INDUSTRY REPORT
Q2 2025 defied expectations. Despite economic and tariff challenges, data reveals surprising resilience and shifting priorities across ecommerce platforms. The anticipated outcomes of rising prices and falling conversion rates haven't materialized as predicted. Instead, we're seeing a more nuanced landscape where operational execution and cost management have become primary success drivers.
The cost of doing business continues to rise. Advertising is becoming more expensive, retailer margins are improving, and consumers are actively trading down to lower price bands—putting direct pressure on brand profitability. In response, successful brands win where it matters most: on the digital shelf. Sales consistently grow faster than glance views, proving that focusing on conversion optimization pays off and drives real growth.
Operational metrics show stability too. With out-of-stock rates growing slower than sales, retailers are planning better and raising the bar for brands. The message is clear: success now depends less on driving traffic and more on mastering conversion, managing rising costs, and achieving operational excellence.
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