Starting a retail business demands careful planning and decision-making. If you’re considering stepping into this world, it’s essential to understand the landscape through industry trends that can shape your approach. With that, let’s discuss vital statistics to guide your journey as a retail entrepreneur.
Understanding the Retail Landscape: 5 Facts and Figures
Keeping these statistics in mind can help you navigate the retail industry and make decisions aligning with your target audience.
Global retail sales reached $28.2 trillion in 2022 (Statista)
Among these sales, $20 trillion belonged to physical or offline channels. Despite e-commerce’s growing influence in the business landscape, brick-and-mortar stores remain a powerful sector driving most industry sales. However, tapping into online and offline channels is a good idea to maximize your cash flow.
Nine in 10 consumers look up a business online before shopping (Digital.com)
Around 91% of shoppers research a company online before visiting its physical establishment. Likewise, a lack of online presence deters 23% of shoppers from buying. Retail brands need to set up social media pages, websites, and e-commerce shops to attract increasingly tech-savvy buyers.
Around 69% of consumers want better experiences with retailers (Broadridge Financial Solutions)
Customer expectations about their experiences (CX) with retailers are now higher. For instance, over half of shoppers want businesses to be available for interactions across their preferred touchpoints. In fact, CX has become so essential to customer relationships that 90% of buyers say it’s as important as the brand’s products or services.
There are 9.1 million online retailers worldwide (Etailinsights)
Etailinsights categorized this number into three:
- 3.6 million sell products from other brands
- 5.2 million sell products from their brands
- 290 thousand sell online products
Moreover, 2.5 million of them are in the United States. So, if you want to launch an online retail business there, you may need extra effort to stand out among your competitors.
With a 196% YoY sales growth, Argentina is currently the fastest-rising country in retail (Trading Economics)
This figure is in comparison to their previous record, which sat at 150%. Macau follows second, but only with a 78% YoY sales growth. Meanwhile, the U.S. only enjoys a 5.59% figure. Argentinian retailers are enjoying sales significantly greater than the rest of the world, so consider tapping into Argentina’s consumer market if you want to hop on their growth.
Launch a Successful Retail Business
Venturing into retail requires a thorough understanding of its dynamic landscape and a commitment to staying informed about key industry trends. So, continuously monitor market developments and consumer preferences to position your new business for long-term growth and sustainability. Armed with these insights, you can navigate challenges and seize opportunities that may come your way.
Learn more about how to start a retail store business from the infographic below.
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