US Cross-Border E-Commerce Market
For sellers doing cross-border e-commerce, the United States is undoubtedly the focus of everyone’s attention. The US is considered the world’s most developed market for online shopping and is a global standard for eCommerce. The GDP per capita of the United States is 69375 US dollars, and the Internet penetration rate is as high as 92%. In 2021, Amazon’s Black Friday sales reached 8.9 billion US dollars. In 2021, the US GDP will grow to 5.97%, and the American people have reached a very high standard of living in the world. In 2021, U.S. consumer spending on online shopping will reach $870.78 billion, an increase of 14.2% from the previous year’s $762.68 billion. At the same time, compared with the 31.8% increase in 2020, this growth has gradually returned to the level before the epidemic. So what is the specific situation of the e-commerce market in the United States?
The United States is the world’s largest economy and the world’s second-largest e-commerce market, with annual sales of $587 billion, with online sales accounting for 11.3% of total sales. Many multinational e-commerce companies, including Amazon and eBay, are headquartered in the United States, and Internet technology is generally ahead of the world.
The US online retail market is relatively fragmented, and Direct-to-Consumer Business Model websites have good opportunities for development. The U.S. e-commerce market is more fragmented than in China, and brand websites have greater opportunities than in China. According to statistics, third-party e-commerce platforms represented by Amazon in the United States accounted for about 37.8% of the market as of June 2022; in the United States, except for Amazon, the top ten e-commerce markets accounted for only around 30%.
Even under Covid-19, the unemployment rate has continued to decline due to the gradual effect of the rescue measures in the United States. Various factors have made the local economy continue to improve, driving the growth of retail sales, both online and offline retail. Although there are many other factors to impact consumption in 2022 as we all know, online shopping is bound to become a trend. In the U.S., it is widely believed that Amazon is the only e-commerce platform worth paying attention to. With an estimated 39% of the market in online sales, Amazon is already well ahead of other retailers and still growing. However, other platforms specialize in products, such as crafts and fashion, which have enormous space for geometric growth.
With consumption channels, products are also required, so suppliers are very important at this time. Many U.S. sellers can use cross-border e-commerce platforms such as Amazon to ship goods directly from developing countries to consumers’ homes. The integrated process of order placement, delivery, and transportation can be realized on the platform. The process of cross-border transportation of e-commerce allows sellers can maximize profits, buyers can buy a wider variety of items and platforms can provide a variety of services such as logistic services, local transportation services, and customs clearance services. Ultimately it can maximize the profits of the three parties.
Scaling a global e-commerce brand is a big project. The international warehouse is also an important part of cross-border e-commerce. The international warehouse is a warehouse set up internationally, typically located in a global trade hub like New York, Houston, or Los Angeles. A warehouse lets the sellers deliver goods to customers wherever they are, in a timely manner and with minimal challenges. Moreover, international order fulfillment is an important extension of identifying your brand. Totally, it can give international customers the whole brand experience.
For most sellers, it is undoubtedly the right place to enter the Amazon US station or other cross-border e-commerce stations. With the support of logistics express lines, they can sell domestic high-quality and beautiful things from Asia to Europe, Canada, and the U.S. Then the sellers can earn the price difference and sell products from factories to buyers directly. Although the external environment is unstable in 2022, the sellers have confidence in the U.S. market. Once the economy returns to normal as before Covid-19, cross-border e-commerce led by the United States will definitely become the next new consumption trend.
