This document summarizes trends in the retail industry, focusing on the growth of digital commerce. Some key points:
- Digital commerce, including purchases made online and through mobile devices, is growing significantly and now accounts for nearly 10% of total US retail sales. Growth is driven by increased smartphone and tablet usage.
- Certain categories like media/entertainment, electronics and apparel have seen over half of their sales move online. Younger traditional retailers relying mainly on in-store sales like JCPenney are struggling, while those like Gap with larger digital presences are faring better.
- Health/personal care and grocery represent major future opportunities for online sales growth, but online options must increase to meet consumer demand
Given the MakeMyTrip & JustDial IPO’s, Interest in Consumer Driven Ecommerce has increased both from Investors and Entrepreneurs. At the same time reports of Accounting Harakiri & Amazon’s announced Entry have cast a doubt on the monetization capabilities. This report studies Ecommerce in India and attempts to draw parallels within Sectors and Geographies to identify Investment opportunities
E-commerce in fashion industry
Apparel & accessories sales in US: Apparel has become an online success - Jeffrey Grau, eMarketer.
Fashion emerges as best-performing segment of ecommerce in UK - IMRG Capgemini e-Retail Sales Index.
Southeast Asia startup investments 2013: It’s all about e-commerce, fashion and women: Mobile commerce, online retail, payments, C2C marketplaces, flash sales.
eCommerce Benchmark for the Fashion Industry:
Where does the traffic come from in fashion? - Direct, Paid, Organic, CPS, CPC, Viral/Social, E-mail newsletter; social and viral media play a much bigger role in fashion.
Conversion ratios in fashion retail.
Platform for your e-store – why Magento?: Shopify, SquareSpace, Tictail, Magento; Bonobos, Nike, Christian Louboutin, MyTheresa.
Magento Enterprise Customer Success Story GANT: High performance and visual inspiration, Full screen experience, Custom campaign modules, Look book, Customized checkout, Flexible landing and content pages, Integration with multiple warehouse and ERP systems, Access rights management across multiple sites/stores, Localized payment and shipping methods;
290% increase in conversion rate, 13% increase in traffic, 35% reduction in page load time, 50% decrease in hosting costs.
Why choose Responsive Web Design?: U.S. Mobile Commerce Activities
Divante for fashion: SOLAR Company Case Study: http://divanteltd.com/blog/complex-e-commerce-implementation-fashion-brand/ .
The future of E-commerce in India and it's key driversKantinath Banerjee
In this article i am discussing about the near future of Indian E-commerce industry and the certain changes that are on the cards.#Internet #onlinemarketing #digitalmarketing #onlineadvertising #socialmedia #clickandbrick #onlineretail #flipkart #google #paidadvertising
Sample Report: Middle East B2C E-Commerce Market 2016yStats.com
Free Report Samples for our publication " Middle East B2C E-Commerce Market 2016 ".
Find the full report available for purchase at: https://ystats.com/shop/middle-east-b2c-e-commerce-market-2019/
Given the MakeMyTrip & JustDial IPO’s, Interest in Consumer Driven Ecommerce has increased both from Investors and Entrepreneurs. At the same time reports of Accounting Harakiri & Amazon’s announced Entry have cast a doubt on the monetization capabilities. This report studies Ecommerce in India and attempts to draw parallels within Sectors and Geographies to identify Investment opportunities
E-commerce in fashion industry
Apparel & accessories sales in US: Apparel has become an online success - Jeffrey Grau, eMarketer.
Fashion emerges as best-performing segment of ecommerce in UK - IMRG Capgemini e-Retail Sales Index.
Southeast Asia startup investments 2013: It’s all about e-commerce, fashion and women: Mobile commerce, online retail, payments, C2C marketplaces, flash sales.
eCommerce Benchmark for the Fashion Industry:
Where does the traffic come from in fashion? - Direct, Paid, Organic, CPS, CPC, Viral/Social, E-mail newsletter; social and viral media play a much bigger role in fashion.
Conversion ratios in fashion retail.
Platform for your e-store – why Magento?: Shopify, SquareSpace, Tictail, Magento; Bonobos, Nike, Christian Louboutin, MyTheresa.
Magento Enterprise Customer Success Story GANT: High performance and visual inspiration, Full screen experience, Custom campaign modules, Look book, Customized checkout, Flexible landing and content pages, Integration with multiple warehouse and ERP systems, Access rights management across multiple sites/stores, Localized payment and shipping methods;
290% increase in conversion rate, 13% increase in traffic, 35% reduction in page load time, 50% decrease in hosting costs.
Why choose Responsive Web Design?: U.S. Mobile Commerce Activities
Divante for fashion: SOLAR Company Case Study: http://divanteltd.com/blog/complex-e-commerce-implementation-fashion-brand/ .
The future of E-commerce in India and it's key driversKantinath Banerjee
In this article i am discussing about the near future of Indian E-commerce industry and the certain changes that are on the cards.#Internet #onlinemarketing #digitalmarketing #onlineadvertising #socialmedia #clickandbrick #onlineretail #flipkart #google #paidadvertising
Sample Report: Middle East B2C E-Commerce Market 2016yStats.com
Free Report Samples for our publication " Middle East B2C E-Commerce Market 2016 ".
