It’s no secret that online shopping is becoming increasingly popular, and that trend accelerated during a pandemic. In fact, more and more people are now choosing to buy items online rather than in stores. Apart from the convenience of just pressing the “Add to Cart” and “ Check Out “buttons from their computers or mobile phones through different apps, some online stores offer huge discounts and better bundles than those in physical stores. But what are the most popular states for online shopping in the United States? And what are the most popular items that people are buying? If you’ve got questions that need a proper source, we will address them all in this blog!

eCommerce Statistics in the U.S.

In 2020, the worldwide pandemic changed online shopping from a convenience to a public health necessity. According to the U.S. Census Bureau eCommerce increased 43% between 2019 and 2020 as a result of lockdowns.

According to Statista.com,  millennials aged 25 to 34 years were the largest group of digital buyers in the United States. As of February 2020, this particular demographic group accounted for 20.2 % of digital buyers in the United States while the second-largest online buyer audience was 35 to 44-year-olds who accounted for 17.2% of U.S. digital buyers.

Also, in eCommerce alone, revenue is expected to show an annual growth rate (CAGR 2022-2025) of 14.90%, resulting in a projected market volume of US$1,496.00bn by 2025 and user penetration will be 80.1% in 2022 and is expected to hit 83.6% by 2025.

What do people normally purchase online?

When it comes to specific items that are most commonly purchased online, clothes and accessories are unsurprisingly at the top of the list. This may be due to the fact that buying clothes online can be a lot cheaper than buying them in stores, as retailers often offer discounts and free shipping deals. Other popular items include electronics, books, and music.

What States Buy the Most Online?

According to a report by the National Retail Federation, online shopping is becoming increasingly popular, with more and more people choosing to buy items online rather than in stores. And while everyone has their own reasons for preferring online shopping, there are a few key benefits that often draw people to buy things online. For one, you can shop from the comfort of your own home, which means you don’t have to go through the hassle of fighting traffic or looking for parking. You can also easily compare prices between different retailers, which can save you a lot of money in the long run.

In terms of the most popular states for online shopping, it’s no surprise that California and Washington top the list. These states are both home to large metropolitan areas with a lot of retail options. It’s also worth noting that both states have a sales tax, so buyers may be drawn to purchasing items online where they don’t have to pay taxes.

TOP 10 States That Buys The Most Online

1California56.5%
2Washington55.3%
3Massachusetts54.7%
4District of Columbia53.4%
5Virginia53.0%
6New Jersey52.7%
7Rhode Island52.5%
8New Hampshire52.2%
9Delaware52.1%
10Connecticut52.1%

Source: 2020 LendingTree analysis of Census Bureau Household Pulse Survey

What Percentage of Shopping is Online in the US?

According to recent statistics, around 10% of all shopping in the US is now done online. This number is expected to continue to grow in the coming years, as people become more comfortable buying items online.

Also, many people choose to shop online because it is often more convenient than returning items to a physical store. If you buy something online and don’t like it or it doesn’t fit, you can usually return it without having to go through the hassle of returning it to a store.

Who are the Major Players in the Online Shopping Industry?

Some of the biggest names include Amazon, Walmart, and eBay. These companies have been leaders in the space for many years, and they continue to grow their businesses by offering consumers great deals on a wide variety of products.

However, there are also a number of newer players in the space that are worth watching. Companies like Pinterest, Instagram, and Groupon all offer unique platforms that allow consumers to discover new products and save money on their purchases. So it will be interesting to see how these companies compete with the veterans of the industry in years to come.

Are Online Sales Increasing?

In terms of the most popular states for online shopping, it’s no surprise that California is at the top of the list. With a population of almost 40 million people, it’s the most populous state in the country and home to some of the biggest cities, such as Los Angeles and San Francisco. Not to mention, it’s also home to many of the biggest and most successful tech companies, such as Google, Facebook, and Apple. So it’s no surprise that California is also the state with the highest online sales, totaling $52.4 billion in 2018.

According to the U.S. Department of Commerce, the estimate of U.S. retail e-commerce sales for the second quarter of 2022 totaled $252.1 billion, an increase of 9.0 percent (±0.7%) from the first quarter of 2022. The second quarter of 2022 e-commerce estimate increased 7.4 percent (±1.1%) from the second quarter of 2021. This clearly tells that eCommerce is evidently growing and becoming more promising for any entrepreneurs who wish to venture into a new business online or anyone who has thoughts of starting one.

Benefits of Shopping Online

Here are many benefits of shopping online:

  • The ability to shop from the comfort of your own home
  • A wider selection of products to choose from
  • Competitive pricing. You can get great deals and discounts by shopping online.
  • The convenience of having items delivered directly to your home
  • Avoiding crowds and long lines at the store and saving time traveling
  • You can find items that are out of stock in stores.

The Risks and Dangers of Online Shopping

Though Shopping Online provide great convenience it also has some disadvantages that include the following:

  • Identity theft
  • Fraudulent websites
  • Delivery issues
  • Size and fit issues
  • Product quality issues

Tips for Safe Online Shopping

  • Only shop on secure websites. Look for the HTTPS:// in the URL and a lock icon before entering your personal and financial information.
  • Make sure you have anti-virus software installed on your computer. This will help protect you from malicious websites and downloads.
  • Keep your passwords safe and secure. Avoid using easily guessed words or phrases, and never share your password with anyone.
  • Be aware of scams. Don’t click on links from unknown senders, and don’t enter your personal information on a website unless you are sure it is legitimate.
  • Pay with a credit card. This will give you additional protection against fraud.

It is true enough that eCommerce is rapidly growing over time due to higher demands which also gives way to small businesses who do not have enough capital to have their own physical store put up. According to research, more than 263 million American consumers shop online and this will continue to grow over the years to come. Though consumers patronize online most of the time it is still important to maintain your permanent retail store, most probably transform it into a hybrid experience where consumers can purchase online and pick them up from your store, this way your staff can still interact with them and even provide the best customer experience. This can better help in retaining customers and keep them from coming back. Although in-person interactions are slowly becoming obsolete, it is still a necessity for them–both for customers who don’t use the internet and those who do.

Was this article helpful? What items do you normally purchase online? Share your thoughts in the comments section below.