Selling online is a growing element for many businesses. But few industries use e-commerce as much as fashion. But what are the benefits for consumers and sellers? And how much does the fashion industry need e-commerce?
Read More: What Is Ecommerce Marketing?
Fashion E-Commerce Overview
Some figures to understand the market
The number of people who buy outfits online is bigger than ever. The associated turnover has thus enabled companies to develop and is now an integral part of their success.
Statistics show that e-commerce is an essential tool for the fashion industry today. In 2018, this sector generated a worldwide turnover of 481 billion dollars. In 2019, that amount increased to $ 545 billion and is expected to reach $ 713 billion by 2022.
The constant growth in income is mainly due to the increase in the number of potential consumers. The number of buyers is expected to reach 1.2 billion by 2020, with most of them between the ages of 16 and 35.
E-commerce in the fashion industry is benefiting from the growth of several clothing segments. And even if this growth is slowing down, the projections remain positive. The most dynamic sector is the accessories and bags sector, which saw an impressive growth of 15.6% in 2018 and is expected to grow another 8.7% by 2022 .
Here are some other interesting data on the growth of e-commerce in the fashion industry:
- 43% of purchases are made following personalized recommendations (through advertisements)
- 75% of consumers choose brands that personalize messages, offers and products
- In 2019, China was the top spending country, with $ 740 billion spent on e-commerce. This is $ 179 billion more than in the United States (the secondary market).
- In South Korea, 77% of the population made at least one fashion-related online purchase in 2019. This is the highest rate in the world.
Sector characteristics
Online fashion is distinguished by a series of characteristics. Some of these include:
- The presentation – The design of the e-commerce site is its soul. It should not only be easy to understand and use, but it should also stand out.
- Outstanding Service – The best online sellers often combine promotions with customer service. This interconnection makes it possible to strengthen the link between customers and the brand, and therefore to build lasting customer loyalty.
- Loyalty programs – The most effective way to retain customers. Reward those who come back regularly. Loyalty programs are offered by most online stores.
- Marketplaces – Whether through Ebay, Facebook, Amazon or any other platform, the biggest brands usually offer many ways to buy their products.
- Live Chat – An easy way for customers with questions to get in touch with you.
- Automation – The whole process should be able to take place without having to chat with another person. A few clicks are all it takes to order.
What are buyers looking for?
E-commerce offers fashion enthusiasts a whole new world of action, and they are constantly looking to make the most of it. Whether it’s personalizing items or browsing through a simple mobile interface, shoppers are influenced by many factors that drive them to prioritize the online experience.
Personalization and online shoppers
Personalized offers are very important to online shoppers. Customers are always looking for the best deal. However, if there are specific offers, for example an anniversary discount, it is highly likely that the customer will choose this store.
Custom products have a similar effect, as they distance customers from the competition by offering them unique products.
Reviews to build long-term trust
Over 98% of fashion buyers also stress the importance of reviews. This is because customers want to have a sincere idea of the product they are planning to buy. Reviews, however, may be considered less important when the purchase is made from a reputable online store that has a very effective return policy.
Personalized results thanks to efficient filtering
Finally, in the fashion industry, buyers want to find the product they want quickly. A simple and efficient filtering system also contributes to the interface of online shops. Efficient filtering allows customers to easily access other parts of an online store (eg “striped shirts> blue striped shirts”).
This allows customers to find items similar to what they are looking for, while still having a pleasant browsing experience. In the fashion industry, buyers can also use different channels to filter.
The Facebook Marketplace is a good example of the importance of personalization work for online shoppers. It offers personalized results and is growing by 77% each month. And this is just one example among many.
Conclusion
The world of e-commerce is growing at a rapid pace and it has never been more important to stay on top of the latest developments. Obviously, data is the best way to understand what customers want.
But it’s just as important to use them to retain current customers.
As e-commerce develops, the competition among merchants will continue to intensify. And those who will be the most efficient will also be those who will know how to best manage the new features.
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