Find the full report available for purchase at: https://ystats.com/shop/middle-east-b2c-e-commerce-market-2019/
Sample Report: Global B2C E-Commerce Market 2016yStats.com
Free Report Samples for our publication "Global B2C E-Commerce Market 2016".
Find the full "Europe B2C E-Commerce Market 2022" report available for purchase at: https://ystats.com/shop/europe-b2c-e-commerce-market-2022/
Intro to E-commerce in South East Asia - CitibankDavid Jou
Pomelo Fashion presents at 2014 Citibank ASEAN stars of the next decade! Includes, e-commerce growth trends in south east asia and sectors most likely to benefit from emerging mobile and social media trends.
Even if China's GDP growth slows to 5.5%, personal consumption is projected to increase by about half to $6.5 trillion, by 2020. But growth is only a part of the story: demographic, social, and technological forces will transform China's consumer economy.
“TO STUDY THE GROWTH OF E-COMMERCE INDUSTRY IN INDIA”PRABHAT PANDEY
E-commerce can be divided into 7 subsections:/
History of E-Commerce / SWOT Analysis of the E-commerce Industry / Growth in sale of the E-commerce Industry / Future Growth Prospects of Indian E-commerce Sector / Reasons for Growth of E-commerce Sector in India: / Financial Analysis of E-Commerce Industry / TOOLS OF E-COMMERCE / RESEARCH METHODOLOGY of E-commerce / a Descriptive study about E-Commerce Industry.
A compilation of statistics on connectivity, social media and online marketing in India and the world. Check interesting B2B case studies and find out where India is headed to!
Broadly, e-commerce means doing business over the internet. This implies that either goods can be delivered offline or products can be “digitalized” and delivered online. E-commerce however is marred by serious drawbacks. India only has 100 million active internet users. This implies that the internet usage in India is pretty poor. The problem is further aggravated by the fact that there is low credit card penetration coupled with slow internet speeds and fulfillment issues. As of today e-commerce is merely a 10 billion dollar market in India which is 1/6th of the US market. Despite this gloomy scenario, there are some important trends in e-commerce to look out for. This includes the fact that offline retailers are trying to go online, media biggies are getting into e-commerce, e-commerce platforms are gaining traction and mobile commerce is just beginning to take off, examples being banks and Indian Railways.
7 ecommerce trends to keep your eye on this year.
From the importance of same-day-delivery, to why you should ensure your pages are ready for action on mobile devices, GoSquared dives into the 7 key trends affecting the ecommerce landscape in 2014.
For more ecommerce analytics, trends, insights, and data-backed stories, check out the GoSquared Blog: http://gosquared.com/blog
P.S. This is our first ever Slideshare – we hope you like it!
An explanation of eCommerce Trends for 2015. Discussion of eCommerce on Mobile, Responsive Design, UPS and FedEx Dimensional Weight Changes, and advice for eCommerce Startups. Presented at #TechCampMemphis 2014 on November 1st, 2014.
A scholarly article depicting a multi-dimensional perspective of e-commerce in India - Indian #e commerce industry is it attractive for business or consumer by Alvis Lazarus.
Indian grocery traditionally has been a primarily unorganized market, wherein more than 90% of the market is driven by traditional ‘kirana stores. However, in the past decade or so, organized brick & mortar and online channels have gained prominence. Online grocery has been boosted by covid-19 related tailwinds, with the GMV run-rates of major players growing by 70%+ during the period. This has led to an increased focus on the sector by large conglomerates as well as mature online players.
During Covid, while there were some challenges in the initial days of the lockdown, the segment has grown significantly. Most notably, fresh vegetables and fruits have seen 144% growth, while FMCG products grew 150%. While a lot of this growth will normalize to some extent as the COVID situation subsides, a significant portion of new users will persist and drive growth.
With the increasing demand and competition, it becomes imperative for brands to stay ahead by making data-driven decisions. In order to equip the brands to win in the online space, BigBasket Brand Intelligence and RedSeer have partnered to author this report. The idea here is to combine high-quality RedSeer IP on broader trends in the sector and BigBasket’s grocery expertise to create a ready-reckoner for brands, as they make strategic, product or channel-related decisions.
This report is an abridged version of the larger report which can be subscribed as per need. Besides the key trends of the sector, customer insights etc., this report deep dives on key categories such as Snacks & Packaged Foods, Beverages, Personal Care and Home Utilities, we present the quarterly growth in sales in the past 5 quarters with various sub-category splits.
Trends in eCommerce in India - Powered by Hoppingo.comHoppingo
Year 2014 has been very promising in terms of new eCommerce companies getting established, companies getting huge investments from investors like Tiger Global, Soft Bank etc. Billion has become new million, when it comes to investment in this sector and e-commerce became one of the most sought after investment choice.
We, at Hoppingo, have listed some of the trends that are hitting eCommerce in 2015.
Do let us know if you think differently!
"The Shopping Cart is Dead" - The Future of CommercePhillip Jackson
A new wave of commerce is upon us but it isn't going to be powered by the catalog-based shopping paradigms of 1990's dotcoms. Instead, this new wave of digital commerce will be powered by our voices, by our presence, by our social currency.
Presented at Magento Imagine 2016 this talk is intended for marketers, developers and store owners thinking about the future of their online business and how to anticipate the new customer acquisition channels in the years to come.
