90+ Retail industry statistics 2021 [Research Review]

The global retail industry has seen significant growth despite the global pandemic. We have collected data from various reports, studies, and surveys to provide you with a comprehensive overview of this market. This market review also provides a glimpse of the market post-pandemic.

Global retail industry

• The global retail market is expected to grow at a compound annual growth rate of 7% from 2021 to 2025, growing from $22.4 trillion to $29.4 trillion by the end of the forecast period
• The market grew by 10.5% from 2020 to 2021, increasing from $20.3 trillion to $22.4 trillion 

The U.S.

• At the end of 2020, there are 328,208 brick-and-mortar retail stores in the US
• According to the Census Bureau of the Department of Commerce, US retail sales increased by 5.2% from the 1st quarter to the 2nd quarter of 2021, reaching $1.7 trillion
  • During the same period, e-commerce sales increased by 3.3% reaching $222.5 billion, which represent 13.3% of the total retail sales
• According to the National Retail Federation, retail sales in the US rose by 6.7 percent from 2019 to 2020 $4.06 trillion and is expected to reach $4.33 trillion by the end of 2021
  • 19.4% of the sales happened during the holiday season in 2020 which accounted for $787.1 billion in sales
  • Online sales grew by 22.6%, representing $206.9 billion in 2020 holiday sales
  • Online retail sales are expected to grow between 18 to 23% from 2020 to 2021, to reach revenues of $1.1 to $1.2 trillion
  • The NRF also expects that the growth in retail sales will open 220,000 to 300,000 jobs per month in 2021
  • By the end of 2021, the NRF predicts the GDP will grow from 4.5% to 5%

Europe

• In Europe, fast-moving consumer goods (packaged food, beverages, toiletries, candies, etc.) saw a 5.5% increase in 2020 with the following countries experiencing the highest growth:
  • Germany - 12.4%
  • Ireland - 10.3%
  • Austria - 8.4%
  • Luxembourg - 8.0%
• Meanwhile, sales of non-food goods decrease by 3% across the continent
• Europeans spent 35.5% of their budget on the retail industry
  • Magyars are the highest retail spenders at 53.3%
  • Second are Croats at 50.9%

Latin America

• In 2021, Colombia logged the highest retail sales growth in Latin America at 15.7% followed by:
  • Mexico: 1.8%
  • Brazil: 0.3%
  • Peru: -4.5%
  • Argentina: -8.8%
• In 2017, retail sales reached $1.9 trillion and is expected to increase to $2.4 trillion by 2022
• In 2020, Walmart opened 63 stores in Mexico and 19 more in Central America as part of a 22.2 billion peso ($1.09 billion) expansion plan
• In January 2021, Brazil recorded lower retail sales of: 
  • Food and drinks from supermarkets by 1.6%
  • Clothing and footwear by 8.2%
  • Cars and building materials by 2.1%

 Asia Pacific

• 50% of the global retail revenue comes from the Asia Pacific region
• Retail sales in the Asia Pacific region was recorded at $5.5 trillion in 2019 but declined by 1.5% to $4.7 trillion in 2020; it is expected to recover by 2021, growing at a rate of 6.%
• The top 5 Asia Pacific companies that experienced huge growth include:
  • South Korean Coupang Corp. – CAGR of 102.6% from 2014 to 2019, valued at $5.7 billion at the end of the forecast period
  • India’s Reliance Retail Limited – CAGR of 55.1%, valued at $20.4 billion
  • Vietnam’s Mobile World Investment Corp. – CAGR of 45.3%, valued at $4.4billion
  • China’s JD.com – CAGR of 36.3%, valued at $73.9 billion 
  • China's Vipshop Holdings Limited – CAGR of 28.1%, valued at $12.7 billion

Athletic apparel industry

• One of the segments that saw significant change is the athletic apparel industry. Because most gyms and fitness studios were closed, the demand for athletic wear also declined.
• Sales of sports and fitness apparel decreased by 8.5% in 2020
• However, athleisure wear increased by 856% by the middle of 2020
• The US athletic apparel market took a $7.7 billion hit 

