"Crunchbase reported in November that ecommerce start-up funding was about to hit a five-year low as investors focus on AI, logistics, marketplace, and live and social shopping. The ecommerce industry is maturing. Per Crunchbase, total 2025 ecommerce start-up funding in the United States will reach $2.73 billion. That's down from $3.06 billion last year and $28.05 billion in the pandemic-fueled 2021. The global market is similar. Worldwide ecommerce investments peaked in 2021 at $92.46 billion, dropping to $7.72 billion this year."
"So why are start-up ecommerce investments down if the industry is growing? The answer is that investors are not abandoning ecommerce. Rather, they are concentrating on areas they believe will define the next phase. Certainly that's true for retail enterprises and platforms. Amazon, Walmart, Shopify, PayPal, Target, and prominent brands have announced AI partnerships. These deals are indicative of where enterprise retail is going."
Ecommerce start-up funding has fallen sharply from pandemic peaks, with U.S. 2025 funding at $2.73 billion versus $28.05 billion in 2021 and global funding down from $92.46 billion to $7.72 billion. U.S. ecommerce sales are projected to grow 7–9% in 2025, roughly double physical retail growth. Investors are reallocating capital toward subsectors expected to define the next phase: AI shopping and commerce infrastructure, rapid logistics and fulfillment, marketplaces, and live and social commerce. Major retailers and commerce platforms including Amazon, Walmart, Shopify, PayPal, and Target have announced AI partnerships reflecting enterprise priorities.
Read at Practical Ecommerce
Unable to calculate read time
Collection
[
|
...
]