The Future of Ecommerce for 2021

The Future of Ecommerce

 

The future of eCommerce seems incredibly bright and promising. It has become an increasingly lucrative option for businesses. The growth rate of eCommerce during the last decade has been phenomenal. The ecommerce sales in 2017 were $2.3 trillion. It is expected to reach $4.5 trillion by the end of 2021. Everyone involved is interested in knowing the future of eCommerce for 2021. Let us discuss what eCommerce stores for us in 2021. The projected figure for 2022 is $6.53 trillion.

What do these figures convey? These figures clearly state that the eCommerce industry is evolving at a rapid pace. It is pretty clear that the growth is unstoppable. You are going to see many innovative concepts in 2021. More prevalent use of advanced technology is imminent. The future of eCommerce looks bright. Many eCommerce stores are exploring unique ways to attract customers to stand taller among the competitors.

Here the most important trends that are going to make a strong impact on the future of eCommerce:

– Widespread use of artificial intelligence and augmented reality

– More prominence for hyperlocal marketplace

– Wider acceptance of voice commerce

– Visual Commerce will make a strong impact on the future of eCommerce

– Omnichannel is the new buzzword

– Dynamic pricing will never die

– Emergence of new payment methods is a reality

Widespread use of Artificial Intelligence (AI) and Augmented Reality (AM)

When it comes to talking about the future of eCommerce, you cannot undermine the importance of refined technologies. You will be able to find increased dependence on AI and AR in 2021. This method of approach is going to improve the eCommerce experience manifold. Various market studies show more than 120,000 online stores will make use of the possibilities offered by AR technologies by the end of 2021.

Providing personalized support, advice, and guidance to customers, AI works as your virtual store associate. It offers valuable and insightful information on a wide range of aspects, including customer browsing behavior and purchase history for the shop owners. It always helps you show the right products for the right audience.

One of the greatest disadvantages of online stores is that shoppers cannot access products physically. Highlighting this aspect, many traditionalists support physical stores. This challenge can be tackled to a great extent with the help of augmented reality. Augmented Reality helps shoppers see the real image of a particular product with incredible clarity. You will witness the increased use of AR in 2021. So, both AI and AR will contribute immensely to make the future of eCommerce bright. To improve conversions and minimize returns, many eCommerce stores have started using these types of technologies in their eCommerce sites.

More prominence for Hyperlocal marketplace

The digital revolution is has reached new heights nowadays. One of the popular innovations that will transform the eCommerce sector in 2021 is Hyperlocal Marketplaces. It refers to a business model which allows sellers to target particular zones to meet the requirements of local buyers. With speedy delivery and instant goods processing, the on-demand hyperlocal marketplace is gaining in popularity these days.

It has been making a strong impact on the future of eCommerce. The recent Covid 19 pandemic and the emergency lockdown forced people to stay at their homes. That is exactly where the importance of hyperlocal on-demand delivery service comes in. Millions of people are making use of hyperlocal services around the world nowadays. You don’t need to travel to buy any item. Further, local eCommerce stores are also offering different types of rewards, discounts, and other schemes to attract customers.

One good example is the food delivery apps. When you run out of groceries, you can order them through the app from local stores. The local eCommerce stores drop all items you need at your doorstep to make life a lot easier for you. It the safest and most convenient option available for people during and after the pandemic. Creating a contactless delivery scenario, hyperlocal marketplaces are gaining in popularity in 2021. The compound annual growth rate is estimated to reach 17.9% within 5 to 6 years.

Wider acceptance of voice commerce

Voice commerce will transform the eCommerce industry in 2021. You can find many people increasingly depending on voice assistant tools such as Alexa and Google Assistant to buy products online. Voice commerce sales are expected to reach $40 billion in 2022. Improved convenience and growing precision of the technology are two reasons that play a very vital role in increasing the popularity of voice commerce. To accommodate the needs of a large number of people, Amazon and Google have been adding regional languages to their virtual assistant devices.

