The ecommerce industry saw significant changes in the last decade which is considered to be the most significant time for the industry on the whole. The primary reason for this is the development in technology, especially the internet and its use in the ecommerce sector.
In the past decade, ecommerce industry did not only see a heightened interest level among the consumers but also witnessed bigger participation by them. In fact, the industry recorded an enormous sales figure, and this increase was not only seen in the US but all over the world. Moving on to this decade which is also in its end, there seems to be no dropping in the sales value or any dipping of the curve.
According to E-Marketer it was found that:
- China earned almost $900 billion from their different e-commerce storefronts in 2016
- US earned more than $423 billion on the other hand and
- The overall sales revenue from e-commerce of the world was approximately $1.915 trillion in 2016.
This significant rise in sales is due to the use of technology that has propagated this massive surge of good fortunes and making the future of ecommerce industry even brighter and more promising with good prospects. Technology has ensured that:
- The sites now are more accessible
- Transactions can be made easily and quickly
- The safety and security aspect is enhanced and
- There is a remarkable improvement in the service quality.
Ideally, it can be said that technology has turned the industry into the pinnacle of retailing in this modern day and age.
The impact of technology
Technology has impacted the e-commerce scene in a big way just as it has impacted the banking and finance sector. Now one can avail loans with just a few clicks of their mouse. They can even compare and check the debt consolidation ratings of different debt relief agencies to choose the best option to get their debts paid more comfortably in their terms, well somewhat.
The ways in which technology has impacted the ecommerce segment include:
- It has changed the entire concept of buying and selling providing the best possible experience to the buyers as well as the sellers.
- It has enabledentrepreneurial ecommerce breakout as it is incredibly easy to start paving the way for an influx of e-commerce entrepreneurs
- It has made retail business most astounding with smarter and faster block chain enabled AI that increased the power and effectiveness of chatbot messaging
- It has made the customer journey even smarter making it more personalized for the virtual personal shoppers.
- In the retail landscape it has transformed the way brands compete to acquire customers which has benefited the customers and bettered the shopping experience with opportunities such as voiceactivated shopping
- It also promises a continued emergence of opportunities to the customers with a continual transformation of the digital landscape with incorporation of features such as sensors, Augmented Reality and others to influence interactions with the brands and the ways in which consumers shop
- It has also allowed the customers to find products by going beyond the recommended products with individualized recommendations
- It has also increased in the subscription box models as more and more brands have started to adopt this mentality as a part of their product inventory in order to survive
With the video content still ruling the technology will definitely make the ecommerce brands get smarter in measuring their ROI. Therefore, there is an increased allocation of content in ecommerce especially video.
Redefining shopping experience
You may argue that ecommerce industry lacks in one specific front: the shopping experience. Yes, it is true that there is nothing like stepping into a traditional brick and mortar retail outlet and sifting through the product with physical touch and interacting with the sales rep at the store face to face. But, that was until now when technology did not intervene with this ecommerce industry.
- With the advent of virtual and augmented reality technologies, e-commerce vendors are now provisioned with a better avenue to display their products including all relevant and immersive details. This can truly provide a reallife experience.
- The personalized virtual reality app along with a full-featured virtual reality store created the integration of augmented reality and virtual reality has allowed the visitors to visualize using products themselves immediately.
This provides a unique way to raise the interest level of a prospective customer and engage them in a better way to facilitate a quicker and better buying decision.
In fact, the use of technology has made selling a product as easy as buying. If you consider the times when ecommerce just started, the emphasis was more on the shopping experience from the buyers’ perspective but now this traditional concept has changed entirely.
Apart from ensuring that it provides a seamless buying experience, technology has also provided the sellers with a lot of advantages that includes:
- Easy access to instant communication
- Faster information transfer
- Better logistics and processing
- Safer online networking and
- Remote orchestration.
All these have made the e-commerce platforms more sustainable where the sellers now do not have to micromanage every aspect any longer for doing their e-commerce business. They also do not need a huge start-up capital as it was necessary in the past because micromanagement is alleviated by putting in place the fluid workflow pipelines.
This has expanded the communication avenues making it easier for the sellers to communicate with the potential buyers in a proper and better way than ever before.
It is for this reason you will see that newer ad better e-commerce models such as drop shipping has been introduced that has garnered a lot of interest as well as revenue making it a hugely successful inclusion of the recent times.
With the robots and droids used by the industry heavyweights, this industry is sure to rise up even further now that with the use of technology even the payment process is seamless and safer than before. Technology is therefore the rudder that propelled and revolutionized ecommerce business since it started its journey in the 1970s.