Retailers must sell 20% more each day to compensate for the shortened eCommerce holiday season
There are six fewer days between Thanks giving and Christmas compared to last year, producing the shortest holiday shopping period since 2013. This is anticipated to affect retailers, who will need to sell 20% more each day just to surpass last year’s holiday revenue results.
NetElixir‘s 9% prediction is lower than the eCommerce growth experienced in recent holiday seasons: U.S. online sales grew 11.5% in 2018 and 13% in 2017, per the National Retail Federation (NRF).
This forecast comes after signs of a gradual slowdown in the third quarter of 2019. Online orders and revenue decreased year-over-year during this period. Another reliable barometer, the back-to-school season, generated underwhelming revenue, order, and average order value results: 9%, 7%, and 3% growth.
NetElixir attributes its projected 9% ecommerce growth to these key factors:
- Mobile shopping surges: NetElixir estimates 45% of online purchases and 72% of all searches will occur on a mobile phone.
- Better integrated fulfillment: “Near me” searches are driven by mobile devices, along with more prevalent “buy online, pick up in-store” options.
- The Voice Search Era: NetElixir estimates 35% of all mobile searches will be voice-activated, indicating less friction in the search-to-purchase process for consumers.
Read More: Empowering Employees In Tomorrow’s Workforce
Despite underperformed results, NetElixir predicts continued dominance from Amazon and further strides made by mobile shopping. Amazon’s share of total online sales is set to cross 44% this holiday season, according to NetElixir’s report. It estimates that over 65% of product searches now occur on Amazon, as the online retail giant flexes as status as the “shopper’s search engine.”
NetElixir will release results from the biggest shopping days during their 2019 Holiday Cyber 5 Webinar on Wednesday, December 4th.