Smart eCommerce store owners have started optimizing their shops for voice search. Optimizing the top-level conversion funnel to integrate answers to the most popular questions related to your product or service is the best way to make stores voice commerce-friendly. The popularity of voice commerce will increase manifold in 2021.

Smart voice optimization tactics attract prospects and keep them engaged. It provides excellent value to potential customers. With targeted content, voice optimization lets store owners place prospects on your conversion path. If you are an eCommerce store owner, you should never underestimate the role of voice commerce in 2021. It is a very big factor that you need to take advantage of to beat the competition.

Here are the most effective four ways to keep your eCommerce site voice search-friendly:

– Focus on content optimization to improve your chances of getting found in voice searches

– Make sure that the products can be bought in an uncomplicated way with the help of a voice command

– Incorporate a new skill on voice assistant tools

– Equip your site and app with voice-oriented navigation

Visual Commerce will make a strong impact on the future of eCommerce

Visual commerce is going to get bigger in 2021. It lets eCommerce store owners use imagery on product pages, as well as on the entire store, to attract visitors. If you make use of the possibilities of visual commerce smartly, you can engage people and keep the conversions at high levels. Many renowned retailers are employing this method to motive their customers to take action. The key is to use appealing and innovative images on homepages with shortcuts to buy the products directly.

Mobile eCommerce is a big factor in 2021

Offering admirable convenience and affordability, more and more people prefer to buy online nowadays. Many reputed and reliable eCommerce stores are offering a safe and rewarding purchase experience for customers. As the trust of the people increased, they have started using their mobile devices to make purchases.

According to eCommerce experts, mobile devices are going to dominate eCommerce sales in 2021. Authentic studies show that 75% of the total eCommerce sales will be done using mobile devices. So, mobile-friendliness is a big factor in 2021. You need to make your eCommerce site mobile-friendly to meet the changing needs of potential customers.

If your site cannot be accessed through mobile devices, around 30% of online shoppers are most likely to leave in pursuit of better options. They may even abandon their carts in the middle of shopping. You need to find ways to enhance the shopping experience for mobile users. That is why experts assert the importance of mobile responsiveness while talking about the future trends in eCommerce.

There are many different ways to make your eCommerce site mobile-friendly. With the help of Google mobile-friendly test, you can assess the mobile responsiveness of your site. It is always advisable to develop a progressive web app that loads much faster compared to a website. This feature also helps visitors view already browsed pages without going online. Other important steps that make your site more mobile responsive include:

– Make use of AMP (Accelerated Mobile Pages)

– Focus on providing a simple and smooth checkout process on mobile devices

– Find time to test your site manually using mobile devices. You need to make sure that your eCommerce offers easy navigation.

Omnichannel is the new buzzword

What is omnichannel shopping? If your eCommerce site offers a smooth and consistent shopping experience for visitors across different devices and channels, you are following omnichannel retailing. As mentioned above, a computer is not the only device that people use to shop online. With the ever-increasing popularity of smartphones, tablets, iPods, voice assistants, other types of user devices, you have to deal with an increased amount of omnichannel customers in 2021. The bottom line is that when you think about the eCommerce trends for 2021 , you must consider omnichannel shopping.

When it comes to offering an omnichannel retailing experience, you can come across several analytics tools that are capable of generating in-depth analytics to help you gain insightful information on customer behaviors. Allowing you to track all relevant details, smart analytics tools assist you in evaluating the product demand, revenues, profits, and customer loyalty. The best tools generate informative detailed reports that cover all aspects of your online business.

When you have such valuable details at your disposal, you can offer the right products for the right audience. The shopping experience becomes an enjoyable process for all types of customers, irrespective of the devices they use.

Importance things to remember while making efforts to offer a seamless omnichannel shopping experience for customers:

– Site optimization is very critical

– Develop a mobile app or progressive web app

– Offer a personalized user customer experience at every stage

– Make use of advanced cloud solutions and end-to-end retail processes to deliver an unparalleled user experience

It is impossible to underestimate the true power of omnichannel retailing when you think about the future of eCommerce.

