US Retail Growth / by Mauricio Abela

US retail sales grow occurs at a steady rate of 3.75% annually. Half the growth is from inflation and the balance is in volume. Over the next 10 years, all of the volume gains will be from the e-commerce component which today, is 15% of the total. The brick and mortar component will remain flat for the foreseeable future. Thus, the US retail system doesn’t need any new brick and mortar space until about 2030. At that time e-commerce will account for 30% of sales.

1612785492307.jpg


That’s why Walmart stopped building new stores and made massive investments in their e-commerce platform.

Focus on the facts and do not follow your gut. Onward!