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14
8 min
The last few years have been a period of explosive growth for the eCommerce industry. Today, more than 20.1% of all retail sales are made online. However, along with profits and market scale, there have also been numerous challenges for eCommerce.
In particular, the digitalization of the global economy in the lockdown era has led to the rapid spread of cybercrime. And the emergence of the latest generative AI technologies not only presents online retailers with many new opportunities but also creates new risks.
Despite the challenges, no modern business is unthinkable without online. So, if you don’t have your own eCommerce marketplace, now is the perfect time to invest in finding a reliable custom software development company.
If you do have one, it wouldn’t hurt to make sure you’re ready to keep up with the times by adapting to new technologies and market realities. Let’s take a look at the current eCommerce technology trends that will shape the industry in 2025.
Online commerce has always been a technological business because it emerged thanks to the development of digital. Each new stage in the history of eCommerce is associated with technological advances:
Right now, we are on the threshold of a new digital revolution: artificial intelligence, machine learning, Big Data, and the Internet of Things are changing the world very quickly. Online retailers should be prepared for the changes not to lose their competitiveness in the new decade.
Paying close attention to tech trends will allow businesses to get new opportunities to automate operations and sales, improve service, reduce costs, etc., as soon as possible. Modern technology will make online sales more efficient, safer, and greener. Retailers and manufacturers will be able to offer consumers completely new products, services, and facilities that seemed impossible ten years ago.
So, which eCommerce technology trends will be the most relevant in the coming years? Let’s name them.
Voice search capabilities have already become hugely popular, with about half of online users using them. Hundreds of millions of consumers are used to ordering goods and services with the help of voice assistants like Alexa, Siri, and Google Assistant.
Experts predict that the volume of transactions using voice search in eCommerce will exceed $164 billion by 2025. So, retailers need to ensure their stores have the right capabilities to keep up.
The latest capabilities of generative AI and large language models offer incredible promise for the online commerce industry:
DataHorizzon estimates that the market for generative AI solutions for eCommerce was valued at $4.2 billion in 2022 and is expected to more than quadruple to the $18.2 billion mark by 2032.
Augmented (AR) and virtual (VR) reality are already helping retailers overcome one of the biggest challenges shoppers face in eCommerce: the physical inability to try on or check out products before purchasing them.
Thanks to AR and VR technologies, customers can virtually explore products. Such opportunities are already offered today in mobile applications by Ikea, Nike, Walmart, and other world-class brands.
Subscriptions are becoming an increasingly common formula for purchasing goods and services online. An example is Amazon Prime, which offers subscribers a host of benefits and services, from accelerated delivery times to streaming services.
Analysts generally forecast the subscription model market to grow at a compound annual growth rate of 60-70%. It should reach the $2,643.6 billion mark by 2028.
In general, there are 3 common types of eCommerce subscription services:
However, the market is developing very fast, and competition is intensifying, so new business models may emerge tomorrow.
Retailers in eCommerce are increasingly looking to provide consumers with the most comprehensive and seamless brand experience possible, encompassing all possible communication channels. The website, mobile app, social media, messengers, SMS and phone, email, and even physical stores all need to work as a unified system.
Consequently, eCommerce stores are increasingly finding it necessary to create their own digital platforms that can combine the functions of CRM, sales management, logistics, etc. Partnering with a reliable custom software development company is the first step in developing an effective omnichannel platform.
Targeted advertising on search engines and social networks hasn’t surprised anyone for a long time. Today, eCommerce is moving to a new level of digital marketing called “hyper-personalization”. This approach is built on the use of Data Science tools to analyze the behavior and preferences of each individual user in real time.
So, brands get unprecedented opportunities to build personalized marketing for literally every customer and can create the perfect user experience. Similar recommendation algorithms are already being used by world-class players, from Alibaba to Starbucks.
Despite all the latest digital capabilities, the website is still a key tool for eCommerce, just as it was 20 years ago. To succeed in the fierce competition for customers, websites must meet a number of requirements:
This means that web development for eCommerce isn’t going anywhere. Retailers will be forced to update their websites for modern needs or create entirely new solutions.
The use of game elements and principles in online sales can turn shopping into an exciting game for users, giving them a new experience and bright emotions. Interactive content will ultimately have a positive impact on both sales and audience loyalty.
Commerce tools can be enhanced with a number of elements:
Such gamification can be an effective strategy for attracting and retaining customers. In the coming years, the profession of game designer may become extremely relevant and in demand for eCommerce.
Machine learning and deep learning algorithms are opening up fantastic opportunities for eCommerce retailers to forecast:
ML/DL models can process terabytes of business data—both archived and real-time—almost instantaneously.
How does this look in practice? For example, today, logistics operator DHL is partnering with IBM to develop a Global Trade Barometer, which uses 240 million variables to make detailed forecasts of trends in global trade. Very soon, similar mechanisms on one scale or another will determine the competitiveness of every online retailer.
As a rule, all technological innovations are fastest in online retail, while the B2B sector traditionally lags behind. So, one of the strategic challenges for the entire eCommerce sphere is to bring the convenience and extensive capabilities of online commerce to the wholesale trade.
The development of online banking, blockchain-based smart contracts, AI-driven transaction monitoring, and robotization of processes are just some of the tools that will digitalize and automate the heavily regulated B2B commerce sphere.
The creation of B2B platforms and marketplaces based on modern technologies can finally make transactions between businesses as easy as ordering sneakers on Amazon.
The eCommerce industry is on the cusp of a new technological breakthrough: artificial intelligence, machine learning, and robotization may bring revolutionary changes. In times like these, it is more important than ever for online retailers to keep track of all the current trends in eCommerce and be ready for them so as not to lose out in the competition for consumers.
The coming years will be a time of mass adoption of generative AI, machine learning analytics, subscription models, and hyper-personalization systems for eCommerce. So retailers should already think about mastering these technologies and find the appropriate IT specialists or partners ready to help with modernization.
BIO:
Vanessa Friedman is a content marketing professional who helps companies attract visitors, convert leads, and close customers. Previously, Vanessa worked as a marketing manager for a tech software startup company. In case of any inquiry or suggestion kindly feel free to write her at GuestPostingNinja@gmail.com
