The Future of E-commerce Business. E-commerce Trends to Watch Out For
Welcome to the world of online shopping, where a simple click is enough to place an order without leaving the app of your choice. In 2025, the e-commerce sector will be booming, especially with the rise of social commerce.
Research shows e-commerce sales will continue growing to reach 31% of all retail transactions by 2026. While brick-and-mortar stores aren't fading into obscurity anytime soon, customers are increasingly opting for online shopping. Why? Mainly because of the convenience and accessibility, but also because of the opportunity to compare offers and learn more about the brand before making a purchase.
E-commerce trends change fast, often following tech and social media advancements. As an online store owner, keeping your finger on the pulse and carefully following the industry news is crucial. Adapting your offerings, refining the line of communication, and optimizing your marketing efforts are key factors to remain competitive. To succeed in this industry, you need to stay relevant. Here is our review of the most important e-commerce trends to watch out for!
Why do E-commerce Business Trends Matter?
Staying abreast of e-commerce trends is essential for several reasons. Firstly, it enables you to keep in tune with your customers' needs and preferences, whether it comes to your offer or the functionalities of your e-commerce store. For example, a customer who is used to having delayed payment options or free delivery will likely go over to your competitors if your online business does not offer the same functionalities. Therefore, keeping up with trends ultimately contributes to the overall customer experience. On-trend content, products, and features enable you to reengage the existing customer base, contributing to customer loyalty and increasing the likelihood of attracting new ones.
Latest E-commerce Trends
Augmented and Virtual Reality
Augmented Reality and Virtual Reality are taking over the e-commerce world, potentially revolutionizing how customers interact with products online. One of the greatest hurdles for e-commerce business owners is compensating for the absence of physical interaction. Unlike traditional retail, customers cannot try on or directly experience products before purchasing. However, augmented and virtual reality technologies could bridge this gap.
Many of us got our first taste of augmented reality through social media filters without necessarily putting much thought into it. Yet, the technology offers much more! Some e-commerce websites provide the possibility to virtually try on glasses, test how different lipstick shades match a user's skin tone, or visualize how a new sofa might fit in their living room. Polls underscore the impact of these technologies, with 35% of consumers indicating they would shop online more if they could virtually try products beforehand and 22% saying they'd be less inclined to visit physical stores if augmented reality options were available at their preferred online retailers.
Beyond convenience, augmented and virtual reality provide invaluable benefits for those who find it challenging to visit physical stores — for example, parents of young children, people with disabilities, those living in rural areas, or working unconventional hours. As you can see, it is a great tool to cater to a wider audience and increase the accessibility of your offer. Augmented and virtual reality enhance the overall shopping experience, offering 24/7 availability.
Social commerce
Currently, 4.59 billion people, 57% of the worldwide population, use social media. The projections indicate that social commerce revenues should reach a staggering $80 billion in the United States alone by 2025 and up to $2.9 trillion globally by 2026.
Social media platforms can be used as effective sales channels, helping you expand the reach of your marketing efforts. Use social media as your business card and a tool to establish your brand's online identity. High-quality product photography, engaging video content, a consistent tone of communication, storytelling, and sharing the backstage of your work all contribute to brand awareness and enable you to engage with your customers regularly, fostering long-term loyalty and repetitive purchases.
Major social media platforms offer shopping features, allowing users to go through the whole purchase process without quitting the app. From the product discovery, adding it to the cart, to completing the checkout. Social media stores can be connected directly to e-commerce platforms like Shopify or created independently. This is a practical solution, especially for small business owners on a limited budget who do not have a website. Meta has been offering shopping features for a few years now. TikTok joined the trend in 2023 and was expected to reach a whopping 33.3 million US social commerce buyers by the end of the year. Social media platforms are also highly effective for advertising, which works best paired with their native store solutions.
Livestream shopping
Livestream shopping has revolutionized the way social media users interact with brands. It merges live entertainment with shopping features. In this format, hosts, brand ambassadors, or influencers broadcast live video streams showcasing products in real time to an online audience. Viewers can engage with the host, ask questions, see the product in use, and purchase directly within the platform. This interactive approach replaces in-person shopping assistance that takes place in traditional retail. Customers can get a closer look at products, ask for demonstrations, and receive instant personalized feedback, replicating the in-store shopping experience from the comfort of their homes. Additionally, live-streaming shopping often features limited-time promotions, exclusive deals, and entertaining content, creating a sense of urgency and excitement that encourages impulse purchases. Live shopping has become increasingly popular, offering brands a dynamic way to engage with their audience and drive sales in real time, leveraging the power of conversational marketing.
