Between tariffs, inflation and increasing competition, it’s a struggle for small businesses to stand out in today’s economic climate. As ecommerce matures, growth is slowing, and consumer expectations for seamless delivery and returns are higher than ever.
To help brands stay competitive, order fulfillment platform Shipstation released its 2025 Ecommerce Delivery Benchmark Report, offering key insights to help small and mid-sized businesses navigate an increasingly cutthroat market.
“The ecommerce landscape is evolving rapidly, and small businesses must adapt to stay competitive,” says Travis Rimel, vice president, ShipStation. “Our 2025 Ecommerce Delivery Benchmark Report offers actionable insights—from leveraging social commerce to optimizing fulfillment—to help businesses meet rising consumer demands and drive long-term growth.”
Ecommerce Opportunities Remain for Small Businesses
The report data shows that while ecommerce continues to expand, growth rates are stabilizing post-pandemic, and now businesses are adopting innovative strategies to remain competitive.
According to the report, 84% of ecommerce businesses saw growth in 2024. However, the average increase was just 5.6%, signaling a transition from hypergrowth to sustainable expansion.
“When ecommerce started to take off, it was easier for retailers to ride the wave of growth. Now, it’s about competing more directly for customers, who will be shopping both online and in store and have higher expectations for the brands they choose to shop from,” explains Rimel. “For instance, 57% of consumers now expect orders to arrive within two days, but only 35% of retailers globally meet this demand.”
AI Helps Small Businesses Grow
The ShipStation report also found that 96% of retailers use AI, but those fully integrating it across logistics, supply chains and marketing experienced triple the growth. AI makes for a natural complement to existing automation technology that can speed up manual or repetitive tasks associated with shipping, according to Rimel, like shopping for the best rates across carriers and services.
“WIth choosier consumers, both AI and automation give retailers the opportunity to offer more delivery options, speed up the time it takes to send orders and share more real-time updates — all of which can help set retailers apart from competitors,” Rimel says.
The Rose of Omnichannel Commerce
Omnichannel shopping is crucial for retailers’ success. According to the report, 54% of consumers plan to shop more in-store in 2025, reinforcing the need for seamless online and offline experiences.
“The relationship between online and in-person shopping will continue to grow more fluid, as consumers may have different preferences for where and how they prefer to browse, purchase and return items,” says Rimel. “Those retailers who understand their customers’ specific preferences and offer options that cater to them will succeed.”
When it comes to social media platforms, the ShipStation report found that 74% of Gen Z consumers intend to shop via social platforms, yet only 46% of retailers currently support direct social commerce transactions.
“While 52% of consumers plan to shop more on social media this year, only 21% of consumers made any purchases directly through platforms like TikTok and Instagram in 2024,” Rimel mentions. “While many retailers think of social media as a place for product discovery, the idea that they could also be a direct selling channel is relatively new. So any retailers waiting to gauge consumer interest, especially those who serve younger buyers, should take notice — the time to start exploring social selling seriously is now.”
For small and mid-sized ecommerce businesses, adapting to evolving consumer habits and leveraging technology is essential to staying competitive. Businesses need to prioritize efficiency, customer experience and delivery innovations to meet evolving shopper expectations.