Ecommerce is a large economy segment that affects companies around the world. The ecommerce industry has undergone significant changes since the 90s and has been consistently growing every year.
According to a study by Statista, the number of online customers worldwide is projected to increase from 1.66 billion in 2017 to 2.14 billion by 2021. Never before has ecommerce been as cost-effective as it is now. By the end of 2022, the total e-retail revenue is expected to grow to $6.54 trillion!
To succeed in the highly competitive ecommerce sector you should keep an eye on changes in today’s digital marketplace. Since Elogic is on the front lines of ecommerce development, we have gathered the modern trends in e-business that every merchant should implement to scale their business in 2020.
This article will help you keep your finger on the pulse and find out what trends to look out for in 2020. Here’s a list of the top 10 ecommerce trends for 2020 that will help you increase your business’ sales. Let’s see what’s trending in ecommerce.
Since the introduction of the Progressive Web Application (PWA) in 2015, it has gained huge popularity among many brands and retailers. In 2019 we’ve seen the accelerated adoption of PWAs, and this digital commerce trend will only gain momentum in 2020. A PWA is a type of application software that combines features of both an application and a website to provide superior mobile experience through any mobile web browser. The primary objective of adopting PWA technology is to provide the app-like experience to your ecommerce store on any user’s device.
The PWA features are:
Websites like Twitter and Gmail have already effectively implemented PWAs.Check out our article to find out how Aliexpress, Alibaba, Lancome, and many more companies have pioneered the use of PWAs in ecommerce with considerable success.
Headless ecommerce is a popular topic in 2020. In headless commerce, both the front end layer (the part that is demonstrated to the customer) and the back end layer (the technology behind the demonstration layer that makes everything function) are decoupled, meaning they operate independently of one another.
With this model, online retailers have full control over their storefronts and can provide superior flexibility of ecommerce operations, deliver quality content, improve the omnichannel experiences, offer promotions faster than ever before. The most popular examples of such cases include WordPress REST API, Contentful, Magento 2, and Shopify.
The future of online industry trends is moving from a traditional web storefront to attracting customers wherever they opt to shop.
These days, customers are more concerned about environmental problems and tend to support businesses that are eco-friendly. 87% of customers admitted that they would prefer to purchase a product from a company that embraces environmentally-friendly practices.
That’s why ecommerce brands should step in and cater to the eco-friendly needs of customers. This includes solutions like sourcing products from fair-trade organizations, using recycled or biodegradable material, adopting sustainable packaging, and more. Customers are rewarding merchants who respect their core values.
With the technological advancements and the amazing opportunities that Artificial Intelligence and Machine Learning have introduced, not adopting them as a part of your ecommerce tactic would be a mistake. It’s not surprising as AI and ML are providing merchants with a powerful tool to the personalized shopping experience.
For instance, it’s mostly used in search and product recommendations. Before modern algorithms appeared, product recommendations were done manually, which was time-consuming, ineffective, and imprudent. Smart personalization engines allow marketing managers to recognize a customer’s preferences (brands, color, style, etc) and get a fuller picture of their purchasing behavior to use it as a basis for product recommendation.
With AI systems getting more advanced, chatbots will continue to be one of the biggest online industry trends in 2020. Online shopping will get more and more personalized as a result of AI-driven chatbots. The majority of customers have many questions before they decide to buy something. Chatbots are automated programs that simulate real conversations with customers through text or voice input.
Chatbots perform many tasks. They answer frequently asked questions (FAQ); suggest product recommendations and sales offers; inform about payment options, return policy, shipping; collect feedback; solve customer queries and complaints.
There are various retail companies that have chatbots. One of them is eBay. Their chatbot (ShopBot) help customers find items by asking different questions about their preferences before proposing specific items.
With the introduction of voice search devices like Apple Siri, Alexa, Google Assistant, Amazon Echo, the future of ecommerce trends is more leaning towards voice search over typing your search. According to OC&C Strategy Consultants, voice shopping will jump to $40 billion by 2022.
Voice Commerce is the term used to define any transactions with a business applying a voice device. When searching for products on voice search, customers expect relevant results, and if your products are optimized with long-tail keywords then you can increase your site’s traffic.
Buying a product with the help of voice assistants doesn’t require a mouse or a keyboard and is perfect for busy people. For instance, customers can ask Alexa to find a pair of blue jeans from Levi’s just by describing the product.
For more information about how customers use voice tech to search for products and how to implement voice search on your website, check out our article Voice Search Ecommerce Optimization.
Subscription-based services are another ecommerce market trend that will become even more popular in 2020. Subscription ecommerce is when shoppers get their products on a regular basis. It’s much more convenient to subscribe once and receive repeat purchases every month by entrusting this task to the brand.
Subscription services offer handy, time-saving and money-saving tools to order what they want. These subscriptions usually include different products such as food, beverage, beauty products, vitamins, and many other items in similar categories. This ecommerce trend is popular among many brands and retailers. For instance, P&G, Ipsy, Thrive Market, and Amazon Prime have already introduced subscription models.
Delivery by drone has been getting a lot of attention for same-day delivery. It’s no wonder that ecommerce businesses are trying to adopt innovative technologies that can help to obtain this ambitious objective. What has been just a dream is likely to become a reality in 2020.
Drones can deliver products fast (within hours) and can go anywhere (across rivers, over hills). Drones are also cheaper in comparison to delivery by cars and support real-time tracking. Moreover, drones are eco-friendly as they leave a tiny carbon footprint compared to vehicles.
Ecommerce companies like Amazon, Intel, and Google have already invested in drone delivery. If their technologies are successful, we can expect even more creative ideas in ecommerce delivery. Amazon aims to introduce drones (Prime Air) designed to safely deliver packages to customers up to 24 kilometers in 30 minutes. Amazon expects 70-90% of its deliveries to be made by drones anytime soon.
By the end of 2021, mobile sales will constitute 73% of all ecommerce sales. Just by looking at these figures, it’s clear how crucial mobile shopping will be to ecommerce businesses in the near future.
Store owners should follow ecommerce payment trends and facilitate the purchasing process in mobile devices so that it becomes a seamless experience for customers. Make sure that your online store is optimized for mobile devices.
The mobile payment trend will continue to grow in 2020, so we recommend to implement popular digital wallets, such as Google Pay and Apple Pay, to your ecommerce store to make online shopping easier, more convenient, quicker, and safer.
If you want to flourish in the ecommerce world and improve your online sales, you need to keep abreast of digital commerce trends. Trends in online shopping are becoming more creative, and adopting these ecommerce innovations has become a key aspect of business growth.
Implement these trends if you want to operate a profitable ecommerce store and elevate your business to a higher level.
So, which of these latest ecommerce trends are you going to test out? Share your opinions in the comments below.