Global e-commerce sales are projected to see significant growth in the next few years, with sales projected to reach $8.1 trillion in 2026 and account for 20.6% of all retail sales globally by 2027. With this anticipated growth, retailers are looking for ways to keep pace with the competition by adopting new technologies and strategies to keep their businesses at the forefront of the digital revolution.
Personalization through AI
One of the most prominent trends is the continued rise of artificial intelligence (AI). AI is being used by many e-commerce platforms to personalize customer experiences, automate tasks and processes, optimize marketing, and provide 24/7 support.
● AI is expected to play a key role in helping brands personalize the customer experience and provide services similar to those that customers would receive when interacting with a real-life salesperson.
● For example, Starbucks uses AI to personalize recommendations to customers in real-time using data that includes customer preferences, activity, past purchases, and location.
● A study by Google and Storyline Strategies found that 72% of consumers are more likely to be loyal to a brand if they offer a personalized customer experience.
Other Key Trends
Beyond the impact of AI, there are a number of other key trends including:
● Omnichannel customer experience: This trend focuses on creating a seamless shopping experience for customers across all channels, including online, in-store, and social media.
● Augmented reality (AR) and virtual reality (VR): AR and VR technologies are becoming increasingly popular in e-commerce, allowing customers to try on products virtually and experience products in a more immersive way.
● Flexible payment options: Customers are increasingly demanding flexible payment options, such as buy now, pay later (BNPL) services and digital wallets.
● Sustainable and ethical shopping: Customers are becoming more conscious of the environmental and social impact of their purchases. This trend is driving the growth of sustainable and ethical e-commerce businesses.
● Composable commerce: Composable commerce is an approach to building e-commerce platforms using modular components, allowing businesses to choose the best-of-breed solutions for their specific needs. This approach offers greater flexibility and agility than traditional monolithic platforms.
● Headless commerce: Headless commerce is a variation on composable commerce that separates the front-end presentation layer from the back-end commerce functionality. This approach offers even greater flexibility and allows businesses to deliver content to any device or channel.
● Voice commerce: This trend allows shoppers to purchase products or engage in commerce activities using voice commands via voice assistants and smart speakers.
● Visual search: Visual search enables shoppers to search for products using images instead of text and is being used by popular platforms like Google Lens and Pinterest Lens.
Keeping Pace with Change
E-commerce is constantly evolving, and businesses need to be prepared to adapt to new trends in order to stay competitive. It is important for businesses to invest in the right technologies, gather feedback from their customers, and stay informed about the latest trends in the industry to ensure they are delivering the best possible experiences for their customers. /// nCa, 8 November 2024 (summarization from multiple sources by NotebookLM – checked by human editor)