™️Market Overview

InRewards is designed for all types of retailers, but our sweet spot is e-commerce because they readily adopt such services and are easy to scale. The e-commerce market has grown consistently every year, and, according to Statista data, the market will increase more than 70% in the US over the next five years (from $640 billion in 2022 to $1.3 trillion in 2028).

The rapid growth of e-commerce, the automation of purchase processes and delivery have made this market extremely competitive. Today customers are more price sensitive, expect more from brands, and compare prices on a regular basis. Customer loyalty, measured in repeat purchases and referrals, is the key driver of profitability for online businesses, even more so than for offline companies, according to a series of joint studies in online retail by Bain & Company. User acquisition today is one of the most costly activities of any retailer. Statistics say that the average conversion of traffic into purchases in e-commerce comes to 3%, however the real figures are 1% and less.

And it is clear why: our attention span today is 8 seconds - less than that of a goldfish. Businesses spend an increasing amount of resources wrestling for customers’ attention, and this is only half the task: they also have to retain their attention. Studies show that acquiring a new customer is anywhere from 5 to 25 times more expensive than retaining an existing one. And customers are also easily switching brands, particularly when the competition is a click away. So retailers must invest in their customers’ loyalty. Lots of data shows that loyal customers stay longer, buy more and more often, cost less to process, help in price competition, tell their friends about their experiences, and provide valuable feedback.