Software development and data aggregation company, Similarweb has unveiled its new report “The State of Ecommerce 2024: Digital Trends and Strategies for Success”, which investigates the digital performance and opportunities in the beauty & cosmetics, luxury & jewellery, consumer electronics, marketplaces and fashion & apparel sectors. The global ecommerce sector has shown resilience with a modest growth of 1.4% year-over-year, recovering from a previous decline. 

Beauty & Cosmetics

The beauty industry has grown by 10.5% year-on-year despite economic challenges, surpassed only by the luxury sector at 15.8%. This growth is driven by increased comfort with online purchasing and the "Lipstick Effect," where affordable self-care items are preferred during inflation. Key trends include the rise of direct-to-consumer brands and Korean beauty products.

Marketplaces

Marketplaces dominate ecommerce with over half of all visits, growing by 0.8% year-on-year despite economic pressures. Major players like Amazon and eBay have seen declines, while platforms like Temu have surged, expanding rapidly. Developing economies such as Vietnam and Turkey offer growth opportunities due to better logistics and internet access.

Consumer Electronics

Consumer Electronics has seen a 2.1% year-on-year decline in traffic growth due to economic constraints and shifting consumer priorities. Environmental concerns are also influencing consumer behaviour, with more opting for repairs over new purchases to reduce electronic waste. This decline is attributed to both inflation and increasing environmental awareness.

Fashion & Apparel

The Fashion and Apparel category has seen a modest 1.3% year-on-year growth, influenced by cultural trends, economic conditions, and environmental awareness. Emerging markets like Argentina and Russia are showing significant growth due to local consumer behaviours and pop culture. The popularity of pre-owned fashion is rising, with platforms like Vinted and Depop gaining traction as consumers seek sustainable, cost-effective options.

Luxury & Jewellery

Luxury & Jewellery is the fastest-growing category, with a 15.8% year-on-year increase. High inflation has encouraged wealthier consumers to spend more in this sector. Celebrities and pop culture play significant roles in driving consumer interest and spending.

For the full report visit similarweb.com.