Salesforce says global digital commerce up 58% in Q1

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U.S. leading cloud-based software company Salesforce on Wednesday announced the company's shopping index for the first quarter of 2021, indicating that the global digital commerce grew 58 percent year over year.

Digital revenue in the United States grew by 45 percent year over year in the first quarter, which is well above pre-pandemic levels.

Daily online spending in the United States peaked for the first quarter on March 17, growing 117 percent year over year, coinciding with the official payment date for the first batch of stimulus checks distributed to approximately 90 million Americans, the announcement said.

Product categories with the most growth include sporting goods, home appliances, and luxury handbags, all increasing around 100 percent year over year.

Global digital revenue growth is driven by a combination of overall online traffic growth and an increase in the amount of money spent by shoppers per site visit, the company said.

With retailers and consumers moving online in response to the pandemic, the data indicates that the habits formed for the year and the 2020 holiday season are here to stay.

As countries like the United States begin to reopen, retailers and businesses will need to rethink the role of the store and how it can serve as a critical component of the digital shopping experience in 2021, the report suggested.

"Retailers were forced to be scrappy last year as they reacted to an influx of new digital shoppers and embraced new tactics like curbside pickup to help keep consumers safe," said Rob Garf, vice president and general manager of retail at Salesforce.

"The growth in digital commerce over the first quarter is a signal that retailers will need to continue to scale their investments in digital while refocusing the in-store experience. Ultimately, stores must offer a balance of contactless and immersive experiences to cater to the differing needs of consumers," he added.

The Q1 Shopping Index uncovers the shopping story by analyzing the activity of more than 1 billion shoppers across over 40 countries and regions powered by Commerce Cloud, according to Salesforce.

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