Markets to Watch: Tapping into the E-commerce Goldmine of the US & Canada

07 May, 2024
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With both countries’ large demographics, highly-paid populations, and their interconnected infrastructure networks, shipping to both the USA and Canada is a no-brainer.

Although both countries have huge landmasses, the logistical aspect of reaching both markets is simpler than you might think.

Easy access into Canada lies through multiple operational sorting facilities across America and, as a significant proportion of the Canadian population live close to the US border, reaching large audiences with cross-border shipping is relatively straightforward.

Blanket internet connectivity in both countries has meant that shoppers have long had easy access to online shopping, and the e-commerce trend has only grown more popular over time. In 2022, US e-commerce sales surpassed $1tn, whilst over the past five years Canada has seen its e-commerce market grow by 111%. 

There are unique factors to consider though. Particularly in the US, having such a well-established market means that a handful of major players like Amazon and Walmart have grown to take up a large share of online sales.

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However, Sarah Clewlow, Asendia’s Director of Commercial Networks, thinks that newcomers can find success in the US. She says:
“The US e-commerce market is highly concentrated. But, as evident in the impressive ROI of social media marketing and increasing omnichannel consumers buying online to pick up instore, American consumers are flexible and willing to try new things.” 

Opportunities also lie in the niche customer interests of the Canadian market, where personalization is an increasingly notable trend. One in five Canadian consumers are willing to spend 20% more for personalized goods and services – although 42% like to be guided in their customization choices by the e-tailer. As Robert DiVincenzo, Asendia USA CEO, stresses, “For businesses looking to win over Canadian audiences, understanding these unique preferences is essential.” 

As the US and Canada continue to experience steady economic growth, the strength of both countries’ e-commerce markets is going from strength to strength. E-tailers who can adapt to the preferences of these unique audiences will find themselves set for success – and Asendia can help. As experts in delivery and returns, Asendia offers a range of products to help e-tailers provide international customers with end-to-end shipping solutions that works for them.

To find more insights about tapping into the US and Canadian e-commerce markets, download our Markets to Watch e-book.

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