Future of commerce: Understanding Southeast Asian consumers- AccentureAccenture ASEAN
Consumer packaged goods (CPG) companies must embrace digital commerce to win in an estimated US$340 billion worth of market growth in Asia Pacific.
The sales and marketing ecosystem is changing because of a new generation of consumers in Asia and pervasive digital technologies.
Our research shows that consumers in Asia are not satisfied with their purchase journeys. They seek a single platform where they can act on impulse buy decisions, get tailored product recommendations, and are always connected to their favorite brands.
CPG companies need to bridge existing gaps in consumers’ purchase journeys and provide seamless shopping experiences by building their ecommerce capabilities.
Sample Report: Global B2C E-Commerce Market 2016yStats.com
Free Report Samples for our publication "Global B2C E-Commerce Market 2016".
Find the full "Europe B2C E-Commerce Market 2022" report available for purchase at: https://ystats.com/shop/europe-b2c-e-commerce-market-2022/
Intro to E-commerce in South East Asia - CitibankDavid Jou
Pomelo Fashion presents at 2014 Citibank ASEAN stars of the next decade! Includes, e-commerce growth trends in south east asia and sectors most likely to benefit from emerging mobile and social media trends.
Even if China's GDP growth slows to 5.5%, personal consumption is projected to increase by about half to $6.5 trillion, by 2020. But growth is only a part of the story: demographic, social, and technological forces will transform China's consumer economy.
“TO STUDY THE GROWTH OF E-COMMERCE INDUSTRY IN INDIA”PRABHAT PANDEY
E-commerce can be divided into 7 subsections:/
History of E-Commerce / SWOT Analysis of the E-commerce Industry / Growth in sale of the E-commerce Industry / Future Growth Prospects of Indian E-commerce Sector / Reasons for Growth of E-commerce Sector in India: / Financial Analysis of E-Commerce Industry / TOOLS OF E-COMMERCE / RESEARCH METHODOLOGY of E-commerce / a Descriptive study about E-Commerce Industry.
A compilation of statistics on connectivity, social media and online marketing in India and the world. Check interesting B2B case studies and find out where India is headed to!
Broadly, e-commerce means doing business over the internet. This implies that either goods can be delivered offline or products can be “digitalized” and delivered online. E-commerce however is marred by serious drawbacks. India only has 100 million active internet users. This implies that the internet usage in India is pretty poor. The problem is further aggravated by the fact that there is low credit card penetration coupled with slow internet speeds and fulfillment issues. As of today e-commerce is merely a 10 billion dollar market in India which is 1/6th of the US market. Despite this gloomy scenario, there are some important trends in e-commerce to look out for. This includes the fact that offline retailers are trying to go online, media biggies are getting into e-commerce, e-commerce platforms are gaining traction and mobile commerce is just beginning to take off, examples being banks and Indian Railways.
7 ecommerce trends to keep your eye on this year.
From the importance of same-day-delivery, to why you should ensure your pages are ready for action on mobile devices, GoSquared dives into the 7 key trends affecting the ecommerce landscape in 2014.
For more ecommerce analytics, trends, insights, and data-backed stories, check out the GoSquared Blog: http://gosquared.com/blog
P.S. This is our first ever Slideshare – we hope you like it!
An explanation of eCommerce Trends for 2015. Discussion of eCommerce on Mobile, Responsive Design, UPS and FedEx Dimensional Weight Changes, and advice for eCommerce Startups. Presented at #TechCampMemphis 2014 on November 1st, 2014.
A scholarly article depicting a multi-dimensional perspective of e-commerce in India - Indian #e commerce industry is it attractive for business or consumer by Alvis Lazarus.
Indian grocery traditionally has been a primarily unorganized market, wherein more than 90% of the market is driven by traditional ‘kirana stores. However, in the past decade or so, organized brick & mortar and online channels have gained prominence. Online grocery has been boosted by covid-19 related tailwinds, with the GMV run-rates of major players growing by 70%+ during the period. This has led to an increased focus on the sector by large conglomerates as well as mature online players.
During Covid, while there were some challenges in the initial days of the lockdown, the segment has grown significantly. Most notably, fresh vegetables and fruits have seen 144% growth, while FMCG products grew 150%. While a lot of this growth will normalize to some extent as the COVID situation subsides, a significant portion of new users will persist and drive growth.
With the increasing demand and competition, it becomes imperative for brands to stay ahead by making data-driven decisions. In order to equip the brands to win in the online space, BigBasket Brand Intelligence and RedSeer have partnered to author this report. The idea here is to combine high-quality RedSeer IP on broader trends in the sector and BigBasket’s grocery expertise to create a ready-reckoner for brands, as they make strategic, product or channel-related decisions.
This report is an abridged version of the larger report which can be subscribed as per need. Besides the key trends of the sector, customer insights etc., this report deep dives on key categories such as Snacks & Packaged Foods, Beverages, Personal Care and Home Utilities, we present the quarterly growth in sales in the past 5 quarters with various sub-category splits.
Trends in eCommerce in India - Powered by Hoppingo.comHoppingo
Year 2014 has been very promising in terms of new eCommerce companies getting established, companies getting huge investments from investors like Tiger Global, Soft Bank etc. Billion has become new million, when it comes to investment in this sector and e-commerce became one of the most sought after investment choice.
