The global e-commerce market size reached US$ 16.6 Trillion in 2022. Moving forward, predictions for the market are to reach US$ 70.9 Trillion by 2028, indicating a growth rate (CAGR) of 27.43% during 2023-2028.
Internet penetration coupled with the growing prominence of hassle-free shopping experiences is the key driving factor to the expansion of the global eCommerce market. As we move into the year 2023, the e-commerce landscape is poised for even more dramatic changes and transformations.
In this blog post, we will explore some of the top e-commerce trends that are expected to dominate the industry in 2023. From the rise of social commerce to the increasing importance of personalization and sustainability, we will delve into the key factors that will shape the future of the industry.
Whether you’re a business owner looking to stay ahead of the curve or a consumer interested in the latest developments, this blog post will provide valuable insights into the exciting world of e-commerce in 2023. So, let’s dive in and explore the top eCommerce trends that you should be watching out for in 2023!
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But first, let’s look back into the trends that dominated 2022! #E-commerceWrap2022
The online shopping industry has never had more opportunities, and the consumer shift to e-commerce is expected to continue. Let’s look at the expanding e-commerce landscape and what made the sector thrive in 2022.
1. Multi-channel helps unite demand & supply
To put it in substance, a multi-channel approach is purchase-centric. For eCommerce brands, being able to meet their customers right where they are, enables staying on top of the mind, encouraging sales.
2. Storytelling anchors itself in funnel analysis
Content marketing is changing; adding value to customers is non-negotiable for brand positioning and selling. Getting through their heart and mind through a consistent story well told; one with people, not products, at its core.
Irrespective of how well your strategy is, having your audience connect with it is what it takes to be successful. David Herrmann, head of Northbeam, explains this to be the kindling. “It’s what drives inspiration. I can’t make people money unless they keep feeding me content. If sales are down, if traffic is more expensive, blame content.”
3. Offering Discounts is not the only to drive conversions and brand value
eCommerce brands are opening up to new ways of converting visitors, instead of just focusing on price & optimization:
- Influencer marketing
- Including user-generated content to establish authenticity and capitalize on inspiration
- Tiered discounts
- Instalment plans rather than ‘pay now’ for high-value purchases
- Countdown timers, customizable free gifts, & incentives on subscription
- Promoting product bundles
4. Social Commerce For Customer Experience
Social commerce = social + commerce
Bringing the power of social media to digital commerce saw a rise in 2022 and is predicted to further dominate in 2023. eCommerce brands looking to cut back on marketing overhead expenditure, get through the cut-throat competition, and connect with users directly without any external noise – are experimenting with social commerce.
Simply put, social commerce strategy is to incorporate the influential, non-branded, and authentic content generated by influencers and users of a brand into the places they sell – home/product/category pages, emails and ads.
According to recent research, the social commerce market size is expected to hit $1.3 trillion in 2023, a 30.8% increase from the previous year, when social commerce sales worldwide amounted to $958 billion.
2022 saw a rise in competitive eCommerce trends, and with 2023, we can only expect them to get bigger and better. Here are some to list down.
eCommerce Trends That Will Shape 2023
Delivering customized user experiences is difficult. eCommerce marketers find themselves scrambling for new ways to meet users’ need for personalization. In addition to this, record inflation and economic instability are making it only difficult to acquire new customers and keep them engaged.
Watch out for these eCommerce trends 2023 to avoid a rapid decline and keep up with the existing environment.
1. User-generated content for eCommerce
User-generated content for eCommerce marketing is gaining prominence. Customer visuals/reviews are essential for almost every business, especially if you are trying to build brand trust. Leveraging users’ content on your online store can help customers feel more confident about making purchases.
Shoppers are 6x more likely to purchase a product if the page features pictures from social media.
Creating shoppable UGC galleries can reduce the chances of buyers dropping off from their path to purchase. Why so?
Delivering compelling visual content, that consumers not only want to see more of but are also more likely to engage with, is important to win with eCommerce, making UGC the next frontier in shoppable content.
