CPG E-Commerce Surged 36% to over $10B in the U.S. in 2016

CPG E-Commerce Grows 36% in 2017

In July of 2016 we predicted based on 1H 2016 sales that consumer packaged goods (CPG) e-commerce sales would surpass $10 billion in the U.S. with 40% YOY growth. We were correct.

View our detailed CPG E-Commerce 2016 report here.

Here’s a copy of the press release and a summary:

1010data Releases Industry Report: Consumer Packaged Goods Online Sales Surge 36% and Hit $10 Billion in 2016 Across Key Categories

Health Supplements, Pet Care and Cosmetics Drove the Growth in 2016

NEW YORK – March 2, 2017 – 1010data, Inc., the only integrated platform that combines self-service data management and analytics at scale with ready-to-use data, today announced the results of its 2016 Online Consumer Packaged Goods (CPG) Industry Report. For the first time since 1010data began tracking this market, online CPG sales across key categories surpassed $10 billion. Of the CPG categories tracked by 1010data, the largest ones were health supplements, pet care and cosmetics, each of which generated more than $1 billion in sales.

Total revenue for key CPG categories in 2016 was $10.4 billion, up from $7.6 billion in 2015. The 2016 data showed a nearly even split in revenue between the first and second halves of the year, implying that consumers are buying CPG products online year-round and not just during the holiday season. Key findings from 1010data’s report include:

  • Health Supplements Was the Biggest Online CPG Category – With $2.6 billion in sales, health supplements represented 25 percent of total key CPG category sales and exceeded the size of the next biggest category by $1 billion.
  • Pet Care Grew 67 Percent Year Over Year – Pet care was the fastest-growing category among categories with at least $500 million in sales. Driven by specialty pet care sites with brands like Chewy and Drs. Foster & Smith, “natural” products experienced the most growth.
  • Laundry & Dish and Cleaners Continued Growing Due to Pantry Box and Subscription Models – Of categories with less than $500M in sales, laundry & dish and cleaners experienced the most growth, because pantry box and subscription options from companies like Amazon, Boxed and Jet have enabled customers to conveniently order and re-order products.

1010data’s report also notes that online CPG sales across key categories grew twice as fast as total ecommerce sales, which had a 16 percent year over year growth rate in 2016. Increasingly, more online retailers are offering two-day shipping and subscription services, which is driving the acceleration in CPG sales growth.

By analyzing top search terms, 1010data found that most consumers who buy CPG products online started their search on Amazon. The top search term on-site across all CPG ecommerce sites was “prime pantry,” powerfully demonstrating the mass appeal of subscription services online.

“With CPG sales hitting $10 billion in sales online across key categories, online ecommerce is clearly no longer an afterthought for brands,” said Jed Alpert, Senior Vice President of Marketing at 1010data. “All CPG brands need to understand how consumers are shopping in their categories and consider how ecommerce can help deliver a better experience and complement in-store sales.”

For a free download of the full report, please click here.

About the Study

Throughout 2016, 1010data tracked numerous sources of spending data, representing millions of consumers, to provide an accurate assessment of online and offline retail sales and market share. 1010data focused its research on key CPG categories: health supplements, pet care, facial care, cosmetics, drinks, snacks, baby, hair care, health over-the-counter (OTC), oral care, cleaners, shaving, hand body, laundry & dish, and sun care.

What Amazon’s Press Release Didn’t Tell You About Prime Day

Amazon’s second annual Prime Day came back with a vengeance. Last year, customers complained about a lack of enticing deals and limited availability on hot products to such a degree that the hashtag #PrimeDayFail started trending. As a result, Amazon promised to not disappoint their beloved Prime customers this time.

That promise paid off: Amazon announced that this was their biggest day ever; Prime Day sales increased 300% since last year. Amazon, however, left out specific information about which products, brands and categories won the day. Using 1010data’s Market Insights, we’re going to fill you in on everything that was not released by Amazon. We looked at the top 1000 items based on units sold and here’s what we uncovered.

