According to data from the first quarter of 2023, online shoppers are price-conscious when shopping for beauty on Amazon. The largest share of bestselling beauty products on Amazon in the United States were priced between 1 and 10 dollars. At 33 percent, the second-largest share was in the price range of 11 to 20 U.S. dollars. Products between 21 and 30 dollars accounted for 14 percent of all top-selling beauty products on Amazon.

The top 25 beauty and personal care products on Amazon are priced on average 13.46 dollars, according to data from the second quarter of 2024. When looking at the median cost of these items, it is slightly less at 11.87 U.S. dollars. These top beauty and personal care items have an average of around 83,800 online reviews and a 4.5-star rating. Price sensitivity in beauty e-commerce Price plays a crucial role in the success of beauty products on Amazon. The majority of bestselling beauty items fall within the one to ten dollar range, followed closely by products priced between 11 and 20 U.S. dollars. This pricing strategy aligns well with the average price point of 13.46 dollars for top beauty products, catering to price-conscious online shoppers. The affordability factor likely contributes to the high volume of reviews these products receive, as more consumers can access and try them. Brand dominance and market trends The beauty landscape on Amazon is dynamic, with brand leadership shifting throughout the year. While L'Oréal Paris led the pack in early 2023 with a 22 percent market share, CeraVe emerged as the front-runner by July, generating over 13 million U.S. dollars in gross merchandise value. This shift reflects changing consumer preferences and the growing popularity of skincare products, which account for 32 percent of the top 25 beauty items sold on the platform. The success of these brands, coupled with Amazon's projected growth in health and beauty sales from 44 billion to 79.4 billion U.S. dollars by 2027, underscores the platform's significance in the beauty e-commerce sector.

E-commerce companies sell various goods and associated services through online portals, either on websites, mobile applications or integrated into social media platforms. Internet access across Europe is rapidly accelerating, with the vast majority of countries boasting usage rates of over 80% of the population. The spread of fast broadband and mobile data has enabled rising numbers of Europeans to engage in e-shopping. Over the five years through 2024, e-commerce revenue in Europe is forecast to climb at a compound annual rate of 2.9% to reach €324.9 billion. E-tailers benefit from lower overhead costs than brick-and-mortar stores, enabling them to offer highly competitive prices to their customers and draw sales away from traditionally popular establishments like department stores. E-tailers have taken off by leveraging these cost advantages to appeal to an increasingly price-conscious consumer base. The expansion of value-added services like ‘Buy now, pay later’ and fast, flexible delivery options have contributed to some hefty industry growth. Sky-high inflation across much of Europe has severely dented Europeans’ spending power, with drops in sales volumes affecting many online stores in 2023. Despite this, revenue continues on an upwards trajectory as inflation swamps the drop in volume sales, with an estimated 1.1% growth rate in 2024. Looking forward, internet penetration will continue to provide a growing market for e-tailers, driving revenue upwards at a projected compound annual rate of 7.2% to reach €686.4 billion over the five years through 2029. E-tailers will continue to adapt their business practises and product selections to reflect the ever-growing level of environmental awareness. Delivery fleets will become fully electrified for many companies, while increasingly stringent waste regulations will force companies to adopt biodegradable or recyclable packaging in the coming years. The integration of AI and data analytics will transform business operations, making them more efficient and help to lower wage costs, supporting profitability.

