E-commerce facilitates comparison shopping and the discovery of goods and services. It can also help consumers discover other good or services at lower prices.
Growth is expected to be driven by e-commerce, as a number of countries are developing an online marketplace, like China, which recently passed the milestone of 50 million products on its Taobao Marketplace, one of China’s biggest shopping websites.
The United States, too, has a number of e-commerce businesses, most of them related to online advertising. According to Forbes, online advertising in the U.S. has made a substantial impact on the U.S. economy, accounting for about $15.6 billion of GDP, or about 4.4 percent of U.S. output. Online shopping has also increased in the last few years. Customers are starting to see the big advantages of shopping online. One of them being the possibility of getting more discounts online. If customers take the time to look for coupon codes online, they may even come across a macys coupon.
E-commerce will account for a staggering $2.5 trillion of U.S. GDP in 2017, accounting for 8.6 percent of total U.S. GDP. This is a far cry from the first e-commerce study published by the Massachusetts Institute of Technology, which predicted that online retail would contribute only $1 billion to U.S. GDP in 2013. This may be an optimistic estimate, however, as analysts warn that e-commerce’s revenue is expected to double every five years to an estimated $3 trillion by 2030.
U.S. retailers have also started exploring ways to incorporate e-commerce in their business. For example, the online retail giant Zappos has built its business around a program called Zappos Shopping Pass. Customers who sign up for the program receive 20 percent off at Zappos stores in the U.S. and can use that discount to get a phone, tablet, or computer. As a result of these developments, the e-commerce industry has come a long way in just three years. As the largest U.S. economy, the United States is likely to be the most heavily affected by online commerce in the next decade.
China is one of the world’s largest economies and is the largest retail market in the world, with a population of more than 1.3 billion. The Chinese e-commerce market grew in 2012 at a rate of 40 percent. The pace of growth is projected to accelerate significantly in 2013, when online retail sales there are expected to hit $1.6 trillion. With such an enormous potential market, the government will be increasingly involved in promoting e-commerce as a business activity. 4. Online Games With gaming taking over much of the media and popular culture landscape in the West, China has started to imitate the Western game market. In addition to growing revenues from computer and mobile game sales, Chinese online gamers have become more educated and better informed about the global market. This is a major factor in their rising popularity. Online gamers are estimated to spend an average of five times as much on games than regular consumers. Chinese gamers have also started to demand a number of desirable features such as instant cash purchases, no account registration and the ability to transfer their virtual items (loot) between games and real world currency. Chinese online gamers are also developing their own computer games with high entertainment value for the overseas market. 5. Mobile Games The Chinese mobile game market has reached impressive growth and now accounts for almost 10% of the total online game market. Mobile games account for almost two-thirds of the revenues of mobile game manufacturers. In recent years, Chinese publishers have taken advantage of the rapidly growing mobile game market to