As consumers spent more time at home over the past couple of months, their shopping patterns have changed. eCommerce and mobile shopping are on the rise in a big way, and it’s time for marketers and business owners to pay attention!
eCommerce and Mobile eCommerce in Canada- The Highlights
According to eMarketer, retail eCommerce in Canada is expected to reach a whopping CA$52.04 billion this year–a 20.7% increase from last year, representing an impressive 8.7% of all retail sales.
Retail eCommerce sales on all devices reached a record CA$3.9 billion in May–a 2.3% increase over April and a 99.3% increase over February.
Year over year, eCommerce sales have more than doubled–with a 110.8% increase compared to May 2019. (source)
In the U.S., shopping apps saw a 20% spike between the months of January and June 2020, with 59% of adults citing mobile as their preferred choice of device for online shopping.
These statistics are impressive, but what do they all mean?
New Digital Retail Opportunities Across the Board
Nearly every category of retail was affected by COVID-19; and while many physical retailers were hit hard, the news is not all bad. Over the past few months, eCommerce, including mobile shopping, has proven itself as an effective channel for businesses to explore. Even retail categories that were having trouble gaining traction in the eCommerce space (ie. grocery), all-of-the-sudden skyrocketed as a result of COVID-19.
If you need any further evidence that eCommerce is a growing sector, just look at platforms such as Shopify.
It’s no coincidence they saw a massive surge in stock prices since March of this year. As businesses realized that their doors would have to shut, they rushed to sell their products online as quickly as possible.
…And lucky for those that did! According to Forbes, stores with new or existing Shopify
accounts were able to recover up to 94% of lost in-person sales with online orders. That means for every dollar lost during the pandemic, these businesses recovered 94 cents through eCommerce channels.
Non-Essential Retail Categories Benefited Most
Although all 11 categories (which is how the Canadian government breaks down the retail market) saw an uptick in eCommerce and mCommerce sales, the greatest shift was felt in sectors that were mandated to close during the pandemic. Unsurprisingly, where no other options were available, Canadian consumers turned to online channels to shop for their favourite products.
eCommerce Is More Than Just a Phase
It’s here to stay! While mandated closures may have been temporary, the Canadian government predicts that its effects in terms of shopping patterns will be felt long term. As an increasing amount of businesses start evolving by offering their customers more online options, consumers will continue taking them in lieu of shopping in a traditional way.
It really is a win-win- while retailers see the opportunity of selling through new channels, consumers appreciate the convenience and accessibility of shopping whenever, wherever, and for whatever they need!