According to eMarketer, US eCommerce sales are expected to be more than $1 trillion by the end of 2022, with a 9.4% increase YoY.
The pandemic shopping habits consumers over the past two years are here to stay, which is why
eCommerce is expected to continue to make up a larger share of retail sales this year. Despite high inflation, consumers are keeping up with the rising costs of essential items like food and household products. But analysts do anticipate growth to slow in discretionary categories like apparel, toys and hobbies, and furniture and home furnishing.
Amazon Continues to Lead in eCommerce.
Leveraging fast shipping and competitive pricing, Amazon continues to lead eCommerce sales in 2022, with 37.8% of total sales.
Back-To-School To See Slight Increase in Sales.
While it’s predicted back-to-school eCommerce shopping will see a slight (6.8%) increase from last year, holiday eCommerce sales are expected to see an overall 15.5% increase.
Holiday Retail Sales Expected to Increase.
We expect 2022 holiday retail sales to increase 3.3% to $1.262 trillion, with brick-and-mortar
increasing 0.9% to $1.026 trillion and ecommerce climbing 15.5% to $235.86 billion.
Consumer spending momentum and an extended holiday shopping season should contribute
to topline gains, but inflation, supply chain instability, and rising digital ad costs are likely to hit
retailers’ bottom lines
While consumer spending is increasing, the unstable supply chain, inflation, and growing ad costs, may impact retailers’ bottom lines, especially for companies with non-essential products.
Always-On Holiday Thinking.
Faced with supply chain disruptions and rising inflation, consumers will most likely turn to brands they know they can trust as they search for the best deals and prices.
In order to be successful in the eCommerce marketplace, brands must establish themselves early to stay in the top-of-mind for consumers. The shift to an “always on” holiday season allows consumers to break away from traditional holiday shopping days like Black Friday, Small Business Saturday, Cyber Sunday, and Cyber Monday.
What Brands Should Do Today
Ensure you are promoting a strong evergreen eCommerce presence and plan to run media for large events like back-to-school and holiday shopping season early (not just Q4), because consumers are shopping earlier to avoid inventory/supply chain issues.
In other words, you want to execute a strategic media plan in place for the upcoming shopping season, which is starting right now. If you need assistance with your eCommerce, marketplaces or overall media plan, please contact us today. We are ready to help.