In 2020, Canada set a record by becoming the fastest-growing e-commerce market in the world.

Fast-forward two years and one global pandemic—what’s changed?

Whether you’re an online marketer or an eCommerce store, being in the know on the latest eCommerce stats and trends can be pivotal to your success.

Understanding consumer trends will help you make informed marketing decisions. Having insights into eCommerce consumer behaviour can help guide your decision-making around product lines, promotion tactics, etc.

Ready to get wise to some of the latest insights and eCommerce stats in Canada? Keep reading.

Online Shopping Sales in Canada Have Grown Nearly 300% In 5 Years

Online Shopping Sales in Canada

As we said above, Canada has been setting records with its eCommerce growth. Over the last 5 years, online shopping sales have increased by almost 300%.

One of the reasons for this is the pandemic. Stay-at-home orders forced Canadians to take advantage of digital channels.

However, even before the pandemic, Canada was seeing impressive eCommerce growth.

Pandemic conditions spurred electronic eCommerce adoption all over the world. But, the big takeaway is that Canada’s eCommerce retail sales growth isn’t just a by-product of the pandemic.

Come 2022, and the eCommerce sector continues to see sustained growth.

45% Of eCommerce Sales Go Towards Purchases From Non-Canadian Websites

45% Of eCommerce Sales in Canada

Did you know that 45% of eCommerce sales are made up of purchases from non-Canadian websites? This is perhaps one of the most eye-opening eCommerce stats on our list for sellers.

Because Canada borders on the US, many online shoppers can take advantage of lower prices on US sites.

If you’re a Canadian eCommerce store, it could pay to take a look at your US competitors’ offerings and evaluate how you can match or beat them. If you’re a US seller, on the other hand, this stat is proof that you shouldn’t ignore the Canadian market.

Have you been marketing for Canadian demographics? Do you offer attractive delivery options? If not, now might be the time to start including Canadian target customers in your marketing campaigns and delivery model.

Electronics Is Currently the Leading Product Category

Electronics Is Currently the Leading Product Category

Currently, electronics is the leading product category Canadians purchase online. It accounts for 28% of eCommerce revenue in Canada. The second largest product category purchased online in Canada is fashion. Fashion makes up 27% of eCommerce revenue.

Coming in third is toys, hobby, and DIY, accounting for 19% of eCommerce revenue. In fourth place is furniture, which accounts for 16% of Canadian eCommerce revenue. Food and personal care make up the remaining 11% of eCommerce revenue in Canada.

The Online Shopper in Canada Placed 26.4 eCommerce Orders This Year

Are you wondering how often online shoppers in Canada hit buy on an order? The average online shopper placed 26.4 orders this year. This number is up by 60% since 2019 and equates to over two online orders per month.

Baby Boomers Bring the Buying Power

Baby Boomers ecommerce Buying Power Canada

Older generations are less connected than Gen Z and millennials. However, baby boomers are a strong buying force in the eCommerce sector.

Stats show that while 92% of millennials shop online, baby boomers have a lot more buying power. Currently, only 42% of baby boomers shop online, but, they control over 70% of the buying power in Canada.

The takeaway? Don’t ignore boomer buying power when figuring out your target demographics.

Related: Social media users in Canada

45% Of Canadian Shoppers Check Reviews and Customer Ratings

If you were living under a rock and assuming that reviews don’t count for much—you’re wrong. According to stats, 91% of Canadians read at least one review before purchasing a product. Additionally, over 37% of Canadians feel online reviews strongly affect their buying choices.

Ratings and reviews help shoppers evaluate new products and learn about brands.

If you have yet to activate review features on your eCommerce site, now is the time. Reviews give shoppers an independent, third-party quality report of products and services. Without reviews to browse through, shoppers will feel like they’re making buying decisions in the dark.

Besides enabling reviews, you might also want to look into leveraging user-generated content. User-generated content is a strong trust signal and helps to promote brand awareness.

87% Of Canadian Shoppers Say Free Shipping Is a Deciding Factor When Choosing an eCommerce Retailer

87% Of Canadian Shoppers Say Free Shipping

Who doesn’t love free shipping?

It should come as no surprise, that 87% of Canadians say that free shipping is a pivotal factor when choosing an eCommerce retailer.

If shoppers can get the same (or similar) products from an online retailer that offers free shipping, why would they order from one that doesn’t?

Free shipping can also be the tipping factor that convinces shoppers to buy online rather than in-store. If they’re going to have to fork out a shipping charge for something they can get in-store, there’s a good chance they’ll choose to purchase the item in person rather than online.

