Consumer shopping patterns are changing and they may never return to ‘normal’. The past few months of social-distancing, streaming entertainment, and the shift to work-from-home has accelerated the move to online shopping for many consumers. The number of people buying goods and services online is soaring. And they are buying goods of all types from groceries to smaller every-day products and heavy, bulky goods like appliances, sports equipment, and furniture.

Will consumers who have become used to doing all their shopping online continue with it when the stay-at-home guidelines are lifted? There is some indication that many will. Only time will tell just how lasting these changes will be.

One thing we do know for sure is that consumer expectations for free, faster and more convenient delivery are accelerating right alongside online sales, putting even greater focus on last mile delivery logistics.

Here are just a few mid-2020 statistics highlighting shifting trends in US e-commerce spending, consumer preferences, and last mile logistics:

• US e-commerce sales reached $601.75 billion in 2019, a 14.9% increase over 2018 according to the Commerce Department Retail Index. (Digital Commerce 360, 2020)
• Ecommerce spending was $77 billion higher than expected for the period March-June 2020 (Adobe, July 2020)
• Consumes online spending in June 2020 was 76% higher than in June 2019.
  (Adobe, July 2020)
• Q1 2020 B2C e-commerce shipments (Jan-Mar) were 17% higher than they were for the same period in 2019 (Supply and Demand Chain Executive, 2020)
• U.S. e-commerce sales are projected to reach $476.5 billion by 2024. (Statista, 2020)
• US e-commerce revenue from apparel, footwear and accessories is projected to reach $153.6 billion by 2024. (Statista, 2020)
• 13 billion parcels were shipped in the U.S. in 2018.  Global shipping volumes are projected to reach 200 billion parcels by 2025. (Pitney-Bowse Shipping Index, 2018)
• The percentage of U.S. households new to online shopping is likely to continue after the coronavirus pandemic subsides, translating to about 17 million new users of last mile fulfillment. (NACS, 2020)
• In a May 2020 consumer survey, almost half the consumers surveyed felt their preference for online shopping over physical stores had changed for good. (Pitney Bowse, 2020)
• 64% of consumers surveyed identified free shipping as the number one enticement for shopping online and (Convey, 2020) and 73% say that free shipping makes their life easier. (Pitney Bowse, 2020)
• 94% of consumers surveyed were willing to give retailers more time for delivery; 60% comfortable with 3-4 days, 19% comfortable with 5-6 days, and 17% would accept more than 7 days.  (Convey, 2020)
• 66% of consumers surveyed prefer home pick-up for returns. (Pitney Bowse, 2020)

What’s next?

The second half of 2020 is sure to bring even more new developments in the e-commerce, shipping, and last mile logistics landscape. Companies that can adapt to shifting consumer behaviors will be in the best positioned to thrive.

Check out the other articles in the series:

Last Mile Logistics Trends – a mid-2020 update: Autonomous start-ups and last mile delivery

Last Mile Logistics Trends – a mid-2020 update: Fulfillment, Logistics and last mile delivery