eCommerce industry developments to keep an eye on!

With a new year comes new eCommerce industry trends! The world of online retail continues to grow in new directions, with technological advancements, shifting customer preferences and new brands increasing the competition.

Being the eCommerce fans that we are, the pandas couldn't resist exploring the trends and developments expected to shape the industry this year. We thought we would share a few of our highlights.

The in-store experience at home - will it ever live up to expectations?

Though we continue to see growth in online retail, customers still appreciate the in-store experience. Nostalgia is a strong emotion - people remember the times of shopping with friends, trying on outfits and making an 'event' out of a shopping trip.

Can eCommerce offer any replication of this experience? It seems to be heading that way and it is no longer limited to a two-dimensional screen. Augmented Reality (AR) and Virtual Reality (VR) are revolutionising the online shopping experience. Customers can virtually try on clothing, visualise furniture in their homes, or even test out beauty products before making a purchase.

Customers are starting to expect these services as part of the shopping journey. Inflation and cost of living play heavily on their minds, so they need to be sure they are making the right purchases. 

Social commerce evolves

The social media powerhouse TikTok introduced the TikTok shop in 2023. It is still early days, so this year we can expect to see brands taking a trial-and-error approach to pleasing customers on social platforms. We can probably expect more influencer partnerships too. A brand can reach out to relevant users with a large following, who in turn will promote the products and send their followers right to the social shop.

Customers are also turning to social platforms for customer service assistance. Believing they can receive a more direct response and resolution, brands should ensure that social media communications are just as strong as the traditional customer service helplines. HubSpot's consumer trends report showed a 45% year-over-year increase in social media users who have sent DM's to get customer service. It shows a simple truth: the quicker the answer, the quicker a customer will engage and purchase. 

What is V-commerce? 

Voice-activated virtual assistants like Amazon's Alexa and Google Assistant are making their mark on eCommerce. V-commerce is simplifying the purchasing process, allowing users to shop hands-free by simply using voice commands. As voice recognition technology continues to improve, this trend is expected to gain even more traction.

Brands should therefore prioritise personalisation techniques by using data to explore how customers are searching for products using this technology. Furthermore, the accessibility for visually impaired customers means brands can open up their offerings to so many more people. 

Finding new ways to offer value

As we mentioned, inflation in 2024 means that customers will seek value wherever they can get it. A report by Retail Week showed that 74% of shoppers expect retailers to lower their prices to reflect any increase in inflation in 2024. 

Price-conscious shoppers will change the way brands offer value, even when they have to keep their prices competitive. An example is subscription services, like Hello Fresh, offering a freebie with every delivery. Partnerships are another great way for brands to collaborate and attract customers. Finally, sometimes all it takes is personal and stand-out customer service for consumers to realise they are getting great value.

The fondness for sustainability will continue

Customers continue to be more conscious about the environment and this is becoming a huge aspect of their shopping habits. As a result, eCommerce businesses are responding by adopting environmentally friendly practices in their supply chains, packaging, and overall operations. This in turn is supercharging trends like 'pre-loved' items 

It's not just customers. In the competitive world of eCommerce recruitment, potential employees also want to see companies doing their bit to help the environment. According to an employee engagement study by Cone Communications, 51% of employees indicated they would not work for a company that doesn’t have strong policies addressing social or environmental sustainability issues. So, it's not just about attracting customers, but also securing the best talent. 

What does 2024 look like for you?

Is it time to find new talent to keep up with these trends? Our eCommerce recruitment team is ready to help! If a new job is one of your resolutions, explore the latest eCommerce jobs.