Report identifies online Canadian shoppers as top target for U.S. retailers

New York -- U.S. retailers seeking to grow business with online shoppers across country borders should look to Canada, according to a report by Borderfree, a provider of international cross-border ecommerce solutions.



The study, part of Borderfree’s series of intelligence pieces on high-interest markets for ecommerce, points to Canada as a top market for retailers to tap into due to Canadians’ frequent tourism to the U.S. and familiarity with American stores, brands and shopping experiences. More than 23 million Canadians visit the U.S. each year, driving demand for U.S. goods, inexpensive shipping and relatively low import duties when they return home. Canada is the largest cross-border online market for U.S. retailers today presenting a healthy opportunity for international expansion, and was Borderfree’s number one market for cross-border sales from U.S. retailers in 2013.



“Canadians know U.S. brands well and shop them frequently,” said Michael DeSimone, CEO, Borderfree. “Between the country’s high Internet, mobile and social media penetration and an affluent population ready to spend, U.S. retailers looking to sell online to our neighbors to the north will find a ripe ecommerce marketplace. We’ve also found that targeted marketing efforts in Canada reap big rewards, as evidenced by the most the recent holiday shopping season, where U.S. retailers saw significant online demand from Canadian shoppers.”



Borderfree’s data paints a picture of the average online Canadian shopper and how they like to shop:



• The vast majority of shoppers are women (85%), at a median age of 41.7 years.



• Canadians who shopped with retailers on the Borderfree platform spent an average of $136 U.S. dollars each last year.



• Canadians are night owl shoppers, spending big around 5 p.m. – 6 p.m. and peaking between 11 p.m. and 1 a.m., especially on Friday nights where spending takes a major spike up at 11 p.m.



• Retail e-commerce sales in Canada reached $21.6 billion in 2013 and are expected to rise to $42.7 billion by 2018, an annual growth rate of 12%.