eCommerce is estimated to account for 20% of global retail sales by the end of 2022 (Statista). As the importance of this segment is increasing, we want to help you stay on top of the competition. Based on our research, we put together a list of trends that are shaping the industry in 2022.
Details about the report
Between April and May 2022, we at Aqurate, have gathered market data across 7 different verticals in our yearly InsightOut Map report. The report’s purpose is to assess the digital competitiveness in the Romanian eCommerce market, through a representative fraction of 48 players, all of them leaders within their vertical.
According to our research, digital competitiveness within the industry is split into: Digital Presence and Digital Maturity. Aqurate’s methodology computes 6 dimensions, 16 sub-dimensions, and 41 features. The categories included in this year’s report are Fashion, Electronics, Cosmetics, Books, Home, Baby&Toddler, and Brico (DIY). Resulting from the InsightOut Map 2022, here are 4 interesting trends to keep an eye on!
Trend #1 - Online traffic levels are fluctuating
If we were to take a snapshot of the current circumstances, online retailing finds itself in a hotspot, as traffic is steadily decreasing from an all-time high reached in 2021. Customers are dividing their attention between online and brick-and-mortar shops again.
This has caused an uneven decrease in traffic for certain retail categories, with the Electronics category seeing an average reduction of 8%.
One potential explanation for this decrease is the macroeconomic situation, marked by an ongoing pandemic, political tensions, a war, growing inflation, and logistical issues. These events might have jointly frightened both customers and suppliers. This comes as no surprise, knowing that people tend to save up and resort to budget cuts in situations of crisis.
Trend #2 - The growing number of apps and app downloads
During the pandemic, online competition has grown exponentially, as a big number of business owners realized the necessity of having a safety net, such as an online shop.
The number of shops that decide to invest in an online app increased, and the number of app downloads rose by a staggering 64% in 2022. This trend is probably here to stay, as it is an added convenience for people accustomed to using technology for everyday tasks.
Trend #3 - Paid advertising – an alternative for many shops
Overwhelmed by rising competition in the industry, a lot of online shops have resorted to finding ways for retaining market share and generating sales. That is one of the possible reasons why the InsightOut Map 2022 report saw an increase in the proportion of website traffic from Paid Advertising across most categories.
Some of the biggest differences are in the Fashion category, with some shops having a growth of up to 30% in the proportion of traffic from Paid Advertising, compared to last year’s levels.
Trend #4 - Digital Maturity is increasing in importance
Significant investments in the technology stack are being made, thus the Digital Maturity in eCommerce has grown by up to 9.70% year-over-year in certain categories, such as Electronics or Cosmetics.
On the lookout for better conversion rates, an increasing number of companies are investing in recommendation engines and site search engines. Merchants are acknowledging the importance of such tools, in a time when customer expectations have increased, and personalization is key.
The first half of 2022 was a period flooded by feelings of doubt, cast over the industry. Even though the future of eCommerce is uncertain, it promises to have big growth potential, accelerated by the necessity of finding innovative solutions. The reports developed for the InsightOut Map 2022, detail with more accuracy the exact numbers behind these 4 trends, so we invite you to check them out here.