Shopify published its annual report regarding the latest eCommerce trends. In general, they confirmed that overall growth slowed down due to the russian invasion of Ukraine, which affected the whole world. For example, in 2021, retail sales growth was about 9.7%, while this year, it was just about 5. The forecast for 2023 is 4.8%.
The report was created using responses from about 900 business owners and decision-makers from North America, Europe, Asia, and Australia.
The worldwide economic situation causes fears of growing inflation. Over 80% of sellers are concerned about the risks that may prevent their companies from growing. Also, they think that they will be forced to reduce company costs and increase product prices. In addition, 71% mentioned that their business is preparing for a recession in 2023.
Some of the companies are working to develop strategies to counter possible sales decreases. The top five strategies include:
- More promotions in social channels;
- More premium products and services;
- Increased usage of eCommerce marketplaces;
- Increased number of payment methods;
- Better campaign targeting and personalization.
So, there is still hope for businesses. Shopify expects slow growth from 27 trillion USD in 2022 to more than 31 trillion in 2025.