Americans are increasingly buying items from Canadian ecommerce sites, indicating a lucrative opportunity for Canadian businesses.
PayPal reported a 20% increase in spending by Americans on Canadian ecommerce sites last year, with spending hitting 3.2 billion US dollars.
Cross-border ecommerce is expected to grow by a further 10% this year.
Vehicle parts were the most popular product category to be bought by Americans from Canadian sites, followed by clothing and software.
Cheaper prices as a result of the weakness of the Canadian dollar against the American dollar has been touted as the key reason behind the rise. Better availability was also cited as another important reason.
The American ecommerce market is worth 492 billion US dollars and has a digital buyer penetration rate of 76%.Â