A recent DemandGen report revealed that a whopping 91% of buyers prefer visual and interactive content over traditional formats.
Leverage the power of user-generaed content & increase eCommerce conversions
2. More Advancement in Social Commerce
Social commerce, as a trend, is already in its growth spurt. It is not necessarily a new trend but is evolving every day to meet the demands of the market. In 2023, social commerce is expected to continue to grow, with more eCommerce businesses integrating social media into their eCommerce stores by making their social content shoppable.
3. Shipping Protection
Customers are increasingly seeking out businesses that offer a superior shopping experience, and shipping protection can be a valuable feature that sets businesses apart from others. It can include features such as package tracking and delivery confirmation.
This trend is beneficial for both customers and businesses as it keeps the customer well-informed about their purchases and helps businesses to build trust with their customers.
4. Voice Commerce
With the rise of voice assistants like Amazon’s Alexa and Google Assistant, voice commerce is expected to become more prevalent in 2023. Customers will be able to make purchases using voice commands, which will require eCommerce businesses to optimize their websites and apps for voice search.
5. Loyalty Programs
In 2023, loyalty programs are set to become an even more significant trend in eCommerce.
These programs typically offer incentives to customers who make repeat purchases, such as discounts, exclusive access to products, and early access to sales, and are an effective way for eCommerce brands to build customer loyalty and drive repeat business.
6. Creating Buyer Personas
Creating buyer personas is another upcoming eCommerce trend of 2023. A buyer persona is a detailed profile of an ideal customer that includes conducting research and analyzing data such as the location, age, and gender of the consumer.
By creating buyer personas, eCommerce businesses can better understand their target audience, tailor their marketing strategies, and ultimately increase their sales.
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eCommerce Brands That Are Cutting An Edge!
E-commerce is becoming an increasingly difficult market to break into. Small businesses are struggling to compete with large retailers in terms of cost, delivery times, and refund policies. There are challenges galore at the moment but then we can always come up with solutions, like these brands from different industries.
1. So Broome
Visuals are powerful motivators, and a collection of enticing images, videos, or other forms of social content is enough to inspire travellers to make their travel plans.
So Broome’s community is primarily made up of adventurous individuals who thrive on spontaneity.
As a tour and travel guide, the brand’s primary goal was to drive traffic to its website and convert the inspiration of its visitors into bookings.
Promoting bookable tours becomes possible by repurposing UGC shared on social platforms.
So Broome used branded and user-generated content through Tagshop, transforming it into a social feed of a shoppable gallery by tagging its products in the social feed and converting visitors into customers through authentic visual marketing.
2. ThirdLove
ThirdLove is an American online lingerie and apparel company that offers a wide range of size and fit options. The company was founded in 2013 with the aim of providing a better, more inclusive shopping experience for women of all shapes and sizes.
One of ThirdLove’s key selling points is its focus on fit. But being an online store, it is difficult to convince customers of the quality, fit, and feel.
To boost authenticity and build trust, the brand leveraged the competency of user-generated content and made it shoppable on the website.
By doing so, ThirdLove was able to speak of its authenticity and trusted quality by showcasing the social content to the customers and also created a more immersive experience for shoppers visiting and navigating the website.
3. Eureka Street Furniture
Eureka Street Furniture is a 35-year-old Australian furniture brand, that uses social commerce solutions for its eCommerce store.
Featuring user-generated content on the home page through a shoppable Instagram gallery is helping them establish authenticity and credibility which helps in building sales.
Besides, to showcase real-life product installation and usage visuals the brand also has an inspiration gallery. This provides potential shoppers make better purchase decisions.
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Wrapping Up!
The main currency of future e-commerce will be trust. Brands must be open, sincere, and accessible to their customers, particularly on social media, where online users spend most of their time.
Future consumers’ online shopping will be centred on social media marketing for e-commerce, with brands investing in video and live shopping.
Being successful in this new e-commerce environment will require original thinking and action on eCommerce trends in 2023.
We did a lot of research to find the most significant e-commerce trends for 2022, as well as the products and strategies your brand needs to stay competitive in 2023.
