E-commerce is growing at a 15% compound annual growth rate. That’s great news for e-tailers, both in terms of revenue and of data. The more e-commerce statistics you have to work with, the better you can benchmark and optimize your own e-commerce store’s performance.
That said, how do retailers make that data work for them? The sheer wealth of e-commerce statistics available can be overwhelming, identifying which sources are most reliable is tough, and organizing all the information out there takes time.
To help online retail teams leverage the data to make good decisions, we’ve gathered 50 e-commerce statistics from trustworthy sources, grouped them into common categories, and even included suggestions on how you can improve your own results.
These e-commerce statistics can help your retail team make better decisions about how to divide resources and where to direct your energies this year.
- 21.8% of the world’s population buys online. (source: Sleeknote)
- In 2018, e-commerce sales accounted for 11.9% of all retail sales worldwide. (source: Statista)
- In 2017, direct to consumer sales (as opposed to brands selling through a retailer) increased by 34% and represented 13% of all e-commerce sales. (source: Deloitte)
- 30% of consumers say they would rather buy from a website they’ve bought from previously than from an unfamiliar store. (source: Sleeknote)
- Men spend 68% more online than women. (source: KPMG)
- The average documented online cart abandonment rate is 69.89%. (source: Baymard Institute)
- The average e-commerce site can improve its conversion rate by 35% just with a better design. (source: Baymard Institute)
- 15% of online shoppers have signed up for a consumer subscription. (source: McKinsey)
- The subscription e-commerce economy has grown by 100% a year over the past five years, and women account for 60% of subscribers. (source: McKinsey)
- An active subscriber holds on average two subscriptions, but nearly 35 percent have three or more. (source: McKinsey)
- 28% of consumers cite personalization as the most important factor in subscription services. (source: McKinsey)
- 42% of online shoppers prefer to pay with their credit card (as opposed to services like PayPal). (source: Statista)
- 24% of consumers are ready to spend more to qualify for free shipping. (source: HubSpot)
How to Improve Payment/Checkout Performance
Lifting checkout conversion rates is one of the biggest challenges retailers face, as evidenced by these e-commerce statistics. E-tailers need to innovate at points of sale in order to get the jump on their competitors.
Alternative financing is a powerful way to introduce innovation into the e-commerce funnel. Bread’s white-label software integrates with e-commerce platforms and allows consumers to spread payments over time with zero interest levied. This allows retailers to increase consumer purchasing power while reducing pain points around big-ticket purchases.
Pay-over-time options are just one way of reducing friction around payment. Find out more about how to create frictionless checkouts.
- Shopping was the fastest-growing use for our phones in 2017, up 54% year-over-year. (source: Shopify)
- As of late 2017, 82% of online users in the United States used a mobile device for online shopping, with 35 percent using only their mobile device for shopping. (source: Statista)
- Total m-commerce sales for 2017 was $156 billion. (source: Statista)
- Mobile sales accounted for 40% of all purchases made on Black Friday in 2018. (source: OuterBox)
- 54% of all Cyber Monday visitors in 2018 were using mobile. (source: OuterBox)
- 79% of all smartphone users have made a purchase on their smartphone in the last six months. (source: OuterBox)
- Mobile e-commerce is predicted to make up 67.2% of all e-commerce in 2019. This is predicted to rise to 72.9% by 2021. (source: Statista)
- 40% of consumers will go to a competitor after a poor m-commerce experience. (source: OuterBox)
- 80% of shoppers used a mobile phone inside of a physical store to either look up product reviews, compare prices, or find alternative store locations. (source: OuterBox)
- If a user has a negative experience with a brand’s mobile site, they are 62% less likely to purchase from that company in the future. (source: Think with Google)
- Mobile load times can impact conversions by up to 20%. (source: Think with Google)
How to Improve Mobile Performance
M-commerce is the fastest-growing sector for online retail. This growth means that e-commerce retailers must prioritize mobile consumers, adopting the kind of mobile-first approach taken by web designers in the last few years.
Mobile-first e-commerce starts with addressing pain points around mobile shopping. Back in 2017, Comscore found that 20% of consumers cited security worries as their biggest barrier to buying on mobile. Retailers can go a long way towards allaying those worries through up-to-date technology:
- Running your site on HTTPS rather than HTTP guarantees that consumer data stays safe.
- Using a reputable e-commerce platform like Shopify or Magento means your e-commerce store is automatically PCI compliant, a guarantee that you’re handling credit card information in a secure environment.
Security isn’t the only way to optimize m-commerce, of course. We’ve got six more tips on how to boost mobile conversions.
