World is changing. With the dimension of business, the future eCommerce trends are also changing everyday. The concept of marketplace is also being changed. It is because of the need of the increasing number of population. We all know what is online marketplace. The digital marketplace is also on the boom.
Why is eCommerce growing
Because of the clients’ need, boundaries of digital marketplace has rise up. E commerce business has been a major trend in the world. It has been a leapfrog moment of marketeers. Thus, future eCommerce trend by 2030 gives us a significant implication.
Moreover, retaining sellers are adopting marketing; integrated platform services offer scopes for businessmen to create standalone value. Sellers disengage from marketplaces because platforms don’t provide growth as a service at its core.
Most importantly, the research said, retaining and activating buyers also requires marketing with social media and meaningful loyalty programs. Lack of sellers and shipping costs and fees combined with poor customer engagement and experiences drive buyers away from the trade.
All big brands as well as the niches have extended their operation digitally in e commerce business. Marketplaces, that means digital platforms are open to third-party merchants, have steadily increased their share of global digital commerce.
Concentration of sellers
An e commerce business growth statistics shows the e commerce future trend through an e commerce analysis. New product launches, revenue growth and customer acquisition top the list of marketplace business objectives by 2010 and beyond.
Moreover, the most marketplaces reported GMV (gross merchandise volume, a business metrics) of between $500 to $999 million during that time.
That is to say, most marketplaces claim that the concentration of sellers driving 80% of transactions ranges between 40% to 60%. Audiences came to know, marketplaces aim to find the sweet spot of seller and transaction concentration 80% of total transactions generated by 20% of sellers.
concept of e commerce
People can buy and sale 24/7 with ease in an e commerce business arena. And without any barrier. Most importantly, one needn’t to undergo huge space, interior, location, and other so called business theories. Now, through the digital marketplace, from a pin to plane everything is available. It is the basic concept of e commerce.
As per the eCommerce trend, eCommerce will soon account for 15% of all specialty retail sales in North America (in China, e commerce business is 23% of all retail) and digital influences nearly 60% of all retail sales. Fueled by mobile, which saw sales increase 55% in a year, eCommerce in North America grew by 16% in 2018 to over $500 billion.
How is e commerce helpful
Taste of buyers has changed. As the use of internet, computer and mobile, has increased dramatically, it was necessary to relate business activities in these. And e-commerce has been able to draw attention to the buyers and sellers. It is a good platform to exchange. Digital marketplace saves time and effort. People can
If we go back to the trend of your shopping, you had to wait for the shop to open. You used to wait for auctions. Buyers were to visit distant shops for the desired products.
Supply chain management was a challenge for the stakeholders. Many other factors were associated to the success and failure of the exchange.
Blue ocean strategy is always a good source of innovation. In other words, Innovation is the nucleus of blue ocean strategies in the business. That is to say, online shopping is one of the amazing concepts with invention. Moreover, new feathers are continuously being added to harness it farther in e commerce business.
It is found marketplaces mention customer-facing challenges in pursuing growth caused by
- competitive differentiation
- buyer retention
- buyer acquisition
- social media engagement.
New era begun
People has been overwhelmed with e-commerce trend. It’s popularity has made an upheaval in the business kingdom. Earlier this year, Amazon surprisingly circulated that, more transactions were fulfilled directly from sellers than its fulfillment centers for the first time.
It also revealed that products sold and fulfilled by third parties were more profitable. That’s the secret of the success. And this is a significant retail milestone.
eCommerce Technology Trends
Rapid growth of technology has greatly influences the transformation of the e commerce. Technology will also be continued with its leapfrog development. So, we can assume the pivotal eCommerce technology trends that will dominate online business. Moreover, digital retail market will continue on the basis of internet by innovation of new technologies, new consumer demands, and the increasing volume of customers in the coming days.
As per statistics, 125 million consumers own and use smartphones in the US alone. 62% of smartphone users have made an online buy using their mobile within the last 6 months. That is to say, more than 75 million shoppers are frequently making use of their mobile devices for shopping.
Following are a glimpse of eCommerce Technology Trends:
- Artificial intelligence
- Android mobile
- Mobile wallet
- Product customization
- Mobile App
- Online subscription services
- Product visualization
- Augmented reality
- Mobile optimization
- Virtual reality
- Block chain
- Reality and challenges
A survey among 100 marketplace businesses
A survey among 100 marketplace businesses explain the future of ecommerce with the key findings, that include:
Marketplaces are driving significant revenue with ⅓ of the marketplaces it surveyed generating in excess of $100 million annually, whereas two-thirds generating more than $50 million.
Top priorities that explain the future of ecommerce marketplace operators include new product launches, revenue and customer growth.
Challenges include churn, competitive differentiation, social media engagement, and customer acquisition.
Growth as a service is a primary motivator for sellers operating in these marketplaces.
Marketplaces rely on sophisticated multi-channel marketing strategies for customer acquisition and activation
Currently, e commerce business has been ruling the monopoly business compared to other trend. Moreover, digital marketing as well as the marketplace have associated other supportive trends built in it.
