The retail industry is undergoing a significant transformation due to the rise of virtual shopping and the increasing popularity of retail therapy from the comfort of one’s home.
This shift has blurred traditional and online retail lines, compelling businesses to adapt and revolutionize the shopping experience.
Here are five commerce trends essential for staying relevant and thriving in the ever-evolving retail landscape:
1. Omni-channel Selling
Customers now demand more than just products; they seek seamless and tailored customer experiences.
For instance, a customer might discover a clothing brand’s product on its website and become interested. Eager to examine and try on the item, they might visit the physical store only to find out their desired size is unavailable.
Fortunately, the retail store has implemented a mobile app that comes to the rescue. Through the app, the customer immediately located another store nearby with the item in stock.
This interconnected experience seamlessly bridges the gap between online and physical retail, offering customers the flexibility they need to complete their purchase journey.
By creating unified experiences across various platforms, such as mobile apps, websites, social media, and physical stores, retailers will drive more sales and increase customer retention, ultimately boosting the company’s bottom line.
2. Optimized Experience
Global retail e-commerce sales are projected to surpass 6.3 trillion U.S. dollars in 2024 and climb even higher.
This finding highlights the immense impact of digital commerce on the global economy, providing opportunities for small and medium-sized enterprises (SMEs) to compete globally. To capitalize on this growing market, businesses must establish a robust online platform that balances user-friendliness, security, and functionality.
Here are a few factors to consider:
- Responsive design. Implement a responsive app or web design that adapts to different screen sizes.
- Intuitive navigation. Incorporate easy-to-find search bars, well-organized product categories, and clear menus to simplify the browsing experience.
- Secured payment gateway. Integrate a reliable payment gateway to protect customer data and ensure secure transactions.
- Easy checkout process. Streamline the checkout process and minimize the steps required to complete a purchase.
3. Mobile Shopping
A recent eMarketer study shows that mobile commerce sales are expected to account for 44.6% of total US retail e-commerce sales in 2024.
However, the increasing popularity of mobile shopping comes with a prevalent issue: a high cart abandonment rate.
According to Baymard Institute research, around 70.19% of shoppers abandon their carts without purchasing an item. The study also evidenced that the mobile shopping experience often fails to meet customer expectations or needs.
One way to solve this issue is to deliver inviting experiences that are on par with the quality of desktop experiences. This entails ensuring fast loading times, implementing intuitive navigation, and creating a seamless checkout process.
This will reduce abandonment rates, improve conversions, and enhance customer satisfaction in mobile commerce.
4. Social Commerce
Social media platforms are becoming the new storefronts of the digital age, facilitating direct communication between businesses and consumers and offering convenient shopping features.
A Statista study reported that social commerce is expected to have a compound annual growth rate (CAGR) of 31.6 percent from 2023 to 2030. To leverage this commerce trend, businesses should integrate social media into their eCommerce websites.
However, social media integration is only the first step. It’s also crucial to have a strategy, implementing key functionalities that will help deliver seamless customer experiences in the retail industry, such as:
- In-app checkouts. Enable your customers to make purchases directly through platforms like Facebook shops and Instagram checkout.
- Conversational commerce. With direct messaging capabilities, you can offer real-time support and address any concerns or inquiries.
- Product catalog. Showcase your products on social media platforms similar to how they appear on your eCommerce website.
5. Internationalization
Consumers are increasingly engaging in cross-border transactions, demonstrating the global nature of the marketplace. To ensure sustained growth and success, brands must adopt a “think global, act local” approach.
The strategy involves tailoring products, services, content, and strategies to resonate with local audiences, considering unique market characteristics, preferences, and cultural nuances.
Businesses can establish a strong presence in international markets and effectively break geographical barriers. Here are some critical steps to incorporate into the strategy:
- Optimize platforms for international transactions
- Implement solutions for cross-border shipments
- Offer multilingual support for better experiences
- Tailor design and content to local preferences
Bonus: Deliver personalization through tech
Technological advancements, including AI, data analytics, and CRM, are reshaping the retail industry and offering businesses unprecedented opportunities.
With these innovations, companies can gain insights into consumer preferences, elevate customer engagement, and create personalized shopping journeys.
AI algorithms empower organizations to analyze vast amounts of data, allowing them to understand consumer behavior, predict preferences, and tailor their offerings accordingly.
With this knowledge, businesses can make data-driven decisions, optimize their product assortments, and deliver highly relevant and personalized shopping experiences.
The takeaway
The future of retail is promising, driven by a thriving market and the emergence of dynamic trends. To succeed in the competitive commerce space, brands have a wealth of strategies at their disposal, including omnichannel approaches, social commerce integration, localization, and mobile commerce.
If your business is struggling to keep pace with the rapidly evolving retail industry, Globant is ready to assist. Our Commerce Studio will help align your vision with a strategic roadmap, guiding you through end-to-end digital commerce implementations.