We, at Hoppingo, have listed some of the trends that are hitting eCommerce in 2015.
Do let us know if you think differently!
"The Shopping Cart is Dead" - The Future of CommercePhillip Jackson
A new wave of commerce is upon us but it isn't going to be powered by the catalog-based shopping paradigms of 1990's dotcoms. Instead, this new wave of digital commerce will be powered by our voices, by our presence, by our social currency.
Presented at Magento Imagine 2016 this talk is intended for marketers, developers and store owners thinking about the future of their online business and how to anticipate the new customer acquisition channels in the years to come.
Future of commerce: Understanding Southeast Asian consumers- AccentureAccenture ASEAN
Consumer packaged goods (CPG) companies must embrace digital commerce to win in an estimated US$340 billion worth of market growth in Asia Pacific.
The sales and marketing ecosystem is changing because of a new generation of consumers in Asia and pervasive digital technologies.
Our research shows that consumers in Asia are not satisfied with their purchase journeys. They seek a single platform where they can act on impulse buy decisions, get tailored product recommendations, and are always connected to their favorite brands.
CPG companies need to bridge existing gaps in consumers’ purchase journeys and provide seamless shopping experiences by building their ecommerce capabilities.
Direct to consumer is a major growth platform for any brand and retailer today. With the rise in e-commerce, companies are offering innovative solutions to help shoppers enjoy a less costly, more convenient, and most of all more satisfying shopping experience.
The retail industry is undergoing a dramatic shift: e-commerce is capturing a larger share of sales than ever before.
We've created a slideshow highlighting the retail categories where e-commerce is having the most impact — media, electronics, apparel — and where there is still opportunity for disruption. The shift away from physical retail toward digital retail is happening faster than many observers expected.
Downloadable versions of this deck — including charts and data in Excel — are available exclusively to BI Intelligence subscribers.
Speaking and moderating #eFokus conference about the future of e commerce 2015 at the eHandelsforum in Oslo earlier this year. You might say that my main point was that we should focus on the now and worry about the future later.
Future of payments - Insights from Discussions Building on an initial perspe...Future Agenda
The initial perspective on the Future of Loyalty by MasterCard kicked off the Future Agenda 2.0 global discussions taking place through 2015. This summary builds on the initial view and is updated as we progress the futureagenda2.0 programme. www.futureagenda.org
Westside Future Fund Retail Market Analysis June 2016JBHackk
A report by Bleakly Advisory Group on retail potential for Westside Atlanta as part of the Westside Future Fund's Land-Use Action Plan. Included in the report is an executive summary and definition of the study area, supply and demand conditions, assessment of future retail and locations, and a retail site selection primer.
Internet influence young people to do good behavoiurImtiaz alam
A Slide about how the Internet influence young people to do good behavior
This slide may seem a little confusing because this was presented in a debate competition
Finding the Retail Omnichannel Sweet Spots InfographicChief Optimist
This infographic depicts the how the merging of the physical and digital worlds of retail creates the omnichannel experience (a sweet spot for retailers).
This study shows how these two modes of interaction trigger specific behaviors such as online shopping, and which devices people are using at the various stages of these interactions.
The Social Retailer: what ‘social’ means for the future of commerceTara Hunt
Most retailers are having a tough enough time keeping their inventory fresh and up to date, let alone trying to figure out how to leverage the newest, latest, greatest social platform for reaching potential customers. The good news is that leveraging the social web isn't about hopping on the newest, latest, greatest social platform. It's about thinking about your business - internally and externally - as a social organization. And what does that mean? Tara Hunt, one of the pioneers of the social web will talk about how to become a social organization without having to keep up with Twitter and how harnessing the innate socialness of the web can help you connect with your customers and build your business.
Los Servicios Públicos que sirven a las Ciudades Moderna exigen máximos niveles de disponibilidad, la Venezuela de hoy sufre una crisis sistémica de los servicios públicos
The Adobe Digital Index (ADI) “Holiday 2015 Predictions” are in, and if the forecast is on the mark, it’s quite a jolly one for brands and retailers. One key number: Cyber Monday is expected to hit $3 billion in online sales for the first time, a 13.2% increase year-over-year (YoY).
The evolving COVID-19 pandemic landscape demands new insights to track the digital economy. This Slideshare from Adobe shares how Adobe’s analytics can help marketers make sense of this complicated moment.
Consumers spent $83 billion online during the 2015 holiday season, 12.7% more than they spent in 2014, according to data from Adobe Digital Index (ADI). What’s more, between November 22 and December 22, there were 31 days of at least $1 billion in online sales, a drastic increase in billion-dollar days over years past. Also, the biggest growth year-over-year (YoY) in online sales, according to ADI, occurred the week before Christmas.
The presentation highlights how Covid-19 (Corona Virus) has impacted Global Ecommerce. It talks about Customer Sentiments, The categories that have performed well, and the categories that have declined during this period. The presentation also shares how industries have come together and offerings different offers to the community.
2013 was the shortest online shopping season since 2002 with only 27 days between Thanksgiving and Christmas. Despite the condensed season, online sales grew by 18% over last year, and November plus December accounted for 27% of total annual sales for the average US retailer; a higher share than any other country.
