In 2020, the number of e-commerce users increased by 9.5% worldwide and is continuing to grow. What are the growing trends that will determine the future of online trade? We narrowed it down to the 10 biggest that will affect businesses this year.
1. E-commerce boom
E-commerce allows buyers to avoid queues in physical stores and makes it easier to compare the products and their prices. The improvements in the online shopping experience drive an increasing number of people to choose to buy online instead of taking a long trip to the physical store. It is projected that this year the global e-commerce market will grow by more than 17%. This rapid growth has been propelled by the pandemic-driven demand to shop online, which has encouraged many businesses to shift their focus to webshops.
2. Increased focus on ecology
The increased amount of information on ecological issues has made customers understand the environmental impact of non-recyclable product packaging and environmentally harmful manufacturing processes. As many as 73% of consumers claim they would change their consumption habits to reduce the negative impact on the environment. This will lead to increased recognition of eco-friendly and sustainable brands.
3. Mobile shopping
In 2021, almost 73% of all online purchases will be made on smartphones. Nearly three-quarters of consumers wish to feel “connected” and shop whenever they feel like it. To keep the customers engaged now is the perfect time to optimize your webshop for smartphones.
4. Social commerce
There are currently more than 4.2 billion active users of social networks, making it a perfect place to find new clients. Recently, Instagram introduced the “Checkout on Instagram” feature, which allows buying a product without even leaving the app. It is thought that more similar features will emerge soon, making it easier to sell to a large audience directly from their favorite apps.
5. Strong customer relationship
Online stores generate 65% of profit from the customers who already had a satisfying shopping experience shopping there. Existing customers are 14 times more likely to buy from the shop than the new ones. It is expected that this year more brands will work not only on the overall shopping experience but on building a strong relationship with the customers too, encouraging them to return and buy again.
6. Artificial intelligence
An increasing number of businesses integrate AI solutions to facilitate various processes. AI-driven tools can do many types of tasks, such as data analysis or demand forecasting. The need for AI solutions in e-commerce is growing and it finds the most use in customer service, mood analysis, and AI-based automated marketing.
To improve customer service, a great number of businesses turn to chatbots. It is a virtual assistant that can answer specific questions by chatting with customers. In 2020, the chatbot market was valued at $17 billion and it is projected to grow to $102 billion in the next five years. According to the data, by 2023 chatbots will have saved businesses and users as much as 2.5 billion hours of their time.
8. More payment methods
Smooth checkout is the key to a good online shopping experience. 20% of customers do not complete their order if they do not find their favored way for making a transaction. One of the biggest goals this year is to try to make the checkout process as simple as possible. This means that e-shops need to integrate a variety of local and international payment methods.
9. B2B e-commerce
Although e-commerce was usually targeted at B2C (business-to-consumer) and B2B (business-to-business) clients were more likely to place orders over the phone or email, the approach is changing. Due to corporate restructuring, adjustment to the latest customer needs, and the recovery from the COVID-19 pandemic, the global e-commerce B2B market is expected to grow by 5.8% this year.
10. More delivery options
The availability of a wide range of methods for parcel delivery is becoming crucial for consumers. More and more people look for shipping options that adapt to their needs and busy schedules. According to research, 70% of US consumers choose a webshop that offers more delivery options, making it a vital part of the shopping experience.
To Sum Up
These e-commerce trends paint a clear picture of what to expect in the market this year and what businesses can do to adapt and make the best of it. Many of the prevailing trends are a good illustration of what is important for the customers and how their shopping experience can be improved. To find what Venipak can do to improve the customer experience, check out the full list of our services.