A new study by Nosto, a leading commerce experience platform, reveals a significant trend in cross-border e-commerce – a growing appetite among UK and US consumers for shopping online from international retailers.
Over Half Embrace Global Shopping
The research, based on a survey of 2,000 respondents across both countries this April, indicates that at least 52.5% of UK and US consumers have purchased products from online stores in other countries within the past year. This highlights a growing comfort level with cross-border shopping, suggesting a potential shift in consumer behavior and a wider acceptance of international online retailers.
Fashion Leads the Charge
The study delves deeper into purchasing habits, revealing that fashion emerges as the clear winner for cross-border purchases. A staggering 70.2% of products bought overseas fall under the fashion and accessories category. This suggests a strong preference among UK and US consumers to seek out international retailers for their clothing and accessory needs. Sporting goods and hobbies follow closely behind, with 57.3% of cross-border purchases belonging to this category.
Younger Generations Drive the Trend
The study also identifies a generational divide in cross-border shopping habits. Younger demographics demonstrate a higher propensity to embrace international online retailers. The research shows that 67.47% of respondents aged 35-44, 64% of those aged 25-34, and 61.4% of those aged 16-24 have made at least one cross-border online purchase in the past year. Conversely, only 37.2% of respondents over the age of 55 reported engaging in cross-border shopping. This suggests a growing comfort level with international online transactions among younger generations.
Price as a Key Motivator
The study identifies a significant influence of pricing on cross-border shopping behavior. Over half (53.4%) of all respondents acknowledge that rising prices in their home countries motivate them to seek out potentially cheaper products from overseas retailers. However, the research also highlights a potential concern about quality – 65.7% of respondents express wariness about products with exceptionally low prices, often associating them with compromised quality. This suggests a delicate balance for international retailers – offering competitive pricing while maintaining trust in product quality.
The Future of Cross-Border E-commerce
The Nosto study paints a compelling picture of a thriving cross-border e-commerce landscape in the UK and US. The growing comfort level with international online retailers, particularly among younger demographics, coupled with the influence of competitive pricing, suggests a fertile ground for continued growth in this sector. As international retailers navigate the delicate balance between price and quality perception, they are well-positioned to capitalize on this expanding market.