The State of the eCommerce Industry - US - January 2020

OVERVIEW
What you need to know
Definition
EXECUTIVE SUMMARY 
Overview
Figure 1: How often consumers shop online compared to last year, November 2019
Emerging Impacts of 2020: The blend of online and offline worlds
Market Size and Forecast
Figure 2: Total US sales and fan chart forecast of eCommerce Market, at current prices, 2014-24
Four elements critical to the success of ecommerce
Element One: Seamless Shopping
Element Two: Convenience
Element Three: Personalization
Element Four: Emerging Technology
Driving future purchases
Figure 3: Driving future purchases, November, 2019
What it means
THE MARKET – WHAT YOU NEED TO KNOW
The ecommerce market sees expansion for years to come
New tech, new shopping habits
Shopping anytime from anywhere
MARKET SIZE AND FORECAST
eCommerce sees rapid growth
Figure 4: Total US sales and fan chart forecast of eCommerce Market, at current prices, 2014-24
Figure 5: Total US retail ecommerce sales and forecast, at current prices, 2014-24
MARKET FACTORS
Emerging Technology
Internet Accessibility
Analyst Perspective
INDUSTRY INFLUENCES 
Amazon being Amazon
DTC challenges the typical retail model
EMERGING IMPACTS OF 2020
New delivery methods could help smaller business even out the playing field
The blending of online and offline worlds
THE CONSUMER – WHAT YOU NEED TO KNOW 
Seamlessness is the name of the game
Convenience at (no) price
eCommerce must get personal
THE ECOMMERCE SHOPPER PROFILE
eCommerce grows steadily
Figure 6: How often consumers shop online compared to last year, November 2019
As younger consumers gain more spending power, they’re buying more goods online
Figure 7: Online shopping frequency compared to last year, by age, November 2019
Consumers leverage online and offline activities along their shopping journey
Figure 8: Where consumers buy goods, November 2019
Figure 9: Where consumers buy goods, November 2019
ELEMENT ONE: SEAMLESS SHOPPING
Attitudes toward shopping online
Easy to find products, not so easy to trust the unknown
Figure 10: Attitudes toward purchasing online, November 2019
One bad interaction leaves a bad taste in consumers’ mouths
Figure 11: Attitudes toward purchasing online by online shopping frequency, November 2019
ELEMENT TWO: CONVENIENCE 
Most & least important factors when shopping online
Consumers want convenience without the price tag
Figure 12: Most important factors, any rank, November 2019
Figure 13: Most important factors, by rank, November 2019
Consumers want to feel secure in their purchase
Figure 14: Most important factors, by online shopping frequency, November 2019
Figure 15: Allbirds storytelling
Figure 16: Nike storytelling
DELIVERY ATTITUDES AND CONSIDERATIONS
Convenience matters from start to finish
Figure 17: Attitudes toward delivery and shipping, November 2019
Parents look for an ecommerce partner
Figure 18: Attitudes toward delivery and shipping, by parents vs non-parents, November 2019
Figure 19: Primary.com
ELEMENT THREE: PERSONALIZATION
Attitudes toward Personalization
Personalization helps consumers sift through the noise
Figure 20: Attitudes toward online personalization, November 2019
Personalization increases consumer reach
Figure 21: TURF Analysis – Attitudes toward online personalization, November 2019
Recommend products that keep consumers in the loop
Figure 22: Attitudes toward online personalization, by online shopping frequency, November 2019
ATTITUDES TOWARD PROMOTIONAL ACTIVITIES
Promotions can provide consumers personalized content
Figure 23: Attitudes towards promotional activities, by age, November 2019
ELEMENT FOUR: EMERGING TECH
Impact of Mobile
Mobile is the cornerstone for delivering tech-based brand experiences
Figure 24: Snapchat and Adidas partnership
Figure 25: Mobile Activity, November 2019
Smartphones allow all consumers to connect to ecommerce
Figure 26: Mobile activity, by HHI, November 2019
ATTITUDES TOWARD BIG TECH
Overall, Big Tech resonates positively with consumers
Figure 27: Attitudes toward Big Tech, November 2019
Generations view Big Tech through different lenses
Figure 28: Attitudes toward Big Tech, by generation, November 2019
Figure 29: Amazon Four Star Store
FUTURE BEHAVIORS AND CONSIDERATIONS
eCommerce needs to continue to push boundaries on the basics
Figure 30: Driving future purchases, November, 2019
Free shipping is the key to consumers’ hearts
Figure 31: TURF Analysis – Driving future purchases, November 2019
Less-frequent shoppers have not seen the benefits of ecommerce
Figure 32: Driving future purchases, by online shopping frequency
Everyday I’m shopping online
Figure 33: Future expectations, November 2019
Figure 34: Imperfect Foods Delivery Window
Everyday products will help reach more consumers
Figure 35: TURF Analysis – Future expectations, November 2019
Younger Millennials look forward to the future of ecommerce
Figure 36: Future expectations, by generation, November 2019
Don’t ignore the less-frequent shoppers
Figure 37: Future expectations, by online shopping frequency, November 2019
APPENDIX – DATA SOURCES AND ABBREVIATIONS
Data sources
Fan chart forecast
Consumer survey data
Abbreviations and terms
Abbreviations
APPENDIX – THE MARKET 
Figure 38: Total US retail ecommerce sales and forecast, at current prices, 2014-24