FedEx has released its 2025 E-Commerce Trends to Watch Report, detailing how shifting consumer expectations are shaping the competitive landscape for digital retailers. The report, produced in collaboration with C Space, underscores the growing importance of convenience, seamless returns, and social media-driven brand engagement as key factors for success.
Consumer expectations in e-commerce are increasingly centered around a frictionless shopping journey. According to the report, more than 80% of shoppers prioritize convenience, with home delivery (81%), free shipping (76%), and real-time tracking (68%) cited as essential features.
Returns also play a significant role in customer satisfaction, with 97% of shoppers having abandoned a purchase due to inconvenient shopping experiences. Retailers that simplify return policies and offer hassle-free post-purchase experiences are better positioned to secure repeat customers.
“E-commerce success in 2025 isn’t just about having the right product selection—it’s about delivering a seamless end-to-end customer experience,” said Jason Brenner, senior vice president, digital portfolio at FedEx. “Retailers that prioritize convenience, including easy returns, fast and transparent shipping, and frictionless digital engagement will ultimately lead the market.”
Generational Preferences Shaping Digital Engagement
Brands must refine their marketing strategies to align with generational shopping behaviors. The report highlights distinct trends among different age groups:
- Gen Z consumers are heavily influenced by social media, with 70% of engagement occurring online and platforms like TikTok (51%) and Instagram (40%) serving as primary brand discovery tools.
- Millennials focus on brand values, with 81% considering a company’s treatment of employees before making a purchase. Additionally, 27% prefer direct-to-consumer purchases via brand websites or apps.
- Boomers continue to favor traditional shopping, with 53% still shopping in physical stores more than any other generation.
To capture consumer attention, brands are increasingly turning to video-driven storytelling, nostalgia-based marketing, and personalized digital content.
Holiday Shopping Extends Beyond the Traditional Season
The report also identifies a shift in holiday shopping behavior, with consumers spreading their purchases throughout the year rather than relying on last-minute holiday sales:
- 22% of shoppers begin holiday shopping as early as August to manage expenses and avoid price hikes.
- 30% of consumers plan to shop for winter gifts year-round by 2026.
- 16% of shoppers already follow a year-round holiday shopping approach.
This trend presents a strategic opportunity for retailers to engage customers outside of peak shopping seasons by offering early-bird discounts and exclusive promotions.