The future of Ecommerce: 7 challenges facing you tomorrow
Last Tuesday I gave a talk about the techonology challenges that the future of ecommerce brings at an event with our partner Braintree in South Africa. Here are 7 key takeaways from my talk about "The future of Ecommerce".
1. Omni-channel Ecommerce is here to stay
A study from Deloitte in 2017 shows that 23% of consumers prefer to shop online, 32% prefer to shop in physical stores, but 42% prefer a combination of all available channels. Another study revealed that multi-channel organizations retain 89% of their customers on average, but single-channel retailers only retain only 33% of their customers on average.
An Ecommerce platform for the future needs to deliver great customer experiences in many different channels.
2. Your competitors are using new technologies to enhance the user experience
Here are a few examples of new technologies being used to enhance the user experience:
- With augmented reality you can show your products in use and give your customers a live 3D model right on their phone screen, like the Wanna Kicks AR app
- AI-based chatbots to help and service customers 24/7
- Voice search to make mobile search easier
- AI-based personalization and predictions
All these new uses of technologies try to create a better user experience. Used wisely and with thought they might be able to, but they can also be very complicated to work with.
3. Subscription Ecommerce is on the rise
As users have become accustomed to shopping online, more and more products are being offered on a subscription-basis. There are several powerful ways to work with subscription Ecommerce:
- Curation subscriptions: Surprise and delight customers with products and experiences they otherwise would not have gotten.
- Replenishment subscriptions: Allow your customers to place orders automatically, or super quickly, so that they save both time and money while never running out of the products that are important to them.
- Access subscriptions: Give your customers access to exclusive content, products or offers.
4. Abandoned carts: Simplifying the payment process
Getting money for orders is of course super important, and cart abandonment is a big challenge today. Most dropouts happen in the payment step, so simplifying the checkout process and not least the payment process will be a key focus for most Ecommerce businesses very soon.
Being the first in your industry to have big improvements on this front can give you a major competitive edge.
5. Consumers are also activists
Here’s a term you might as well get used to: “Activist consumers”.
More and more consumers care a lot about the sustainability of your products and the morals and ethics of your business. Being climate friendly, supporting local communities, handling profits fairly and paying workers decent wages are all important steps to take to win over activist consumers.
This trend, if used with care, can be used to take on the competition from the big players, like Amazon. Adjusting your business and messaging to leverage this trend can help you stand out from the crowd.
6. Consumers want to buy directly from you
Direct To Consumer (DTC) is a growing trend in the market, so manufacturers need to adapt and learn to keep their customers close. With the insights that first-hand contact gives, brands can build better user experiences and stronger customer relationships.
7. Product Information everywhere
The Ecommerce of the future requires product information that is always in the right formats, always up to date, and it needs to come from a single source of truth, like a PIM (Product Information Management) system. This is key to delivering true omni-channel customer experiences. A PIM system gives you the technology needed to enrich your products, reduce your products' time-to-market and structure your workflows for much needed scaleability.
Calculate your PIM ROI
If you are wondering if your business needs a PIM system, then you can download our ROI calculator and see if PIM is a profitable business case. Download here.
Want to learn more?
With Dynamicweb Ecommerce, you can face all these challenges and succeed in the future of Ecommerce.
Do you want to schedule an appointment? Feel free to reach out to me at email@example.com.
Brede Bjerke, VP Sales, Dynamicweb