Footwear industry

• Unlike sport and fitness apparel, the footwear industry saw a sizeable uptick in 2020. Despite almost everything being closed in 2020: 
• The global footwear market reached $384.2 billion and is expected to reach $440 billion by 2026, growing at a CAGR of 2.3%
  • the sports shoe segment saw a revenue of $93.6 billion
  • sneakers or athleisure footwear brought in $70 billion in revenue
  • revenue of walking shoes hit $8.1 billion  

Consumer behavior

Shift to mobile wallets and online shopping

• The COVID-19 pandemic has affected how consumers get goods. According to a recent survey:
  • By the end of 2020, 62.5% preferred to shop online
  • The use of mobile wallets in-store increased from 12.1% to 22.8% in 2020
  • Digital wallet use for online shopping also rose from 28.3% to 35.2% during the same year
  • 54% of shoppers said they have been influenced by something they saw on social media

The use of gift cards

In the US,

• 90% of consumers who get gift cards from small businesses use them
• 74% of consumers buy gift cards from SMBs
• The minimum value of a gift card that would entice shoppers into visiting a shop is $0.88
• 56% of consumers prefer receiving a gift card as a form of loyalty reward
• Gift cards for casual dining are the most preferred by givers and recipients, 48% and 34%
• 89% of consumers enjoy receiving gift cards from their employers as a form of reward
• 60% of consumers prefer plastic cards or paper vouchers over digital gift cards

 Brick-and-mortar vs. online shopping

• A survey conducted in 2017 revealed that consumers preferred buying in physical stores because they can:
  • Touch, see and try out items - 62%
  • Bring the items homes immediately - 49%
  • Return/refund items easily - 20%
  • Enjoy the social aspect of shopping - 18%
  • Have their questions answered by store personnels immediately - 13%
• Items most likely to be bought in-store than online include:
  • Household essentials (groceries etc) - 58%
  • Home furnishings - 48%
  • Apparel and accessories - 39%
  • Personal care and beauty - 37%
  • electronics and appliances - 30%
  • Entertainment (books, magazines, movies, etc) - 15%

Data sharing

• The number of people who are willing to share information with retailers varies by age and gender, but overall, 57% of shoppers are not willing to share their personal information with brands or shops
• For the 43% of shoppers willing to share their data:
  • 61% do it to get discounts and special offers,
  • 61% are interested in loyalty program points and rewards
  • 31% do so to get a more personalized shopping experience
  • 48% of men are willing to share their details while only 40% of women do to get
    • Discounts and special offers - 60% (men), 66% (women)
    • Personalized shopping experience - 33% (men), 59% (women)
    • Loyalty program points and rewards - 65% (men), 59% (women)
• When age is considered, people in the age group 25 to 34 are 66% more likely to share personal information followed by:
  • 61% of those aged 35 to 44
  • 57% of people aged 18 to 24
  • Only 20% of 60 and older buyers willing to share their information

Millennials are becoming savvy buyers

Based on a 2016 survey, millennials are more careful with their finances as 

• 82% believe they only spend within their means
• 63% buy only what they have on their list
• 70% of brick-and-mortar shoppers live within the vicinity
• 75% of shoppers would opt to buy from retailers that offer free shipping
• 73% of shoppers said they bought things because of in-store beacon-triggered content

The use of online information

• 65% of shoppers do an online research first before buying things in-store
• 55% of these shoppers focus on user reviews
• 47% go to the brand or company website to learn more about the product
• 26% visited a physical shop to see the product
• 23% talked to family or friends to know more about a product

About RunRepeat

RunRepeat simplifies the shoe-buying process by giving you the most objective shoe reviews out there. We accomplish this by testing the shoe in the field (running, playing tennis, basketball, football...) AND by lab-testing the shoes. We also provide in-depth articles that cover statistics and market studies on health, diversity, sports, and more.

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Use of content

• If you have any queries about the retail industry, you may email Nick Rizzo at nick@runrepeat.com. He's also available to do interviews.
• You may freely use the information in this article in any online publication. We simply ask that you include a link to this original source.

References