With the onset of the coronavirus pandemic, online shopping came to fore, and its use is expected to grow by 18 per cent this year.
Following February’s forecast of modest retail growth in the US (2.8%), the coronavirus pandemic shook the US market. Coronavirus has led to store closures, an increase in orders from the comfort of your own home, and a drop in demand for non-essential goods. Market changes were extremely fast.
But it is not all doom and gloom for all the retail channels. After 14.9% growth in 2019, online trade is projected to see an increase of 18% this year.
How are retailers supposed to prepare for shopping habits in these new and unpredictable conditions?
The US Ecommerce 2020 report highlights four key points:
- The online store has grown in size because it allowed US consumers to make instant purchases while limiting human contact. Online shopping, functioning as a click-and-collect, is expected to grow to 58.52 billion dollars in the USA, which is 60.4% more than the originally forecast 38.6%.
- The forecast of an 18% growth in online shopping in the US this year is based on the fact that the number of online shoppers has increased significantly, and at the same time their average consumption has also increased. The sales results reflect the impact of the coronavirus on new customers joining the online retail space, including a 12.2% increase in those aged 65 or over.
- During the pandemic, consumers turned to trusted and reliable retailers. It is expected that the 10 best online retail traders will grow with above-average rates (21.8%). Amazon will achieve the largest market share in online shopping in the US this year, and Walmart will take second place for the first time ever, thanks to the accelerated growth of online shopping.
- Some changes in trade will slow down towards the end of this year, especially when stores reopen and the US government suspends interim measures in each of the states. But consumers have already adopted new shopping habits that will enable the online store to grow too.
»New habits are not something that consumers would just throw away. If they are formed on the basis of pleasant experiences, there is a good chance that they will be maintained in the future. That is why it is important for companies to provide a great online shopping experience and ensure that contact with the consumer does not end at the time of purchase. Communication in the post-purchase phase plays a key role in whether the consumer will remain loyal to the brand and habit or whether he will choose another purchase option next time«, believes Miloš Suša, head of online media specialists.