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Since its infancy the market for online shopping has continued to grow. This is particularly evident in the UK where e-commerce accounts for 20% of retail sales.
Many shoppers use online shopping to research brands before purchasing and 45% of them prefer to "buy online, then pick up in store". This is a change in the way people shop that brick-and-mortar shops should be aware of.
1. Online retail sales in the UK
There's no doubt that online sales of merchandise have increased substantially in the UK over recent years. According to 2023's statistics, the B2C e-commerce market is expected to grow to nearly $120 billion by next year. This growth is due to changing consumer shopping habits and the adoption of digital transformation technologies by retailers. In the end bricks and mortar shops are seeing a decline in popularity as more consumers prefer online stores for their purchases.
To do this, it's crucial that both pureplay and omni-channel retailers know what drives customers to buy online. We've put together statistics and figures for retail sales that are both eye-opening and revealing to help you.
Fashion is the most favored retail sector in the UK accounting for 28 percent of all e-commerce sales. This is likely due to the wide variety of items and the ease of trying on clothes without leaving your home. Electronics is second with 16% of sales made through e-commerce. This is likely because of the constant demand for new gadgets as well as the desire to stay current with the latest technologies. Online sales of hobbies and leisure products make up 15% of all ecommerce sales.
When asked about the factors that drive consumers to shop online 57% of UK consumers said convenience was the primary driver. This is followed by 48% who mentioned price comparison, and 37% who stated they were looking for special offers or discounts. These results indicate that UK shoppers are less driven by price than their European counterparts, and are more focused upon convenience and a wide product variety.
2. Online shopping in the UK
Shopping online is now a regular part of the lives of many UK customers. About half of UK residents aged 65 and older have made a purchase on the internet within the last year. Shoppers can pick from a range of payment options and decide the time and method they'd like their items delivered.
Price, convenience and accessibility are among the top reasons why consumers shop online. In fact, 57% cite convenience as their primary reason to shop online. In addition, 48% mentioned lower prices as another benefit, while 37% mentioned the availability of more choices as well.
UK consumers are also becoming more environmentally conscious with regards to their online shopping habits. 79 percent of UK shoppers recycle boxes and other packaging material from their online purchases. They may decide to take action if their purchases are not packaged in an eco friendly manner.
Some customers are looking to make their shopping experience more personal. They are not just trying to reduce their environmental impact, but also reduce their carbon footprint. For instance 35% of UK customers have bought clothing, footwear, or accessories from a retailer who has their size information stored. This lets them skip the return process and get what they want quicker.
It is interesting to note that UK shoppers have been reported to be more eager than ever to wait for online orders. This may be because they are more accustomed to the longer delivery times and have a better understanding of how long it takes for an item to arrive in the mail.
3. Online shopping in the UK according to the age range
Online shopping in the UK is a very popular pastime for a lot of people. The most popular items to purchase are clothes and accessories, followed by food items, and finally media such as music and movies. Shopping online is also popular in the UK during the annual Black Friday and Christmas sales. This is due to the fact that people find these sales convenient. Online comparisons of prices and products are also possible when making these purchases.
It is important to note that online shoppers are diverse, which is best for online grocery shopping is why it is crucial for e-commerce companies to know what their customers are seeking when they purchase products. It is also crucial to know how long each type of consumer spends online. The younger generation, [Redirect Only] for example is more likely to use mobile devices to shop than any other age group. This is because the younger generation has less time, and [Redirect Only] will use several devices to complete online tasks.
The older generations are more conservative in their purchasing habits and less influenced by online advertisements. They also prefer to visit high-street stores to feel and touch products before making a purchase. But this doesn't mean that they will not buy online because the convenience and ease of online shopping remains extremely appealing to them.
Another interesting aspect to be considered when shopping online is the fact that older generations are more likely than younger generations to expect and request free shipping on all of their purchases. They are also more likely to drop carts if shipping costs seem excessive. Furthermore, as many as 61% of people over 55 say they'll add more items to their cart in order to get the free delivery threshold.
4. Online shopping in the UK in accordance with gender
Men and women in the UK are equally likely to purchase products on the internet. Women are more likely than men to make large purchases, such as electrical and furniture. Both groups are more likely to purchase clothing household and garden products, consumer electronics, and health and beauty products.
In addition, UK consumers are increasingly looking for businesses that are environmentally-friendly and community-based. Studies have shown that 70% of shoppers are influenced by the way a company responded to the COVID-19 epidemic, with 69% of these searching for brands that support and collaborate with their local communities.
Shoes and clothing are the most sought-after items to buy online in the UK. In fact 62% of British women who shop online will purchase these items by 2020. However, online sales aren't restricted to clothing with a wide range of other items available, including jewellery, kitchenware, and sports items.
Shopping online is becoming increasingly popular to find most affordable deals. In fact, some analysts have predicted that e-commerce sales will make up nearly one third of all retail sales by 2024.
Some retailers are struggling with the rise of online shopping, whereas others are flourishing. Particularly the rise of online sales for health, fashion, beauty, home and gardening, and consumer electronic.
The trend of purchasing these items online is expected to continue grow in the years ahead. As the number of people who use the internet is growing, it is expected that online shopping will be more popular in the near future. With the growing popularity of this method of shopping, it's important for retailers to ensure their websites are optimized for mobile devices and that they provide a secure and easy checkout process.
5. Online shopping in the UK by region
The UK is a leading European online retail market. The majority of its customers are influenced the convenience, affordability and wide range of products when they shop online. These factors make it an ideal opportunity for retailers to build their online presence and offer an easy online shopping experience.
In the COVID-19 pandemic, online sales grew significantly as people sought out safe and convenient alternatives to shopping. This trend has continued following the outbreak as consumers continue to embrace shopping online as an alternative.
Online shopping is a major component of the UK retail market Some estimates suggest that it will account for one-third of all retail sales by 2024. This growth is driven by the increasing popularity of ecommerce among consumers and advancements in technology.
57 percent of UK Online Shopping Figures Uk shoppers claim that convenience is the primary reason why they shop online. This is closely followed by 48% who highlight that it is easier to find special offers and deals, and 37% who say there's a wider selection of merchandise available online. This is in contrast to Europe where a higher proportion of shoppers said that lower prices were the main reason behind their choice to shop online.
Consumers are also willing to try new brands and products when they shop online. Almost 25% of shoppers online have purchased products that they've never purchased in a store before, and half are willing to test new products when they shop on the marketplaces like Amazon. UK customers are awed by the buy now, pay later checkouts. 29% of online buyers have used this option during the last year.
In addition to this an effective return policy is a vital aspect of the e-commerce landscape in the UK. The majority of online shoppers (59 percent) look up a retailer's return policy before purchasing, and nearly half expect retailers to arrange and pay for return shipping.
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