Contact us anytime to know more — Kuldeep K., Founder & CEO CISIN
Below, we discuss some of the top eCommerce trends 2023 - such as voice commerce, AI technology and automated delivery - so you can stay abreast of what's trending! Check back often as more updates become available below!
What Does eCommerce Technology Entail?
eCommerce technology refers to a suite of programs, platforms and tools online businesses use for conducting operations over the Internet.
Technology provides businesses and customers a seamless online shopping user journeys from product discovery through checkout, offering an enjoyable shopping experience.
Want More Information About Our Services? Talk to Our Consultants!
Hot eCommerce Tech Trends For 2023
Critical trends in eCommerce are rapidly revolutionizing its industry insights and shaping its rapid development Ecommerce projects.
eCommerce trends reflect consumers' and business users' ever-evolving needs and expectations, changing how online transactions are managed, optimized, and conducted.
We will discuss some of these trends and successful implementation examples within the eCommerce services sector.
1. Artificial Intelligence And Machine Learning:
Artificial Intelligence and Machine Learning technologies are revolutionizing e-commerce by offering cutting-edge technologies and automation capabilities.
AI is creating computer systems capable of carrying out tasks requiring intelligence. To create such machines, AI involves developing algorithms and business models to give computers reasoning ability.
They must learn through experience while making decisions similar to humans - this process is known as AIML or Machine Learning AI, which seeks to enable computers to improve themselves automatically through data gathering without programming required. ML falls under AI and attempts to enable machines to learn by themselves without human input.
AI and Machine Learning technologies have revolutionized e-commerce in many ways. Examples include:
- Intelligent Virtual Assistants Or Chatbots: AI-enhanced IVAs deliver immediate customer service by answering queries and aiding purchasing decisions. Virtual assistants utilizing Natural Language Processing and Machine Learning algorithms can understand each customer's needs to make personalized recommendations that suit each person.
- AI-Powered Personalisation: AI algorithms and machine learning analyze customer data to deliver personalized recommendations for products, targeted marketing campaigns and experiences tailored specifically for each of them. Such personalisation leads to increased customer engagement, which in turn drives conversions.
- Optimisation Of The Supply Chain: AI, machine learning and supply chain analytics help businesses optimize supply chains by assessing information regarding demand patterns, inventory levels and routes. By streamlining operations and cutting costs while guaranteeing on-time delivery.
- Dynamic Pricing And Price Optimisation: AI algorithms analyze market trends, competitor prices and customer behavior to develop dynamic pricing systems that adapt prices in response to real-time factors like demand, segmentation and availability.
- Fraud Prevention And Detection: Machine learning algorithms analyze transactional data to detect fraudulent activity patterns. It helps businesses in the eCommerce sector detect and stop fraudulent transactions. This protects both customers and businesses.
Ventura Foods chatbot offers excellent customer service, answering all questions regarding Ventura Foods products.
These AI and ML applications in eCommerce show their power to transform customer experiences and drive business growth.
AI and ML can further revolutionize eCommerce as technology advances.
2. Virtual Reality and Augmented Reality
Augmented and Virtual Reality have emerged as crucial e-commerce trends. Their immersive environments facilitate customer interactions with product presentation and facilitate purchasing decisions.
Technology allows customers to have an immersive and realistic shopping experience online and offline. Augmented reality (AR) lets customers see products within their environment by superimposing digital information onto real life while virtual reality (VR) immerses users completely into an imaginary virtual experience.
AR and VR technology can boost eCommerce in various ways:
- Virtual Try-Ons: VR allows customers to try apparel, cosmetics and accessories. Customers can view how products will look by overlaying the digital images of the product onto live camera footage or uploaded pictures. The feature increases customer satisfaction and reduces returns.
- Virtual showrooms: VR creates immersive virtual environments that allow customers to explore products and interact interactively. Virtual showrooms simulate the real shopping experience, giving customers a feeling of presence while allowing them to examine items from various angles.
- Interactive Product Visualization: VR and AR allow customers to see products in the environment they intend. Furniture retailers, for example, can superimpose virtual pieces of furniture onto actual spaces to allow customers to visualize how they would complement and fit their decor.
- Virtual Experiences And Events: VR and AR technologies create interactive experiences, virtual product launches and trade shows. Virtual events allow businesses to engage with a larger audience and provide unique opportunities for engagement.
- Sephora is a cosmetics store that uses AR to provide virtual experiences of makeup products.
