How Many Ecommerce SMBs Are in the US?

If you’ve ever wondered how many eCommerce companies are in the US, you’re not alone. Ecommerce is growing quickly across the world. Globally, online sales are now worth $3.4 trillion and represent 21.3% of retail sales, or $53 billion, or more. Ecommerce businesses also drive more than half of all US consumer spending. With this in mind, eCommerce businesses are vital to the economy, and a strong online presence is a must for any online business. 

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Approximately 1.4 million 

The number of eCommerce small and medium businesses (SMBs) in the US has been increasing in recent years. According to PipeCandy, an SMB accepts payments online and provides a product or service in return. The size of these companies varies, but a typical SMB is about $1 million. Its growth is being attributed to an evolution in the industry. 

Globally, eCommerce sales are valued at $3.4 trillion 

A new report from DataReportal has revealed that global eCommerce sales are expected to reach $3.4 trillion by 2022, with growth accelerating to nearly three billion people. In 2016, the most widely used device to shop online was a smartphone, accounting for 60.1 percent of all online purchases. This trend is expected to continue, with mobile devices accounting for nearly half of all online purchases in 2022. 

It accounts for 21.3% of U.S. retail sales 

Despite the slowdown in the economy, the amount of money spent at brick-and-mortar retailers has been steadily increasing. The Commerce Bureau projects that e-commerce will account for 21.3% of U.S. retail sales by 2020, a five-point increase from last year. No year has seen a greater jump in digital penetration in this timeframe. This will likely be the year that e-commerce sales outpace brick-and-mortar sales. 

It accounts for 53.9% of total U.S. eCommerce revenue 

eCommerce in the U.S. accounts for more than a third of retail sales, with more than half of that coming from mobile devices. In 2018, more than a third of Black Friday online sales were completed via smartphones, and 79% of smartphone users made at least one online purchase. However, consumers are not willing to make a purchase online if the site takes more than three seconds to load. Studies have shown that every additional second of delay in a mobile page leads to a 20% reduction in conversions. Even if a customer reaches the final page of a mobile site, more than 50 percent of those visits will be abandoned. 

It increases overhead 

While technology is the heart of eCommerce, many businesses overlook traditional overhead costs. To lower costs, consider cutting back on traditional overhead and implementing cost-cutting strategies. Additionally, consider implementing efficiency improvements and other details. Cutting overhead costs will not only improve your business but also make your dream of sailing the Caribbean closer to reality. Listed below are some ways to cut your overhead and make your business more profitable. 

It is expected to surpass $1 trillion in sales by 2023 

The rapid growth of the IoT will lead to billions of dollars in revenue for new technologies in the next few years, with investments in manufacturing and transportation leading the way. The COVID-19 pandemic only slightly dampened the growth of new technologies, but it will not stop it from gaining momentum. Over the next few years, new categories will see similar growth, including related software and services. The rapid growth of the Internet of Things is expected to continue over the next decade, and the industry will move beyond prototyping.