eCommerce has undoubtedly had a significant impact on the way people buy their products and services over the last few years.
To show how much eCommerce has impacted shopping, 1010data released its 2016 Online Consumer Packaged Goods (CPG) Industry Report this week. Since the integrated self-service data management and analytics platform company started conducting this study just a few years back, it has found online CPG sales surpass $10 billion for top categories. This large revenue is unique in that it is up from $7.6 billion in the year prior.
Specifically, this research found the top categories that earned more than $1 billion in sales per category were for health supplements, pet care and cosmetics. These items sold two times as fast as the total amount of eCommerce sales, which may in part be due to more online retailers providing a two-day delivery option to help expedite growth.
1010data’s senior vice president of marketing, Jed Alpert, commented in the company’s release about how eCommerce is impacting brands. He said, “With CPG sales hitting $10 billion in sales online across key categories, online eCommerce is clearly no longer an afterthought for brands. All CPG brands need to understand how consumers are shopping in their categories and consider how eCommerce can help deliver a better experience and complement in-store sales.”
The world of eCommerce is a dominant force impacting retailers in nearly every industry. To help compete with the likes of Amazon, with its Prime membership offering faster shipping rates along with lower prices, retailers may need to rethink their core offerings and to offer faster delivery.