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The 5 Top Ecommerce Startup Categories for 2021

Nasdaq predicted that e-commerce could account for 95% of all sales by 2040. This astonishing market-transition prediction, which was made five years ago, was furtheraccelerated by the Covid-19 epidemic. While health and safety protocols were meant to encourage consumers to return home and shop in shops, the majority of consumers still prefer to shop online.
The fashions of shopping across different countries differ however, e-commerce offers the possibility of an international market. This can increase the chances of business success, especially if you find a niche among top-performing categories. Oberlo's recent analysis ranked shopping categories according to global revenues. The top five categories:
1. Fashion
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Fashion is the current movers in the world of e-commerce. In fact it is predicted that shoppers will spend around $760 million on online purchases this year. In fact over 25% of all dollars that consumers spend online is on clothing and these figures are predicted to grow. Zalando is a top European online fashion retailer has seen its gross merchandise value increase by 34% in Q2 2020. The market for leisurewear and athletic apparel is predicted to expand at a compound annual rate of 6.7% until 2026.
The pandemic led to the closing of many retail stores. People also are spending more. An Experian survey revealed that 11% of people said they spent more on clothes than they did prior to the pandemic, an increase of 5% over the previous year. Another interesting and intriguing fact is that the fashion industry's appeal-customers struggle is now less about creating a brand, and more about providing a memorable customer experience. An online startup can succeed even in a highly competitive market.
2. Toys and hobbies, as well as DIY
Many people turned to hobbies and toys to fill their time. In 2021, over $590.70 million of online spending is anticipated to be generated in this industry. Michaels, North American leader in the field of arts and crafts, announced an growth of 11.1% in sales, along with an increase of 353% in online sales. British Hobbycraft, located in the UK has saw a 20 percent rise in sales online following the pandemic. These trends are not likely to change, even as lockdown conditions become more relaxed and more people understand the importance of diversifying their capabilities and activities,
3. Electronics and media
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This industry is expected to generate $542.2 trillion in revenues this year. The first quarter of consumers' spending on entertainment at the home increased by 10 percent in May. The largest growth was because of subscription streaming. Notably, this growth doesn't include premium video-on-demand, which Variety described as "an economic and logistical necessity" since movie theater closures.

4. Personal care and food
These up-close-and-personal sales are expected to reach $468.5 billion this year. Many of its products are staple items that need to be replaced on a regular basis, and even before the outbreak, people were demonstrating an interest in paying for quality cosmetics. CNBC conducted a 2017 CNBC analysis on Amazon product growth and discovered that the sales of luxury cosmetics increased by 47% per year.
A consequence of spending the more time at home is that people tend to be more attracted to cooking. CNBC's analysis discovered that grocery (38 percent) and the pantry (33%) were the most popular growth areas. A March 2021 consumer survey found that 43% of respondents said they'd like to cook more often at the home. 42% of those who responded to an Experian survey in the same month reported that they spend more on food than they did prior to the pandemic. Whether it's personal care or food, consumables remain a sustainable choice for generating profitable sales.

5. Appliances and furniture
Projections ranks them last of our top five items with $362.90 Billion in estimated sales. CNBC 2017 figures already placed furniture (33%) as one of Amazon's top products growth performers, before the outbreak of the virus. The demand for office spaces in homes is predicted to grow at a compound annual rate of 5% thanks to the increased number of individuals investing in them.
It is essential to be more in your home and to invest more money in the spaces. Mintel reports that appliances experienced an 5.5% gain in the year 2020 because of the pandemic. in addition in terms of spending, consumers were prioritizing their homes and willing to spend more money for greater convenience, so an ecommerce business in this category can be an attractive alternative.
Since online shopping is becoming our main consumption medium, it will continue to develop. Although selling cars online and other vehicles is an option it will take some time for it to break into the top 5 sellers. These markets are definitely the way of the future. So make use of these markets now to have greater chances of success.