As a new generation of local technology companies approach the public markets, it’s critical for us to agree on what “local” actually means today — and how that differs from the its definition a decade ago. New technologies and the intelligence of the Web are coming together to radically reshape local commerce — we’re witnessing the rise of a new connected local economy.
Mary Meeker Internet Trends Report for 2019Eric Johnson
Mary Meeker Internet Trends Report for 2019 - Mary Meeker has been a leading analyst and guru for all things internet business for many years. This report outline's Ms Meeker's review of trends for the year 2019. Topics include:
1) Users
2) E-Commerce + Advertising
3) Usage...
4) Freemium Business Models
5) Data Growth
6) ...Usage
7) Work
8) Education
9) Immigration + USA Inc.
10) Healthcare
11) China (Provided by Hillhouse Capital)
Neto State of Ecommerce Report: Retail Year in Review 2017Neto
This year, technology has continued to present both challenges and opportunities for almost every industry, and retail has not been immune. Artificial intelligence, voice recognition, virtual reality and the Internet of Things (IOT) have all had a huge impact on both retailers and consumer behaviour.
Consumer habits and preferences are changing with regards to the way they shop, where they shop, when they shop, and how they pay for things. Shoppers expect a seamless, omni-channel experience that delivers the best value, every time.
And it’s up to retailers to deliver.
Learn how your ecommerce business measures up and how you can tailor your business to the changing needs of consumers.
Technology is a conduit for new experiences at any age, income, or level of tech savviness. Each year at the Consumer Electronics Show we get a glimpse into the future, and Adobe is in a unique space to see how consumers are adopting and utilizing this technology in their day to day lives.
4. We define “digital commerce” as purchases
that are made on desktop and mobile computers.
Source: US Economic Census
0%
2%
4%
6%
8%
Q1 2010 Q1 2011 Q1 2012 Q1 2013 Q1 2014 Q1 2015
Share Of US Retail Sales From Digital
Quarterly
5. Nearly all growth in retail now comes from this segment.
Source: US Economic Census
0%
5%
10%
15%
20%
25%
Q1 2010 Q1 2011 Q1 2012 Q1 2013 Q1 2014 Q1 2015
US Retail Sales, Year-Over-Year Growth
Overall Retail Digital Commerce
6. So what’s driving digital commerce growth?
Source: US Census, BI Intelligence
3.5%
14.8%
Overall Retail Digital Commerce
Annual Growth In 2015
US
7. Consumers are using smartphones and tablets
more as purchasing devices.
Source: US Economic Census, comScore
$0
$200
$400
$600
$800
$1,000
Q1 2012 Q1 2013 Q1 2014 Q1 2015
Billions
Overall US Digital Sales
Mobile Desktop
8. Social networks are now driving
more e-commerce than email.
Source: AddShoppers, Internet Retailer, BI Intelligence Estimates
$1,461
$652
$423 $422 $422
$59
Facebook Twitter Pinterest E-mail Google+ Other
E-Commerce Revenue Generated
From Social Media
Top 500 Retailers, Global, 2014
Estimates in millions
9. And shopping sites have gone global, allowing people
to shop wares from all around the world.
Source: Company Filings, BI Intelligence Estimates
0
50
100
150
200
250
300
350
400
Q2 2012 Q4 2012 Q2 2013 Q4 2013 Q2 2014 Q4 2014
Millions
Active Buyers On Top E-Commerce Marketplaces
Trailing 12 months; Global
Alibaba (Includes
Tmall and Taobao)
Amazon
eBay
Groupon
Etsy
Zalando
10. From a macro perspective, digital commerce
may not seem like much compared to in-store retail.
Source: US Economic Census, comScore
$0
$200
$400
$600
$800
$1,000
$1,200
$1,400
Q1 2012 Q1 2013 Q1 2014 Q1 2015
Thousands Overall US Retail Sales
In-store
Digital
(mobile +
desktop)
11. But look closer, by product category...
Source: US Economic Census, BI Intelligence
0%
10%
20%
30%
40%
50%
60%
2005 2007 2009 2011 2013 E2015
Digital's Share Of US Retail Sales
Media, Sporting, and Hobby Goods
Electronics, Appliances, Computers
Clothing and Accessories
Furniture and Home Furnishings
Health and Personal Care
Food and Beverage
12. And you’ll see that e-commerce is booming.
Source: US Economic Census, BI Intelligence
$0
$10
$20
$30
$40
$50
$60
$70
2005 2007 2009 2011 2013 E2015
Billions
US Digital Retail Sales, By Category
Clothing and Accessories
Media, Sporting, and Hobby Goods
Furniture and Home Furnishings
Electronics, Appliances, Computers
Health and Personal Care
Food and Beverage
13. 0%
10%
20%
30%
40%
50%
60%
2005 2007 2009 2011 2013 E2015
Digital's Share Of US Retail Sales
Media, Sporting, and Hobby Goods
Electronics, Appliances, Computers
Clothing and Accessories
Furniture and Home Furnishings
Health and Personal Care
Food and Beverage
The “Media, Sporting, and Hobby Goods” Category
is leading the way.
Source: US Economic Census, BI Intelligence
14. Over 50% of these sales in the US now occur online.
Source: US Economic Census, BI Intelligence
Digital
In-store
$0
$20
$40
$60
$80
$100
2005 2007 2009 2011 2013 E2015
Billions
US Sales Of Media, Sporting,
and Hobby Goods
15. And digital media has become the fastest growing
e-commerce category in the US.