It is really an interesting hybrid form of business. It is a successful package! Considering e commerce industry analysis, Credit Suisse estimated Amazon Marketplace sales at $135 billion in FY2018, and that number could swell to $259 billion by 2020. And, analysts predict that marketplaces around the world will account for 40% of the global online retail market by 2020.
Benefits of e commerce
E commerce industry analysis shows that everyone associated to digital marketplace has opportunities to gain profit in many ways. Overnight success of digital marketplaces is more than twenty years in the making and it’s continuously undergoing metamorphosis process. One of the greater benefits of e commerce is that everyone gets share from it.
The transformation has forced to enhance business opportunities as well as competition for sellers/providers to satisfy need of the customers. So, e commerce industry analysis has opened up a broader options of choice, convenience, taste and value for consumers.
Marketeers at any cost don’t want to lose and current customers. Also, they are in the drive to pick new customers with their effort, research and campaigns. Therefore competition, quality and options are open up in the market. That leads innovation in many ways.
From the early days of eBay in 1995 to niche and bespoke players such as Etsy in 2005 to the rise of the “sharing economy” or “gig economy” in 2009 with the emergence of Uber, Airbnb, Etsy and Postmates – digital marketplaces are only becoming more prominent in the world of commerce. The more value a marketer could add, the higher popularity and profit it could make in the long run.
Where is the destination
The core concept is to continuous up-gradation in the process. With the increasing demands of connected customers combined with the advancement of AI, machine learning and mobile, digital marketplaces are continuing to evolve.
More than a half of all marketplaces believe that repeat customers account for upwards of three-quarters of all transactions and one-third say repeat customers are responsible for half of all transactions. So, analyzing customers’ choice and need triggers the marketeers to mold their business strategies in the eCommerce as well.
The consumption of products and services are same as before. But the concept of delivery, availability and displays have transformed. We can project easily that the process of innovation in digital marketplace will be continuing.
Secret of future success
Bright spot in the future of retail marketplaces has been geared up. So, traditional retailers, existing marketplaces and new startups are equally racing to unite sellers and consumers in next-generation platforms.
10 Predictions about future of eCommerce
- Rise of startups, as small businesses will be increasing in e commerce business
- Rise of retail business via eCommerce [currently, e-commerce controls 11.9% of retail]
- Dominance of online shopping in e commerce business
- Rise of smart phone will be on the rise [smartphone users to be crossed five billion by 2019]
- Dominance of outsourcing, that will create more businesses
- B2B eCommerce to surpass B2C eCommerce [US B2B retail topped $8 trillion as of 2014]
- Customer Focus, clients will get more attention due to competition in e commerce business
- Rise of Artificial Intelligence will make the job systematic in e commerce business
- Dominance of video contents [51% of marketing professionals consider ‘video’ content a safe stuff for ROI. Social media video creates more over 1200% shares compared to text and images altogether.
Video view have surpassed 258% on Facebook and 99% on YouTube (June 2017)]
- Rise of social media marketing as it can penetrate to the target audience very easily.
Career path for professionals
Digital marketplaces have turned a useful platforms. So, businessmen are enhancing product and service models and experiences between what sellers offer and what buyers demand. Convert your failure in success by reflecting ecommerce knowledge.
During the current years, e commerce industry analysis makes is practical to explain the future of ecommerce. Career for expert professionals has also been hiked up drastically. A great number of experts, analysts, programmers, and marketing agencies are also in place that explain the future of ecommerce.
Action plan for digital marketplaces platforms must now represent more than a convenient place for suppliers and buyers. E commerce industry analysis need now to constantly push beyond the status quo. While consumers may want greater choices, they also want simplicity, utility, integration and value-added experiences. They will be seeking fluent online transaction.
Current trend is on a platform economy where e commerce industry analysis predicts that, trend of digital marketplace will be growing at an incredible pace. Businesses for next generation will be established on early product-oriented marketplaces.
Adaptation with change
The crucial question is as always is- what the marketeers offer? What is the trend of buyers’ demand? Frequently, marketplaces are reinforcing product and service models and experiences between these quo.
Due to consumers’ choice, sellers are expected to render services offer using complete, integrated and end-to-end experiences. It signifies future ecommerce trends, considering benefits of e commerce and ecommerce knowledge.
For example, platforms that serves sports item, need to provide customers with personalized discovery, quality, locations, reviews, variation, pictures, videos, home delivery, corporate and individual offers, quantity, coupons, discount, credit, installments, trial and what not in the e commerce industry analysis!
Digital marketplaces is assumed to persist to expand and diversify by introducing new retail and service involvements to sellers and buyers simultaneously. Main drivers of e-commerce are explained. It will unleash benefits of e commerce more rapidly.
The door is open for all. Because, digital marketplaces is about to open doors to more new variety of retailers and service providers. Therefore, we need to keep pace with innovative techniques to cope up with future ecommerce trends to expose ecommerce knowledge. So, smart marketers are ready to pay continuous extra effort on research, supply chain, need assessment, products development and customer retention strategies.
It will broaden customer choice for more diversified product and service offerings. Moreover, it will cherish healthy competition and boost up continuous innovation. Finally, apart from experience, trust, values, loyalty and unique marketing style will be valued over timer.