The information on this page was current at the time it was published. Regulations, trends, statistics, and other information are constantly changing. While we strive to update our Knowledge Base, we strongly suggest you use these pages as a general guide and be sure to verify any regulations, statistics, guidelines, or other information that is important to your efforts.
Online Purchase Behavior in the United States
Americans use the internet in all phases of their online purchase process. They are researching and gathering information, seeing online advertising, and looking for ideas and choices. And though they are using computers, smartphones, and tablets, computers are still the favorite device for both research and purchase.
- Online shopping is booming. In 2023, 82% of Americans made an online purchase, and the average shopper spent $2,810 online. This is up from 79% of Americans who made an online purchase in 2022, and the average shopper spent $2,534 online.
- Mobile shopping is on the rise. In 2023, 67% of Americans made a purchase on their smartphone, and 53% of Americans made a purchase on their tablet. This is up from 64% of Americans who made a purchase on their smartphone in 2022, and 49% of Americans who made a purchase on their tablet.
- Social media is influencing online shopping. In 2023, 47% of Americans said that social media has influenced an online purchase they have made. This is up from 43% of Americans who said that social media has influenced an online purchase they have made in 2022.
- Buy now, pay later (BNPL) is becoming more popular. As of 2023, 41% of Americans have used a BNPL service. This is up from 36% of Americans who have used a BNPL service in 2022. These trends are likely to continue in the coming years. Online shopping is becoming increasingly convenient and popular, and social media and BNPL are playing a growing role in influencing online purchases.
Americans use the internet when they are considering a purchase – they could be looking for ideas, comparing options, getting advice, and even looking for the place where they will purchase the product offline. The internet is often used in the entire process.
Online Shopping in the United States
According to the latest Google Consumer Barometer survey conducted in August 2023, the most commonly used device for making online purchases in the US is the smartphone, with 67% of respondents reporting using their smartphone for their most recent online purchase. This is followed by laptops at 53%, tablets at 34%, and desktop computers at 27%.
| Product Category | Most Commonly Used Device |
|---|---|
| Apparel | Smartphone (73%) |
| Electronics | Laptop/Desktop Computer (47%) |
| Furniture | Laptop/Desktop Computer (52%) |
| Groceries | Smartphone (78%) |
| Health and Beauty | Smartphone (69%) |
| Home Appliances | Laptop/Desktop Computer (54%) |
| Travel | Laptop/Desktop Computer (57%) |
| Automotive | Laptop/Desktop Computer (51%) |
Key Online Shopping Trends
- Smartphones Dominate Apparel and Grocery Shopping: For fashion and everyday essentials, smartphones are the go-to device, reflecting their convenience and portability.
- Laptops and Desktops Favored for Bigger Purchases: When it comes to larger or more considered purchases, like electronics, furniture, home appliances, and automotive, laptops and desktops are preferred due to their larger screens and more immersive shopping experience.
- Travel Planning Often Involves Laptops: For planning and booking travel, laptops offer a more comprehensive experience, allowing users to compare options, browse destinations, and manage itineraries effectively.
The Breakdown of Device Usage for Online Purchases Varies by Age Group
| Age Group | Smartphone | Laptop | Tablet | Desktop Computer |
|---|---|---|---|---|
| 18-24 | 82% | 39% | 28% | 17% |
| 25-34 | 77% | 59% | 41% | 29% |
| 35-44 | 70% | 63% | 46% | 34% |
| 45-54 | 62% | 69% | 52% | 42% |
| 55-64 | 56% | 75% | 58% | 50% |
| 65+ | 42% | 78% | 63% | 60% |
US Online Shopping Trends by Generation
The rise of e-commerce has revolutionized the way people shop, and the US is no exception. While online shopping has become increasingly popular across all generations, there are still notable differences in how people of different ages use the internet to make purchases.
- Older Generations and Online Shopping: For older generations, such as the Baby Boomers (born between 1946 and 1964) and the Silent Generation (born before 1946), online shopping is less prevalent than for younger generations. This is due to a variety of factors, including comfort with traditional shopping methods, concerns about security and privacy, and a lack of familiarity with technology.
