Market forecast for the e-commerce industry in 2020
The food retail and online retail industries stand a chance for the greatest profits. This is evidenced by the data presented. It turns out that online orders in these industries have grown by 100% compared to last year.
What’s more, people who until now were reluctant to buy online have now been forced to do so and … they will probably continue to do so.
The e-commerce industry will continue to increase its share in trade. This is also confirmed by examples from China. “Alibaba describes the 2003 SARS epidemic as a turning point in its development.
At that time, the company gained 4,000 new contractors, and their turnover was 5 times greater than before the epidemic. A similar situation happened to JD.COM, the owner of which transferred sales from 12 stationary stores to the Internet, to achieve a turnover of USD 80 billion annually. It is certain that the epidemic can be treated as a turning point.
Fears of leaving the house, lack of travel and moving most of the living zones to the interior of our apartments give very good prospects for the home accessories market.
Retail industry over decades – comparison and historical data
The retailing industry grew by nearly 70. The online retailing industry increased by just 7.8%. That is the smallest growth rate in over a year and shows the growth in online shopping. In fact, last year when Google was launching the mobile web shopping platform in July, it was just the beginning, and in 2015, when Apple launched the iPhone 4s at the same time, it took off. This year’s mobile web shopping is also an impressive success.
Silicon Valley giants and their participation in on-line retail market grow.
Google said that its shopping service accounted for 50% of mobile web spending. This is the biggest single source of digital consumption in America. As more of these mobile websites launch, the market will continue to grow for food retailers as well as consumers who have an interest in food online.
The growth of the food retail and online retail industries is not a result of Google and its competitors. It’s driven by consumers who want to have access to the best ingredients and have access to more of the best items that come on supermarket shelves, including produce. Food retailers will be the leaders in this industry.
Google is also helping create an even smaller part of the food retail market. Google’s Shopping for You program provides food retailers with access to millions of users online through the Google Shopping for YouTube partnership program.
The program allows food retailers to get customers by giving them a free online shopping experience and allows them to provide targeted offers and recommendations based on these customers’ shopping habits.
The program provides consumers an opportunity to find the items that are most relevant and that are best used in their shopping experience, and helps food retailers to create and grow a new, healthy, sustainable business as quickly as they can.
E-commerce will boost in 2021 even more than in 2020
There is no need to convince anyone that the COVID-19 pandemic and the related trade restrictions fueled the growth of the e-commerce industry.
Even without checking the official statistical data, we can see with the naked eye the increased growth of companies providing distance selling services.
Both legal issues and personal concerns related to physical contact with another person have resulted in the majority of purchases being made using electronic means.
The latest data shows an increase of 30% compared to the previous year.
In addition to classic online shopping, which is usually associated with the purchase of consumer electronics, telephones or other types of electronic gadgets, the importance of purchasing basic goods such as food and hygiene products is growing.
These goods are delivered by specialized companies.
Companies from the logistics industry are working on solutions such as a refrigerator, which will make specialized refrigeration devices that allow unmanned collection of shipments from special points.
The interest in self-service checkouts in shops and the delivery of purchases directly to your home by large-format stores, which have so far been reluctant to use this form of sale, is growing again.
The 2020 pandemic forced both the equipment manufacturer and you and the policy maker to revise their development strategy and adapt to the current situation.
We personally believe that even with an effective vaccine on the market – once the immediate threat of infection has passed – most of the distance buying habits will remain in British society.
Consequently, the e-commerce market will continue to grow at a double-digit year-on-year pace.
When considering investment decisions in 2021 and looking for companies for the investment portfolio, it is worth paying attention to companies that are directly related to e-commerce and thus will benefit from the development of this form of trade. Transport and logistics companies are also worth mentioning.