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There are a few major trends that are shaping the future of retail in 2026 and beyond. These trends are crucial for retailers who want to stay ahead of the competition and meet the evolving needs of their customers.
The first major trend is the rise of social commerce. More and more consumers are turning to social media platforms to make direct purchases. In fact, a recent survey found that 47% of consumers in the US have shopped using social media. This trend is particularly pronounced among Generation Z consumers, with three-quarters of this demographic saying that social media marketing influences their purchase decisions.
Leading the charge in social commerce is Facebook, which announced in 2021 that one billion people have used the Facebook Marketplace. Additionally, TikTok has made significant strides in this area, with 80% of users who made a purchase on Black Friday attributing their purchase to the platform. The introduction of TikTok Shopping has further streamlined the process for merchants to sell items and advertise on the platform, making it easier for small businesses to reach a wider audience.
The second major trend is the continued growth of online grocery shopping. Online grocery sales have seen a significant increase in recent years, with sales reaching $95.82 billion in 2020. This trend has been accelerated by the COVID-19 pandemic, with 79% of American grocery shoppers admitting to having done at least one online grocery transaction by the middle of 2020. This shift towards online grocery shopping is not limited to the US, with countries like China also seeing a significant increase in online grocery sales.
According to a recent survey, online grocery shopping is expected to reach over $2.1 trillion by 2030, with a compound annual growth rate (CAGR) of 25.3%. This growth is driven by a number of factors, including convenience, a wider selection of products, and the ability to shop from the comfort of one’s home.
The third major trend is the acceleration of online shopping across all product lines. While online food sales have seen the most rapid growth, other product categories like clothing, footwear, and household goods have also seen significant increases in online sales. Many consumers have indicated that they plan to continue shopping online even after the pandemic has passed, which bodes well for the long-term viability of the eCommerce market.
One example of a company that has benefited from this trend is Bloomscape, an online business that sells plants and delivers them to customers’ homes. Sales for Bloomscape quadrupled and headcount doubled from 2019 levels, demonstrating the potential for growth in new product categories in the digital environment.
According to a projection by Ernst & Young, internet sales are expected to surge in the next several years. By 2025, the Southeast Asian market is expected to have grown three to four times faster than the global average, reaching $363 billion. This growth is driven by factors like increasing internet penetration, rising disposable incomes, and the convenience of online shopping.
In conclusion, retailers who want to succeed in 2026 and beyond must pay attention to these three major trends: social commerce, online grocery shopping, and the acceleration of online shopping across all product lines. By understanding and adapting to these trends, retailers can stay ahead of the competition and meet the evolving needs of their customers.