Video content
From social media platforms to e-commerce websites, video content has become integral to online marketing strategies. Its appeal lies in the ability to convey complex messages quickly and effectively while capturing the audience's attention in a visually compelling manner. With the rising popularity of short-form video platforms like TikTok and Instagram Reels and the proliferation of live-streaming and video-on-demand services, consumers are increasingly turning to video for entertainment, education, and product discovery. Brands are leveraging this trend by creating engaging video content that tells stories, showcases products, and connects with their target audience on a more personal level. High-quality, on-trend video content also increases brand awareness, engagement, and conversions.
Shoppable Videos
These interactive videos allow viewers to engage with products directly within the content, clicking on items of interest to learn more or purchase directly. By integrating clickable links or tags into the video, brands can turn passive viewers into active shoppers, driving conversions and boosting sales. Shoppable videos capitalize on video content's visual appeal and storytelling potential while offering a convenient and frictionless shopping experience.
Artificial Intelligence
The use of artificial intelligence in various e-commerce activities is the one trend that truly stands out as a game-changer. With its ability to analyze vast amounts of data, predict customer behavior, and automate various processes, AI is revolutionizing how businesses operate online. From enhancing the shopping experience to streamlining customer service and optimizing marketing strategies, AI-powered solutions offer unprecedented opportunities for growth and innovation. AI is truly reshaping the future of e-commerce and empowering businesses to scale and thrive in an increasingly competitive market.
Personalized Shopping Experience
AI has become instrumental in tailoring online shopping experiences to customers' preferences and behaviors. AI algorithms can generate highly accurate predictions about customer preferences by collecting and analyzing customer data, including past purchases, browsing history, demographics, and even social media activity. This enables e-commerce platforms to offer smart, personalized product recommendations, customized marketing messages, and targeted promotions, fostering customer engagement and driving sales. AI continuously refines its recommendations using machine learning techniques based on real-time feedback. That contributes to increased customer satisfaction, loyalty, and higher sales for an e-commerce business.
Chatbots
Chatbots are another prominent example of the application of AI in e-commerce to streamline customer service and support functions. Chatbots leverage natural language processing (NLP) and machine learning algorithms to interact with users in real-time, addressing inquiries, providing product information and suggestions, assisting with purchases, and resolving simple issues — all without human intervention. Chatbots enhance the overall shopping experience, reduce response times, and alleviate the burden on customer support teams by offering immediate and round-the-clock assistance in multiple languages. Moreover, chatbots can gather valuable insights from customer interactions, enabling e-commerce businesses to identify common pain points, improve service quality, and optimize operations.
Marketing Automation
The rapid growth of the e-commerce sector goes hand in hand with the development of marketing automation. Current data reveals that 49% of companies have already integrated marketing automation, with 55% of B2B firms embracing automated technologies. From supply chain management and inventory management systems to email and SMS marketing, social media scheduling, customer service automatic responses, dynamic retargeting campaigns, and logistics, automation permeates every facet of e-commerce. The future of e-commerce lies in the seamless integration of automated technologies. These systems optimize processes and budgets, reduce the number of human errors, and also increase the quality and responsiveness of customer service while facilitating scalability without the need for additional human resources.
However, remember that while automation can enhance efficiency, it cannot compensate for the quality of marketing efforts. It is a complementary tool rather than a standalone solution, working best when integrated into a well-thought-out and optimized marketing strategy.
Product Photography Automation
The importance of product photography in online shopping cannot be overstated. Besides being a principal element of your online brand identity, it significantly impacts conversion rates. It contributes to customer satisfaction, the number of returns, and the overall perception of your e-commerce store. Also, customers associate professional product photos with good quality. Automated product photography solutions can help you simplify and streamline your in-house content creation process.
Orbitvu offers a wide range of solutions for e-commerce stores. Whether you are shooting flatlays, looking for automated and customizable studios for shooting bigger objects or live models, or need a device for microphotography, we have what you need!
Our meticulously crafted devices, enhanced with performing software, make capturing high-quality, consistent, and repeatable shots in-house possible even by non-professionals with minimal training. The software enables you to save the settings of your perfect shot and then apply them to similar products. It also supports automatic background removal and batch processing, including cropping, scaling, alignment, and direct uploading to your e-commerce. Orbitvu significantly shortens the time between the moment the photo is taken and its publication on the e-commerce platform of your choice.
Mobile Commerce
Mobile commerce is undeniably on the rise. Its popularity has been soaring in recent years. According to eMarketer reports, global revenue from mobile commerce is projected to surpass $710 billion worldwide by 2025. With almost half of online shoppers now using mobile devices to check and compare prices, it is even more important for your website to be mobile-friendly. In the United States alone, over 187 million people will shop via mobile phones in 2024.
