Top 10 Essential Facts About US E-commerce (2025 Edition)
Key points
- The U.S. e-commerce market is the world's second-largest, valued at over $1.4 trillion in 2025, with online sales now accounting for nearly 20% of all retail transactions.
- Mobile commerce is the dominant channel, driving over half of all online purchases, which makes a mobile-first strategy essential for retailers.
- Consumer expectations have solidified around free and fast shipping, with 85% of shoppers expecting free delivery, while high return rates, especially in fashion (30-35%), create significant logistical and financial challenges.
- Growth is being accelerated by new models like social commerce, projected to exceed $80 billion in sales by 2025, and the rapid expansion of direct-to-consumer (DTC) brands.
In 2025, the US market remains a global powerhouse—second only to China—with distinctive trends, challenges and opportunities shaping how businesses and consumers interact online.
As Landmark Global originally began as an American company (today part of the Belgian bpostgroup), we bring deep expertise and unique advantages in serving the US and Canadian markets.
For e-tailers shipping to the United States, the article and report offer valuable insights into a market we know firsthand, backed by our extensive logistics networks and tailored parcel delivery solutions. Here are the top 10 facts every e-commerce professional needs to know about the US market this year.
US E-commerce in 2025
1. The US e-commerce market is worth over $1.4 trillion in 2025
The US remains the second largest e-commerce market worldwide, after China. This massive valuation reflects a mature but still expanding sector driven by widespread internet penetration, smartphone usage and digital payment adoption.
Growth is steady but slower compared to the explosive rises of the past decade, indicating a maturing market with high saturation. Nonetheless, innovations like social commerce and voice shopping continue to open new revenue streams.
According to eMarketer, US e-commerce sales are forecast at around $1.44 trillion in 2025, underscoring consistent demand. This figure excludes travel and event tickets, focusing on tangible goods and services bought online. The sustained growth trajectory reflects evolving consumer habits and improvements in logistics, payment security, and personalized marketing.
2. Online sales represent nearly 20% of all retail transactions
This proportion has climbed rapidly over recent years, fueled heavily by the COVID-19 pandemic, which permanently shifted many shoppers’ preferences to online channels. The shift toward digital shopping is no longer niche but mainstream, with almost one in five retail dollars spent online.
This transition pressures brick-and-mortar stores to innovate or risk obsolescence. Retailers now emphasize omni-channel strategies combining physical and digital to serve customer preferences seamlessly. The US Census Bureau data corroborates this near-20% penetration rate, signaling that the future of retail lies in integrating e-commerce with traditional channels.
3. Mobile devices drive over half of e-commerce transactions
The dominance of mobile commerce (m-commerce) continues to reshape online shopping. The convenience of purchasing anywhere and anytime has made mobile the primary device for many consumers. Investments in mobile-optimized websites, app experiences, and mobile payment options like Apple Pay and Google Pay have catalyzed this trend.
As a result, retailers must prioritize mobile UX and checkout efficiency to reduce cart abandonment. This trend also impacts marketing strategies, with social media ads and influencer campaigns primarily targeting mobile users. Retailers who neglect mobile risk losing relevance in a market where seamless, fast mobile transactions are the norm.
4. Apparel, electronics, and health & beauty dominate online categories
Fashion continues to be a cornerstone of US online shopping, thanks to wide product variety, easy shipping, and consumers’ desire for convenience. Electronics and personal care items complement this dominance, driven by continuous innovation and product launches.
This shapes logistics, and particularly e-logistics, with fashion's high return rates and demand for fast delivery presenting unique challenges. According to Digital Commerce 360, online apparel sales reached $111 billion in 2024, with health & beauty growing at a robust pace as well. Retailers in these segments often invest heavily in customer service and flexible return policies to maintain loyalty.
5. Subscription models and direct-to-consumer brands accelerate growth
Subscription services offer predictable revenue streams and enhanced customer loyalty. These models cater to convenience and personalization demands, increasingly favored by modern consumers. The pandemic accelerated this shift, normalizing online subscriptions for everyday goods.
DTC brands bypass traditional retail channels, engaging customers directly via e-commerce platforms. McKinsey reports DTC growth surpassing 20% per year in the US, driven by millennial and Gen Z consumers who value brand transparency and unique products. These trends compel legacy retailers to innovate or risk losing market share.
Building on our American origins, Landmark Global continues to leverage its strong presence and deep market knowledge in the US and Canada. This foundation allows us to offer e-tailers highly competitive parcel delivery services tailored to the unique demands of North American cross-border e-commerce. With access to extensive networks and local expertise, we help brands optimize their shipping costs, speed, and reliability when reaching US consumers. Find out more about Shipping to the US with Landmark Global.
Did you know?
Nearly 70% of US consumers expect free shipping on online orders, but 50% will abandon their cart if shipping costs are too high or delivery times too slow.
Get all the insights in our country factsheet.
6. Free and fast shipping are non-negotiable for consumers
- 85% of US shoppers expect free shipping
- 72% want fast delivery options
Shipping expectations have become baseline customer requirements rather than perks. Offering free shipping influences purchase decisions more than discounts for many consumers. Similarly, fast shipping options, including next-day and same-day delivery, significantly boost conversion rates.
