This month, the world marks the 20th anniversary of online shopping. Twenty years ago, in 1994, the very first online purchase or secure retail transaction was made. The product that was bought was Sting’s fourth studio album – “Ten Summoner’s Tales.” The CD was purchased by a college student for $12.48. Just ten years later, consumer already spended hundreds of billions of dollars online. Today, two decades after the first online product purchase, the e-Commerce is unstoppable.
Online Shopping Today
Online shopping has gained tremendous popularity all over the world. However, some areas are more open to making purchases via the web. Such is the case with Australia and New Zealand, for example. About 87% of the people in the both countries have reported that they have bought something online. In Europe and in Asia, this percentage is slightly lower- 85%. E-commerce is still struggling on the African market, where its share has barely surpassed 50%. However, that is due to the slow Internet penetration in many of the countries on the continent.
One of the reasons for e-Commerce rising popularity is that it offers many benefits. For instance, the majority of consumers (73%) share that they order a product from the web since it saves them time. Another 67% turn to online shopping because of the greater variety of products to which they have access. Almost 60%, on the other hand, choose to shop online simply because they are able to compare different products and prices.
In general, online shopping satisfaction is rather high. Over 80% of the consumers who do their shopping on the web, share they are happy with the quality of the products or services they receive. In addition, every seventh consumer is confident that online stores offer better prices.
Also, it cannot be denied that with the arrival of smart mobile technology, e-Commerce has witnessed a further push up. Around 84% of all consumers who own a smart device are reported to use it while planning their shopping trip or while they shop. Therefore, it is not surprising that during the first three months of 2014, the revenue from online mobile shopping has increased by 35%.
Peak Days
Traditionally, online shopping spikes during the winter holiday season. However, the busiest day for the online retail industry is Cyber Monday. In 2013 alone, Cyber Monday sales reached nearly $2.3 billion breaking all previous records.
Cyber Monday may be the online version of Black Friday. However, this does not mean that consumers ignore Black Friday online offers. It is estimated that the average online shopper tends to spend $186.33 on the average on that day every year.
The Future of Online Shopping
The growth of online shopping is not likely to settle to a halt any time soon. Instead, it is expected to rise with a steady pace. As a result, online retail sales are likely to surpass $370 billion in 2017. In comparison, they were estimated at $231 billion in 2012.
Still, many aspects of online shopping are predicted to change. As a start, more and more online retailers and websites in general will collect consumer data in an attempt to offer a more personalized shopping experience. Meanwhile, other web stores will take the opposite direction and promote services which offer users more privacy and anonymousness.
Another change that you can expect in the near future are faster delivery speeds. Amazon.com has already started testing a drone delivery option that aims at sending ordered items for less than 30 minutes. Other retailers will certainly try to compete with that. So, same-day or even same-hour deliveries may soon take over the market.
Last, but not least, the lines between online and offline shopping will blur even more. A few online retailers, like eBay, have began creating so-called digital storefronts. These are spots from where consumers can make online purchases or browse through a retailer’s catalogue of products using a simple touchscreen device. More similar services are expected to arrive in the near future and combine mobile, online and in-store shopping into one experience. In other words, on its next big anniversary, online shopping is likely to be a more comprehensive term that will no longer be limited only to web retail stores.
