Online sites offer a vast array of goods at fiercely competitive prices. Last year, these online marketplaces such as Mercado, eBay, Vinted and Depop were responsible for about 35% of digital shopping orders worldwide, according to Statista.
Supermarkets and online food suppliers came in second at 15% followed by direct-to-consumer (DTC) sites such as Nike and Adidas with 14%.
The online sites for John Lewis, Boohoo and Argos had a share of 13%, with social on-app purchasing such as within games, coming in at 5%. Delivery apps such as Uber Eats and Deliveroo also accounted for 5%.
Social media plays a part in shopping trends
A recent study from Ubuy looked at more than 50 countries worldwide and ranked them to see where shoppers spend the most annually on online shopping, as well as which categories were the most popular.
The countries were chosen based on the number of online shoppers they had, as well as their e-commerce market size and shopping preferences among other metrics.
Denmark has bagged the top spot for the highest amount of online shopping spending, followed by the United States and South Korea. Clothing and shoes, food and groceries and fashion and electronics items were some of the most popular online purchases.
Faizan Khan, a spokesperson from Ubuy said regarding the continuing influence of social media on consumer shopping choices, in a press release: "Our latest statistics reveal a clear trend: more people are shopping on their phones and through social media than ever before.
"By 2025, we expect to see nearly $710 billion (€653.8 billion) in mobile sales and over $1 trillion from social media sales in the US alone. It's a reminder that businesses must stay updated with technological advancements and adapt to changing consumer preferences in order to stay competitive in the global market."
Where do people spend the most on online shopping?
Coming to where people spend the most on online purchases, Denmark takes the crown, with consumers spending about $3,426.47 (€3155.3) per shopper annually. Shoes and clothes make up most of this haul, with almost 90% of Danish people in the 20-39 age group shopping online. Garden supplies and furniture are also popular.
This is mainly due to the e-commerce sector in Denmark being highly developed and widespread, with mobile shopping leading the way. Global sites such as eBay and Amazon have a robust foothold in the Danish market, as well as smaller, but almost equally as beloved European sites such as Zalando and Bilka.
Influencer-recommended products, across channels such as YouTube, Facebook and Instagram are extremely popular too. Furthermore, buyers in Denmark are well-protected against e-commerce purchases, leading to them being able to shop and spend more freely and confidently.
In second place comes the US, with 92% of consumers shopping online and spending about $3,389.03 (€3120.8) each annually. For buyers in the 25-34 age range, electronic and fashion goods were the most purchased.
Buy now, pay later benefits online companies
This is mostly due to the rise of buy now, pay later schemes and credit card usage in the US, especially amid low and middle-income consumers. The facilities have allowed consumers to buy more products, more easily and more often than ever before.
However, several buy now pay later schemes are reluctant to share consumer debt and purchasing activity with credit bureaus and other financial and economic agencies. In turn, this makes it harder for banks and other lending agencies to judge which borrowers might be in a sound financial position, leading to more debt defaults.
South Korea came in at third place, with food and beverages, as well as clothing items being some of the most popular in the 20-40 age group. With consumers spending an average of about $3,032 (€2,792) each, approximately 96% of South Koreans regularly shop online.
South Korea a hot-spot hit for online sales
The e-commerce sector is especially booming in South Korea, with wi-fi being widely available, cheap and reliable. A number of South Koreans also have a second phone, which they use for gaming, shopping and entertainment purposes, often entirely separate from work matters.
One of the primary drivers of South Korean online shopping also happens to be boredom, with most purchases being made during daily commutes, which are considered to be on the higher side, at an average of 96 minutes.
Online shopping sites such as Naver, Coupang and Gmarket are particularly popular, with South Korean consumers being wary of foreign shopping websites and having high expectations from their purchases, because of the wide range of choices.
The UK has the fourth largest online shopping population, with some 98% of consumers often buying items online, with each consumer spending an average of around $2,547 (€2345.4). Beauty, fashion and electronics goods were the most purchased goods in the 25-34 age group.
Discount shopping websites such as Boohoo, Shein and Temu are especially popular, as are second-hand marketplaces such as Vinted, Depop and eBay. Online shopping in the UK especially boomed following the pandemic, when most UK consumers turned to online food deliveries especially.
Big cities such as London have seen several high-street stores closing in the last few years, as inflation and higher interest rates took over and online buying grew more popular. Some businesses which shut down their high-street shops in a location still offer the same products on their website, thereby drawing in more consumers.
Australia was in fifth position, with 91% of consumers shopping online and mostly buying shoes and clothes, especially people aged between 25 and 34. The average spend per consumer was approximately $2,189 (€2,189).
Similarly to the UK, food deliveries have also been a key driving force post the pandemic for most Australians shopping online, as well as concerns about ethical and sustainable shopping. For more remote parts of the continent, accessibility and convenience have been the main factors impacting shopping behaviours, with e-commerce websites having the edge in places with fewer or less in demand physical stores.
