How the growing middle class is fueling the growth of the e-commerce sector
The term middle class in American vernacular symbolizes the working class. Working class Americans are the ones who are usually defined as the middle class. Some people would like to characterize the middle class as everyone except the top 20 percent and the bottom 20 percent. The middle class in simple terms are the people that buy everything. They are the main consumers. The middle class also pay most of the taxes to the government. Most of the government taxes go to feed the social welfare of the poor people. E-commerce has been fuelled in part by the growing middle class. As more people start getting educated and working very specialized jobs the middle class will start growing as well. The growing middle class has in turn led to an increase in the number of e-commerce sales.
Rising incomes are fueling the growth of the e-commerce sector
Globally they have been a trend in rising incomes. Due to the rise in income a lot of people can now afford things that they could not afford a couple of decades ago. For example the median income in the United States reached an all-time high this year of $59 000 USD. This has been in part influenced by better access to education and better legislation on the part of the lawmakers. Due to the high average household income there is more money available to purchase goods online. This means that the growing middle class is the main subject to focus on when examining the growth of the e-commerce sector.
The income of the Middle class
The middle class has a relatively high income which allows them to buy products online. This means that e-commerce businesses sell products to this growing middle class.