It’s not a secret, the eCommerce industry is booming big time!
Entering 2020, the UK is ranked 3rd in the world by retail eCommerce sales, growing to a booming $13 billion in the last year alone. It now stands at $141.93 billion.
There is no denying its 2020 run will see its valuation increase further, despite the current pandemic climate.
The industry has achieved such high results due to the role of marketing, in fact, the global ad spends in 2019 was $333.25 billion. Consumers’ commitment and loyalty to online brands are strengthening immensely, clearly shown by the $3.46 trillion consumers worldwide spent in 2019!
Now you know the facts, it’s time to take action and utilize what the eCommerce industry has to offer.
But first, you need to understand the importance of the eCommerce industry, how it is booming and how it generates so much money.
People prefer the digital realm
People go online for all sorts of reasons; to shop, game or learn a new skill, there are practically endless possibilities.
But one of the most common online behaviours is shopping.
Online shopping has experienced exponential growth due to consumers preferring to shop online, and 59% of the globe being active internet users.
But why does everyone love online shopping?
Because of the convenience, and variety, it brings.
Shopping online is a personal activity that leaves shop assistants and sales tactics at the door – you have all the time in the world.
Instead of having access to a dozen shops on the high street, and having to factor in your travel expense, you have access to millions of products and prices at your fingertips.
And there’s no judgment at the checkout – no one’s watching!
Worrying about product quality is a thing of the past, as refunds and replacements online are super easy, saving you a lot of time and money.
Lockdown spending spree
COVID-19 has caused huge disruption worldwide.
There is no denying this disease shall only be remembered for the heartache it has caused, but we must remain strong and find the positives in situations like these.
With many countries implementing lockdown procedures, people around the world are spending considerably more time at home and online. This is the perfect opportunity to up your digital marketing spend and generate better results from your efforts.
Cost per click (CPC) and reach prices have dropped on platforms like Facebook, which acts as a great time to experiment with your targeting and general digital marketing strategy without being concerned about your budget.
You have probably noticed a lot of businesses are hosting sales and discount periods, which may first indicate they are suffering from a loss in sales, but this isn’t the case at all, they are working around the crisis and generating more sales as a result.
What industries are booming?
You have probably heard the news of the stock market crashing, huge firms losing millions of dollars and high street retailers struggling – but it’s not all bad for the eCommerce industry.
As I’m sure you can imagine, sanitizer brands are thriving at the moment, people want to be hygienic and stay safe – sales increased by 225 percent in February!
This has led to supermarkets selling out of sanitizer products both in-store and online.
Unfortunately, human nature has come into the mix and individual sellers are charging outrageous prices for these goods, which isn’t bettering the situation.
Home exercise equipment is in high demand as people are urged to not leave their homes and to only leave on essential trips.
Online Yoga subscriptions are a big hit at the moment.
Digital streaming services like Netflix who are providing the ideal stay-at-home service are experiencing the positives of the crisis. So much so that it’s actually putting a strain on the internet.
Food delivery is most likely one of the most in-demand industries given the danger of traveling to the shops, although getting a slot is another matter. Tesco has sold out, Sainsbury’s slots are scarce and Morrison is offering a food box service for those who can’t manage to book a slot.
How should you take advantage of it?
Without discounting the heartache caused, COVID-19 has presented somewhat of an opportunity for eCommerce.
Taking advantage of the increased number of users and the booming eCommerce industries can be done in many ways, like running a sale or some sort of promotional opportunity for customers, but you should relate back to these 5 points to generate results:
- Define your objectives
- Analyze your niche
- Design a customer persona
- Create personalized content
- Measure your results
Just because there is an opportunity to draw in more sales, it doesn’t mean you need to rush the process.
Think, how did you generate your first sale?
Probably through careful planning, precision, and patience.
Despite the increased demand for your products, there is every chance you could end up losing money during this crisis.