3. Progressive Web Apps And Mobile Commerce (PWAs)
M-commerce (mobile commerce), commonly referred to as mobile commerce, refers to purchasing and selling goods and services using devices like tablets and smartphones.
M-commerce has emerged as an emerging form of e-commerce thanks to mobile phones being such convenient shopping tools.
Businesses are adopting Progressive Web Apps (PWAs) to address mobile user demand; web applications that emulate an app-like experience for mobile phones with native app performance while being flexible enough for responsive and seamless use cases like PWAs are essential components.
Progressive Web Apps can be an effective means of improving mobile commerce.
- Cross-Platform Compatibility: The PWA uses web technologies like JavaScript, CSS, and HTML. This makes it compatible with various devices and operating systems. The PWAs work on Android and iOS, which allows business goals to reach more customers and lower development costs.
- Offline Functionality: PWAs can function offline and in environments with low connectivity. PWAs cache content and data, which allows users to interact and access the app without an internet connection.
- High-Performance And Fast Performance: The PWAs have been designed for quick loading and a smooth user experience. These PWAs are usually faster than mobile sites and some native applications, leading to a higher engagement level from users and a lower bounce rate.
- Experience Similar To An Application: The PWAs provide a user-friendly extensive experience comparable to an app without needing to install and download a separate app from an app store. PWAs can be accessed directly from a browser.
- Reduced Development And Maintenance Cost: The time and money required to develop and maintain separate native applications for each platform can be expensive. PWAs allow businesses to leverage existing web development skills and resources to build a compatible single app across all platforms.
- Shareability and Discoverability: PWAs can appear on search engine results, driving traffic to their app. PWAs are also easily shared through URLs. This allows users to share links to products or direct others to an app.
- Starbucks has developed an app called Starbucks Rewards, which allows users to pay and order their beverages in advance.
4. Voice Commerce
Voice Commerce (or V-commerce), also called V-commerce, is an e-commerce trend that uses mobile phones and voice assistants to enable customers to purchase items using only voice-enabled purchases.
Voice Commerce has grown increasingly popular since the introduction of digital experience assistants such as Amazon Alexa and Apple Siri; Google Assistant, Microsoft Cortana and Siri are also becoming mainstream, revolutionizing consumer interactions and shopping online.
Voice commerce's rise can be attributed to its convenience as a practical and superior user experience for shoppers.
Voice commands allow for seamless and intuitive interactions on various online platforms, and voice commerce enables purchases and other tasks without using hands - something that makes eCommerce accessible and inclusive, especially for people with disabilities or difficulty using traditional interfaces.
5. Live-Stream Commerce
Live-streamed eCommerce has quickly become one of the hottest trends. Businesses leverage live streams as platforms to sell and show off products in real time - providing both entertainment and social interaction.
They create an enjoyable shopping experience for viewers who can observe products being used, their functionality, and quality and compare static images of similar ones side-by-side.
Real-time product demos boost customer trust in products, leading to more excellent conversion funnels and satisfaction rates.
Live streaming enables customers to actively interact with this experience by asking clarification questions, posting queries and receiving immediate replies, similar to custom E-store assistance. This experience adds personalisation that heightens overall shopping experiences.
Live-stream commerce has gained so much traction due to its exclusiveness and limited-time promotions. It creates an environment that encourages impulse buying as viewers know that any delay could mean missing an opportunity they shouldn't.
Businesses offer special discounts or bundle offers during live-streaming sessions to create urgency among viewers, creating an environment that encourages impulse purchasing, inciting viewers into action immediately, knowing they may miss their chance otherwise.
6. Pay & Collect Multiple Options
eCommerce provides unparalleled convenience and flexibility thanks to a selection of payment and collection methods, giving customers even more excellent online shopping popular choices and freedom.
Popular payment methods in eCommerce include:
- Debit And Credit Cards: The most popular payment method is still Visa, Mastercard or American Express.
- Direct Bank Transfers: Many customers prefer direct bank transfers. Customers must authorize the bank transfer to the merchant account.
- Electronic Wallets: Services like PayPal, Apple Pay or Google Pay allow customers to store payment details securely and quickly make online purchases.
- Bitcoins: As cryptocurrencies such as Bitcoin, Ethereum, and Litecoin have grown in popularity, eCommerce platforms accept digital currencies for payment. The benefits of cryptocurrency transactions include decentralization and security.
- Buy Now, Pay Later (BNPL): With BNPL, customers can split the purchase price into smaller installments. This makes it easier to afford more significant purchases.
