One cannot deny that eCommerce revolutionized retail. At the very beginning, this segment of the market was quite limited in its capabilities. However, every day, it is more convenient to shop online. In the nearest future, electronic commerce will undergo considerable changes, which cannot be ignored. So, we made the list of emerging eCommerce trends of 2020 that are worth your attention.
Very, Very Personalized Approach
Amazon was a pioneer of personalization in eCommerce: it was the first store, which started tracking and purchasing users’ web searches to offer them products according to their interests. In 2020, the creation of personalized offers based on user behavior analysis will become ubiquitous – thanks to the boom of artificial intelligence technologies development. So, in 2020, you will not hide from marketing.
Gartner predicts that by 2020, online retailers that have personalized their service will increase profits by 16%. The proof is: when the Very.co.uk online store made a homepage that adapts to real weather conditions, its revenue jumped by €5 million.
The Universe in the Smartphone
More and more people prefer shopping via their smartphones. Simplified payments introduced by Google, Samsung, and Apple boosted mobile commerce development. Meanwhile, the advent of 5G technology has all chances to transform the retail by fast, high-quality, permanent access to the global network. At the same time, conversion in online sales from smartphones fall behind the similar desktop indicators. The main reason for this is the weak level of optimization for mobile devices, including low page speed and poor usability. That`s the reason why e-commerce businesses apply load testing for better application performance and quick page load.
Addressing all these flaws and focusing on the development of mCommerce, the company can significantly increase profits. It was experienced by Walmart, which has boosted sales by 98% by optimizing the mobile app and updating the design.
At the Top of One’s Voice
In 2019, about 60% of smartphone users resort to voice search functionality, both when working with voice assistants and Google itself. By 2020, half of all searches will be performed with the help of a voice. In the long run, this phenomenon may lead to the need to optimize sites for voice requests.
In the nearest future, purchases with voice assistants – such as Siri, Alexa, or Google Assistant – will continue to gain popularity. In the United States, Google Assistant users can already order products, subscribe, and buy digital goods.
Social Media Shopping
Users do not like to leave a comfortable environment on the Internet – especially when we speak about social networks. It is much more convenient for them to shop directly on Facebook or Instagram than to move from there to an external online store.
Snapchat, Facebook, Instagram are now developing similar opportunities. In China, already 55% of social media users shop directly on the app.
Augmented Retail, Augmented Reality
Augmented reality technologies can solve one of the main problems of online retail. Customers can see what goods will look like in real life: whether a new sofa will fit into the living room, whether a new hat or glasses will suit them, how much room space the table will take, and so on. It will make online shopping less stressful, which is especially important for large purchases.
Cosmetics and perfume store Sephora has developed a tool with which the customers can apply virtual makeup to choose the color of lipstick or eye shadows.
The emergence of the opportunity for AR in the browser, which was introduced by Apple last year, provided a broad audience with access to the technology: before that, it was possible to use augmented reality technology only within the application, which required considerable costs.
Besides, the application is more difficult to promote, as not every user is ready to spend time and smartphone memory on installation. So far, the WebAR is only available for iOS 12 devices, but AR Core for Android is expected to be launched soon.
The Shopify platform has already given its customers the ability to add AR to product cards. Stores such as Horne and Pure Cycles have already taken advantage of this option. The introduction of the virtual hat fitting feature allowed the Tent Street Hats store to boost conversion on the site by 33% and engagement by 74%.
By 2020, the development of AR-technology should increase the total profit of eCommerce by $120 million, according to Retail Solutions.
Delivery Variability and Speed
Users have become quite demanding about the methods and speed of delivery. Optimizing the supply chain in 2020 will play a unique role in eCommerce. The customer will buy the goods at the stores where they will be able to pick up the products on the same day, rather than to wait two or three days for delivery.
So, it is no wonder why Uber develops the delivery of goods with the help of drones. More precisely, the products are delivered from point A to point B to the courier, who promptly transfers the food to the customer at the specified address. According to the company, the speed of delivery with such technology can be reduced by 3 times.
The eCommerce industry is changing dramatically every year. With the advent of AI, it continues to move towards personalization and creating new experiences for customers. Of course, our list doesn’t include all emerging eCommerce trends of 2020. However, you can consider them when planning your future business strategies.