In the decade before 2020, the advent of online shopping had grown steadily more common and popular amongst the general public. But for as popular as it was in 2019, any final reservations that people may have had were entirely shattered in 2020. As pandemic-fueled lockdowns forced numerous businesses to close altogether and the majority of the population to stay inside of their homes, online shopping became a necessity. In the years since, while physical storefronts have obviously opened back up, the world of shopping has been irreversibly changed. Once the ease, convenience, and accessibility of online shopping had been so clearly demonstrated to so many people, it fundamentally changed the role of online and omni-channel retail.
This growing consumer reliance on digital and hybrid shopping models has come to define the 2020s and may actually have substantial financial and environmental benefits. A new report by the Computer & Communications Industry Association (CCIA) explores how e-commerce and omnichannel retail options have transformed the way consumers shop, offering significant time and fuel savings, monetary benefits, and environmental advantages.
Consumer Savings Breakdown
Online shopping helps urban and suburban consumers save approximately $500 per year per adult or $1000 per household. The savings are even greater for residents of rural areas, who save, on average, $900 per year per adult or $2000 per household.
Where do these savings come from? Online shopping, rather than traditional storefront shopping, cuts down on fuel costs, eliminates additional wear-and-tear on your vehicle, and affords you more time. In the moment, each of these factors may feel inconsequential, but the total of their combination over a year is quite sizable.
Even individuals opting to buy online and pick up in-store save a substantial amount, though obviously not quite as much. These individuals save approximately $100-$150 per year.
Environmental Impact
Since 2020, there has been a reduction of $1 billion per year in CO2 emissions, thanks to the popularization of online shopping. This is because delivery routes are far more efficient and gas-conservative out of necessity than you would be on a personal driving trip to the store. Delivery drivers are on the clock and need to hit multiple locations at any given time. Also, one delivery driver can deliver food to up to dozens of homes per hour, eliminating that many additional cars from being on the road in the process.
Omnichannel options also reduce unnecessary store visits. When you order groceries in advance and then simply pick them up at the store, it’s far more difficult to forget anything you need. This results in fewer return visits, conserving even more emissions.
Future Trends and Implications
Numerous technological innovations have the potential to further change the financial and economic benefits of online shopping in the near future. Drone delivery has been posited as a viable option for increasing efficiency and reducing environmental impact. The expansion of retail options for rural consumers is another expansion effort on the horizon. These shoppers currently have significantly fewer nearby stores compared to urban consumers.
“Online and omni-channel retail are fundamentally changing consumer choices and cost structures, particularly for rural communities,” says Trevor Wagener of CCIA.
Final Thoughts
Online and omni-channel retail has had a long-lasting and powerful effect on consumer finances and the environment. In the span of a few short years, the changes made have brought about substantial and beneficial differences to both the environment and shoppers’ finances. Moving forward, innovation will continue to expand the accessibility and savings available via omni-channel retail.
