According to Forrester’s Online Retail Forecast, online sales will likely take over at least 17% of all U.S. retail sales by the year 2022. A drastic increase from an anticipated 12.7% growth in 2017.
This is at least five times faster than what was anticipated, and in line with the estimates from the National Retail Federation.
Commentators from Business Insider have noted that Amazon is likely to be a major driver of the projected growth. According to the reports, at least 83% of U.S. online adult shoppers purchased something on Amazon back in 2016. Further to that 55% of them used the Amazon website as a research tool before buying.
Traditional retailers may find it difficult to compete in online retail. Bricks and mortar retailers may suffer from a decline in in-store sales, falling footfall, and more store closures.
According to a report from Credit Suisse, nearly 9000 retail stores are likely to close this year in the United States alone, wrote eCommerce Guide.
Going online is the best way to compete with other retailers
Bricks and mortar retailers are now using multi-channel fulfillment methods such as ‘click-and- collect’ and ship-store to compete with eCommerce. However, only a few of them have yet to master these services.
Bricks and mortar retailers should take the time to know how to transform their inventory, logistics, and operations to compete with changes brought in by technological advances.
Jonathan Camhi, a research analyst for Business Insider Intelligence, has released an omnichannel fulfillment report that details the benefits and difficulties involved with specific omnichannel fulfillment services.
This provides retailers with examples on how to successfully overcome their challenges and how to optimize omnichannel fulfillment for faster delivery times with no additional costs.
The report also has an in-depth review of why retailers are having trouble managing costs with their omnichannel fulfillment efforts.
So if you thought eCommerce was slowing down you are mistaken, do you have a business plan that takes you to 2022? Let us know down below.