Electronic Shopping and Mail-Order Houses — Business Survival Rate
An estimated 42% of electronic shopping and mail-order houses businesses survive their first 5 years, based on U.S. Census Bureau Business Dynamics Statistics. The annual business closure rate is 15.9%.
Is Electronic Shopping and Mail-Order Houses a Good Business to Start?
With a 42% five-year survival rate, electronic shopping and mail-order houses has a below-average survival rate compared to the national average of ~50%. This indicates higher risk of failure — new entrants face significant competitive pressure or challenging economics.
The annual exit rate of 15.9% is elevated. If you're considering entering this industry, ensure adequate capitalization, a clear competitive advantage, and realistic timeline to profitability.
Entry vs. Exit Rates
Annual rate of new businesses opening versus existing businesses closing.
Net positive: more businesses opening than closing (+1.2 pp spread).
Job Creation & Destruction
The industry is losing jobs faster than creating them — which may indicate automation, consolidation, or declining demand. Total employment: 816,721 workers across 44,237 firms.
Want to know how much electronic shopping and mail-order houses businesses actually make?
See full revenue benchmarks for Electronic Shopping and Mail-Order Houses →Frequently Asked Questions
- What percentage of electronic shopping and mail-order houses businesses fail?
- Approximately 58% of electronic shopping and mail-order houses businesses fail within their first 5 years. The annual closure rate is 15.9%, with 6,606 firms closing permanently in 2023.
- Is the electronic shopping and mail-order houses industry growing or shrinking?
- The electronic shopping and mail-order houses industry is currently shrinking with a net job creation rate of -7.8% per year. New businesses are entering at 17.2% while 15.9% close annually.
Source: U.S. Census Bureau, Business Dynamics Statistics (2023). Survival rate estimated from annual exit rates.