According to the US Census Bureau, in 2022, only 58% of adults aged 65 and over made an online purchase in the past 12 months, compared to 91% of adults aged 18 to 29. Among those who did make online purchases, older adults were more likely to use desktop computers than smartphones or tablets. - Younger Generations and Online Shopping: .Younger generations, such as Millennials (born between 1981 and 1996) and Generation Z (born after 1996), are much more likely to shop online. This is due to their greater comfort with technology, their familiarity with online platforms, and their preference for convenience and flexibility.
According to the US Census Bureau, in 2022: - 97% of adults aged 18 to 29 made an online purchase in the past 12 months, compared to 88% of adults aged 30 to 49 and 77% of adults aged 50 to 64.
- Among those who did make online purchases, younger adults were more likely to use smartphones and tablets than desktop computers
The Future of Online Shopping
As younger generations age and their digital habits become more ingrained, it is likely that online shopping will continue to grow in popularity among older generations as well.
Additionally, as technology continues to advance and online platforms become more user-friendly, even the most tech-averse individuals may find themselves making more purchases online. And what seems to hold the most sway in getting people to shop online? Free shipping, and for all generations. But if you get stingy and only offer free returns if there’s not a store nearby, you’ll be driving a lot fewer online sales.
Globig Online Shopping Insights:
- Americans do make purchases online, their likelihood depending on the product category, their generation, and the kinds of devices they use.
- Consider your product or service category, your target market, how they interact with the internet, their likelihood of purchasing online, and if so, what device they are likely to use.
- Because people use the internet at all phases of the process, from looking for ideas and inspiration, to comparing options, getting advice, and ultimately purchasing online or finding a location to purchase offline, your online presence is important. You want your product or service to be easily found through searches, to have meaningful, localized content, and to be accessible in multiple formats.
The Google Consumer Insights
Here’s another great resource for analytics on mobile and internet usage in the United States. Google has also compiled a great deal of searchable information regarding the online world in its Google Consumer Insights research. Google provides a wealth of information in the use of devices and the internet and how Americans use them to research and make purchase decisions.
There are many ways to analyze and interpret the information, much of which can be useful in guiding your online strategy. You can use the research to further analyze behavior, both with their key insights and options to use their graph builder. Just filter down on the country or countries you are interested in.
The Google Consumer Insights consistently highlights the significance of a strong online presence for businesses, emphasizing its role in both go-to-market strategies and ongoing sales and marketing efforts. In the United States, internet usage plays a crucial role in consumer purchasing decisions, with individuals relying heavily on online resources to gather information and make informed choices.
The site is very straightforward and you can use it to search on parameters such as:
- Internet usage and segmentation
- Connected devices and device usage
- Online shopping behaviors
- Online video viewing
- Apply filters for demographics groups
Mobile – Friendliness is Essential
In today’s digital world, where smartphones are ubiquitous, mobile-friendliness is no longer an option, but a necessity for businesses operating in the US. This is especially crucial for companies aiming to expand into the US market, as understanding user behavior and adapting your online presence accordingly is critical for success.
Impact of Mobile-Friendliness on Businesses:
- Improved User Experience: A mobile-friendly website provides a seamless and user-friendly experience for visitors browsing on their smartphones, leading to increased engagement and higher conversion rates.
- Enhanced Search Engine Optimization (SEO): Google prioritizes mobile-friendly websites in search results, making it crucial for search engine visibility and organic traffic generation.
- Accessibility and Convenience: Mobile-friendliness ensures your website is accessible and conveniently usable by your target audience, regardless of their location or device.
- Brand Credibility and Trust: A mobile-friendly website portrays your business as professional, modern, and attentive to user needs, fostering trust and credibility with potential customers.
By understanding the prevalence of mobile device usage in the US and its impact on consumer behavior, you can ensure your business prioritizes mobile-friendliness. This translates into:
- Reaching a Wider Audience: You can effectively reach your target audience, regardless of their preferred device.
