December 26, 2019

Global E-Commerce Continues Exponential Year Over Year Growth

Happy Holidays everyone! Unless you and your family decided not to do gifts this year, or if you weren’t celebrating the holidays this time around for some other reason, you probably bought something online this winter season.

Santa Claus is very good (read: the best) at distributing gifts around the entire world over the course of a few hours, but for those of us who don’t have access to elves and Christmas Magic, it takes e-commerce to make sure all the restless little ones (and some adults, let’s be honest) have a great holiday season.

It seems every year, the holidays become less and less stressful because of this.

The world of digital sales has come a long way since the advent of the internet. The ease with which we can quickly and efficiently get almost any item to our front door without putting on pants  – in 24 to 48 hours – has completely changed the game.

Occasionally it’s nice to sit back and reflect on how much technological progress we’ve really made over the course of the last two or three decades.

We’re seeing global e-commerce sales are likely to reach nearly $3.46 trillion in 2019. That’s up from $2.93 trillion in 2018, signaling 17.9% growth. That’s impressive! And sure, these numbers compile worldwide data, but business has been trending more global in general, so this is how you have to look at things now.

Also, it helps to look at total retail sales to compare, which went from $20.31 trillion to $21.00 trillion. That’s only 3.4% growth. Compared to the 17.9% e-commerce number from before.

Web penetration is at 16.4% in 2019 and we’re seeing a seismic shift towards more digital sales of products in general.

We’re also seeing a higher percentage of sales of products previously thought to be impossible to sell online. We’re even seeing costs decreasing for companies who are more nimble, put in a position where they can manage inventory more effectively and don’t have to worry about brick and mortar display locations. Instead, they can just manage warehouses and sell online.

The fact of the matter is, with shipping tech as well as digital advertising tech being as effective as it now is, it’s become so much easier to match the right product with the right person in the least amount of time.

Of course, the largest online retailers are powering this growth. In 2018, three of the top 10 global online retailers ranked by 2018 e-commerce sales (excluding sites operating exclusively as marketplace platforms) were web-only merchants. Their online revenue also significantly contributed to bumping up 2018’s e-commerce penetration. As web sales rise without an accompanying uptick in offline sales, online’s share of total retail sales grows.

We’re happy to be representing a small but significant portion of the e-commerce world by operating as an affiliate marketing agency. Our goal is to see that sales number increase year over year, but also to do so while helping companies harness the best digital marketing method out there. Affiliate.

We look forward to continued growth in our space and hope to meet you along the way!

Are you getting started in affiliate marketing or looking to improve your current program?

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