in some shocking growth in ecommerce this year. Here’s what to know.
BigCommerce, an ecommerce platform, has highlighted some of these changes on their blog. They observed that at the beginning of the pandemic, initial stay-at-home orders prompted a lot of bulk purchases and online shopping. People were also panic-buying things like groceries and disinfectant because it appealed to a psychological need for control of an uncertain situation.
But overall, younger generations like Gen Z and Millennials were cutting back their spending while making sure to stock up on essentials. On the other hand, Gen X and Baby Boomers were less inclined to cut their spending. Despite those factors, ecommerce thrived because fewer shoppers were visiting local brick-and-mortar stores. As uncertainty about the virus raged, the demand for things like online grocery shopping and delivery soared.
Common Thread Co., which has been tracking these trends, reported that ecommerce accounted for 16.1% of all retail revenue in Q2 2020, up from 11.8% in Q1. When accounting for only core retail sales, ecommerce accounted for 26.4% of all retail sales, which represents a year-over-year growth of 44.5%.
With those impressive stats in mind, now is the time to start preparing your holiday strategy if you haven’t already. Native ad giant Outbrain reports that while 66% of shoppers are increasing their holiday shopping, 50% fewer are shopping in person. This means greater opportunities for drawing in those online shopping crowds.
Of course, if that’s your goal, it’s important to remember that the earlier you start, the better. Not only are more people shopping online this year, many people are also starting sooner in the season due to expected covid-19 related delays.
The other thing to remember is that sustained success demands adaptability, and that’s true now more than ever. Whether you choose to incentivize your offers with discounts or play up specialized messaging, only you’ll be able to decide what works for you. Just don’t wait to get started!
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