Dynamic pricing will never die

How do eCommerce retailers keep the customers interested? Dynamic pricing is one of the most aspects that help online stores stay competitive and entice customers. No matter you are selling a highly attractive product, you need to price it properly to win customers. Even the best products fail to deliver the expected results in terms of sales due to incompetent pricing strategies.

Dynamic pricing will keep its dominance in 2021 as well. It is extremely critical to price your products rightly. Nobody wants to price their products very low to minimize profits. There should be a balance between product quality and price. The right price always helps you sell your product fast while maximum possible profits.

If you don’t have any idea about dynamic pricing, you can make use of top-quality pricing software to decide the right price for your products. Offering highly beneficial information on the perceived value of a product, market demand, and competitors’ prices, the best dynamic price software solutions help you make an informed decision. The bottom line is that the future of eCommerce will give great importance to dynamic pricing.

The emergence of new payment methods is a reality

Customers are always looking for safe and flexible payment options when they choose an eCommerce store. Many people select a particular brand due to its user-friendly payment options. All eCommerce stores must offer people their most preferred payment gateways to keep them interested. If they don’t find a suitable payment method, many of them won’t make a purchase.

Today, several eCommerce stores have started offering various types of digital wallets other than credit and debit card payment options. You can find increased use of cryptocurrencies nowadays. I noticed a Crane for Rental company that uses cryptocurrency for payment. Providing benefits such as the prevention of reversal transactions and reduced transaction fees, these types of digital currencies safeguard the interests of eCommerce store owners. You can find many stores promoting bitcoin payment methods these days. So, cryptocurrencies are going to play an important role in determining the future of eCommerce.

The future of eCommerce seems bright and promising. As an eCommerce store owner, you need to be aware of the latest trends that dominate the market to stay competitive. You can find AI and AR getting more prominence in the eCommerce sector. There will be an increased demand for hyperlocal marketplaces. Other factors like voice commerce, visual commerce, and omnichannel are gaining in popularity and this trend will continue in 2021 as well.

No matter what happens, dynamic pricing will retain its prominence. You can find more stores offering cryptocurrency payment methods in 2021. These are the most vital aspects you must remember while analyzing the future eCommerce trends for 2021.

Latest Trends for Ecommerce Success

Latest Trends for Ecommerce Success

Introduction

There has been a significant movement away from television, radio, and paper publications towards online material over the last few years. It has been a steady trend that showed no signs of stopping. There has also been a movement away from bricks and mortar stores to online during the same period. Late in 2019, there were the first signs of what was going to be a global change as COVID-19 began to become more than just an epidemic and turned into a worldwide pandemic that required significant lifestyle changes to battle it. Lockdowns and closures of retail businesses in the high street and malls forced the remaining population who had not yet moved online to consider it. There has been a rapid growth in e-commerce since the Pandemic reached its height.

Had you asked experts early in 2020 about the effect that this switch would make, many would have talked as if it was just a blip in 2020, and by the time we reached 2021, things would be normalizing. In 2021, we see that what we believed were short term changes are now set to continue into 2021 and beyond. The longer the pandemic is an issue, the more chance that these changes will become permanent. As this article was written, there were pronouncements that aspects of the restrictions imposed because of the pandemic might be with us for the rest of the decade. There were also announcements that COVID-19 was adapting and that the vaccine may not be the resolution that everyone has hoped for.

The latest trends in e-commerce may well be significant pointers to a long-term change in the way we live. If this is so, it will be even more critical for online stores to invest heavily to ensure they are ahead of this changing scenario.  For example one of our clients who does Jacksonville hardwood flooring removal has switched to Ecommerce to pull in business during the pandemic to survive, but now is thriving because of it.

Customer behavior changed during 2020, and shopping habits may never be the same again. Consumer’s expectations, norms, and values adapted to the pandemic, and digital connections became normal. The trend had been going slowly in that direction even before the pandemic took hold. The arrival of the pandemic accelerated it dramatically during the year.