Source: ComScore 2015
-1%
2%
6%
6%
7%
8%
14%
14%
14%
15%
15%
17%
20%
21%
27%
Jewelry and Watches
Books and Magazines
Flowers and Gifts
Music, Movies, Videos
Video Games and Consoles
Event Tickets
Consumer Electronics
Toys and Hobby Goods
Home and Garden
Furniture and Appliances
Office Supplies
Sport and Fitness
Apparel and Accessories
Consumer Packaged Goods
Digital Content
YoY Growth of E-Commerce Sales, By Category
US 2014/2013
16. 0%
10%
20%
30%
40%
50%
60%
2005 2007 2009 2011 2013 E2015
Digital's Share Of US Retail Sales
Media, Sporting, and Hobby Goods
Electronics, Appliances, Computers
Clothing and Accessories
Furniture and Home Furnishings
Health and Personal Care
Food and Beverage
The “Electronics” category isn’t far behind.
Source: US Economic Census, BI Intelligence
17. Over 50% of these sales in the US now occur online.
Source: US Economic Census, BI Intelligence
Digital
In-store
$0
$20
$40
$60
$80
$100
$120
2005 2007 2009 2011 2013 P2015
Billions
US Sales Of Electronics And Appliances
18. Leading to the decline of some traditional retailers.
RadioShack filed for
bankruptcy in early 2015
after 11 consecutive
quarterly losses; the
company has since been
bailed out by Sprint.
19. 0%
10%
20%
30%
40%
50%
60%
2005 2007 2009 2011 2013 E2015
Digital's Share Of US Retail Sales
Media, Sporting, and Hobby Goods
Electronics, Appliances, Computers
Clothing and Accessories
Furniture and Home Furnishings
Health and Personal Care
Food and Beverage
The “Apparel” category is close behind.
Source: US Economic Census, BI Intelligence
20. Approximately one-fourth of apparel sales in the US
now occur online.
Source: US Economic Census, BI Intelligence
Digital
In-store
$0
$50
$100
$150
$200
$250
$300
2005 2007 2009 2011 2013 E2015
Billions
US Sales Of Apparel
21. But younger shoppers still prefer the flexibility
of shopping for clothes at stores and online.
Source: Piper Jaffray
36%
19%
36%
39%
64%
81%
64%
61%
Fall 2013 Spring 2014 Fall 2014 Spring 2015
US Teens Preferences When Purchasing
Clothing OnlineOnline-Only Retailers
Online Retailers With
Stores
22. So while many traditional apparel retailers are holding on
by a thread, the ones that survive will be those that diversify
into e-commerce.
Source: Shutterstock
23. Let’s see how those traditional apparel retailers
are faring...
Source: AP
24. JCPenney relies way too heavily on in-store sales,
which account for 99% of its business.
Source: JCPenney, Internet Retailer, BI Intelligence Estimates
Digital
In-store
0
5
10
15
20
25
2004 2006 2008 2010 2012 2015
Billions
JCPenney Annual Retail Sales
Global
25. And JCPenney’s growth has been inconsistent,
trending downward overall.
Source: JCPenney, Internet Retailer, BI Intelligence Estimates
-40%
-20%
0%
20%
40%
2006 2007 2008 2009 2010 2011 2012 2013 2014
JCPenney Sales Growth
Global, year-over-year
Digital In-store
26. Gap’s business is much more diversified than
JC Penney’s; 15% of Gap sales come from digital.
Source: Gap, Internet Retailer, BI Intelligence
Digital
In-store
$0
$4
$8
$12
$16
$20
2007 2008 2009 2010 2011 2012 2013 2014
Billions
Gap Annual Retail Sales
Global
27. And although Gap’s growth is decelerating,
it’s still trending upwards overall.
Source: Gap, Internet Retailer, BI Intelligence
-20%
-10%
0%
10%
20%
30%
2008 2009 2010 2011 2012 2013 2014
Gap Sales Growth
Global, year-over-year
Digital In-store
28. Furniture has been steadily disrupted by shoppers
going online to purchase home goods.
Source: US Economic Census, BI Intelligence
0%
10%
20%
30%
40%
50%
60%
2005 2007 2009 2011 2013 E2015
Digital's Share Of US Retail Sales
Media, Sporting, and Hobby Goods
Electronics, Appliances, Computers
Clothing and Accessories
Furniture and Home Furnishings
Health and Personal Care
Food and Beverage
29. Digital now accounts for 28% of furniture sales in the US.
Source: Us Economic Census, BI Intelligence
Digital
In-store
$0
$20
$40
$60
$80
$100
$120
$140
$160
2005 2006 2007 2008 2009 2010 2011 2012 2013 E2014 P2015
Billions
US Sales Of Furniture
30. Now the categories with the greatest potential
for disruption…
Source: Flickr/Foad Hersi, Jamie
31. Health and Personal Care is on deck to be completely
disrupted by e-commerce.