Ensuring that your website is optimized for desktop and mobile devices is critical. Many e-commerce brands go the extra mile and develop dedicated mobile apps for shoppers. Also, pay attention to UX design - from functional menus to legible text and an intuitive interface. Test the checkout process on mobile devices to guarantee a smooth customer experience. Even the tiniest lag or inconvenience can discourage the user and cost you a sale.
Moreover, remember to verify that content such as newsletters is easily readable, navigable, and clickable on both desktop and mobile versions.
Voice commerce
Smart speakers and voice assistants, such as Google Home, Alexa, Siri, and Bixby, have become a part of many American households. Natural speech is more intuitive than typing, so voice searches are formulated differently than text queries. Voice search eliminates problems due to typos or spelling errors. This accessibility greatly benefits non-tech-savvy people, those with physical disabilities or impaired vision, and older adults, making it a versatile tool for a broad demographic.
More and more individuals are using voice search to find information and shop for products - which is great news for e-commerce business owners. According to a Q1 2023 Pulse survey, 25% of respondents indicated plans to use voice search, marking a 3% increase from the previous year. Narvar's insights reveal that 51% of online shoppers utilize voice search to research items, and 36% add products to their shopping lists using voice commands.
E-commerce businesses looking to integrate voice search should focus on local SEO. To effectively capture the user base, it is important to structure product descriptions to respond to questions that naturally appear in voice inquiries: "Who? What? Where? Why? When? How?". Loup Venture predicts that over 75% of American households will own a smart speaker by 2025. Consider incorporating voice search into your e-commerce strategies now so you do not miss out on this trend!
Alternative Payment Methods
Offering multiple payment options has become imperative for e-commerce businesses. Customer preferences and habits around payment methods significantly influence their purchase decisions. A potential customer discovering your store might feel discouraged and abandon their cart if their preferred payment method is unavailable. Therefore, offering various payment options can give you an edge over competitors.
Furthermore, integrating delayed payment options or installment plans can cater to those who prefer more flexibility in managing their finances or would simply not be able to benefit from your current offer otherwise! Prominently display icons for different payment methods on the main page to enhance customer trust and convenience. Allow customers to save their payment preferences for faster checkout in future transactions. The most common reasons for cart abandonment are the lack of transparency, limited payment options, and a complicated checkout process. As we all know - better prevent than cure!
Moreover, watch the industry news and regularly update your payment methods, including currently popular Klarna, Afterpay, Apple Pay, and others! Remember that extra options come with additional fees, so offer the most popular to satisfy your customers and keep up with the competitors without overstretching your budget.
Subscription Services
Subscription services are swiftly becoming a trend, revolutionizing customer engagement and retention strategies. The business model pioneered by the publishing industry in the 17th century is used today for all types of products and services.
This strategy aims to turn a first-time buyer into a regular. Consider offering a lower price for subscribers, paired with additional perks like free shipping and extra points in the loyalty program. You can keep good profit margins even when selling at a lower price, as the subscription model significantly reduces customer acquisition costs. Furthermore, the recurring nature of this type of transaction ensures a steady revenue stream while providing customers with a continuous supply of a product they need.
Plus, this model significantly simplifies supply chain management by making estimating the number of products you should have in stock easier. It's a win-win!
Sustainability and Social Engagement
Sustainability and social engagement are becoming increasingly important for e-commerce sales as consumers become more conscientious about their purchases' environmental and ethical implications. Today's shoppers pay closer attention to how products are made, scrutinizing everything from the transparency of production processes to sourcing ingredients and the working conditions under which goods are manufactured.
Additionally, the environmental impact is becoming one of the critical factors in purchasing decisions. Consumers gravitate towards brands that share their values and consistently commit to social or environmental causes. Online brands have to work especially hard to build their credibility and earn the trust of potential customers. Consistency and transparency are the key elements of this process. Are your products cruelty-free? Vegan? Recyclable? Made locally with locally sourced ingredients? Highlighting your efforts to make good choices is important and can help you convert eco-conscious customers. As the trend towards ethical consumption grows, the importance of aligning brand practices with these evolving consumer preferences cannot be overstated.
Final Thoughts
As you can see, the future of e-commerce is brimming with exciting possibilities, driven by technological innovations, evolving consumer preferences, and a dynamically shifting market. From the immersive experiences of virtual and augmented reality to the convenience of voice search engines and the personalized touch of AI-driven solutions, online shopping continues to evolve rapidly. As e-commerce businesses navigate these trends, the key lies in staying agile, adaptive, and customer-centric. Embracing innovation and adapting trends give your business a competitive advantage and puts it on a sustainable path to success!
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