Online Spending Continues its Fast Growth in 2012

 

E-commerce maintains its high growth in the U.S. – now $43 billion in Q2 2012 – an increase of 15 percent, according to a comScore report. That’s the seventh straight quarter of double-digit increases.

“While the second quarter’s 15-percent growth rate couldn’t quite match the especially high growth rate from the first quarter, it was nevertheless almost four times higher than the growth in overall consumer spending, a sign of continued strength in the e-commerce channel,” says comScore Chairman Gian Fulgoni.

“That said, although e-commerce remains strong, we are taking a cautious view of the second half of the year in light of some renewed signs of economic uncertainty and a stubbornly high unemployment rate,” he adds.

The study’s key findings:

• The top-performing online product categories were: Digital content & subscriptions, consumer electronics, flowers, greetings & gifts, computer hardware and apparel & accessories. Each category grew at least 16 percent vs. a year ago.
• 42 percent of e-commerce transactions included free shipping, representing a seasonal pullback from the Q4 2011 high of 52 percent.

Retail   E-Commerce (Non-Travel) Growth Rates Excludes Auctions, Autos and Large Corporate Purchases Total U.S. – Home & Work Locations Source: comScore, Inc.
Quarter	E-Commerce   Spending ($ Millions)	Y/Y   Percent Change
Q1   2007	$27,970	17%
Q2   2007	$27,176	23%
Q3   2007	$28,441	23%
Q4   2007	$39,132	19%
Q1   2008	$31,178	11%
Q2   2008	$30,581	13%
Q3   2008	$30,274	6%
Q4   2008	$38,071	-3%
Q1   2009	$31,031	0%
Q2   2009	$30,169	-1%
Q3   2009	$29,552	-2%
Q4   2009	$39,045	3%
Q1   2010	$33,984	10%
Q2   2010	$32,942	9%
Q3   2010	$32,133	9%
Q4   2010	$43,432	11%
Q1   2011	$38,002	12%
Q2   2011	$37,501	14%
Q3   2011	$36,308	13%
Q4   2011	$49,698	14%
Q1   2012	$44,282	17%
Q2   2012	$43,153	15%

 

“In fact, consumer perception of the economy has recently deteriorated, with 56 percent now viewing economic conditions as poor, up from a level of 49 percent three months ago,” says Mr. Fulgoni.

“So, even as commerce increasingly shifts to the online channel, any significant future pullback in overall consumer spending could dampen the strong double-digit growth rates we’ve been experiencing for the year-to-date,” he warns.

From the Coach’s Corner, see these information links: 

• Tips, Plus Why it’s Never Too Early to Plan for Q4 E-commerce 
• Web Site ‘Priming’ – 6 Tips That Will Help You Succeed 
• How Small Businesses Can Capitalize on Cyber Strategies for Profit 
• Daily Deal Sites and Pricing Principles – What’s Sustainable and What Isn’t

“It’s much easier to double your business by doubling your conversion rate than by doubling your traffic.”

-Jeff Eisenberg

 

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Author Terry Corbell has written innumerable online business-enhancement articles, and is a business-performance consultant and profit professional. Click here to see his management services. For a complimentary chat about your business situation or to schedule him as a speaker, consultant or author, please contact Terry.