Since businesses are moving along the digital path these days, E-commerce continues to consolidate its position among customers. Since the pandemic hit us, E-commerce has continued to grow in leaps and bounds with global E-commerce sales touching the whopping figure of $4.2 trillion in 2020. As far as the current trends are concerned, this figure is going to increase further even in the future.
The dynamic nature of E-commerce calls for embracing new trends and innovations in it. Here’s a look at the same in this article.
Future Trends and Innovations
- Voice Searc : With more and more people depending on voice search to buy their favorite products, the digital retail industry will have to integrate voice searching capabilities with their search assistants so that not only customers’ previous purchase history and search trends are utilized but other data insights are also used to scale operations and reach more people while ensuring safety and security of the personal data thus shared. As per Google, currently, 27% of the global population is utilizing this feature while purchasing online on mobile.
- Personalization based on Artificial Intelligence (AI) : AI and machine learning allow businesses to tap into their potential by providing them insights related to impulse buying patterns and search recommendations thus giving a boost to conversion rates. For example, AI and machine learning are utilized by curated subscription models to deliver experiences that are highly personalized and focussed. This has the potential to benefit diverse industries from beauty to pet products to whatnot.
- (AR) Augmented Reality and (VR) Virtual Reality-based experiences : Have you heard of a VR store? If you have heard already, you are going to hear more about it in the future as well with AR and VR technologies transforming the digital retail landscape. From customers trying on clothes or makeup virtually to checking what the new furniture pieces will look like in their living rooms, AR and VR is here to stay in E-commerce and dominate it in the future.
- Digital Consultations : Imagine going to a brick-and-mortar store at 10 p.m. and asking for product demonstrations. Impossible, right? Now imagine watching product demonstrations online at 10 p.m. using your mobile phone. Quite possible. Isn’t it? That’s the power of digital consultation which is changing the face of the digital retail industry and E-commerce in general. Not only do you get digital consultations that are real-time (using chatbots) but you also get tailored recommendations based on your preferences.
- Video Content Marketing : One of the benefits of online shopping is the fact that you can watch videos of products and services and have a better idea of what to buy and what not to buy. Brands are increasingly leveraging and integrating videos with their marketing strategies to reach more and more customers because these videos can be shared on various social media channels and have the potential to reach as many as 4 billion users.
- Omnichannel Marketing : Have you ever switched between devices on the same day while shopping online for a product? If yes, apparently that’s what 90% of users do. Brands can offer seamless experiences across channels thus transforming online shopping and boosting customer satisfaction, trust, and loyalty. Businesses have the option of partnering with channels like Shopify and Magento to offer a seamless shopping experience across channels.
- Ethical Online Shopping : It is important for customers to check the impact of their online shopping experience on the environment. Businesses will have to understand the same and adopt ethical practices such as ethical sourcing, manufacturing, etc. to bring down thenegative environmental impacts of online shopping. For example, businesses can follow ethical practices to bring down their carbon footprint.
- Segmentation of Customers : Businesses need to find out the percentage of customers that die for their products and services. By doing so, not only will they increase their finances but also boost customer satisfaction by tailoring products and services for this top bracket of customers.
- Socialization of Shopping experiences : Social media platforms such as Facebook, Instagram, and Pinterest are allowing users to shop online without having to leave the respective platform. Social media platforms will continue to offer this flexibility if they want to stay in vogue.
- Inclusion of influencers in the marketing efforts : 74% of users make a purchase decision based on what brands their favorite influencers endorse. Brands will have to understand the importance of the same and include influencers in their marketing efforts.
E-commerce and Online Shopping are dynamic fields that keep on evolving and will keep on evolving in the future as well. A VR store, for example, is going to be included in future marketing strategies in addition to other technologies such as AR and AI. Social media platforms and video content marketing are also going to stay in E-commerce but they are going to be there on a bigger scale in the future. But, businesses need to find out ethical practices to stay in business in 2023.