According to some estimates, there are about 2,905,906,140 Internet users worldwide, and the numbers are increasing. Even children can make purchases online. Therefore, the eCommerce businesses’ market size is approximately three billion people. Depending on the region, product preferences may vary. For example, in the U.S., consumers are more likely to buy electronics than clothing. On Etsy, there are 25 million active buyers as of May 2016.
Growth of business-to-business e-commerce
Business-to-business e-commerce is on the rise, thanks to the increased ease of online business. Many traditional brick-and-mortar businesses now use digital channels to complete business transactions and fulfill procurement needs. The number of B2B e-commerce deals is now higher than the number of online retail sales in the sub-continent. In the coming years, business-to-business e-business will be boosted by the presence of well-known e-commerce firms in the region.
Several factors are driving the growth of this market. The increased use of smartphones and higher internet speed are two of them. Another contributing factor is the increasing globalization, which has made accessing the internet from remote locations easier. Further, solid internet infrastructure and affordable internet services have created favorable conditions for the growth of the Business-to-Business E-Commerce market.
The growth of business-to-business eCommerce in Latin America is expected to be significant in the coming years. According to a report by Forrester Research, in the first half of this century, business-to-business e-commerce will represent 93 percent of all Latin American e-commerce activity. In Latin America, B2B transactions are expected to reach $76 billion in 2004.
According to Forrester Research, the global B2B e-commerce market is expected to hit $14.9 trillion in 2020, making it nearly five times larger than the B2C market. Forrester predicts that B2B e-commerce will make up almost one-fifth of all B2B sales by 2023 and account for nearly twenty-three percent of total U.S. B2B sales by 2023.
The consumer market, on the other hand, is still limited in Latin America. Historically, it has only been accessible to the elite and has not even begun to mature in the region. Despite these limitations, Latin American entrepreneurs are optimistic that the consumer internet market will eventually mature and become a vast industry.
B2B e-commerce is a growing market; it is predicted that 80% of sales will be made through digital channels by 2025. Many emerging e-commerce technologies will make it easier for businesses to enter the B2B and B2C e-commerce sectors. If you’re looking to sell goods or services to companies, you’ll likely fall into one of the following categories: wholesalers, resellers, large retailers, and organizations.
Growth of mCommerce
As more people use smartphones to shop, the growth of mCommerce is accelerating. In 2013, mobile commerce accounted for 11.6% of eCommerce’s total $303 billion market. By 2021, mCommerce will make up nearly half of all eCommerce sales. Many consumers are already using mobile devices to shop, making this a natural next step for eCommerce companies.
Mobile apps have become a critical part of mCommerce, with over 50% of retailers now offering mobile shopping options. With more people using portable devices to shop, mCommerce has the potential to be a significant shopping channel and transform consumer shopping habits. In addition, technological improvements have made shopping on mobile devices even more convenient.
Currently, more than half of all smartphone users make purchases on their phones. This causes mobile devices to become consumers’ primary devices for shopping online. Moreover, 87% of smartphone users conduct online product research before purchasing. This makes it imperative for eCommerce store owners to design their websites to work on mobile devices.
Although there are many benefits of m-commerce, implementing it effectively is challenging. A clear strategy can help businesses take advantage of this trend and stay competitive. Choosing the right technology partners, collaborating with the right marketing partners, and creating a consumer-friendly environment is essential for e-commerce success. Proper UX and U.I. are necessary for maintaining a consumer’s loyalty.
Despite the challenges of m-commerce, the eCommerce industry is increasing. According to Forbes, eCommerce grew by 47% in 2014. By 2017, mobile commerce revenue is expected to surpass digital commerce revenues. More companies are launching mobile apps to cater to this rapidly growing market.
Among the benefits of m-commerce include increased flexibility, comfort, and spontaneity. Consumers can shop for groceries, pay their utility bills, and buy sneakers on the go – all from the convenience of their smartphones. Furthermore, many mobile shoppers carry their smartphones everywhere. Mobile commerce also gives online merchants another avenue to market their products.