Online Mommy Shopping: The Rise of the Ecom Mom
Accounting for almost 90% of new mothers, millennial moms are a force to be reckoned with. Mothers control 85% of household purchases and have a spending power, connectivity and influence of trillions across the globe.
According to the Millennial Mom Report, millennial moms spend an average of 8.3 hours daily consuming media. Another survey, Diapers to Diplomas, says that new and expecting parents do twice as many searches as non-parents do. These numbers are hardly surprising given the amount of time new mothers spend with their newborns on their own.
Add to that how fast babies and kids outgrow their gear. So all-in-all it’s no wonder we are seeing such a rapid increase in online shopping. Today, about 20% of baby products sales take place online—more than any other consumer packaged goods category. In addition, parents spend two-thirds more money and three-quarters more time shopping online than their childless counterparts. As a result. the retailers serving parents in need of toys, clothing and gear are growing exponentially.
Moms as drivers of business
Driven by a desire to spend more time with their children while still needing to generate an income to support their families, millennial moms have forged a clear path in the world of online business. “The Millennial Mom is more than you think she is,” says Mike Fogarty, SVP and Global Publisher at BabyCenter. “She represents a cultural and economic force that’s creating lasting change”. She’s resilient, resourceful, and optimistic. According to Entrepreneur, more than half report wanting to start their own business. Thirty-nine percent of Millennial Moms have used social media to sell items they’ve made (63% higher than Gen X moms), and a large number have blogs with substantial followings.
As a result, mommy support networks have sprung up almost overnight, with a vast majority of these being for shopping and product review purposes. Peer-to-peer groups attract a huge following, and who better to support moms than other moms!
Start-up costs as a driver of online business
Another driver of the explosion of online stores and mommy shopping is the unrealistic barriers to entry facing brick-and-mortar stores. High rent and unprecedented competition with larger shopping chains makes it just about impossible for smaller niche stores to have a physical presence. E-commerce sales will continue to rise with specialist retailers being able to pass those additional savings along to their customers.
All about convenience
For time-pressed millennial moms, online shopping is all about making every aspect of the retail journey convenient. In addition to using mobile for finding products and comparing prices, they are more likely to use mobile for researching features and reviews, placing orders, making payments, leaving reviews, contacting customer service and processing returns.
A study by the National Retail Federation found 78% use their phones to research products, 75% to check prices or availability and 71% to pay at checkout or place an order. In addition, the study found millennial parents are often in a hurry, with 86% using same-day shipping.
Quality over price
Millennial parents may be loyal to brands, but when price and convenience desires are filled by a competing business, they are quick to move on. According to research from Millennial Marketing Powered by FutureCast, before having children, one in six millennial respondents were significantly more likely to make a purchase decision for dining and entertainment based on quality rather than price. After having children that number drops to one in 11.
There’s no doubt millennial moms are a retail force to be reckoned with. Their desire for convenience, competitive pricing and immediate gratification, is driving transformation in the retail industry, pushing retailers to evolve and adapt to ensure they meet this rapidly rising demand in a way that satisfies this new type of consumer behaviour.