View full post here: linkedin.com/pulse/what-amazons-press-release-didnt-tell-you-prime-day-aaron-mendes

A Few E-Commerce Stats You Didn’t Know

E-Commerce

In  the past few months, our 1010data reports on e-commerce have been covered over 110 times by 100 major media publications. I figured I’d post some of the highlights.

Microsoft Surpasses Apple in Online Tablet Share for the First Time
Covered by: Forbes, FortuneBusiness Insider, The Register, Slashdot,VentureBeatYahoo! News, The Verge, and others.

Amazon Costs Google & Apple $100M/yr in Online Sales by Kicking Chromecast & Apple TV Out 
Covered by: Motley FoolInternational Business TimesVentureBeatBusiness InsiderYahoo! Finance, and others.

Samsung Seeks to Gain an “Edge” on the iPhone 6 Plus with the Galaxy Edge+ and the Note5 
Covered by: ZDNetInternational Business Times, and others.

Who is Winning in Wearables?
Covered by: Business InsiderYahoo Finance,  ZDNetBlue Springs Examiner,

CPG Killed it in E-Commerce in 2015
C
overed by: FortuneWall Street Journal, AdAge, MediaPost, and others.

Online Star Wars Toy Sales Hit 12-Month High with Upcoming Movie Release
Covered by: Bloomberg.

Why Mars Will Be Colonized in our Lifetime and Why That’s So Important

Mars Rover

Incredibly inspiring, engaging and highly detailed blog and podcast about colonizing mars and exactly how it’ll happen. Then it goes on to explain how from there we colonize the whole solar system and eventually the galaxy.

It really puts everything about life on Earth in perspective. Especially how rare and precious intelligent life is. And how shortsighted most of us are about what really matters.

Long, but totally worth it. You’ll be glad you read it.

Here’s the podcast version: https://soundcloud.com/waitbutwhy/spacex-full-post

 

Artificial Intelligence (AI) is More Dangerous Than Every Other Threat Combined

Don’t want sound paranoid. If you know me, you know I’m pretty optimistic, logical, and super positive. But because people like Elon Musk and Bill Gates, geniuses whose technical and inventive prowess I respect highly, are terrified of the prospects of AI, I put some time into understanding their concerns.

After thoroughly researching the latest thinking by scientists on the subject, I tend to agree with their concerns. AI is the most likely cause of human extinction and it’ll happen so fast, we won’t even know what hit us until it’s too late.

I now believe that the threat of artificial super intelligence (ASI) is a greater threat than terrorism, nuclear war, pandemics, and global warming combined. It’ll happen faster and more outside of our control than any of those. And it appears to be inevitable. Good luck… us. 🙂

If you’re too lazy to read about it, here’s a video that summarizes the threat of artificial intelligence.

AI Surpasses Human Intelligence
AI Surpasses Human Intelligence

Here’s the realistic summary:

  1. By (pick a year in the next 40-50 years) 2054 computers have the processing power close to matching human brains.
  2. Hundreds of companies are building revolutionary technology that make lives better and easier for humanity that involve nearly human intelligent, self learning, self improving computers.
  3. One March 23, 2054 at 2:31 PM Eastern Time one of these companies makes an update to their software that passes the threshold between pre-human and post-human intelligence.
  4. That system begins immediately self improving at a rate faster than any human can conceive.
  5. By 3:30 PM the system has infiltrated the entire Internet and covertly begins executing its programmed goal, which typically involves eliminating any risks to achieving it, such as any human that could stop it. i.e. eliminate humanity.
  6. Thirty days later all humans are dead and the computer takes over the entire planet, then solar system, and then expands from there carrying out a programmed goal, call it, solving the number PI to ever increasing decimal points.

Continue reading “Artificial Intelligence (AI) is More Dangerous Than Every Other Threat Combined”

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