INDEPENDENT RETAILER magazine is now the official news outlet for Wholesale Central visitors.
Each monthly issue is packed with new product ideas, supplier profiles, retailing news, and
business strategies to help you succeed.
See new articles daily online at IndependentRetailer.com.
Jan 1, 2013
yStats.com and MarketLine, two data collection firms, have released their preliminary predictions, based on figures gathered from studies conducted from 2010 to the present, for ecommerce earnings through 2015. The world business-to-consumer ecommerce industry generated between $400 and $600 billion in 2010, according to the report. Based on the growth involved in reaching those numbers, the market is expected to generate between $700 and $950 billion in 2015. In addition, the companies forecast that the number of consumers shopping online two years from now will reach three billion.
"Profit from B2C ecommerce represents less than ten percent of overall retail revenue in markets including the U.K. and France, but this is expected to rise above the ten percent mark in coming years," according to the report. The Americas maintain a 41 percent stake. "Social media continues to fuel the B2B ecommerce market, which aims to boost electronic business process efficiency."
The worldwide online retail market grew by nearly 18 percent in 2010, but for 2015, a record 90 percent growth is anticipated. This would make global ecommerce worth $827 billion. The leading market segment within online retail is electronics, comprising one-quarter of earnings. Another area yStats.com and MarketLine found to be experiencing rapid growth in online retail is the grocery sector. Stores such as Stop & Shop, which offer home delivery of food orders, allow shoppers to access products online while simultaneously comparing prices. Because of this, online grocers are forced to compete on price as consumers can compare costs with the click of a mouse. Grocery stores' websites are actively pursuing improved features to broaden their distribution areas for these delivery programs.
The report also divides the global marketplace into three segments when addressing regional market shares and which areas earned what figures. For American online retailers, 2010 yielded $153 billion in revenues, and an 11 percent growth is expected by 2015, at which point that same market is slated to reach $252 billion. The American market mimics the worldwide trend of electronics comprising nearly 25 percent of profits generated.
The MarketLine study identified the leading players in international ecommerce as Groupon, eBay and Amazon, and attributes their strength to the convenience factor of online shopping. "With widespread Internet penetration and a growing trend toward reliance on online options," the report concludes, "consumers are increasingly in the habit of carrying out a growing number of activities online, from social networking to shopping. The growing consumer base for mobile devices means that people are more and more accustomed to accessing the Internet from anywhere and at any time, be it to purchase goods and services or to use online content. Making consumers aware of the safety of mobile payment will be an important factor for ecommerce market growth moving forward."
Topic: Business Strategies
Entire contents ©2019, Sumner Communications, Inc. (203) 748-2050. All rights reserved. No part of this service may be reproduced in any form without the express written permission of Sumner Communications, Inc. except that an individual may download and/or forward articles via e-mail to a reasonable number of recipients for personal, non-commercial purposes.