E-commerce

The e-commerce landscape is exploding. The COVID-19 pandemic has forced millions to stay home, driving a massive shift to online shopping. From groceries to gadgets, e-commerce platforms like Amazon and Shopify are seeing unprecedented demand. This article dives into why e-commerce is booming, its challenges, and how businesses can ride this wave in April 2020. Why E-commerce Is Surging in 2020 Lockdowns and social distancing have made e-commerce the go-to for consumers. According to Emarsys, e-commerce revenue is up 37% and orders have spiked 54% since February 2020. Brick-and-mortar stores are struggling, with sales down 10.5% in the U.S., while e-commerce sales are projected to grow 18% to $710 billion in 2020, per TrustRadius. Key Drivers of the E-commerce Boom Several factors are fueling this e-commerce surge, reshaping retail forever. Mobile Commerce Growth Smartphones are driving e-commerce. In 2020, mobile e-commerce sales are expected to hit 43% of total online sales, per Invesp. Apps like Amazon and Walmart dominate, with 500 million downloads for Amazon’s app alone. Consumer Behavior Shifts The pandemic has changed how people shop. A UNCTAD survey shows over 50% of consumers in emerging markets now shop online regularly. In the U.S., grocery e-commerce jumped 20%, with 55% of shoppers ordering food online. Supply Chain Adaptations E-commerce businesses are rethinking logistics. Amazon hired 100,000 workers to handle order surges, while Shopify saw an 85% spike in platform traffic. Real-time inventory tracking and drone deliveries are becoming standard. Challenges Facing E-commerce Businesses The e-commerce boom isn’t without hurdles. Businesses must address these to stay competitive. Cart Abandonment High shipping costs and long delivery times drive 20% of Gen Z and 18% of Millennials to abandon carts, per Hostinger. Unclear product descriptions also hurt older shoppers. Fraud and Security E-commerce fraud is rising, with losses projected to hit $3 trillion by 2027. Tools like IP fraud-scoring are critical, with the fraud detection market worth $36.7 billion in 2020. Technical Issues Slow websites and app crashes frustrate users. E-commerce sites must optimize for mobile, as 70% of shoppers cite convenience as key. How Businesses Can Thrive in the E-commerce Boom E-commerce success requires strategy. Here’s how to capitalize on the surge. Optimize for Mobile and Voice Search With 71% of consumers preferring voice search, e-commerce sites must integrate with Alexa or Google Assistant. Mobile optimization is non-negotiable, as tablets have a 3.1% conversion rate. Leverage Social Commerce Social media drives e-commerce. Instagram’s 34% of users shop via the platform, and Facebook’s 250 million Shops are booming. Enhance Customer Experience Personalization lifts revenue by up to 166%, per Feedvisor. AI-driven recommendations and fast checkouts keep customers coming back. Real Examples of E-commerce Success E-commerce leaders are setting the pace in 2020. The Future of E-commerce in 2020 and Beyond The e-commerce boom is no fluke. By 2024, 21.8% of global retail sales will be online, up from 18% in 2020, per ROI Revolution. Hybrid models blending online and in-store will dominate, and AR/VR will enhance shopping. Learn more about e-commerce trends at Forbes’ e-commerce insights. Check our e-commerce tools page for solutions. Ride the E-commerce Wave Now The e-commerce surge is reshaping retail. Businesses that optimize for mobile, embrace social commerce, and prioritize customer experience will lead. Don’t miss out—act now to grow your online presence. Contact us to boost your e-commerce strategy in 2020.