Koen van Gelder
Team Lead E-commerce
Online shopping behavior in Canada - statistics & facts
The years following the COVID-19 outbreak have been full of substantial change for people all over the globe, and for Canadian consumers, change has come in many ways. Notably, 50 percent of online shoppers in the country bought more items online in 2022 than in 2020, and more than a fifth said they started to avoid in-store shopping altogether, a major shift in consumer behavior over just two years. Only a small percentage of Canadian consumers miss the shopping experience when buying online, signaling a change in attitude towards online shopping. Consumers may not be able to touch and try products on before buying, but e-commerce offers its own perks too. The main drivers of online purchases in Canada include direct home delivery, lower prices, and a more convenient shopping experience.
Overall, Canadians are demonstrating an ever-increasing willingness to embrace the world of e-commerce, becoming more confident in online shopping and increasingly receptive to digital means of payment, such as PayPal. In the mobile payment segment, though, Apple Pay takes the lead, with a preference of more than half of surveyed online shoppers.
How do Canadians choose an online retailer?
Valuing convenience is not only one of the reasons they choose to shop online but one of the main incentives that impact where they choose to buy. For example, a hassle-free returns policy and convenient return locations were two main features influencing the choice of an online retailer in Canada in 2022. However, when selecting a merchant to fulfill one’s online shopping needs, many factors aside from convenience come into play: whether the retailer consistently meets consumers’ expectations, provides exceptional customer service, or has a solid personal data protection policy. Still, the top factor almost always considered by e-commerce users when choosing a retailer is whether or not the merchant offers more affordable options than its competitors. And this comes as no surprise, as in a recent survey to find out the most common Canadian online shopping profiles, most respondents said they were trying to spend less.The Canadian way to pay
Credit cards are the favorite payment method for online shopping in Canada. Despite several technological advancements in online payment services and the proliferation of digital payment providers in recent years, the preference for paying with credit cards is nothing new. This trend is indicative of most Canadians’ hesitance towards adopting such services. However, there is still a visible increase in the number of Canadians who are happy to use non-traditional payment methods. Partly spurred by increased online shopping since the COVID-19 pandemic, the popularity of Buy Now, Pay Later (BNPL) and other services through digital wallets did not go unnoticed by Canadian shoppers. In 2022, digital and mobile wallets held the second-highest market share of online payment methods after credit cards.Overall, Canadians are demonstrating an ever-increasing willingness to embrace the world of e-commerce, becoming more confident in online shopping and increasingly receptive to digital means of payment, such as PayPal. In the mobile payment segment, though, Apple Pay takes the lead, with a preference of more than half of surveyed online shoppers.