- Boosting Engagement and Conversion: A seamless mobile experience improves user engagement and increases the likelihood of conversions (e.g., purchases, sign-ups).
- Staying Competitive in the US Market: A mobile-friendly presence allows you to compete effectively with established businesses and cater to modern consumer expectations.
Investing in mobile-friendliness is not just a technical consideration, but a strategic business decision in today’s mobile-driven US market.
Staying Informed and Tailoring Strategies
In today’s dynamic business landscape, staying informed about cultural nuances, legal regulations, and evolving consumer trends is critical for success, especially when expanding into a new market like the US. This is where tailoring your business strategies to effectively navigate these aspects becomes crucial. Staying informed is important for:
- Understanding the US Market: The US market is diverse and complex, with regional variations in consumer preferences, business practices, and legal regulations. Staying informed helps you adapt your approach to each region and avoid potential pitfalls.
- Keeping Up with Regulatory Changes: The US legal landscape is constantly evolving, with regulations impacting various aspects of business operations. Staying informed ensures you comply with relevant regulations and avoid legal complications.
- Identifying Business Opportunities: Staying abreast of market trends and emerging technologies can help you identify new business opportunities, allowing you to capitalize on them before competitors.
Alibaba is a real life example of how staying informed impacted a business expansion. This Chinese e-commerce giant conducted extensive research to understand US consumer behavior and legal regulations before entering the US market. This informed their localized marketing strategies and ensured compliance with local laws, contributing to their successful expansion.
Understanding the importance of staying informed allows you to:
- Make informed Business Decisions: By analyzing market data, legal updates, and industry trends, you can make well-informed decisions that contribute to your long-term success in the US.
- Minimize Risks : Staying informed about potential challenges and regulatory changes allows you to proactively mitigate risks and avoid costly setbacks.
- Gain a Competitive Edge: By adapting your strategies to the specific needs of the US market, you can gain a competitive edge and attract a wider customer base.
Tailoring Your Strategies for the US Market:
- Cultural Sensitivity: Understanding American cultural nuances, including communication styles, business etiquette, and consumer preferences, is vital for building trust and rapport with potential customers and business partners.
- Localization: Tailoring your marketing materials, website content, and customer service interactions to resonate with the US audience is essential for effective communication and engagement.
- Compliance with Regulations: Ensuring compliance with relevant federal, state, and local regulations across various areas like taxes, labor laws, and product safety is crucial for smooth operations and avoiding legal issues.
IKEA is a real life example of how a business that tailored its strategies for the US market.This Swedish furniture company adapted its product offerings and marketing strategies to cater to the US market, considering factors like larger living spaces and cultural preferences for do-it-yourself furniture assembly.
Understanding the need to tailor your strategies allows you to:
- Connect with your Target Audience: By adapting your approach to local preferences and cultural nuances, you can effectively connect with your target audience and build stronger relationships.
- Navigate the Legal Landscape: Proactive compliance with local regulations ensures smooth operations and avoids legal roadblocks that can hinder your business growth.
- Build Long-Term Success: Tailoring your strategies specifically for the US market allows you to establish a strong foundation for long-term success and sustainable growth.
In conclusion, staying informed and tailoring your strategies are invaluable assets for any company looking to expand into the US market. By understanding the specific dynamics of the US market and adapting your approach accordingly, you can increase your chances of success and achieve your business goals in this dynamic and competitive landscape.
References:
- Global Information Technology Report – Full Report
- Google Consumer Barometer
- Digital Nation Data Explorer: National Telecommunications & Information Administration
- Pew Research Center
- US Census Bureau
- Federal Communications Commission
- eMarketer: US Ecommerce by Category Forecast 2023
- eMarketer:US Time Spent With Social Media 2023
- Google Trends
- U.S. Department of Commerce: National Institute of Standards and Technology (NIST) Cybersecurity Framework
- Pew Research Center: Mobile Fact Sheet
- Google: Mobile-Friendly Test
- Social Media Today: Social Media Marketing Statistics in the US (2024)
- Forbes: How Social Media Marketing Can Help With Business Growth
- Americans’ Social Media Use