This week, the president announced new tariff policies that may or may not go into effect on August 1. But Chain Store Age (CSA) reports that tariffs have already led to the “most disruptive period in over a decade” for e-commerce.
CSA reports on the most recent Home Delivery Survey from AlixPartners, revealing that consumers are rethinking purchase timing while retailers are “tightening access to free delivery amid rising costs.” For the first time since the survey began in 2012, consumers report their online purchases are down in all market segments, except groceries, which were flat.
Significant (double-digit percentage year-over-year) declines were seen in numerous categories, including office/home office supplies, which were down 14%, and furniture, home furnishings, large electronics, and cosmetics, all down by 10%
CSA reports that most survey respondents said their buying behavior was influenced by tariffs, as 34% reported delaying purchases due to uncertainty over price, 28% ordered merchandise earlier than planned to avoid extra import costs, and 20% consciously tried to buy more “made in the USA” products.
This change in buying behavior did not impact consumers’ expectations of online retailers. Most expect delivery in 3 ½ days. Free shipping offers continue to drive sales, with 97% of consumers saying this affects their ordering decisions and 77% saying it “greatly” impacts their decision to buy.
Returns & Deliveries
CSA also reports that the cost of returns and delivery is challenging for retailers. Per-package delivery costs have gone up in the past year, and the proportion of orders being returned has increased as well.
As a result, “Retailers are tweaking service offerings, gating access to free delivery, tightening return policies, and placing more emphasis on in-store pick-up and returns. Almost half (49%) have increased the minimum purchase requirement or require a membership, or both, to qualify for free shipping.”
Frequent Online Shoppers
A separate survey from e-commerce marketing company Omnisend, also reported in CSA, shows the states that boast the most frequent shoppers and highest spenders online.
The top three states with consumers who order online at least once a week are Oregon (74%), Utah (73%), and Nevada (72%).
The top online spenders (shelling out $500–$1,000 a month) live in Connecticut (14%), Kentucky (12.1%), and Washington (10.5%). This is highly unusual, since, in general, only 1.8% of survey respondents in the country spend $1,000 a month online.
Explaining why frequent online shopping and high spending don’t always correlate, Marty Bauer, e-commerce expert at Omnisend, told CSA that, “Frequent checkouts don’t always translate into bigger budgets,” explaining that some shoppers are driven more by convenience and deals than by high-ticket items.
Social commerce remains relevant, with 22% of consumers surveyed saying they make purchases via social media platforms.
#StandwithSCORE
Nothing here has changed since I first posted about being “mad as hell” because funding for SCORE and the Women’s Business Centers was eliminated in the president’s budget for fiscal year 2026, and has not yet been reinstated by Congress.
SCORE needs that money so it can continue to support small business owners, whether they’re starting or scaling their companies. To date, SCORE has helped over 17 million business owners through free mentoring and low or no-cost education.
Join me on July 15th
Without federal support, SCORE has had to start charging for its excellent 60–90-minute webinars. These informative presentations cost only $25, which is a small price to pay for the knowledge you’ll gain and the time you’ll save.
Believe me, I’ve presented numerous webinars for SCORE, packed with information that often takes me months to research. In fact, I hope you’ll join me on July 15 at 1 pm ET and 10 am PT for a SCORE webinar on a topic I know so many of you are interested in—Loans, Grants, and Other Funding Options for Small Businesses. It’s 90 minutes long—and you’ll get access to the presentation, which includes an extensive directory of grants (money you don’t have to pay back) for small business owners and links to small business lenders.
Please sign up here; I promise it will be worth it.
Support SCORE
So again, after more than 60 years of supporting small businesses, SCORE needs your support. To date, over 50,000 letters have been sent to Congress, asking them to fund SCORE. Please join those supporters—here’s how:
- Fill out this form (it takes less than 2 minutes), which will be sent to your congressional representative’s offices.
- Contact your congressional representative and senators via phone or social media. Tell them to save the people who save small businesses. Include @scorementors in your post. And the hashtag #StandwithSCORE.
- If possible, donate to SCORE.
- Tell everyone you know to #StandwithSCORE.
Rieva Lesonsky is President of Small Business Currents, LLC, a content company focusing on small businesses and entrepreneurship. You can find her on Twitter @Rieva, Bluesky @Rieva.bsky.social, and LinkedIn. Or email her at Rieva@SmallBusinessCurrents.com.
Photo courtesy Valeria Nikitina for Unsplash+
