{"id":768509,"date":"2023-07-10T08:52:37","date_gmt":"2023-07-10T12:52:37","guid":{"rendered":"https:\/\/www.marketnewsdesk.com\/index.php\/fti-consulting-u-s-online-retail-sales-to-reach-1-14-trillion-in-2023\/"},"modified":"2023-07-10T08:52:37","modified_gmt":"2023-07-10T12:52:37","slug":"fti-consulting-u-s-online-retail-sales-to-reach-1-14-trillion-in-2023","status":"publish","type":"post","link":"https:\/\/www.marketnewsdesk.com\/index.php\/fti-consulting-u-s-online-retail-sales-to-reach-1-14-trillion-in-2023\/","title":{"rendered":"FTI Consulting: U.S. Online Retail Sales to Reach $1.14 Trillion in 2023"},"content":{"rendered":"

\nNearly 80% of Online Shoppers Prefer AI-Driven Personalization and Believe It Enhances Their Experience
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WASHINGTON, July 10, 2023 (GLOBE NEWSWIRE) — The Retail & Consumer Products<\/a> practice at FTI Consulting, Inc. (NYSE: FCN) projects U.S. online retail sales will reach $1.14 trillion in 2023, an increase of 10% from the previous year, according to FTI Consulting\u2019s 2023 U.S. Online Retail Report<\/a><\/em>. Consistent with its pre-pandemic rate, e-commerce is estimated to capture 42% of total retail sales growth in 2023. E-commerce sales growth (year-over-year) is expected to moderate to 10% or less in the coming years, and annual online sales growth through 2025 is expected to double the rate of store-based sales growth.<\/p>\n

In addition, this year\u2019s report includes the findings of a new survey detailing consumer interest and concerns surrounding AI-driven shopping personalization, which indicate that roughly 80% of shoppers believe personalization can enhance their online shopping experience. Seventy-five percent of those surveyed said they would be \u201cvery interested\u201d in receiving personalized product offers and advertisements.<\/p>\n

\u201cAI-driven personalization can greatly benefit retailers looking to close the gap between consumers and the products they want,\u201d said Kurt Staelens<\/a>, a Senior Managing Director in the Retail & Consumer Products practice at FTI Consulting. \u201cIt\u2019s not only a more efficient process, but also a competitive advantage, with roughly 7 in 10 respondents saying they were more likely to switch to retailers offering better personalized experiences.\u201d<\/p>\n

While interest in personalization is growing, consumers still express concerns. Only 48% of respondents said they are comfortable sharing personal data like browsing history, demographic information and transaction history. One of the most significant challenges for retail platforms, according to the survey, is that only 38% of respondents trust them to manage their personal data.<\/p>\n

\u201cIt will not be an easy task for businesses to win the level of confidence from consumers required to have them willingly share their personal data,\u201d said J.D. Wichser<\/a>, Leader of the Retail & Consumer Products practice. \u201cSuccess of AI-driven personalization depends on the extent to which businesses identify consumer concerns and develop strategies that will directly address these concerns.\u201d<\/p>\n

Additional takeaways from the survey include:<\/p>\n