Why is 2021 the time for e-commerce?
Covid-19 made the year 2020 a difficult one for many businesses. However, 2020 also provided new business opportunities to e-commerce shops in Denmark. While the pandemic has dramatically changed everyone's lifestyles, it has also reshaped Danish consumers' shopping habits. In the first half of 2020, the total e-commerce net sales reached 74.7 billion DKK, which was a 5% increase compared to the same period the previous year. Dansk Erhverv - Digital Handel conducted a survey which collected nearly 7,500 representative Danish consumers' answers. The survey shows that after the first coronavirus lockdown in Denmark in April 2020, 36% of the respondents purchased from a new e-commerce shop. These numbers show that e-commerce is winning popularity among Danish consumers, and the "new normal" creates opportunities for e-commerce business.
Why do Danes shop online?
First, let's gain a better understanding of Danish consumers. The survey shows that across generations, the biggest reason Danes shop online is because "products are cheaper online." The two other main reasons Danes shop online are the "bigger selection of products" and "convenience." Regarding the payment methods, experts point out that although debit cards are still the most used payment method, mobile payment, especially Mobilepay, is rapidly catching up.
The survey also discovered that the vast majority tend to conduct research before buying. This ties to another reason why more and more Danes prefer online shopping: They cannot research and compare in physical shops. It's worth noting that this finding opens up new opportunities to drive your e-commerce business sales through advanced content marketing. This new strategy will not be difficult to implement, as Clerk.io's recently launched Content Recommendations feature can help you!
Who are the biggest e-commerce leaders in Denmark today?
The figure below represents the most popular e-commerce shops in Denmark in the first halves of 2020 and 2019. The percentages represent the share of the respondents’ last e-commerce purchases for 2020 and 2019 with 4% of the respondents having made their last purchase from Zalando. This comes as no surprise given that the net sales of Zalando.dk was over 1.36 billion DKK in 2019.
What can we learn from Zalando?
Through analyzing the Trustpilot reviews from real customers, we can discover the secrets behind Zalando's success (see figure below). In combination with the previous survey findings, Zalando's competitive prices and continuous sales campaigns attract new and more customers to its website.
Try First Pay Later
When reading Yvonne's review above, it becomes clear how Zalando succeeds in overcoming common shortcomings that many other e-commerce shops have. The first being, the ability to offer a wide range of options and the second being, the ability to 'Try First Pay Later.' Through eliminating potential costs, Zalando's "Try First Pay Later" option makes it possible for customers to try out different products before any payment is required. This replicates the way how consumers traditionally shop in physical stores.
Fast & Easy Deliveries
Zalando’s guarantee for fast and easy deliveries makes their customers convert! This is because consumers desire instant gratification and their excitement for products will die out if they have to wait too long for the delivery. This could result in them choosing to not place the order in the first place or return the order after they have received it.
Good Customer Service
Finally, good customer service is always the key to building strong customer loyalty. The better your service is, the lower the chance that customers will look to competitors. This is because people love to stay in their comfort zones. So, if you make your customers happy and comfortable, they will stay!
5 secret tips for growing your e-commerce business in 2021:
SEO and content marketing matter! As Danes do their research, you have to stand out in the search results.
- Include Mobilepay as a payment option!
Offer a wide selection of products and competitive prices.
Guarantee fast delivery.
Put customers first and let your great customer service win their hearts.
Clerk.io can help you operationalize these personalized strategies and grow your business in 2021. Get started by booking a time with one of our specialists today 🚀.