The E-Commerce and Online Auctions industry has undergone considerable change over the years, switching from focusing on mail orders and direct TV and telephone sales to e-commerce, driven by the expansion and accessibility of internet services. The increasingly integrated nature of the internet and smartphones in everyday life has been pivotal in developing mobile shopping apps and driving growth. The growth of the internet has also supported online retailers’ reach; e-tailers get strong benefits from using social media platforms such as Facebook, Instagram and TikTok to build traffic effectively at low costs. Similarly, combining with tools like Google Ads allows businesses to place targeted adverts based on keyword searches, helping boost product visibility in search engines and potentially leading to higher sales. Over the five years through 2024-25, e-commerce revenue is expected to expand at a compound annual rate of 4.4% to reach £57.2 billion. E-tailers have taken off by leveraging cost advantages and offering competitive prices to an increasingly price-conscious consumer base. Expanding value-added services like monthly finance options and flexible and fast delivery methods have contributed to double-digital growth in some years. However, there have still been challenges. The cost-of-living crisis dented sales volumes in 2022-23 and 2023-24, driving a slump in revenue. However, rebounding disposable incomes will help to return the industry to growth, with revenue projected to expand by 3% in 2024-25. Over the five years through 2029-30, revenue is expected to climb at a compound annual rate of 4.2% to reach £70.3 billion. The rapid growth of m-commerce is set to continue, driven by increasing smartphone use and better internet access, especially as the 2024 Autumn Budget committed £500 million into improving broadband speed and 5G network coverage through Project Gigabit, which will start in 2025-26. Businesses that adapt quickly to customers' preferences for convenient mobile shopping are likely to be the most competitive. Expanding and adding innovative value-added and online tools like AdWords, cookies and customer service robots will also be important in helping stave off external competition from in-store retailers. Retailers could also look to improve their logistical options, including through the use of drones to reach more customers in remote areas. Lower wage costs from greater automation and AI is expected to support profitability.

The retail landscape has undergone a substantial digital transformation over the past few years due to the COVID-19 pandemic, which is why the Online Consumer Electronics Sales industry has flourished. Increasing acceptance of online shopping has sustained robust industry growth. Online retailers’ ability to provide products at lower pricepoints than traditional consumer electronics retailers has enabled the industry to better withstand poor economic conditions. Online computer electronic product purchases are considered a cost-effective alternative to purchasing from traditional bricks-and-mortar stores. Yet, weakening consumer sentiment and the cost-of-living crisis have partly restricted consumer demand and expenditure on industry products recently. Falling real household discretionary income has encouraged more bargain seekers and propelled sales of versatile electronics like mobile phones instead of big-ticket items like home entertainment products, boosting industry revenue. Industry revenue is set to climb at an annualised 5.9% over the few years through the end of 2024-25, to $4.5 billion. This trend includes anticipated growth of 1.7% through the end of 2024-25; a more modest result than previous years as consumers become more price-conscious. Retailers have benefited from significant technological change, driving revenue growth. Continued innovation among electronic devices has supported demand. Alongside intense price-based competition, online retailers’ lower operating costs compared to traditional bricks-and-mortar retailers have ensured cost savings for consumers but have diminished operators’ profit as a share of revenue. A rise in industry revenue has prompted traditional retailers like JB Hi-Fi to invest heavily in their online sales channels, boosting their market share. Online-focused retailers like Amazon have invested more in distribution efficiency, resulting in a rapid growth in market share. Overall, revenue is set to rise by an annualised 5.6% over the coming years through the end of 2029-30, to $5.9 billion. Industry participation is set to dip due to more intense price wars, with unprofitable, small-scale retailers exiting the industry. Improved data connectivity and continuous product innovation are poised to facilitate demand for consumer electronics that capitalise on increased data speeds as consumers update their existing hardware. Higher sales volumes of modern technology will likely boost industry profitability.

Sustainability has become a key purchase criterion for several consumers across Australia, with over ** percent of Australian consumers surveyed in 2022 indicating that they always considered sustainability in their purchase decisions. Only **** percent of those surveyed reported never taking sustainability into consideration when shopping. Sustainable consumption trends in Australia Online shoppers increasingly prefer to shop from ethical and sustainable brands in Australia, with over ** percent of Australian online shoppers viewing purchasing from ethical brands as important. Many consumers also indicated they were willing to pay more for sustainable products, with consumer expectations for sustainable product availability highest in the household cleaning products sector. Buying locally sourced and produced products is also on the rise among Australian consumers, with over ** percent of shoppers frequently purchasing local products. Furthermore, in 2022, over ********** of consumers in Australia said that they preferred to buy local food produce. Resale market in Australia Australia’s resale market is gaining momentum as consumers nationwide become more sustainability-focused and increasingly try to save money due to cost-of-living pressures. As of July 2022, the value of trading secondhand items in Australia amounted to over ** billion Australian dollars. Clothing, shoes, and accessories accounted for the largest share of used and secondhand items owned across the country that same year, with games and toys coming in second. Many Australian consumers are utilizing online resale platforms, such as eBay, Amazon marketplace, and Depop, to sell their unused or unwanted items, with several households reporting owning between one and twenty unused clothing items in 2022.