E-commerce exceeds $1 Trillion in 2012

E-commerce is becoming too big not to consider it a major part of your sales strategy. The following stats will certainly be the most important stats you will see in 2013. If you have been avoiding e-commerce for apparently good reasons, then you might want to reconsider your decision, especially after viewing some of the numbers mentioned in this article. Firstly, data that was made available by eMarketer shows sales in the business-to-consumer market exceeded the $1 trillion mark during 2012. This figure corresponds to more than 21% of the year-over-year growth.

Furthermore, this trend is definitely not showing signs of slowing down anytime soon, according to the data from eMarketer. An additional boost of about 18.3% is predicted for 2013, which means sales will hit the $1.3 trillion mark. You will agree that these are big numbers, but for what reason should you be bothered?

Significant change in consumer behaviour

What these figures show in addition is that a significant shift is happening worldwide. Whenever people show signs of behavioural changes, you will find that certain individuals, such as smart entrepreneurs, take note of these changes. These entrepreneurs recognise that there is an opportunity for them to become part of something new and significant.

Consumers worldwide are trading in the traditional shopping experience at shopping centres for the more convenient alternative, which is placing orders online. This is not happening because people choose to withdraw from everything else around them, but rather due to a change in mindset. Once more, according to a 2011 prediction from eMarketer, e-commerce in the mobile industry was going to reach more than $11 billion during 2012, but they were far-off. Instead, it neared the $25 billion mark by the end of 2012.

The main driver certainly seems to be price, but some online merchants have been able to retain high profit margins by differentiating and offering their customers more than their competitor.

E-commerce normally entails less distribution facilities as opposed to store locations. This means that it offers less operation costs and superior efficiency. The far better variety that e-commerce offers, and the fact that you do not have to constantly deal with store personnel that are unhelpful, makes the choice so much easier.

Worldwide trend

The growth that is evident in worldwide online sales means that any B2C or B2B business should ensure that e-commerce is a key part of their sales strategy. Drivers of e-commerce growth and the expectations of consumers leading to this growth must be recognised.

The growth of e-commerce is a worldwide phenomenon. During 2012, 33.5% of all e-commerce took place in North America, 30.5% in the Asia-Pacific regions and about 30.7% took place in Europe. Regions such as the Middle East, Africa and Latin America are still slow to respond.

What Should You Do?

The key to your success will understand your customers. Don’t assume you know what they want, ask them. Focus on the elements that are important to them. Your returns policy might be an important factor for the clothing industry. Delivery terms might be important with gift ware for those last minute gifts. Understanding your customers could be your differentiating factor from your competitors. It could be the reasons why your customers buy from you.

If you focus on understanding the needs of your customers and translate that in your online offering you will handle the shift in consumer behaviour without any trouble.