Retailers No Longer Compete Against Each Other, But Against Amazon Marketplace

  • “Mastercard’s Spending Pulse data for holiday 2020 found that while department stores’ overall sales fell 10.2 percent during the season, their eCommerce sales only rose 3.3 percent.
  • Amazon enjoyed a 14.3 percent market share for all clothing and apparel sales during 2020’s third quarter versus just 9.5 percent a year earlier. By contrast, Walmart’s share of apparel fell to 7.4 percent during the same period, down from 10.5 percent a year earlier.
  • 37 percent of U.S. consumers surveyed interested in direct-to-consumer sales. The No. 1 reason cited — loyalty to well-known brands”

Ecommerce predictions for 2021: Seven experts have their say

“A lack of automation has slowed retailers down during the pandemic, with nearly 80% having to increase manual intervention in response to fluctuating demand and supply. In 2021, retailers will need to adopt AI to help keep up with these unpredictable swings in demand. Understanding the on-going changes in consumer behaviour or how daily life changes as a vaccine rolls out, retailers will need supply chains flexible enough to keep up.”

Ecommerce predictions for 2021: Seven experts have their say

Preparing For The Unknown: Black Friday 2020

  • “Retailers must employ a strategy that is differentiated, supported by an agile technology platform that allows them to easily experiment, fail cheap, and measure results accurately.
  • eMarketer reports that U.S. click-and-collect e-commerce sales are expected to grow to $58.52 billion, up 60.4% from its initial forecast.
  • Indeed, the ROI on retail AI is expected to reach $340 billion by 2022 — from personalized marketing efforts, dynamic pricing and improved loyalty programs that maximize customer value.”

Unprecedented Decline: One-Fifth Of All American Department Stores Have Closed Since 2018

  • “In numbers compiled for this story, new research shows that since 2018 approximately 22% of all the department stores in the country have closed or will close before the end of the year.
  • This represents 798 individual department stores, including entire companies that have gone out of business, companies in chapter 11 bankruptcy proceedings who have announced closings and on-going retailers who have closed, or will close, selected units.”

Data Drop: eCommerce Numbers Steal Relevance

  • “While last week’s 16 percent overall spending drop lit up the headlines and scored high on the drama factor, it’s the eCommerce numbers – up 8.4 percent during the same period – that could hold the most importance for the future.
  • Our research shows that 32.8 percent of consumers are shopping for retail items just as often as they did before the pandemic, only now they are doing so online. This compares to 12.8 percent and 16.1 percent who have made similar changes to their grocery shopping and restaurant ordering routines, respectively.”