Source: US Economic Census, BI Intelligence
0%
10%
20%
30%
40%
50%
60%
2005 2007 2009 2011 2013 E2015
Digital's Share Of US Retail Sales
Media, Sporting, and Hobby Goods
Electronics, Appliances, Computers
Clothing and Accessories
Furniture and Home Furnishings
Health and Personal Care
Food and Beverage
32. Americans today spend over $300 billion a year buying health
and care products. Only 7% of that is done online.
Source: US Census, eMarketer, BI Intelligence
Online Sales
Offline Sales
$0
$100
$200
$300
$400
2001 2003 2005 2007 2009 2011 2013 E2015 E2017 E2019
Billions
US Sales Of Health And Personal Care Products
33. But by 2020, digital will account for $1 in every
$10 spent on health and care products.
Source: US Census, eMarketer, BI Intelligence Estimates
0%
4%
8%
12%
2001 2003 2005 2007 2009 2011 2013 E2015 E2017 E2019
E-Commerce Share Of Health And Personal Care Retail
Sales
US
34. That’s nearly $40 billion.
Source: US Census, eMarketer, BI Intelligence
$0
$5
$10
$15
$20
$25
$30
$35
$40
$45
2001 2003 2005 2007 2009 2011 2013 E2015 E2017 E2019
Billions
US E-Commerce Sales Of
Health And Personal Care Products
35. Among health and beauty shoppers, Amazon
is the most popular e-commerce destination.
Source: AT Kearney, 2014
18% 18% 19% 20% 22% 23% 24% 25% 25% 27% 28%
32%
35%
42%
73%
Where US Consumers Shop Online For Personal Care
And Beauty Products
36. Four out of ten online health and beauty shoppers
use subscription services to refill products they need.
Source: AT Kearney, May 2014
No
62%
Tools, 1%
Fragrances, 3%
Nail Care, 4%
Color Cosmetics, 5%
Hair Care, 5%
Personal Care, 6%
Skin Care, 8%
Other, 6%
Yes
38%
Subscription E-Commerce Services: Health And
Personal Care Products
US, 2014
A) Do you use subscription services in order to
receive health and personal care products on a
recurring basis?
B) For which types of products?
37. Birchbox capitalizes on this and generates over a quarter-billion
dollars every year from its beauty subscription business.
Source: News Announcements, BI Intelligence
74 250
533
1,152
2,304
$0
$50
$100
$150
$200
$250
$300
2010 2011 2012 2013 2014 E2015
Millions
Birchbox Subscription Business Annual Revenue
BI Intelligence Estimates
Subscribers (In Thousands) Subscription Revenue
38. But Amazon is the most popular e-commerce destination for
everyday products.
Source: comScore
175.09
81.92
50.84
7.84 3.38 2.98 0.91
Amazon Walmart Target Kroger Safeway SuperValu Albertsons
Monthly Visitors To Online CPG Shopping Destinations
US, March 2015
In Millions
39. Groceries are the biggest opportunity in e-commerce.
Source: US Economic Census, BI Intelligence
0%
10%
20%
30%
40%
50%
60%
2005 2007 2009 2011 2013 E2015
Digital's Share Of US Retail Sales
Media, Sporting, and Hobby Goods
Electronics, Appliances, Computers
Clothing and Accessories
Furniture and Home Furnishings
Health and Personal Care
Food and Beverage
40. Americans spend $600 billion a year buying groceries, but
less than 1% of that is online.
Source: BI Intelligence
$0
$200
$400
$600
$800
2002 2004 2006 2008 2010 2012 E2014 E2016 E2018
Billions
US Grocery Sales Forecast
Offline
Online
41. Demand isn’t the issue. Consumers of all ages are willing to
try grocery e-commerce services.
Source: Nielsen
9%
17%
22%
30%
28%
35%
48%
57%
57%
55%
Silent Generation (65+)
Baby Boomers (50-64)
Generation X (35-49)
Millennials (21-34)
Generation Z (15-20)
Consumers Ordering Groceries Online For Home Delivery, By Age
(Global)
Already Using
Willing To Use
42. And cultural differences aren’t the issue either.
Demand spans all geographic markets.
Source: Nielsen
13%
12%
13%
19%
37%
50%
55%
65%
58%
53%
Europe
North America
Latin America
Middle East-Africa
Asia-Pacific
Consumers Ordering Groceries Online For Home Delivery
By Region
Already Using
Willing To Use
43. Source: Lonely Planet via Getty Images
So what is holding back digital from disrupting groceries?
44. The issue is that consumers don’t have the option.
Only 5% of supermarkets offer mobile ordering.
Source: AppLovin, July 2014
83%
75% 73%
50%
5%
Online Retail Department Store Restaurant Chain Pharmacy Supermarket
Share Of Top US Retailers With An App That
Has Purchasing Capabilities
Top 100 Retailers By Segment
45. And we know that consumers want to order
groceries on mobile.
Source: PricerwaterhouseCoopers, October 2014
63% 68% 73% 74% 80% 84% 86% 86% 89%
37% 32% 27% 26% 20% 16% 14% 14% 12%
Grocery
Furniture
Healthandbeauty
Sportsequipment
Jewelry
Householdappliances
Apparel
Books,music,movies
Electronics
Breakdown Of E-Commerce Sales By Channel
US
PC Mobile
46. Consumers spend more money when buying groceries online
than if they were in a supermarket.
