How Ecommerce Acceleration Changed Digital Marketing in 2020
Categories that resisted online buying for years, groceries, pharmacy, furniture, moved online in months during 2020, and what that meant for marketers.
Ecommerce had been growing steadily for years before 2020, but growth that would ordinarily have played out over several years happened in a matter of months once lockdowns pushed categories that had resisted online buying, groceries, pharmacy, home goods, even furniture, to move online because the alternative, in-person shopping, temporarily wasn’t available or felt risky to a lot of customers. That compression changed what marketers had to plan for, not just how much they had to spend.
Categories that had no ecommerce playbook suddenly needed one
Grocery is the clearest example. Instacart’s order volume grew dramatically through the spring, and grocery chains that had treated online ordering as a minor side channel had to rebuild their entire digital presence around it in weeks. The marketing challenge wasn’t just driving traffic, it was educating an entirely new set of shoppers, many of them older or previously loyal to in-person shopping, on how online grocery even worked. That meant a wave of explainer content, simplified checkout flows and customer support built for people using ecommerce for the first time, a different audience than the early adopters ecommerce marketing had traditionally targeted.
Digital ad spend shifted, and costs moved with it
As more categories competed for the same online attention, digital ad auctions got more competitive in some sectors while advertisers in hard-hit categories, travel and live events especially, pulled back sharply, which briefly lowered costs in other verticals. Marketers who tracked their cost-per-click and cost-per-acquisition closely through the year found the numbers moving in ways that had little to do with their own campaign quality and everything to do with which categories were expanding or contracting that month. Static, set-it-and-forget-it budgets stopped working; the businesses that adapted spend month to month captured efficiency that flat annual plans missed entirely.
Checkout friction became a bigger priority
With so many new shoppers buying online for the first time, checkout abandonment became a more visible problem than usual. Buy-now-pay-later options like Afterpay and Affirm, already growing before 2020, saw a meaningful lift as retailers looked for ways to reduce the final-step hesitation of a first-time or budget-conscious online buyer. Guest checkout, simplified forms and clearer shipping-time estimates, especially important once shipping carriers started experiencing real delays under the volume, all became higher priorities on ecommerce roadmaps than they’d been a year earlier.
Direct-to-consumer brands gained an opening
DTC brands that already sold primarily online had an advantage over retailers still reliant on physical stores, and a number of them used the moment to expand aggressively into categories that had previously been dominated by in-store shopping. Marketing budgets that might have gone toward brand awareness shifted more heavily toward direct response and retention, since a customer acquired during this period of forced online adoption was worth capturing and keeping rather than treating as a one-time transaction.
The businesses that came out of the year strongest weren’t necessarily the ones that spent the most. They were the ones that treated the shift as permanent rather than temporary, built checkout and fulfillment infrastructure that could hold up under sustained volume and kept adjusting their approach as the specific dynamics of each category kept moving throughout the year.