The Future of E-Commerce: 9 Trends to Watch

Introduction

E-commerce is an ever-evolving industry that continues to transform the way we shop. With advancements in technology and changing consumer preferences, the future of e-commerce looks promising. In this blog, we will explore nine trends that are expected to shape the future of e-commerce.

Trend 1: Augmented Reality Will Be Commonly Used

One of the most exciting developments in e-commerce is the rise of augmented reality (AR). AR allows customers to virtually try on products or visualize how they would look in their homes. By simply using their mobile devices, customers can see products overlaid wherever they point their screens. The use of AR provides customers with a more immersive shopping experience. It allows them to view products from every angle, giving them a better idea of the product's value. Shopify AR is an example of a tool that already enables customers to view products in natural environments before making a purchase. According to research, the global market for augmented reality is projected to be five times larger than the virtual reality market by 2028. This indicates that AR is likely to become more widely used than its virtual counterpart.

Trend 2: JARVIS-Like AI Assistants Will Become Popular

Artificial Intelligence (AI) is revolutionizing various aspects of our lives, and e-commerce is no exception. Soon, AI assistants like Alexa, Google Home, and Apple HomePod will go beyond just helping us at home. They will become our cognitive prosthetics, assisting us 24/7. These AI assistants will have access to vast amounts of data, enabling them to learn our preferences and anticipate our needs. From shopping on our behalf to monitoring our health, AI assistants will play an integral role in improving the quality of our lives. In the future, we might even be able to interact with AI assistants using brain-computer interfaces.

Trend 3: Crypto May Become A Common Payment Option

As more consumers, especially Generation Z and Millennials, enter the market, brands need to offer a wide range of payment options. Cryptocurrencies, such as Bitcoin, may become a common payment method in the future. The price fluctuations of cryptocurrencies are expected to stabilize, making them more attractive for large companies like Amazon and payment processing firms like PayPal. Furthermore, the use of blockchain technology, which underpins most cryptocurrencies, will become more prevalent. Blockchain ensures secure and transparent transactions, making it difficult to manipulate or cheat the system. As a result, industries across the board will become more familiar with blockchain and cryptocurrencies.

Trend 4: Autonomous Delivery Drones Could Become Mainstream

Imagine receiving your online orders within minutes, delivered by autonomous drones. This futuristic concept may soon become a reality. Delivery drones have the potential to automate shipping without human intervention, offering numerous advantages for e-commerce. Autonomous delivery drones can significantly reduce delivery time, freight costs, accidents, and human errors. They also contribute to a decrease in CO2 emissions, promoting sustainability. Companies like Amazon and UPS are already testing and implementing drone delivery services, with a focus on improving efficiency and customer satisfaction.

Trend 5: Virtual Reality Will Play an Essential Part of Marketing Initiatives

Virtual reality (VR) is another technology poised to transform e-commerce. VR devices allow customers to view products from different angles and experience them in virtual environments. This immersive experience enhances customer engagement and aids in decision-making. Industries such as education, social media, video games, and entertainment are expected to benefit greatly from VR. Companies will create virtual experiences where customers can interact with products, try them on virtually, and explore various contexts before making a purchase.

Trend 6: In-App Purchases on Social Media Platforms Will Be Commonplace

Social media platforms are not just for sharing photos and connecting with friends anymore. Platforms like Facebook, Instagram, and Pinterest are becoming popular avenues for making purchases. With features like Facebook Shops and Instagram Shoppable posts, brands can sell products directly within these platforms. These in-app purchase options simplify the customer journey, reduce abandoned transactions, and increase sales. Research shows that over half of social media users research products using these platforms, highlighting the importance of integrating e-commerce functionalities into social media channels.

Trend 7: Emerging Markets Will Play a Huge Role

The internet has become an essential part of our lives, and its reach continues to expand. Emerging markets, such as India, China, Brazil, Russia, and South Africa, are experiencing a significant increase in internet users. This presents a vast opportunity for e-commerce companies to tap into new consumer markets. With an additional 2.7 billion potential consumers coming online, e-commerce companies have the potential to experience substantial growth and increase their profits. As internet penetration in these markets continues to rise, e-commerce businesses need to adapt and tailor their strategies to cater to these emerging markets.

Trend 8: Voice Commerce Will Grow in Popularity

Voice assistants have become commonplace in our lives, and their impact on e-commerce is undeniable. Voice commerce is expected to exceed $40 billion in the United States by 2022. While smart speakers contribute to this growth, most voice interactions occur on mobile devices through virtual assistants like Siri and Google Assistant. Voice search is also becoming increasingly prevalent, with consumers using voice commands to search for products online. This shift towards voice-based interactions will likely influence how websites and webpages are ranked on search engines.

Trend 9: More Product Descriptions Will be in Video Format

Visual content is becoming increasingly popular in e-commerce, with studies showing that shoppers prefer watching product videos over reading descriptions. Branded videos on social media have also been found to increase purchase likelihood. Taking advantage of this trend, platforms like Amazon are incorporating more product descriptions in video format. Product videos provide interactive experiences, allowing customers to better understand the value and features of a product. Internet influencers and demonstrations within videos further enhance the shopping experience.

Conclusion

The future of e-commerce is exciting, with advancements in technology and changing consumer behaviors driving innovation. From augmented reality and AI assistants to cryptocurrency and delivery drones, these trends will shape the e-commerce landscape in the coming years. As businesses adapt to these changes, they will be well-equipped to meet the evolving needs and preferences of online shoppers.