Email and Social Media Marketing
- Average revenue per abandoned cart email is $5.64, compared to only $0.02 for promotional emails and $0.18 per welcome email you send. (source: Sleeknote)
- Abandoned cart emails have a 45% open rate. (source: Moosend)
- 1/3 of online purchases begin on social platforms. (source: GeoMarketing)
- “55% of consumers have bought something online after discovering it on social media.” (source: Shopify)
- 85% of consumers are more influenced by UGC content than branded content. (source: Business Wire)
- Facebook’s ad revenue jumped 42% in Q2 of 2018. (source: Digital Commerce 360)
- 71% of consumers don’t trust sponsored social media ads, and 69% don’t trust advertisements. (source: HubSpot)
- Over 75% of consumers are inspired to purchase by images and video content. (source: GeoMarketing)
- “56% of users that follow brands on social media do so to view products.” (source: Kinsta)
- 66% of Gen Z shoppers regularly use Instagram, compared with only 40% of millennials. (source: Accenture)
- 69% of Gen Z-ers are interested in purchasing directly through social and 37% have increased their use of social media specifically for purchase decision-making. (source: Accenture)
How to Improve Email and Social Media Performance
As the stats show, social shopping is here to stay, especially among younger consumers. E-commerce retailers that use social media to tell a strong brand story and create dynamic communities have a better chance of winning, and keeping, customers.
Start by finding out which network your highest Lifetime Value customers are using and strategize content specifically for that channel. For instance, if your target consumer is on Instagram, campaigns involving user-generated content may work well. You can see this strategy in action at online furniture store Wayfair, which asks shoppers to share images of their purchases with the hashtag #WayfairAtHome. The store then reposts these images with links to buy the items, maximizing social proof and social community.
Find out more about how to engage customers through email and social media.
- 62% of organizations view customer experience provided through contact centers as a competitive differentiator. (source: Deloitte)
- 73% of buyers indicate customer experience is an important factor in purchasing decisions. (source: SuperOffice)
- 51% of consumers trust companies that make it easy for customers to contact the company and their customer service reps. (source: KPMG)
- 82% of consumers defined an immediate response as “important” or “very important” when buying from a company, speaking with a salesperson, or asking a question about a product or service. (source: HubSpot)
- 59% of buyers expect a response within 30 minutes when they want to learn more about a business’ product or service. (source: HubSpot)
- 90% of customers rate an immediate response as important or very important when they have a support question. (source: HubSpot)
- Almost half (49%) of consumers reported sharing an experience they had with a company on social media, good or bad. (source: HubSpot)
- 80% of consumers have said they stopped doing business with a company because of poor customer service. (source: HubSpot)
How to Improve Customer Support Performance
Customer support can turn a one-time shopper into a repeat customer. To optimize support, start by making return policies and other frequently asked questions easy to find and understand. Having clear, accessible information on your site for consumers will reduce your ticket load and relieve consumer pain points.
If consumers do need to get in touch, provide a 24/7 live chat support service. If that’s too much of a strain on the purse strings, a chatbot can relieve some of the strain during closing hours and field level-one customer queries. Find out more about conversational chatbots for support from Intercom.
- By 2020, it is estimated that about 50% of searches will be visual searches (like Syte) or voice search. (source: GeoMarketing)
- By 2021, early adopter brands that redesign their websites to support visual and voice search will increase digital commerce revenue by 30%. (source: Gartner)
- 40% of consumers would be more willing to pay more for a product if they could experience it using AR. (source: Retail Perceptions)
- It is estimated that by 2020, 80% of all customer-to-brand interactions will be over AI. (source: Apiumhub)
- 35% of consumers want to see more companies using chatbots. (source: ubisend)
- 47% of consumers would buy items from a chatbot. (source: ubisend)
How to Improve AI Performance
AI might seem like something that only the retailers with bottomless budgets can afford. But using off-the-shelf AI tools such as Syte can be an affordable way to introduce AI and machine learning into your e-commerce funnel.
Start by identifying where you want to leverage AI. For example, you could automate product recommendations based on purchase history; refine email campaigns based on interaction history; introduce search features that use natural-language processing and machine learning.
Rather than building these features from scratch, rely on existing AI tools that integrate easily with your e-commerce platform, such as Shopify’s range of AI add-ons. These give you the technical backup you need and are relatively painless to implement at scale.
Using E-commerce Statistics for E-commerce Wins
E-commerce stats can be powerful information levers when optimizing an online store. Benchmarking your brand’s current e-commerce performance against industry standards helps identify your priority areas for improvement as well as where you’re performing above average. Learning from competitors’ strategies (and mistakes) allows you to stay lean and optimize smarter. Embracing technology boosts customer experience and alleviates stubborn pain points around checkout and payment.
Once you start working with these e-commerce statistics rather than just reading them, you’re on your way to better performance and higher retail revenues.