Shopper behavior has transformed completely over the past couple of years, owing to the explosion of e-Commerce. Where shopping in a retail store was once the most common way to shop, online shopping is rapidly becoming the favorable shopping mode for people worldwide.
According to a survey published on Information and Communication Technology in 2017, 68% of internet users in the EU shopped online. Moreover, according to The Future of Retail Report 2018 published By Walker Sands Communications, 46% of consumers prefer online shopping.
In this article, we explore the future of e-commerce and its impact on shopper behavior.
1. Increasing Use of Video
Video is expected to play a huge role in the future of e-commerce. Research reveals that 60% of shoppers prefer to see a product video rather than read a product description while shopping. Moreover, 64% of shoppers purchase an item after viewing a video.
Such changes in shopper behaviors can be attributed to the evolution of social media platforms such as Snapchat, Instagram, and Facebook that prioritize video content. However, it could also be due to the huge number of successful YouTube channels that focus on reviewing, critiquing, and unboxing new products.
When we look at these factors in combination, it’s clear why shoppers are becoming more attuned to watching videos during their shopping journey.
2. Machine Learning will Create a Personalized Shopping Experience
In the e-commerce industry, consumers want a highly personalized experience. As per Accenture, 91% of individuals will shop with brands that they recognize, recall, and offer relevant product recommendations and offers. As a matter of fact, a BloomReach survey revealed that 87% of shoppers stated that they would buy more when online stores customize the experience.
Instead of analyzing consumer information manually, data analysts use machine learning and AI to collect and develop consumer profiles. They use AI-generated insights and profiles to deliver relevant content and personalized recommendations.
Even though AI takes care of a lot of the analyzing process, market researchers apply their own understanding and insights of shopper behavior to offer recommendations and lead the ongoing optimization of e-commerce.
3. Online Shopping Will Go Mobile
The rapidly growing use of smartphones has largely influenced the retail industry. According to Forrester, smartphones will make up $175.4 billion in retail sales by the year 2022. Shoppers can use mobile e-commerce to shop from anywhere! But how will this e-commerce trend impact shopper behavior?
Well, shoppers who are smartphone users want the added convenience along with the ability to pay digitally. In 2019, Statista predicted that towards the end of 2021, more than 70% of e-commerce sales would happen on a mobile device.
The Vice President of Marketing at Northern Commerce, Corbin Dubeau, is one of the many who believe that enhanced quality and integrated mobile payments will be a harbinger of change in shopper behavior.
E-commerce allows consumers to get access to information, the ability to shop on various devices, and the opportunity to share their experiences with others. This has completely changed their expectations and behavior. Shopper behavior will continue to change with new technology and e-commerce trends. Brands and marketers need to match the shifts in consumer behavior with shifts in messaging, marketing, and analytics.