40% Of Canadian Shoppers Are Influenced Favourably by Multiple Payment Options

If you’re an eCommerce merchant, here’s a critical stat to be aware of. Reports show that 40% of Canadian shoppers are favourably influenced by having a wider choice of payment options.

Traditional payment options are still a staple. But, shoppers are now turning increasingly to non-traditional, digitally-based payment processors.

Back in 2020 already, over 43% of Canadian cellphone users utilized digital wallets. And more than 20% reported using PayPal to conduct financial transactions.

Late Deliveries Stop 30% Of Canadian Shoppers From Making Repeat Purchases

Late Deliveries Stop 30% Canadians from repeat buying graphic

According to reports, late show parcels could be killing your customer retention rate. Stats show that late deliveries stop 30% of Canadians from making repeat purchases from eCommerce stores.

Receiving a parcel late can be distrustful and frustrating, but the effect it has on buyer sentiment runs deeper than this. When an eCommerce delivery arrives late, it erodes one of the biggest trust signals in the online shopping sales cycle.

Instead of showing customers they can rely on your store on to promptly and effectively handle orders, it signals to them that you supply a service they can’t count on.

Delivering up the goods (literally) is still one of the most important stages for eCommerce stores to get right. In the early days of eCommerce, one of the biggest friction points consumers had to overcome was the fact that they were sending their money off into the ether. With no hard guarantee that they’d get what they paid for.

As people have become comfortable with online shopping, this has become more normalized. But, if customer orders aren’t being fulfilled on time, the default emotional reaction is one of lost trust.

33% Of Shoppers Want to Support Local Businesses

Are you a small or locally-based business looking into selling online? If so, we have some good news. Stats show that 33% of Canadian shoppers want to support small businesses, both through offline and online purchases.

35% Of Canadian Shoppers Favour eCommerce Stores That Treat Their Employees Well

Data shows that Canadian shoppers don’t just care about small businesses, they also care how businesses treat their employees.

Currently, 35% of shoppers favour eCommerce stores that treat their staff and employees well.

And it doesn’t stop here. Canadians are displaying a strong shift towards value-driven shopping behaviour. Almost 60% of Canadians are re-examining their personal values and carrying these over to their purchase decisions.

What’s more, 27% of Canadians are more likely to support eCommerce stores that are taking steps to protect the environment.

A further 25% are likely to choose eCommerce sellers that carry ethically or sustainably produced goods.

Overall, 25% of Canadian shoppers are genuinely committed to doing the right thing. They’re not just looking to get the best price. Instead, they want to leverage their buying power to support practices that align with their personal values.

Canadians Over 45 Prefer to Buy Small-Ticket Items In-Store

Are you targeting older demographics? If so, here’s another helpful eCommerce statistic to be aware of. Canadians who are older than 45 tend to prefer buying small-ticket items in-store.

This doesn’t mean you can’t sell small-ticket items to target markets older than 45. But it does mean you need to be strategic in your marketing.

For instance, does your store sell larger, higher-priced items as well as smaller-ticket items? If so, you might want to consider making the big-ticket sellers the core focus of your marketing campaigns. Rather than promoting small items with Facebook ads, you may get better results promoting higher-value items.

Once you’ve drawn new leads in, you can then upsell smaller items during the buying process.

B2B eCommerce Is Booming

B2B eCommerce Is Booming in Canada

Last but not least, stats also show that B2B eCommerce sales are booming in Canada. According to reports, virtually all Canadian small business owners say that they make online purchases of goods and services for their business.

Related: How to drive sales from TikTok

Leverage These eCommerce Stats to Drive Your Online Retail Sales

These eCommerce stats for 2022 show that online shopping sales are rising. Despite the predictions that mobile buying and online retail sales would drop after the pandemic.

Instead, the numbers indicate that if anything, the pandemic cemented the move toward eCommerce in Canada. The stats also show that consumers are demonstrating strong values-driven buying behaviour. They also don’t appreciate late deliveries or shipping charges and are willing to shop across the border if the price is right.

Are you looking to level up your marketing? If you own an eCommerce store, having the right digital marketing service in your corner is a make-or-break growth factor.

Here at Hey Tony, we provide everything you need from web design and SEO, to Instagram, Facebook, TikTok, and Google ads services.

If you want to attract more traffic, build brand awareness, and drive more sales, check out our digital marketing services today.

Originally published . Last updated .


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