- Virtual Gift Cards: and prepaid cards are convenient ways for online shoppers to purchase products without using their credit cards. The cards have a pre-loaded amount that can be used to make purchases until depleted.
- Google Pay: allows users to add payment cards and make payments using their smartwatches or smartphones at NFC terminals.
Establishing multiple collection options is as vital to customer service as providing payment methods. Home delivery remains one of the most convenient solutions, particularly among larger purchases or those preferring convenience.
Pickup In-Store: allows customers to pick up their purchases at a time that suits them. This reduces delivery waiting times.
Locker Pickup: Services have gained popularity as they provide a secure and convenient way to collect packages.
7. Enterprise Resource Planning (ERP),
Enterprise Resource Planning solutions (ERPs) are software platforms that conveniently integrate various functions and business process, streamlining business operations while improving efficiency and increasing business performance.
ERP is an indispensable asset when running High-Performance E-stores - helping streamline operations while increasing efficiencies for more significant performance gains.
SAP, Oracle Dynamics 365, Microsoft Dynamics 365 and NetSuite are some of the more widely utilized ERPs.
Here are the key advantages to adopting ERP in eCommerce:
- Centralized Data Management: ERP Systems provides a central database that consolidates information from different departments, functions and systems, including inventory management, order processing, Customer Relationship Management and Financials. The centralized system ensures data accuracy, eliminates double data entry and provides real-time information.
- Inventory Management That Is Efficient: Software solutions for ERP enable companies to automate design services process like stock monitoring, order fulfillment and forecasting demand. Businesses can reduce stockouts and carry costs using accurate inventory data and real-time insight.
- Order Processing Streamlined: The ERP system streamlines the order processing process, from placing orders to delivering them. The order can be processed efficiently, followed and filled, which ensures timely delivery and improves customer segmentation.
- Customer Relationship Management Integrated: ERP solutions can integrate CRM capabilities to help businesses manage customer in search interactions, track leads, and personalize customer experience. This marketing integration allows businesses to build stronger customer relationships and increase customer loyalty.
- Reporting and Financial Management: The ERP system includes robust financial management modules that manage accounts payable, receivables, billing and financial reporting. Using this integration services, you can ensure accurate data and make informed decisions.
- Growth and Scalability: ERP systems are built to grow with eCommerce companies. These custom solutions can be scaled to support increasing volumes of transactions, product catalog expansions, and multi-channel digital marketing strategies.
8. Technologies For Warehouse And Delivery Automation
Warehouse and delivery automation technology has revolutionized the eCommerce solutions industry, streamlining logistics, cutting costs and improving overall efficiency.
Automated robots work alongside advanced data analysis techniques to enhance order fulfillment, inventory control and last-mile delivery development services for optimal order fulfillment, management and last-mile deliveries.
Here are a few examples of modern warehouse automation and delivery technologies.
Internet of Things refers to an interconnected system of physical devices equipped with software, sensors and connectivity that enables them to exchange or collect data.
IoT devices such as smart shelves, sensors and robots from Amazon help improve warehouse automation and delivery systems by streamlining operations while increasing efficiency.
Amazon uses such IoT solutions as tracking sensors on shipment containers and improving their picking/packaging process with these IoT solutions.
All devices connected remain connected in real-time communication, sharing real-time insights to assist decision-making and improve results.
9. Intelligence Automation:
Intelligent Automation integrates robotic process automation and artificial intelligence to automate repetitive, rule-based work.
AI/ML algorithms allow systems to adapt, learn and make autonomous decisions - providing automated work.
Ocado, an online grocery retailer based out of the UK, employs intelligent automation technology in their automated warehouses to run efficiently.
Robots powered by AI navigate warehouses, select products for order preparation and receive feedback to optimize picking routes over time. Ocado's warehouse robots work tirelessly in this regard!
Cobots: Cobots are collaborative robots designed to work alongside humans.
Sensors and safety features enable robots to coexist safely with humans in manufacturing facilities. BMW has employed robots as part of its production line to increase productivity and efficiency without harming workers or humans.
Cobots assist human workers by performing physically or repetitively demanding tasks while being fitted with advanced safety features, allowing them to work nearby without harm.
Self-Driving Delivery Vehicles: An autonomous delivery vehicle (ADV) is a self-driving vehicle for transporting goods.
These robots may take various forms, such as drones, ground robots, vehicles, boats or ships that use technologies like computer vision, GPS and sensors for operations and navigation without human interaction.
