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The exchange of products and services through the Internet is known as e-commerce. It includes a wide range of information, programmes, and resources for online customers and sellers, such as mobile shopping and encryption for online payments.
E-commerce, which is on an upward trend, has been one of the defining trends of the last decade, with online shopping growing at an unprecedented rate.
According to a report by Statista, global e-commerce sales are expected to reach $4.9 trillion by 2021, up from $1.3 trillion in 2014.
As more and more consumers turn to online shopping for convenience and choice, the potential of e-commerce continues to grow.
How did we fare before e-commerce tool center stage?
Brick-and-mortar businesses dominated the market before eCommerce became popular.
Retail establishments that have at least one physical location are known as brick-and-mortar enterprises.
It is necessary for the buyer and seller to interact actively and physically when buying and selling products.
Although brick-and-mortar stores still exist, eCommerce is quickly displacing them. In an evolutionary sense, the majority of physical establishments are evolving into online retailers. establishing an online presence and shifting essential corporate processes online are thus necessary.
In this article, I will explore some of the key trends and predictions for the future of e-commerce you should look into.
One of the most significant trends in e-commerce is the rise of mobile commerce, or m-commerce.
M-commerce, which stands for “mobile commerce,” is the term used to describe any business dealings conducted through applications or mobile websites.
Mobile commerce can be viewed as the mobile form of e-commerce or, more broadly, as a subclass of e-commerce.
With the widespread adoption of smartphones and tablets, consumers are increasingly using their mobile devices to shop online.
According to a report by eMarketer, mobile commerce sales are expected to account for 72.9% of total e-commerce sales by 2021.
This trend is driven by the convenience of shopping on-the-go, as well as the increasing availability of mobile-optimized websites and apps.
It is worthy to note that users of m-commerce can do business wherever there is a wireless Internet service provider.
Another key trend in e-commerce is personalization. As consumers become more accustomed to personalized experiences in other areas of their lives, such as social media and entertainment, they are increasingly seeking out personalized experiences in their online shopping.
Personalizing online interactions and experiences for customers is referred to as e-commerce personalization.
Personalization can be determined by a customer’s past purchases, browsing habits, location, language, and other details.
This includes personalized product recommendations, personalized offers and promotions, and personalized content.
According to a report by Accenture, 91% of consumers are more likely to shop with brands that provide offers and recommendations that are relevant to them. E-commerce personalization gives businesses an opportunity to take advantage of their potential and boost sales. It may be as simple as getting ideas from relevant web personalization examples.
Artificial intelligence and machine learning
Artificial intelligence (AI) and machine learning are also set to play a major role in the future of e-commerce.
The only factor now causing a change in the industry is technology, specifically artificial intelligence and machine learning.
These technologies can be used to analyze customer data and behavior, allowing retailers to provide more personalized experiences and product recommendations.
The leaders in the e-commerce sector are using AI and ML to improve customer experience through personalization, target potential customers to boost sales, and offer products to them based on their browsing and purchasing habits.
They can also be used to automate certain aspects of the shopping experience, such as customer service and product searches.
According to a report by Gartner, by 2020, 85% of customer interactions will be managed without human intervention.
Online retailers now have new potential to improve client experiences because of machine learning.
Machine learning is assisting the e-commerce sector in better meeting client expectations, from the customer-facing site through the logistics of fulfillment.
Voice commerce, or the ability to shop using voice-activated assistants such as Amazon’s Alexa and Google Assistant, is another emerging trend in e-commerce.
Voice assistants are necessary for voice commerce to work. Software applications known as voice assistants can recognize and carry out speech commands.
They interpret the user’s speech using natural language processing (NLP), then take the relevant action.
This technology allows consumers to make purchases simply by speaking to their device, without the need for a screen or keyboard.
According to a report by OC&C Strategy Consultants, voice commerce is expected to grow to $40 billion by 2022, up from just $2 billion in 2018.
It’s time to start investigating voice ordering options for your online store if you haven’t already.
Additionally, early adopters always have the advantage of making mistakes before the rush, so their technology is prepared for use just as their customers are.
Social media platforms are increasingly becoming a key channel for e-commerce.
In contrast to more conventional linear e-commerce approaches, all the tools, networks, and strategies that are available to drive social commerce efforts have exponential power in today’s technology-enabled, socially linked world, especially among younger populations.
Social commerce allows consumers to make purchases directly from social media platforms such as Facebook, Instagram, and Pinterest.
This trend is driven by the fact that many consumers discover new products and brands through social media, and are more likely to make a purchase if they can do so without leaving the platform.
Social commerce, as opposed to social media marketing, allows customers to make purchases directly through social media platforms.
Or, in some instances, the social media platform may include links that take users directly to the product page of the retailer, where they can complete their purchase.
According to a report by eMarketer, social commerce sales are expected to reach $36.62 billion by 2021.
Social selling is not social commerce. Social selling is the practice of fostering relationships on social media to expand your pool of potential customers.
Bring your products to the online locations where your customers are already congregating if you want a piece of the action.
Augmented reality (AR) is another technology that is set to transform the e-commerce experience.
Although the AR market is still in its infancy, it is expanding quickly. Gamers and individuals with an interest in the “metaverse” were early users of AR in recent years. However, AR is not just for them.
AR allows consumers to visualize products in their environment before making a purchase, which can help to increase confidence in the product and reduce the likelihood of returns.
Because of the boost in bandwidth brought about by 5G availability, retailers are anticipated to become more interested in experimenting with AR and VR.
Subscription services, or the ability to receive regular deliveries.
A business model known as subscription-based e-commerce assumes that customers would pay a recurrent price (monthly or annually) to receive scheduled goods deliveries or 24/7 access to a service.
Convenience and cost savings are two major advantages that subscription services provide to customers (brands frequently give subscribers discounts).
Customers can purchase what they require frequently in a more convenient, personalized, and cost-effective way with the help of an e-commerce subscription service.
However, the benefits don’t just apply to customers. A subscription service has various advantages for your e-commerce store as well.
A subscription business strategy, for instance, enables you to determine exactly how much money is coming in each month, whereas conventional online shops are subject to significant monthly variations.