1-Augmented Reality

Augmented Reality (aka AR) makes it possible to see a 3D representation of the products, which has the customer information embedded into the image. This process could mean the person could see themselves wearing the clothing item or see the sofa in their room at home, with the ability to try various positions.

  • 35% of people said that they would increase the amount of online shopping if there were a way to “Try On” an item before buying it.
  • 22% of people say they are less likely to shop in a bricks and mortar store if their usual e-commerce store offered Augmented reality.

For many years the idea of Augmented Reality has been dangled in front of retailers. It offered so much promise. Finally, in 2020, applications started to arrive. Applications that would allow retailers to catch up with consumer expectations. AR has been one case where consumer expectations have outstripped those of the retailer.

  • 63% of consumers believe that AR will transform their shopping experience
  • 61% of consumers said that they would prefer to shop on sites that used AR.
  • 70& of consumers said they would be more loyal to brands that utilized AR on their websites.
  • 53% of consumers think that retailers are failing to take full advantage of AR.

2-Voice Search

The growth of devices like Alexa or Google assistant has risen sharply during 2020. Virtual Assistants carry out a variety of tasks, which range from playing music to making purchases online.

  • Loop Ventures predict that 75& of American Homes will own a smart speaker by 2025,

Using these devices means that people can order products without ever needing to touch a screen or keyboard. A consumer in their kitchen realizes that they are low on bread, milk, and other items may order the products as they walk around the kitchen. As this technology becomes increasingly common and is used routinely for everyday tasks, an increasing number of e-commerce sites will be optimized for voice search.

3-Artificial Intelligence

The bricks and mortar store can remain ahead of the e-commerce store because it has helpful assistants who may know the customer and can suggest products and answer questions instantly. And recommend products based on stated requirements.

As retailers learn ways to accompany consumers through their online stores, enhanced personalization and the increase in virtual assistants who follow the user around the store will occur. These assistants powered by artificial intelligence will improve customer service and offer a much more personal experience.

An AI-powered personal assistant can

  • Assist retailers in understanding their customers
  • Supply the customer with a personalized experience
  • Permit the store to lull on customer data to provide real-time commentary to improve the experience
  • Automate all customer support services
  • Generate individualized offers based on shopper data
  • Optimize pricing on an individual basis.

4-Individualized Shopping experiences

When e-commerce stores tailor the shopping experience to an individual, the consumers tend to like the whole experience, affecting revenue.

  • One study found a 25% increase in sales after they implemented personalized experiences.
  • Another recent study has noted a 45& decrease in bounce rates.

When more brands can capture and harness increasing amounts of data, personalization can become far more relevant and useful in the interaction with site visitors. Experts believe that personalization is to grow substantially in 2021.

5-Chatbots

My local supermarket employs a greeter who stands by the main entrance and provides a cheery face that welcomes me to the store. He also dispenses useful information that is time-sensitive, like they currently have a particular product being sold-off in aisle x. I also know I can ask him a direct question about where I can find any given product, and he will have the answer and direct me there.

Chatbots allow a store to interact with every customer yet gives the impression that the chatbot is talking exclusively to one individual. In contrast, my greeter in the local supermarket tries valiantly to deal with several customers at once, each of which will interrupt ongoing conversations.

On websites with a “Live chat” option where you can speak to a human, it is often the case that you with what seems like an age to get an answer to a simple question,

  • One study found that 60% of people preferred dealing with the bot.
  • Experts predict that 80% of businesses will be using chatbots this year.

A human trying to deal with several problems will result in a delay. Replacing that human with a chatbot who can answer multiple questions simultaneously, there is no delay. Many people prefer to have a quick response from a bot rather than wait for a human. Having the option to call on a human if the bot fails is perhaps the best solution, which leaves the human to spend time on more complex inquiries.

6-Mobile Shopping

Most websites are now optimized for mobile devices as well as desktops. There are conflicting statistics about mobile shopping that need to be considered.

