Digital Media Concepts/Online Shopping

What is Online Shopping?

Online shopping is the action of purchasing goods and services via the Internet. The consumer can choose their desired product from a chosen retailer, determine pick-up or delivery, and purchase through a chosen form of payment, debit or credit.

History of Online Shopping

The first online shopping company was launched in 1982 by Boston Computer Exchange, creating a platform to buy and sell used software. By 1995, Amazon was released as a book retailer shipping internationally, followed by the first online payment system, PayPal 1998, supporting over 12 million users. To support online shopping, Google creates AdWords to support online businesses through searches. With technology on the rise, Amazon advanced to Amazon Prime, followed by the retail holiday Cyber Monday in 2005. The popularity of smartphones in 2007-2008 introduced a larger clientele to the market, producing a first-ever boom of over $1 billion in sales from Cyber Monday in 2010. 2011-2014 services such as Google Pay and Apple Pay are introduced, allowing easy access to purchasing. In 2020, the COVID-19 pandemic closed in-store commerce, driving an efflux of online sales.

Customers Preference

Innovation and online accessibility have made e-commerce the preferred method of shopping for most customers. Decreases in interactions have allowed online platforms to continue growing, expanding on convenience for the customer. Following a recession and pandemic, studies show customers investing in research and deals before purchasing a product. 2022’s GWI Commerce Report showed a 36% increase in the amount of individuals grocery shopping online in the United States. The convenience of online shopping has ruled out the frequent mall-goers, a habit picked up after the COVID-19 lockdown.

Delivery Options

Delivery is a key component of online shopping with options like Amazon Prime and free shipping and return offers. Technology has allowed customers to customize their deliveries by updating dates, locations, and times at needed moments. Services also provide precise tracking, allowing the comfort of seeing where your package is per stop. Options such as same-day delivery appear more frequently, with data showing that over 70% of consumers value the expedient pace offered. Research states that 49% of consumers determine their purchases on the option for same-day delivery with more than 51% of retailers offering same-day delivery, and 65% of others showing interest in following suit. Curbside pick-up is one of the many other online retail options, allowing customers to place their orders online and receive their product within the hour without having to leave their car. Through updated technology, consumers can receive the perks of online and in-store retail.

Opportunity Growth

Technological advancements have made room for equal playing grounds in business. Without the need for in-person buildings and upkeep, individuals can join the market with less of a risk factor. Using cookies allows businesses to tailor their ad selection to fit your wants and provide a seamless online shopping experience. Consumers have the option to shop from anywhere at any time with the option to save and come back to their desired product at their convenience. Product selection ranges much wider with competitive pricing and designs, offering a perfect fit for each individual no matter where the product is coming from. With online reviews and comments, consumers are informed about their purchasing choices with a lower rate of returns. Online Shopping offers space for new creators while offering convenience for the customer through vast options and price-matching.