Updated: Aug 24, 2021
Online shopping has come a long way in the past 10 years and in fact, the past year. So how are our digital shopping habits changing in a new age of technology and retail?
While businesses are adapting to a new digitally dependent age amid the global pandemic, customers are changing the way that they shop.
1. Rapid transfer from high-street to ecommerce
Online shopping has become a go to for purchasing goods. In the face of 'stay at home' orders, many of us became dependent on the internet to order our weekly shops, electrical goods, apparel, skin care and more. In fact, there was a 35% increase in the online purchase of essentials like over-the-counter medicine, groceries, household supplies and personal care products and clothing, makeup and jewellery saw a 15% increase.
With the increased demand for goods online, there has been a rise in shoppable content that we see on social media, within ads and on ecommerce landing pages. In fact 93% of marketers in 2021 said that they had landed new customers as a result of shoppable video content marketing. As a result, we can see an increase in the amount of shoppable content in online feeds. With most posts featuring clickable calls-to-action that allow viewers to shop directly from the video or direct them to ecommerce. This content is known to increase conversions by 4X that of standard video.
2. Millennials and high-income earners are key online buyers
Millennials and higher income earners are the big spenders across categories, spending money on essential and non essential items. But what about Gen Z? Young adults and teens have moved their spending online for categories such as footwear, at home entertainment and food takeout. Gen Z are more likely to find products via social media platforms, especially Instagram and TikTok. In fact, the shift towards social media has seen the platforms upgrade to include shoppable content formats such as live shop technology. Viewers can now tune into shoppable livestreams to purchase goods in real time. This 'see now, buy now' ethos appeals to younger viewers and encourages impulse purchases.
3. Consumers are switching brands to support local retailers
During the past year community spirit has been high. People are looking to shop local for convenience and to support the community. This can be put down to both travel restrictions, the threat of online on the physical high street and concerns over environmental record. More buyers are looking to buy products from businesses that are more sustainable than some of the big fast fashion names. In the face of the pandemic and the climate crisis, people are looking to support smaller businesses with less of a carbon footprint, use less plastic and make goods from recycled materials.
4. However, online retailers are still popular as people are hesitant to go back to regular activities outside their homes
73% of American consumers are still reluctant to resume regular life outside their home. They choose to do grocery shops online, delivered to their homes or available for curb side pick up. Public transport, wearing a mask to go shopping and large crowds are just some of the everyday occurrences that are preventing consumers from visiting the high street or attending events. The introduction of live shop events has helped to bring the offline, online and allow customers to shop in real-time with store associates. Shoppable content used in video content marketing gives viewers a clear and informative view of products, giving them more confidence to buy online without the need to go into physical stores.
5. Health and hygiene are now more of a priority than ever before
59% of customers are shopping more health consciously. Consumers are prioritising health, hygiene, cleanliness and safety in what they buy. Immunity enhancing products have had a surge in sales, multi-vitamins have seen a 40% year-over-year increase. From now on, 48% of consumers intend to maintain new health and wellness habits that they have adopted during the pandemic.
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