The future of e-commerce: What it will look like in 2023?
In 2022, global e-commerce revenues are anticipated to exceed $5.7 trillion, demonstrating the growing profitability of this business strategy.
That’s a big deal, but the good news is that it’s not exactly a recent development. The e-commerce sector is likewise a dynamic one.
Trends are continually changing in an effort to influence how consumers throughout the world make purchases.
This makes the potential of online shopping fascinating. Over the upcoming years, the ecommerce sector is anticipated to undergo a number of significant changes.
We’re here to explain how e-commerce will develop in the future.
In this article, we’ll examine some of the most important e-commerce trends for 2023, talk about the biggest changes we expect to see over the ensuing several years, and examine the reasons behind those changes.
There is undeniably a lot to discuss.
1. There will be a rise in new marketing outlets
There have been improvements in a number of ecommerce marketing sectors over the last several years, including a new mix of channels.
For instance, with the introduction of Instagram and TikTok shopping functionalities, firms may run advertisements on social media platforms and engage with consumers.
Additionally, as a development of social commerce, live shopping has begun to take off internationally. The live commerce market in China is anticipated to reach $4.92 billion in 2023. In the US, live commerce is likewise becoming more popular, with 20% of consumers reporting having done so.
Connected TV advertising is another brand-new platform that e-commerce businesses are investigating. Ads must be run on websites and services like Hulu, Roku, and YouTube TV. Hoka, a company that makes athletic shoes, used this marketing tactic and claimed a 68% increase in website visits as a result of its TV advertising campaign.
2. The debate between physical and online will intensify.
It is impossible to discuss the future of e-commerce without bringing up the ongoing dispute between offline and online shopping.
In this argument, most persons working in the e-commerce sector fall into one of two categories.
There are others who think that an even greater trend toward internet purchasing may eventually cause brick-and-mortar establishments to disappear. There are however many who believe that physical retail is seeing a revival.
Our position? Undoubtedly, the expansion of internet purchasing is exceeding that of traditional brick and mortar retailers.
However, that doesn't negate the fact that physical storefronts are still tremendously significant resources for e-commerce companies.
Brick-and-mortar stores seem to be shifting away from serving as a physical representation of their online sites, which often have access to a lot more inventory, and toward providing distinctive shopping experiences.
With its brand-new experience retail places, or "Houses of Innovation," Nike has already grown in New York and Shanghai.
At Nike's brand-new physical stores, you may purchase unique goods, design goods with your own hands, take part in fitness assessments, test goods by engaging in entertaining activities, sign up for personal shopper services, and more.
These are encounters that are just unavailable online and help to increase client loyalty.
3. Voice search will be used by more consumers.
Voice-activated technology was expected to assist transactions totaling $40 billion in 2022. This is a significant increase above the $2 billion in voice search transaction volume recorded in 2017.
How is voice search most likely to be used by consumers? According to Narvar, 36% of consumers use voice search to add relevant goods to their shopping lists, while 51% of consumers use voice search to investigate products.
Consider tailoring your product information pages for popular voice search queries in 2023 to be more voice-search friendly. People may query their voice assistant, for instance, "Where can I acquire Under Armour things at a discount?" as an example.
4. Automation, automation, automation
In the realm of online commerce, automation is expected to play a significant role. Already, automation tools and software are used by 61% of businesses globally. More firms are anticipated to invest in automation in the next year as its advantages become obvious.
Automation for e-commerce companies extends from marketing automation through warehousing and beyond. It's a wise decision because it frees up employees' resources and time for other crucial tasks.
For instance, an e-commerce company that employs big warehouses for its operations may decide to invest in robotics to increase efficiency and free up personnel to work on more crucial fulfillment-related duties.
Automation software that can schedule inventory alerts for restocking when stock is low might be useful for supply chain management.
The possibilities for e-commerce automation are endless. You may uncover software that will benefit your product with a little investigation.
5. Private label will spread more widely
Private label refers to a product that is produced by one firm but packaged and marketed under the brand name of another company. Businesses rely on manufacturers to provide goods that are highly specialized to the requirements of their audience.
Why is this a trend in e-commerce? Private labeling is the best course of action for your business if you are in a specialized field that depends on specific materials not being used or requirements being met.
As an illustration, VegexPro offers goods under its own label that are certified as Organic, HACCP, Kosher, Halal, RAW, Vegan, Gluten-Free, and Fair Trade. If your clients desire vegan or gluten-free items, this firm would be a wonderful manufacturer for you to partner with.
Private labeling may be the best course of action for a firm that operates an online store that offers non-branded or dropshipped goods.
