Online Shopping Statistics and Why Marketers Should Care
Perhaps no shift has ever gripped commerce like the massive change that has driven individuals to shop less in person and more online. Indeed, the shift to digital and social media has also changed how people shop. As such, every business needs to develop a brand experience and marketing strategy that emphasizes e-commerce purchases. Failure to do so is simply no longer an option.
The Stats Are Incredible
Need proof of the incredible power of online shopping and e-commerce? Consider the following:
How many people shopped online in 2020? Try four trillion. That's right: an estimated four trillion people engaged in some form of online shopping in 2020. This massive number includes people from every corner of the world. The same survey that made this astounding realization also noted that United States online shoppers are expected to hit 300 million by 2023. Considering that more than 263 million Americans already shop online, this isn't a potential stretch.
More to the point: By the end of the year, the e-commerce market in the United States alone is expected to break $1 trillion.
As of this moment, 69% of all Americans have shopped online. One in four Americans shops online at least once a month. The most popular item is clothing, and a majority of shoppers' first purchases, as you might expect, were from Amazon.
The average revenue per online shopper in the United States is just over $1,800.
Women are slightly more likely than men to shop online, but as you would expect, they have different purchasing patterns. Men are more likely to shop for travel, household goods, event tickets, films, and computers or technology. Women are more likely to shop for food, clothing, books and reading materials, and medicine.
So, what does this mean for your small business?
The answer is simple: If you aren't online, you miss out on this potential commerce. That's not to say that switching your marketing efforts and brand experience to a digital media-only platform will automatically make a huge difference. However, it clearly shows that the future is in e-commerce and digital marketing. Social media platforms like Facebook, Twitter, and Pinterest are adding more e-commerce options. It is easier than ever to set up websites and e-commerce platforms.
In other words: Get online.
What Drives Online Shoppers
It is vitally important for you to completely understand what drives online shoppers before creating a Pinterest page and paying for ads. Indeed, understanding a shopper's motivations can help you find the right way to market to them.
So, what drives online shoppers? Numerous factors, including:
Bargain hunting: Bargain hunters have unbeatable options. Thanks to coupon programs and websites that help people save money, it can be easy to order something for an incredibly low price.
Convenience: If someone wants something, they can get it — and make the order in 30 seconds. The sheer convenience of getting whatever you want from your phone or computer can't be beaten.
Impulse buying: Sometimes, a well-placed ad is more powerful than any candies or magazines near the checkout line at the grocery store. Impulse buying is unquestionably real when it comes to e-commerce purchases. This is why you need an online store that is as "frictionless" — or easy to buy from — as possible. You also need a digital marketing strategy that can encourage impulse buying.
Social media: There is no question that social media and social media marketing — including highly visual platforms like TikTok and Pinterest — can drive people to shop online. Thanks to social media, people can see what their friends are buying. Digital marketing can use highly targeted ads to reach a consumer, and if you engage in the right sort of marketing, you can take advantage of this trend.
Building a Successful Marketing Strategy
The above reasons just scratch the surface of what drives online shoppers to make their purchases. There are different reasons that different companies' customers will make online purchases. For example, someone who wants to buy a high-end product may not be looking for a bargain or making an impulse buy – they may be responding to peer pressure and the purchasing patterns of their friends. As such, a marketing strategy that concentrates on social media is likely preferable.
This is why you need an expert marketing firm like Fifth & Cor to do a complete analysis of what your company is, what it does, and what drives your customers online. You may also need help expanding into new customer bases and a better understanding of why your customers are shopping online. Again, this is where Fifth & Cor can help you. At Fifth & Cor, we understand that each company is different, needs a different marketing strategy, and seeks to build a different brand experience. Your company deserves a marketing analysis that works for you, and at Fifth & Cor, we can help develop that.
If you want more information, reach out to Fifth & Cor today, and learn more about how we can help you develop a marketing strategy and brand experience that will encourage people to buy from your online store.