Covid-19 pandemic has significantly impacted all facets of people’s lives, including how they shop. New patterns in customers’ behavior have led to the rise of eCommerce
According to Statista, between 2024 and 2028, the US eCommerce market is projected to grow by a total of $462.7 billion, marking a 43.58% increase. This trend is expected to lead to a new peak of $1.5 trillion in 2028, following ten consecutive years of growth. It’s worth noting that the e-commerce market revenue has been steadily increasing in recent years.
Businesses need to adapt quickly to serve their customers better. Buyers now prioritize their goods differently.
Can you guess which are the most popular eCommerce product categories at the moment?
- DIY
- Shoes and clothes
- Beverages
- Food
- Electronics
- Furniture
Trending eCommerce Industries in 2024
1. DIY & Hardware
The DIY and hardware industry is adapting to eCommerce trends to enhance customer experience and engagement while maintaining the importance of physical stores. It is rapidly digitalizing to provide consumers with an omnichannel experience. It is offering options like online purchasing with in-store pickup and optimizing last-mile shipping for efficiency.
Gants like The Home Depot and Lowe’s are emphasizing the importance of mobile tools for consumers.
User-generated content, such as product reviews and unboxing videos, plays a crucial role in influencing purchasing decisions, building trust, and fostering brand loyalty.
As a result the DIY & hardware industry has seen substantial growth with a projected Compound Annual Growth Rate (CAGR) of 3.7% through 2027.
2. Fashion
The United States is one of the largest markets for fashion eCommerce, with a market size of $162.7 billion (In 2023, the global fashion eCommerce market was forecasted to reach a value of over $820 billion).
A key factor driving the rise of fashion eCommerce is data analytics. This tool assists retailers in understanding shopper behavior, improving customer experience across online and offline channels, customizing promotions based on past behaviors or preferences, and enhancing the precision of demand forecasting.
Clothing and Shoes are the two categories with the highest purchase reach in the U.S with 44% and 34% reach respectively.
3. Grocery eCommerce
In 2023, the grocery eCommerce industry in the US experienced a significant rise in sales. In fact, the industry is now on the edge of the next transformation in eCommerce, with grocery executives expecting eCommerce penetration to more than double for their own organizations in the next three to five years, to an average of 23%.
In 2024 sales are forecast to rise by 18.5% to hit $219.9 billion, exceeding the $200 billion mark for the first time.
US consumers favor Walmart and Amazon for their online grocery shopping. Walmart holds the top position with a market share of 25.7%, while Amazon follows closely behind with a market share of 22%. Combined, these two giants represent a significant portion of the online grocery market, capturing 47.7% of the market share.
4. Electronics
When it comes to seeking product inspiration or engaging in pre-purchase browsing, consumer electronics stands out as one of the most sought-after segments among shoppers in the US.
Whether it’s a smartphone, a laptop, a TV set, or a wearable smart device, nearly half of the consumers primarily seek information online before making a purchase, surpassing other product categories by a significant margin. Since the onset of the COVID-19 pandemic, U.S. shoppers have become increasingly comfortable with purchasing electronic devices online.
As a result, this industry is expected to reach a market size of 511 billion U.S. dollars by 2025, with a forecasted compound annual growth rate (CAGR) of 10.5 percent.
The most popular product categories are:
- Smartphones
- Computers
- Laptops/Tablets
- Audio Devices
- Wearables
- Other Electronic Devices
5. Furniture
Buying furniture online has evolved into a significant sector within the eCommerce realm, despite traditionally being associated with brick-and-mortar stores.
According to Statista, the household goods and home improvement category has a compound annual growth rate of 10%, beating out both the electronics and media retail eCommerce segments.
Shoppers’ reluctance to make big online purchases is holding back online furniture sales compared to other eCommerce sectors. Retailers must build trust to encourage home goods shopping online.
In the U.S brands like Wayfair, recognized by 80% of shoppers and with $14 billion in revenue, The Home Depot, with 14% of sales online, IKEA and Overstock have achieved this, attracting consistent, loyal online customers.
Wrapping up
The eCommerce market has grown rapidly to encompass a diverse range of industries operating online.
As both pure-play online businesses and traditional companies with physical locations expand their digital operations and eCommerce capabilities, they are reaching more customers globally, increasing sales, and innovating with new products and services.
Team DevriX
This article is crafted by DevriX's seasoned marketing team, boasting over four decades of collective expertise in crafting sophisticated marketing funnels, devising comprehensive content frameworks and pillars, implementing engaging email campaigns, and creating impactful social media content designed for scalability.
Our marketing experts specialize in the complete spectrum of inbound marketing strategies. As an accredited HubSpot Agency Partner and a Semrush Partner, we engage in meticulous research, blending our extensive experience with the unique insights of our highly skilled team.
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