Retailers investing in efficient logistics networks and local warehouses gain competitive advantage. The ZigZag Global 2024 report highlights that failure to meet shipping expectations leads to abandoned carts and lost revenue. As e-commerce scales, balancing speed and cost remains a strategic challenge for businesses.
7. Fashion returns average 30-35%, creating major reverse logistics costs
Returns represent a critical challenge in fashion e-commerce, driven by sizing issues, changing minds and product expectations. The high return rate inflates operational costs significantly, with reverse logistics sometimes costing retailers 20-40% of the original product value.
According to the National Retail Federation, these costs include shipping, restocking and depreciation, impacting margins deeply. Retailers seek solutions like improved sizing guides, virtual try-ons and stricter return policies to mitigate this burden while maintaining customer satisfaction.
8. Social commerce fuels discovery and transactions
Social commerce is projected to generate over $80 billion in US sales by 2025.
Platforms such as Instagram, TikTok and Pinterest have evolved from marketing channels to direct sales platforms. Social commerce leverages influencer marketing, shoppable posts and live streams to engage consumers.
Business Insider Intelligence estimates social commerce’s US market will grow at a 25% CAGR through 2026. Brands integrating social shopping into their e-commerce strategies capture younger demographics and increase impulse purchases, making social channels essential for competitive growth.
9. Data privacy and cybersecurity concerns shape consumer behavior
As e-commerce grows, so do threats from cyberattacks and data breaches. Consumer trust hinges on transparent privacy policies, secure payment processing and robust cybersecurity measures.
The 2025 Thales Data Threat Report finds nearly half of US retailers are ramping up cybersecurity spending. Brands that fail to safeguard customer data risk reputational damage and legal consequences. Security now forms a core pillar of e-commerce success, influencing platform choice and customer loyalty.
10. Sustainability impacts purchasing decisions
Environmental awareness increasingly influences e-commerce behavior. Shoppers look for eco-friendly packaging, carbon-neutral delivery and ethical sourcing.
IBM’s 2024 consumer study reveals 57% of US shoppers would change buying habits to reduce environmental impact. Retailers responding with sustainable initiatives not only meet demand but also differentiate themselves in a crowded marketplace, building long-term loyalty among conscious consumers.
Final Thoughts about US e-commerce in 2025
The US e-commerce landscape in 2025 is both enormous and rapidly evolving. Success requires mastering mobile commerce, streamlining logistics, managing returns and addressing consumer priorities around convenience, security and sustainability. Retailers who adapt quickly and invest strategically will thrive.
Interested in the US market? Check out our other articles on this topic.
- Your USA Shipping Guide. Business Tips
- North America Focus: Boost E-Commerce in the US and Canada
- The Latest Trends in E-commerce 2025. What's Worth Knowing?
Sources
- Landmark Global 2025 USA Country Factsheet: https://landmarkglobal.com/uploads/CFS/CountryFactsheet_2025_USA.pdf
- eMarketer US e-commerce forecast 2025: https://www.emarketer.com/content/us-ecommerce-2025
- U.S. Census Bureau Retail E-commerce Sales, Q1 2025: https://www.census.gov/retail/index.html
- Statista Mobile Commerce Report 2025: https://www.statista.com/statistics/mobile-commerce-sales/
- Digital Commerce 360 Apparel Report 2024: https://www.digitalcommerce360.com/
- McKinsey DTC E-commerce Report 2023: https://www.mckinsey.com/industries/retail/our-insights
- ZigZag Global Consumer Returns Report 2024: https://www.zigzag.global/knowledge-hub
- National Retail Federation Returns Data 2023: https://nrf.com/
- Business Insider Intelligence Social Commerce Forecast: https://www.businessinsider.com/social-commerce
- Thales Data Threat Report 2025: https://www.thalesgroup.com/en/markets/digital-identity-and-security
- IBM Sustainability Consumer Study 2024: https://www.ibm.com/reports/sustainability-consumer
FAQ
How big is the e-commerce market in the United States?
In 2025, the U.S. e-commerce market is valued at over $1.44 trillion, making it the second-largest in the world after China. This figure represents the online sales of tangible goods and services, excluding travel and event tickets.
What percentage of retail sales in the US are made online?
Online sales represent nearly 20% of all retail transactions in the United States. This means that almost one out of every five dollars spent in the retail sector is spent online, a trend significantly accelerated by shifts in consumer behavior since the COVID-19 pandemic.
What are the most important factors for US consumers when shopping online?
Free and fast shipping are non-negotiable for most U.S. consumers. According to the article, 85% of shoppers expect free shipping, and 72% want fast delivery options. High shipping costs or slow delivery times are a major reason for cart abandonment.
What is social commerce and is it popular in the US?
Social commerce is the practice of selling products directly through social media platforms like Instagram, TikTok, and Pinterest. It is a rapidly growing trend in the U.S., with sales projected to generate over $80 billion by 2025 as brands use influencer marketing and shoppable posts to drive impulse purchases.
What are the most popular product categories for online shopping in the US?
The dominant product categories in U.S. e-commerce are apparel, electronics, and health & beauty. Fashion is a cornerstone of online shopping, while electronics and personal care items are driven by continuous product innovation and consumer demand for convenience.
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