Waymo, part of Alphabet Inc - Google's parent company - develops autonomous vehicles tailored explicitly for last-mile deliveries and has established itself as one of the industry leaders.
Waymo uses advanced AI and sensors in its autonomous vehicles to navigate safely, deliver packages safely, optimize routes efficiently, reduce delivery costs and enhance efficiency.
Waymo's autonomous vehicles transport goods without using drivers as transportation.
Automated Returns Management Systems: Automation of the return process is possible using automated systems.
Optoro's automated popular platform specializes in returns management using technologies like barcode scanning and AI algorithms for inventory tracking and returns processing while giving real-time information regarding return statuses.
AI algorithms enable this automated system to determine the optimal disposition for returned items - restocked, resold, refurbished or liquidated.
Automating these decisions and minimizing costs and time associated with returning optimizes recoveries while minimizing recovery efforts.
10. Security Technology For eCommerce
The eCommerce Security Technology includes various tools, protocols and practices designed to protect online businesses from malicious activity.
These technologies are essential for maintaining consumer trust, protecting sensitive data and ensuring transactions.
Businesses should implement the following new eCommerce technologies to increase security:
- Authentication biometric: Authentication biometrics involves using unique biological features, such as fingerprints and facial recognition. This is an easy and secure authentication method since these features are hard to fake or duplicate.
- Bitcoin: The blockchain is a distributed and decentralized ledger that allows safe, transparent and secure transactions. The technology ensures data integrity and immutability by creating blocks containing a series of transactions. Blockchain can be applied to eCommerce to streamline and secure transactions, confirm the authenticity of goods, and improve supply chain transparency.
- Security solutions in the cloud: The Cloud offers scalable and cost-effective security options for eCommerce companies. Cloud-based services include web application firewalls, distributed denial of service (DDoS), threat intelligence and encryption.
- Machine Learning and Artificial Intelligence: AI technologies and Machine Learning are used to improve eCommerce security by detecting patterns, anomalies, and threats. These technologies can analyze vast volumes of data in real time and identify fraud activities. They can also provide proactive security measures.
- Tokenization: Tokenization replaces sensitive information, like credit card numbers, with tokens. The tokens used instead of sensitive information are then sent to the recipient for payment, reducing risk. The original data cannot be retrieved even if the tokens are intercepted.\
11. Green And Sustainable Technologies
Green commerce has grown tremendously over recent years as consumers increasingly emphasize sustainability despite uncertain economic times.
Over half of consumers have demonstrated increased interest in sustainability. Patagonia and EarthHero have emerged as two prominent eco-conscious online retailers; Grove Collaborative, Allbirds, Patagonia and EarthHero all lead in eco-friendliness.
Patagonia leads responsibly. EarthHero offers zero-waste products; Grove Collaborative sells non-toxic household essentials in eco-friendly packaging; and Allbirds offers eco-friendly shoes.
Brands will take steps shortly to promote greener practices.
- Offer products that are made with more sustainable materials
- Renewable energy is the future
- Giving users options for shipping that are sustainable, such as shipping everything together in one box
- Investing in environmentally-friendly packaging materials
- Promoting the sale of used items on their website and making recycling simple
By adopting such sustainable initiatives, eCommerce businesses may appeal to environmentally-conscious consumers while positioning themselves as responsible and forward-thinking brands.
How To Pick The Best Ecommerce Technology Trends For Your Business
Your target niche and target audience should always come first when deciding eCommerce trends. While numerous technologies may enhance your operations, their relevance depends on your type of business.
Discover some of the key trends in eCommerce and their potential benefits across industries.
1. Artificial Intelligence and Machine Learning
- Retail: AI, ML and chatbots can be used for personalizing product recommendations, optimizing pricing strategies, and improving customer service via virtual assistants.
- Logistic: Algorithms based on AI and machine learning can be used to optimize logistics operations, such as inventory management and demand forecasting.
- Health: AI chatbots are available to assist patients with scheduling appointments and answering questions. ML algorithms analyze data and make treatment recommendations.
2. Virtual Reality (VR), Augmented Reality, and both
- Apparel and Fashion: VR and AR can create virtual fitting rooms, allowing customers to try clothing before purchasing.
- Furniture and Home Decor: AR allows customers to visualize the furniture in their home before purchasing it, improving online shopping.
- Tourism and Travel: Virtual Reality can provide virtual tours, allowing travelers to make better decisions.
