Retail Ecommerce Trends & Insights

This year’s Q1 ecommerce landscape reflected a marketplace in flux, shaped by mounting economic uncertainty, March tariff pressures and shifting consumer behavior. While inventory levels and fulfillment rates climbed—signaling stronger operational discipline amid volatility—ROAS declined across most categories, despite elevated advertising investment.

Price sensitivity remained high as consumers continued bargain hunting, driving down average selling prices even as discounting activity tapered. In this uncertain climate, it’s notable that gross margins improved in several sectors, suggesting that retailers are getting more efficient and selective in how they drive profitability. However, persistent ROAS inefficiencies and rising out-of-stock losses underscore the challenges of navigating demand unpredictability and supply-side disruption in an evolving macroeconomic environment.