Metrics in a Post-Pandemic World & Strategies for Future E-Commerce Success
To say that shopping and consumer behavior has evolved much over the past four years is an understatement. First, we were forced to online and omnichannel shopping due to COVID’s lockdowns and restrictions at a state level. Then, just as things began to settle, massive supply chain delays impacted nearly every individual, shifting consumers’ behaviors yet again. In 2023, we saw a mix of shoppers who urged to return to stores, to peruse aisles again and feel ‘normal’ – but also saw many who adopted the online shopping habits to drive efficiency in their day-to-day lives.
Consumers are 2.25x more likely to prefer shopping online
In a recent survey published by Klaviyo and Qualtrics, the findings concluded that, “Consumers are 2.25x more likely to prefer shopping online, but they’re currently shopping about equally online and in-store. Those who shop in-store do so to touch the product and for immediate product availability, while those who shop online do so mostly out of convenience.” Specifically, “Older consumers are more likely to prefer shopping in-store and are currently doing so more frequently. Their shopping behaviors are more influenced by promotions and competitive prices”.
What does this mean for e-commerce and the brands selling online?
In a nutshell, it means comparing current sales trends to 2020 or even 2021 will drive you crazy! By comparing 2023 figures to 2020 or 2021, you’re comparing ‘normal’ to what were very abnormal years in the online shopping space.
In 2020, e-commerce surged 28%, and in 2021 by 22% – but those numbers have slowed significantly as shoppers return to the aisles. So, for brands counting on continuous and nonstop e-commerce revenue growth year over year, they will need to settle for the 14% growth seen in 2022. A recent Forbes article interviewing BlueTuskr CEO stated that while e-commerce isn’t seeing the unprecedented numbers it did in 2020 and 2021, it is still benefiting from the “two straight years of phenomenal growth, meaning that even the reduced revenues you’re seeing today are better than you would have experienced if a global pandemic hadn’t happened.”
Heading into 2024, what’s the best way to measure a brand’s performance?
Compare year-over-year, or even month-over-month performance, depending on seasonality of your brand and products, is a great starting point. Secondly, analyzing conversions, average order values, and other key metrics will provide insights to where you should invest time and money. In 2024 and beyond, the key will be steady and consistent growth while comparing 2023, instead of the roller coaster pandemic years.
Are you interested in additional e-commerce guidance?
Our team is here to help! Learn more about how our dedicated e-commerce team can help you with your future omnichannel goals.