Did you know that the first-ever item that was sold online is a book from Amazon in 1995?
Since then, almost 25 years later, the industry has made $2 Trillion in sales globally. Now there is no looking back for this ever-evolving industry,
If you want to gain more momentum for your e-Commerce company, drive more traffic, and turn the traffic into paying customers. For that, you need to be aware of the current trends in eCommerce industry. Given the impact of COVID, the year 2020 will be a landmark moment for e-Commerce. The pandemic has accelerated improvements in many verticals. This pattern is projected to continue in some way into 2021 and beyond.
Here are the e-commerce business trends you need to watch out for:
1. Social Trade Moves Beyond The Point Of Exploration
With its focus on eCommerce, Instagram Checkout made headlines in late 2020, pushing mobile commerce past the developing level. As social business becomes a modern battleground for online retailers aiming to attract a new user base, the 'Shop' tab, or a related shopping choice, will appear in several more apps during 2021. Between now and 2027, the global influence of social commerce is projected to expand at a pace of 30% each year, blossoming into a $600 billion industry. Forward-thinking retailers will welcome popular chat applications like WhatsApp and Facebook Messenger in 2021, underutilized as eCommerce platforms for years.
2. Online Buying Will Move Beyond B2C Industry
Businesses intensified their digital development strategies despite economic developments in 2020, and innovation wasn't just a buzzword. Consumers who had no other choice turned to e-Commerce for everything they wanted in their everyday lives. People may no longer just order food, fashion, and devices online and get them shipped to their homes. The list now contains groceries, clothing, and even car pieces. These shifts in eCommerce trends may slow as people return to their daily routines, but they are far from finished. The transition of e-Commerce from a source of reliance to a basic convenience would necessitate brand adaptation. Since e-Commerce has developed from a source of reliance to an essential convenience, brands would need to change their strategies accordingly.
3. Artificial Intelligence & Augmented Reality Will Enhance Ecommerce Experience
By 2022, internet merchants will spend $7.3 billion on AI. More than 120,000 retailers will use augmented reality (AR) to provide shoppers with a rich retail experience. By delivering customized feedback and suggestions to your clients, artificial intelligence (AI) serves as your online in-store partner. Shoppers' prior buying experience and search habits are used by AI to show them more likely to buy items. Unlike those in retail stores, online shoppers are unable to try on or inspect the things they want to purchase. Augmented reality (AR) helps consumers resolve this challenge by enabling them to see how a product would look on them before buying it. You'll potentially see a rise in conversions and a decline in return rate if you use AI and AR in your eCommerce shop.
4. Re-Commerce Industry Will Flourish
Next year, re-commerce, also known as second-hand commerce, will see a rebirth. According to reports, the second-hand market would double in the next five years, but if you believe eBay and Gumtree have already done so, think differently. Second-hand purchases of premium goods will shake up the re-Commerce market, as buyers are primarily driven by sustainability rather than costs. This provides a rare opportunity for companies to create their own re-Commerce website and transform second-hand shopping into an enjoyable experience.
5. Green Consumerism Will Grow In Popularity
Environmental issues affect the buying decisions of half of the digital customers. Ecommerce firms should aim to create more environmentally friendly activities. People are now more environmentally aware than they have ever been, all for the right reasons. Online businesses must take steps to ensure that their operations are environmentally sustainable. Millennials are leading the way toward more ecologically sustainable shopping practices. As a result, there is a rising market for environmentally sustainable products. Customers feel more concerned about the climate, which places more emphasis on brands to fulfill their eco-friendly needs.
6. Omni-Channel Sale Will Rise
We're seeing this more and more with public cloud services like Amazon Personalize and Pinpoint coming into the radar. This can be disruptive in a fascinating manner. Still, the bottom line is that Omni-channel selling would become more competitive and available. Customers continue to access advertising in many formats, which most companies are now mindful of. Tablets, smartphones, and laptops are just the beginning. Brands are finding new avenues to market their goods via social media. Amazon Pinpoint and Amazon Personalize are two Amazon Web Services (AWS) products that help businesses enhance customer engagement and connect with them through various platforms.
7. Digital Advertising Will Increase
While the pandemic has increased the scale of the e-Commerce industry, it has also increased competition. Companies and advertisers who can lead media content innovation will reap ever-increasing incentives. Furthermore, digital advertising has become increasingly relevant, and businesses have been growing their investments in this sector. This was true before the pandemic, but the coronavirus accelerated this investment like so many other things. Big stores that did not change their business model to take advantage of internet ads before the pandemic went out of business or learned a painful lesson. By 2021, e-Commerce will have climbed to the top of every company's priority list, intensifying the "arms race" for digital content.
8. There Will Be New Payment Options
One of the key reasons why consumers prefer a particular brand is the payment choices. Customers would not order from your eCommerce shop if you do not accept their desired payment form. Apart from debit and credit cards, most eCommerce companies now accept digital wallets (such as Google Pay, Samsung or Apple Pay, and PayPal). Cryptocurrencies, especially Bitcoin, have a range of advantages for online retailers, including low transaction costs and the absence of reverse transactions. Overstock, for example, has collaborated with Coinbase, a Blockchain exchange, to allow consumers to pay with Bitcoin. Elon Musk has recently declared to invest in bitcoin. At the end of 2021, many eCommerce businesses will start accepting cryptocurrencies.
9. Subscription Services Will Evolve
Subscriptions come in all products and services these days, and their simplicity is appealing to customers. Subscription services enable enterprises to prepare accordingly with inventory and purchases that have already been committed. In the coming year, more businesses can provide membership packages or recurring payment plans for more oversized orders, according to David Zimmerman, Director of e-Commerce Solutions.
Top Trending Ecommerce Products
Here are the top 12 trending eCommerce products according to Shopify eCommerce trends:
- Hairstyling tools and accessories
- Motor vehicle carpet and upholstery
- Bookcases and standing shelves
- Toy kitchens and play food
- Handheld device accessories
- Household storage containers
- Needlecraft patterns
- Bike saddles
- Kitchen towels
- Temporary tattoos
Businesses that wish to conquer the industry should embrace the latest trends as quickly as possible. Omni-channel shopping, AI, and virtual reality will almost definitely be ubiquitous in 2021. To entice more consumers to select their brand, more online companies will begin taking crypto payments. Dynamic pricing and subscriptions will prove to be an efficient means of drawing consumers. So, which trend/s do you think will remain in the upcoming years?