Source: Greycroft Science, Earnest Research
$61.20
$71.07 $68.47
$79.70
$112.63
$166.83
$42.18
$49.38 $51.79 $52.32
Average Order Value, E-Commerce Grocery Services
And Traditional Supermarkets
Repeat customers only; February 2015
Fixed Subscription Subscription + Choice A la Carte Traditional Grocery
47. And online grocery shoppers make multiple
orders per month.
Source: Greycroft Science, Earnest Research
2.35
2.18 2.18
2.89 2.9
1.73 1.83
3.59
2.17
2.83
Transactions Per Month Per Customer,
E-Commerce Grocers And Traditional Supermarkets
Repeat customers only
Fixed Subscription Subscription + Choice A La Carte Traditional Grocery
48. Especially those repeat customers.
Source: Greycroft Science, Earnest Research
1.76
1.52
1.69 1.65
2.35
2.18 2.18
2.89
Blue Apron Hello Fresh Plated Instacart
Transactions Per Month Per Customer,
By E-Commerce Grocery Service
New customer Repeat customer
49. Online grocers, such as FreshDirect, are generating 2x more
money per customer per month than traditional supermarkets.
Source: Greycroft Science, Earnest Research
$144 $155 $149
$230
$327
$289
$77
$177
$112
$148
Average Spending Per Customer Per Month,
E-Commerce Grocers And Traditional Supermarkets
Fixed Subscription Subscription + Choice A La Carte Traditional Grocery
50. We estimate that Instacart will handle $600 million
a year in online grocery orders by 2016.
Source: News Filings, BI Intelligence
$0
$100
$200
$300
$400
$500
$600
$700
2012 2013 2014 P2015 E2016
Millions
Instacart Annual Sales Handled
BI Intelligence Estimates
51. Now let’s look at how the mass merchants are faring: the
retailers that sell all of these products.
54. Walmart still relies heavily on brick-and-mortar sales.
Source: Walmart, Internet Retailer, BI Intelligence
$0
$100
$200
$300
$400
$500
$600
2010 2011 2012 2013 2014
Billions
Walmart Annual Sales
Global
In-store Digital
55. As does Target.
Source: Target, Internet Retailer, BI Intelligence
$0
$10
$20
$30
$40
$50
$60
$70
$80
2011 2012 2013 2014
Billions
Target Annual Sales
Digital
In-store
56. But Target leads Walmart when it comes to e-commerce.
Source: Target, Walmart, BI Intelligence
0.0%
0.5%
1.0%
1.5%
2.0%
2.5%
3.0%
3.5%
4.0%
4.5%
2011 2012 2013 2014
E-Commerce Share Of Revenues
Target Walmart
57. Conversion rates are rising on mass merchant e-commerce sites, which
means that shoppers aren’t just browsing online, they are buying.
Source: Kantar Retail ShopperScape, December of each year
31%
46% 46%
80%
36%
49%
56%
86%
36%
54% 56%
82%
48%
58% 60%
85%
58%
63%
66%
89%
Target.com Kohls.com Walmart.com Amazon
Holiday E-Commerce Conversion Rate
Shoppers who purchased on website as % of total website visitors
*Desktop-only, US-only
2010 2011 2012 2013 2014
58. And digital isn’t just disrupting how people shop,
it’s also changing the way they receive their purchases.
Source: Flickr, US Department of Labor
59. Consumers are demanding faster delivery.
Source: Stony Brook University
4%
31%
35%
23%
7%
Same or next day Two to three days Four to five days More than five days Depends
Delivery Speed Option Selected Most Often
Answered by US e-commerce shoppers
Q1 2015
60. So retailers are getting competitive with lower thresholds for
free shipping.
Source: Company info
$99 $99
$75
$50 $50
$35
$25
JCPenney.com Macys.com Kohls.com Walmart.com Gap.com Amazon.com Target.com
Minimum Order Value Required For
Free Standard Shipping
US, February 2015
*Note: As of February 24, 2015
61. The demand for fast shipping has benefitted on-demand
delivery startups like Postmates.
Source: Postmates, BI Intelligence Estimates
0
200
400
600
800
1,000
1,200
1,400
1,600
May-12 Sep-12 Jan-13 May-13 Sep-13 Jan-14 May-14 Sep-14 Jan-15
Thousands
Postmates Cumulative Deliveries
US-only
62. Retailers and shippers will look to technology to lower the cost of delivery,
which is why companies—from Google to Uber to Amazon—are interested
in autonomous vehicles.
Source: ARK Research
$2.25
$2.15
$0.76
$0.25
San Francisco Taxi UberX Personal Vehicle *Shared Autonomous
Vehicle
Estimated Cost Per Mile Of Vehicle Services For Consumers
US
*Estimate for the year 2020
63. And they’ll also look to technology to help
increase the speed of delivery.
Source: ARK Investment Management, Company info
Amazon Prime Air*
$1.00
Amazon Same-Day
$8.99
Google Shopping
$4.99
UPS Ground
$12.92
FedEx Ground
$8.32
USPS Priority 1-Day
$5.25
$0
$2
$4
$6
$8
$10
$12
$14
DeliveryFee
Delivery Fee That Consumers Pay For A Small Package
2.2kg (5lb) package delivered within 16.1km (10 miles) in the US
30 MINUTES SAME-DAY NEXT-DAY
*Launch date unknown, and delivery fee is an estimate
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