Ecommerce benefits: Industries most in need of new capabilities
Even before the pandemic, ecommerce was growing in popularity. But COVID-19 has made ecommerce the new normal for buying and selling goods and services. Businesses and consumers have come to enjoy the convenience of online transactions, which will contribute to the further growth of the ecommerce industry.
While online B2C sales are projected to grow to $6.38 trillion USD by 2024, the global B2B ecommerce market will reach $25.65 trillion USD in 2028. Ecommerce benefits many B2B and B2C companies. Although most modern businesses can benefit from online transactions, some industries need ecommerce capabilities more than others.
In this post, VTEX will discuss which industries are most in need of ecommerce capabilities.
Fashion and apparel industry
The pandemic dealt a huge blow to the apparel industry. While some major brands filed for bankruptcy, digital sales helped many others stay afloat. Ecommerce was responsible for more than 46% of all US apparel sales in 2020. And, according to a Mastercard report, almost 75% of all US apparel purchases were made online in February 2021.
By cutting operating costs and offering more convenience, ecommerce benefits both apparel retailers and consumers. Being among the top ecommerce industries, having a modern digital commerce platform is essential for fashion and apparel businesses to stay competitive and alluring with different strategies. For example, the VTEX LiveShopping App allows brands to interact with customers in real-time to boost their online sales.
Beauty and personal care industry
A return to normalcy will create many ecommerce opportunities for the beauty industry. With the easing of social restrictions, revenge spending will boost sales of cosmetic and personal care products after the pandemic. Safety and hygiene concerns with product testing, however, will make many consumers shop online vs. in-store post-COVID.
Cosmetics and personal care industries need world-class online shopping technologies to reap the benefits of ecommerce post-pandemic. One of the major trends in ecommerce that can help the beauty industry sell more online is augmented reality (AR). AR allows your customers to try on a range of makeup products virtually, eliminating concerns with health and safety issues.
Household goods industry
With more time spent indoors, many have turned to home renovation to improve their living spaces. The sale of household goods has skyrocketed ⏤ and many of these purchases are taking place online. Household product ecommerce sales reached $92.32 billion USD in 2020 and will continue to grow as new digital shopping technologies enhance online buying experiences.
As one of the top ecommerce industries, home goods businesses need advanced retail technologies to benefit from ecommerce growth. The VTEX Enterprise Digital Commerce Platform for retail businesses offers the latest trends in ecommerce such as 360° view and 3D visualization to improve customer engagement and increase your website’s conversion rate.
Stay-at-home orders and physical distancing requirements created unprecedented ecommerce opportunities for grocery industries. Almost 80%of Americans shopped online for groceries during the pandemic. The efficiency and convenience of buying groceries online will make this trend here to stay, transforming grocery ecommerce into a $250 billion USD market by 2025.
The impact of ecommerce on the grocery industry cannot be overstated. From expanding business reach to increasing your customer base, ecommerce benefits the grocery industry in many ways. Omnichannel commerce capabilities can help you sell online and ship from store, or allow customers to buy online and pick-up in-store (BOPIS) to maximize your revenue growth.
Consumer electronics industry
While enjoying solid growth pre-COVID, the rise of home offices and at-home entertainment has fueled the sales of electronic goods. Consumer electronics sales totaled $156.50 billion USD in 2020, and almost 50% of those purchases were made online. From $74.86 billion USD in 2021, the consumer electronics ecommerce market will reach $88.40 billion USD by 2025.
Holding 22% of all US retail ecommerce sales, consumer electronics ranks first among top ecommerce industries. More than any other industry, consumer electronics brands need digital commerce capabilities to maximize the benefits of ecommerce. The VTEX digital commerce solution for consumer electronics brands is trusted by the likes of Samsung, Sony and Panasonic to power their growth.
Get cutting-edge ecommerce capabilities
COVID-19 drove life and business online, creating never-before-seen ecommerce opportunities for many industries. Ecommerce will only continue to grow as new technologies enhance online buying and selling experiences. With an innovative digital commerce platform like VTEX, your business can reap the full benefits of ecommerce. Contact us now to learn how VTEX can take your business to new heights of success.