Retailers plan investments in e-commerce amid sharp growth
A new survey of retailers indicates they will substantially increase spending on e-commerce initiatives during 2021 as COVID-19 drives consumers online.
According to a new survey of over 115 leaders from retailers with e-commerce sites conducted by digital/mobile optimization software provider Yottaa, most respondents are increasing investments in e-commerce initiatives during 2021 by over 50%. Top investment areas include security, mobile, site speed, single-page applications/progressive web applications, third-party technologies, and shipping. The top single e-commerce initiative is managing and securing third-party e-commerce technologies.
Most respondents experienced a 54% increase in year-over-year online revenue, and with online shopping increasing at a faster rate during the pandemic, 91% are changing their digital strategies in the coming year. Amazon is also a significant concern, with 45% of respondents saying the global pandemic has made the competitive gap between Amazon and other retailers even bigger.
Other notable findings include:
• More than half of respondents listed single-page applications and progressive web applications as key e-commerce initiatives in 2021.
• Respondents will spend on average $1.1 million on third parties to improve online shopper experiences.
• Forty percent of respondents do not realize that one of the biggest data breach vulnerabilities is having unnecessary third parties on checkout and login pages.
• Almost four in 10 (39%) respondents say they have lost up to $400,000 annually due to some browser extensions giving unintended discounts.
• Most respondents were unaware that more than 50% of shoppers will leave a site if it takes longer than three seconds to load.
• Seventy percent of respondents agree that faster site performance results in higher conversion rates.