3. Voice Commerce
- Consumer electronics: With smart home products, voice assistants are integrated. Customers can make purchases and control their electronic devices using spoken commands.
- Grocery Delivery and Food Ordering: Voice Commerce can make it easier for customers to add items to their shopping lists or place food orders.
4. Mobile Commerce
- Food & Beverage: Apps for mobile devices can help you order and receive food quickly and conveniently, meeting the demand of on-the-go diners.
- Beauty and Fashion: Mobile commerce allows users to shop and browse products from their smartphones, providing a personalized and seamless shopping online experience.
5. Live Stream Commerce
- Different industries: Interactive engagement and collaborations with influencers.
Data-Driven Technologies for E-Commerce
Shopify
Businesses can quickly build online shops using this Canadian platform founded in 2004: Shopify. Established by Canadian entrepreneurs in 2004, Shopify services allows businesses to organize products, customize storefronts, accept payments by credit cards and track orders easily - not forgetting its Analytics service, which keeps up with evolving e-commerce and technology trends and app development technologies, offering business owners tools to analyze transactions of their online stores while reviewing recent store activity as well as collecting comprehensive visitor data.
Amazon
Amazon is known in wide range as one of the world's premier e-commerce sites, often leading the industry in adopting innovative branding solutions and adopting them early to benefit both their platform and customers.
Amazon Analytics provides an effective means of using data in e-commerce development environments - such as Amazon itself! Features such as "customers who purchased this item also bought..." provide targeted search results to users searching for specific items.
Magento
Magento is an open-source e-commerce platform distinguished by its reliability and scalability, designed for businesses to adapt quickly to consumer expectations buying behaviors as they change over time.
As consumers' buying habits continue evolving rapidly, Magento strives to help companies adjust with them through an expansive network of technology partners and advanced solution like Business Intelligence that enable companies to analyze essential products, customers and promotions offered so that new opportunities may emerge.
RetailNext
RetailNext's technology is driven by retailers' need to gain actionable insight into consumer trends interests and behaviors.
These tools include video analytics, data from point-of-sale systems, sensors on shelves and beacons providing actionable insight. RetailNext connects to various digital strategy and physical sources surrounding their customers' stores, allowing accurate time analysis and visualization for an instant, unified view.
Roundforest
Roundforest provides one of the premier ecommerce tools on the market today. Based out of Tel Aviv, Roundforest empowers its customers by simplifying research and making shopping more informed.
Roundforest's tools for e-commerce are highly effective and well-developed - giving anyone looking for reliable data a substantial benefit from them. It has over 40,000,000 monthly users across content major platforms for large publishers and shopping assistance sites; it converts potential customers to paying customers quickly and cost-effectively using advanced machine learning technologies.
Metrilo
Metrilo offers an expansive range of services, such as e-commerce analytics. Based in Bulgaria with offices in San Francisco, Metrilo provides CRM, automated email integration marketing and analytics that specialize in e-commerce environments - another competitor for an all-encompassing data analysis platform in an e-commerce environment.
A growing trend shows more businesses providing comprehensive data analysis tools.
Select
Celect, a cloud platform designed to assist retailers, enables them to understand customer preferences and purchase trends more thoroughly while automatically adapting inventory levels according to demand and utilizing machine learning and predictive analytics techniques for optimisation during planning and allocation processes.
Accurate demand predictions enable businesses to improve product selections while making more intelligent decisions regarding store allocation, online orders or merchandise purchases.
Clicky
Clicky, Roxr Software in Portland, Oregon's real-time analytics solution for small to midsize e-commerce businesses is a practical choice.
Since 2010, Clicky's development team has continuously enhanced Clicky's capabilities.
Webtrends
Webtrends has long been considered the go-to e-commerce analytics software and boasts offices worldwide - including Portland.
Webtrends provides businesses and startups with limited budgets with an effective solution that has stood the test of time.
Woopra
Woopra used to be a strictly analytical tool, but it has now repositioned itself as a dedicated consumer analytics platform.
It is now ideal for data analysis in e-commerce. The San Francisco-based company excels in tools for aggregating customer and site visitor data.
Want More Information About Our Services? Talk to Our Consultants!
Conclusion
Partnering with us will enable you to take advantage of the expertise and experience of our team to strengthen your online presence, drive growth and expand into new markets online.
Our development experts will assist your development company through all aspects of eCommerce technology trends to help it adopt effective strategies suited for its needs - whether a startup Ecommerce business or large enterprises alike! We aim to give them all they need to thrive digitally!
