Electronic commerce commonly referred to as eCommerce has transformed the business world during the past couple of decades. Just starting from scratch a couple of decades back, eCommerce market size has crossed the multi-trillion mark today.
Many new innovations and digital transformations are emerging continuously in this field such as encrypted server-less communication like Pinngle, interactive customer relationship, personalization, and much more.
The demand for the developers and experts for major eCommerce platforms like Magento, Woo Commerce, and others is very high. To cater to the technical and commercial needs of your eCommerce business click for more info here.
Existing eCommerce Market
According to the Statista information, the volume of global eCommerce sales will account for about $3.5 trillion in 2019. It will become $4.13 trillion in 2020 and will cross the $4.5 trillion mark by 2021. The top eCommerce companies in the present global market include Amazon, eBay, Alibaba, Walmart, and others. What is an eCommerce platform best for eCommerce business in today’s competitive marketplace? Magento, Woo Commerce, and Shopify are a few very popular eCommerce platforms used by the eCommerce companies.
New trends related to technology, marketing, and sales are emerging in the markets that are continually changing the landscape of the eCommerce industry. The competition in the industry is fierce, which forces the merger and acquisition of the companies hugely. Moreover, the eCommerce companies use multiple shopping channels such as eCommerce websites, mobile apps, phone, and others to continuously increase the competitiveness and successfully survive in competitive business ecosystems.
Expected Innovation in eCommerce
The innovation is one of the most fundamental components of the eCommerce market. With the emergence of newer technologies in the market, the newer trends develop in all domains of the eCommerce industry. The shape of eCommerce marketing has changed from traditional ways to the data-driven and video content based marketing. Similarly, online shopping has changed from Omni-channel to multiple channel shopping.
The eCommerce website comparison has become a new innovated way to compare multiple websites for the prices, quality, features and many other fringes for a service or product offered by the retailers. Thus, competitiveness has increased significantly. The speed of delivery of the product is another important phenomenon, which is emerging as the major component. Other major expected innovations may include:
- Use of robotics in goods delivery and inventory system
- In-app mobile purchase is on the rise
- PC commerce will keep decline slowly
- Online security will remain a concern for customers
- User experience will dominate the sales
- Responsive and interactive web environments will become new standard interfaces
- Machine learning and data analysis will take even stronger roots
- Artificial intelligence (AI) based processes will emerge a new innovation
In the nutshell, technology will keep the eCommerce industry changing to cope with the emerging challenges of the industry.
Top 5 Digital Transformation Trends to Watch in 2020
Technical innovations, demanding customers, and fierce competition have transformed the eCommerce industry significantly. The major trends that prevailed in the present year would go stronger in the next year. Let’s have a look at the digital transformation trends in the eCommerce industry in 2020.
# QR Code Will Strike Back
QR code scanning is coming back after a little dim shown in the past few years. The shopping through application and on-website will continue to maintain their pace, but QR code scanning will take get stronger grounds in the field of eCommerce due to the presence of latest mobiles with cutting edge scanning technologies powered by artificial intelligence.
The use of virtual reality (VR) and augmented reality in the eCommerce will increase the use of QR code in online shopping. The VR powered shopping will create a great user experience in the next coming years.
# Personalized Interaction Will Get Stronger
The personalization in all aspects of online shopping improves the user experience tremendously. Personalized interaction and communication with the customers increases not only customer loyalty but also improves the conversion rate significantly.
Personalization is a very complex domain in which the merchant needs to learn the customer behavior, his/her likes and dislikes, and much more. Based on that data the personalized suggestions, online interactions, and incentivized offers are presented to create a great shopping experience.
According to the Shopify survey information, more than 75% of the customers feel great when they receive personalized messages or offers that are really interesting to them. On the contrary, if personalization is not based on accurate information about the customer needs, 74% of the customers get so frustrated too.
# Full Automation in Customer Services
Presently, more than half of the eCommerce retailers use customer service automation. This trend will continue growing in the coming years. According to the Zendesk information, more than 85% of the retailers will use the customer service automation for providing 24×7 support in 2020.
This trend will continue in all major process related to customer management such as auto-ticket generation, lodging of complaints, voice recorded messages, voice recognition based response, invoicing, and much more. According to Gartner information, more than 25% of customer support will be provided by the virtual customer agents by 2020.
The demand for automation in customer relationship will keep increasing in 2020, especially interaction with different languages spoken all over the world. The role of chatting bot software is also one of the customer service automation when connected with the CRM platforms.
# Chatbot and Robotics
The use of chatbots and robotics is in the market for quite a while now. The use of both chatbots and robotics will increase significantly in 2020. Both chatbots and robotics are powered by the artificial intelligence, which is becoming one of the major drivers in all domains of businesses, especially in the online shopping, where no human is directly involved to interact with the customers.
According to Oracle research, more than 80% of the eCommerce will use the chatbots in their online support. According to Public Tableau research information, more than 29% of the customer support jobs can easily be replaced by chatbots and robotics; thus saving as much as $23 billion per year in the USA only.
# Extensive Use of Video in Marketing
Video marketing is growing exponentially during the past 3 to 4 years. According to the State of Video Marketing 2019 report, more than 87% of the marketers use the video content as their important tool for digital marketing. This figure grew significantly from just 63% in 2017.
The use of video will continue growing in 2020. Some of the industry experts believe that 100% of the marketers will be using video as a powerful tool in marketing by 2020.
The multi-billion market of eCommerce is transforming very fast due to the innovative business approaches and advancements in technology. The new trends that will drive the digital transformation of the eCommerce industry include artificial intelligence, data analytics, fast delivery, system automation, and much more.