According to the IBEF, Indian retail trade is one of the fastest growing markets in the world. The retail industry is supposed to reach Rs 76.87 lakh crore (approx. US$ 1.1 Trillion) by 2020. Recent trends in retail drive home the fact that e-commerce is set to play a vital role in the growth of this sector. The Indian e-commerce industry is expected to be worth US$ 700 Billion by 2020, and there are expected to be 220 million online shoppers by 2025.
As per other statistics, online shopping in the United States alone is expected to cater to around 300 Million people – that is 91% of the entire country’s population!
It is evident from these statistics that online consumers are highly sought after and attract discounts that are more significant, enjoy increased convenience and a broader assortment of ready choices. Therefore, it would not be incorrect to state that the future of online shopping after 2020 will be ruled by instant gratification and path-breaking innovations, which encourage online buying.
Omnichannel retailing: Best of both worlds
Omnichannel retailing is a highly robust value proposition and will be the future of online shopping after 2020. As time passes, e-commerce retailers and companies are bound to adopt multiple channels to offer seamless customer experience. These channels will improve sales and increase reach among the target customer base. Moreover, it will allow shoppers to procure things online and swap them offline and vice versa, leading to an augmented customer experience.
Revolutionary changes in logistics
B2B e-commerce and large enterprises face multiple challenges when it comes to logistics. With the e-commerce segment witnessing a multi-fold rise, the logistics sector is primed to become the most solicited service in the coming years. The Indian logistics sector is increasing exponentially and is undergoing constant development in almost all critical phases.
The future of e-commerce after 2020 will be dictated by latest technologies and innovations that constantly revolutionize the online buying experience. Technological innovation is an integral factor in order to survive in the hyper-competitive industry. Brands and retailers are re-defining the norms with new iterations being developed within shorter time spans, while consistently challenging the status-quo by using newer approaches and innovations to increase UI and UX (User interface and User Experience).
E-commerce is already on the brink of deep transformation powered by the technologies mentioned below.
- AI is the latest buzzword and is here to make life easier for retailers while improving online buying experiences for customers. It empowers companies and marketers with valuable user intelligence. These insights enhance and help anticipate customer requirements and make timely decisions.
- E-commerce retailers can use VR (Virtual Reality) to offer transformational and virtual shopping experiences to online buyers. Such niche experiences with the touch and feel concept could replace the brick and mortar stores for good. Brands and marketers can build personalized online buying experiences for customers and efficiently erase pain points.
- Chatbots are evolving and offering extraordinary customer service. They are serving e-commerce merchants with cost-effective advantages and aid in performing tasks seamlessly. Artificial Intelligence powers chatbots and helps perform specific tasks. Users can also interact with chatbots via a chat interface.
Online retailers are increasingly experiencing the benefits of Artificial Intelligence in the e-commerce business by implementing chatbot services, examining customer remarks, and providing personalized assistance to online shoppers, which is one of the primary reasons that ecommerce will continue to grow.
Mobile Wallets and Online payments
Retail trends indicate that the increased reach of the internet is enhancing the use of cashless modes of transactions. By the year 2020, cashless transactions will drive more than 55% of online sales, whereas the share of mobile wallet transactions will also double from 8% to 15%.
Allowing multiple mobile payment alternatives has definite advantages as it lowers checkout abandonment, ensures an increase in satisfied consumers, and higher levels of protection. The e-commerce industry is booming in the country and is empowering multiple retailers to adopt innovative approaches to offer convenient services to the modern age consumer.
The long-term outlook for businesses looks encouraging, with trends in retail pointing to increased innovation to enhance consumer experience. This is further enriched due to factors such as positive demographics, better incomes, foreign players’ entrance, and the unprecedented growth of smartphones.
Online shopping trends statistics predict a massive upswing in volumes due to Covid-19, where consumers prefer shopping from the safe confines of their homes. These online buyers are the future of e-commerce after 2020, and organizations are gearing up to deliver services based on these retail trends.