How optimistic are e-commerce retailers for 2024?

A new survey of senior e-commerce executives provides insights into their revenue expectations for this year.

According to the new “E-commerce Business Sentiment” study from CommerceNext and Forrester Research, close to six-in-10 (57%) surveyed e-commerce executives said they were very positive or positive compared about revenue prospects for 2024, with 21% who said they feel negative. 

In addition, more than half (56%) of respondents saw their online revenue increase year-over-year in the fourth quarter of fiscal 2023, while 34% saw a decrease. When asked about the level of digital investment they plan to make in their business this year, more than four in 10 survey respondents (42%) said they plan to invest in areas such as hiring, marketing, and technology and infrastructure upgrades.

"It’s been a tumultuous period for e-commerce since 2020, with many highs and lows," said CommerceNext co-founder Scott Silverman. "Our industry is ready to return to a sense of normalcy and steady growth. This fresh data shows that we’re headed in that direction."

"2023 was another record year in e-commerce, on top of extraordinary growth during the pandemic, so most retailers and brands are optimistic," said Sucharita Kodali, VP, principal analyst, Forrester Research. "But business leaders are still cautious that anything could happen, particularly given the uncertainty around inflation, interest rates, upcoming elections and global stability. As a result, 2024 will be the year of scrutinizing digital investments and ensuring they are as efficient and effective as they can be."

CommerceNext partnered with Sucharita Kodali, Forrester Research’s lead retail analyst, on the survey. The study was conducted Jan. 9–19, 2024, among senior executives at 113 enterprise-sized consumer e-commerce businesses that together represent more than $32 billion in online revenue.

Survey: Retailers have interest in e-commerce upgrades

A recent survey of 1,000 retailers from Shopify and IDC reveals that most respondents are thinking about or have already upgraded their e-commerce platform. But timely and affordable implementations are crucial for respondents considering rolling out new e-commerce platforms.

Specifically, two-in-three (67%) respondents are at least considering changing their e-commerce platform in the next three years. However, six-in-10 (61%) respondents said the cost of implementing new technology will be tough.

In addition, almost all (94%) respondents said a timely implementation is one of the top things they value in an e-commerce platform, while 67% cited ease of use as one of the top things they value in a commerce platform.