E-COMMERCE
E-commerce is
booming - but are
all within the cargo
sector riding this
wave? The Editor
assesses the
situation.
According to a recent blog
on Oberlo, a website
enabling those keen to
exploit dropshipping, demand
for e-commerce simply carries
on expanding. The statistics
quoted point to projected
sales increasing from 1.3trn
in 2014 to 4.5trn in 2021
which, if fulfi lled, equates
to a threefold growth over a
seven year period. Such fi gures
are impressive, to say the
least. Equally, IATA’s statistics
for the cargo sector depict a
steadily inclining graph line,
with the percentage of retail
sales moving from 7.4% in
2015 to 17.5% in 2021. Not
quite a threefold rise, but
still extremely positive for
all that. Mentioned in the
latter’s White Paper is IPC,
which expects cross-border
e-commerce to account
for 22% of global online
commerce: this is virtually
twice the growth rate for
domestic trade. IPC further
predicts that between 2016
and 2021 e-commerce sales
will have grown by 141% and
reach a forecasted global sales
value of US$4.8trn.
Online purchases seemingly
know no boundaries; during
January 2019, IPC narrates that
75% of shoppers were making
online purchases at least once
a month. But buying is one
thing; for the carriers, the
silver lining has been found
in the type of goods being
purchased with the click of
a mouse. The vast majority
(IATA puts the fi gure at 84%)
weigh under two kilogrammes
whilst 40% have a value of
less than €25. What we have
here can thus be considered
akin to the old supermarket
adage of stacking it high and
selling it cheap: purchases are
small in size, are cheap and are
plentiful. All the elements, in
short, that belong to a highly
lucrative sector.
16 February 2020 www.airlogisticsinternational.com
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