92% of on-line SMB’s noticed a gross sales development in 2021
A big majority of small and medium-sized ecommerce companies have seen their gross sales numbers rise in 2021. As much as 1 in 5 firms had a gross sales development of not less than 40 p.c. Nonetheless, these firms additionally confronted a number of challenges.
Although this 12 months was marked by the COVID-19 pandemic, it has been a profitable 12 months for a lot of on-line companies. Sendlane surveyed 150 small and medium-sized firms (firms with lower than 44 million euros in gross sales) to get an concept of the present ecommerce market. In response to the report, a big majority (92 p.c) of them noticed their gross sales rise.
34% noticed gross sales enhance with 10-20%
For 21 p.c of SMB firms, gross sales have been up by not less than 40 p.c. Most firms (34 p.c) noticed a gross sales enhance of 10 to twenty p.c, adopted by 33 p.c who had a rise of 20 to 40 p.c.
Revenue margins grew
Along with an increase in gross sales, revenue margins grew quickly as nicely. As much as 90 p.c of the businesses surveyed had a rise of 10 p.c or extra in general revenue. Most firms anticipate that these traits will proceed. As much as 93 p.c anticipate gross sales to rise, with 28 p.c anticipating a development of not less than 40 p.c. A majority of 92 p.c additionally anticipate that their earnings will develop, with 24 p.c predicting a 40 p.c enhance.
Web site site visitors has stabilized
With the rise in gross sales and revenue, it’s not stunning that firms additionally noticed an increase of their site visitors. A majority of 90 p.c reported a rise of 10 p.c or extra. Nonetheless, web site site visitors appears to have stabilized with the rise of ecommerce purchases. Promotions and gross sales are now not huge drivers, reasonably than ready, shoppers are purchasing on ecommerce websites repeatedly.
‘Customers are purchasing on ecommerce websites repeatedly.’
Due to the elevated on-line demand, on-line companies are investing extra of their tech instruments. As much as 85 p.c of outlets spent more cash on ecommerce tech in 2021 than they did in 2020. Of that group, 46 p.c spent not less than 40 p.c or greater than the 12 months earlier than.
Advertising and marketing fatigue and different challenges
Regardless of the massive successes achieved by these firms, most firms additionally skilled challenges in 2021. As much as 35 p.c mentioned that cyber fraud has been their largest concern, adopted by whether or not monetary situations make it more durable for shoppers to spend cash (18 p.c). Transport delays (13 p.c) and web site stability (8 p.c) have additionally been considerations.
At the least 67 p.c of respondents suppose that customers are experiencing advertising message fatigue. As much as 21 p.c of respondents mentioned they need to attempt to discover new methods to have interaction clients, whereas 23 p.c mentioned they need to range channels they use. As much as 39 p.c mentioned entrepreneurs ought to spend money on customized messaging.
‘At the least 89% of firms are planning to extend their advertising message output in 2022.’
Nonetheless, a big majority (89.3 p.c) mentioned they’re planning to extend their advertising message output in 2022. Of that group, 41.8 p.c are aiming to extend it by as much as 20 p.c.
‘Ecommerce retailers are in place to succeed’
“The previous 12 months has been an thrilling and sophisticated time for eCommerce”, mentioned Jimmy Kim, CEO of Sendlane. “Actually the pandemic has accelerated the shift to on-line purchasing, however client shopping for habits have been shifting on this path nicely earlier than Covid, too. What actually stands out about our 2021 eCommerce Well being examine is that 53 p.c of respondents consider the state of ecommerce is ‘robust,’ and 39 p.c consider it’s ‘very robust.’ This tells me that regardless of the considerations associated to the financial system, delivery points, cyber fraud, and so on., ecommerce retailers are in an excellent place to achieve 2022.”