  • Mobile devices account for more than 64% of all traffic to retail e-commerce stores.
  • Mobile devices only account for 50% of all sales.
  • Desktop devices account fr as little as 36% of all traffic to retail e-commerce websites.
  • Desktop devices account for 50% of all sales.

We can see from this that if people access a retail e-commerce store on a desktop, they buy more. These sales results suggest that despite the increasing optimization for mobile devices, some work still needs to work on this during 2021.

7-Increased Payment Options

Whatever other features your e-commerce website has, there is one essential feature present in all e-commerce websites. This feature is a method of payment, a payment solution. Here are the top ten payments systems:

1- PayPal

Available in 202 countries and 56 currencies

2- Stripe

Offers an excellent customized payment platform

3- Amazon Pay

Customers can pay by logging into their Amazon accounts

4- X Payments

X-Payments has Seamless transactions that take place on the e-commerce site. High safety standards

5- Braintree

Braintree is owned by PayPal and concentrates on mobile users

6- Due

Due Offers lower rates than credit cards.

7- Go Cardless

Go Cardless offers an excellent service for those with recurring payments.

8- SecurePay

Primarily for Australian websites and those who are doing business in Australia.

9- Adyen

Available in 200 countries and 250 local payment methods.

10- CyberSource

Security-conscious has 300 fraud detectors.

These are the primary payment suppliers, but depending on where your customers live, you may consider using more localized services that operate in just one or two countries. Often within a particular market, more people have access to these local providers than the major international ones. For example, in the Philippines, the top payment providers would be Smart Money, GCash, Dragon Pay, JuanPay, PesoPay, PayEasy, MolPay, WeePay, 7Connect, Coins.PH, Other countries will also have more localized solutions.

The fragmentation of payment solutions can present particular problems for foreigners living in another country, where they may not find it easy to signup for local payment solutions.

8-Video

For the last few years, video has become increasingly important to e-commerce. There has been increasing use of video on e-commerce websites. Video has been producing enhanced conversion rates.

In a 2019 2019 survey, the results were that 62% of consumers watch video reviews before making a purchase. This significant percentage demonstrates just how important video has become. Most industry experts that this trend will continue into 2021.

Shane Barker, a specialist in this subject, suggests that videos’ importance cannot be understated. A video will explain your products far better than text and images ever can. You should endeavor to put videos with products in e-commerce stores.

9-Sustainability

An increasingly important segment of the market has become aware of sustainability problems and has adopted a new green viewpoint. Catering to this growing trend is increasingly important in 2021. People have become aware of the impact their purchases have on the future of the planet.

Sustainability is becoming a growing factor in the way we choose a product or service.

  • 50% of respondents wanted to see more sustainability in fashion
  • 75% of people would like there to be less emphasis on the packaging.

Brands that are improving their environmental standards in 2021 will have a larger role to play in 2021. Factors that people want to see considered on e-commerce sites include:

  1. Biodegradeable packaging
  2. Increased use of fair trade organizations for sourcing products
  3. Reducing paper use
  4. Increased use of recycled materials
  5. Energy conservation

10-Conversion

In the past, the primary concern has been to get site visitors, and less emphasis was placed on increasing conversion from site visitor to customer. In 2020 there was an increasing rethink about conversion methods, and new techniques were introduced, and greater site monitoring took place to track where potential customers were being lost.

More and more brands are trying to sell to the same market, and companies cannot afford to waste site visitors and not turn them into customers. This emphasis was a subject of some debate last year, and as we move into 2021, this will still be a significant trend to monitor.

Final Thoughts

The spoken word is becoming less critical in web-content. Videos seem to be continuing their meteoric rise as we move forward. E-commerce stores comprising primarily video and populated by chatbots and personalized by AI could look very different from what we see today. Do visitors need to wade through high volumes of products if virtual assistants direct them straight to the products they are interested in?

The pace of change and the magnitude of the changes may be moving us to where current e-commerce trends are not something that we can ignore. The changes coming about now are significant, and all seem to be converging towards a substantial shift in e-commerce. These are indeed exciting times in which we live.