2020 proved to be a landmark year for the eCommerce space with the COVID-19 turbocharging the growth of online shopping. Here’s a quick look at the 6 online eCommerce trends we forecast will dominate in 2021.
Personalised experiences will become the norm, not the exception
Customer expectations are evolving at an unprecedented speed. In our “always-connected” realities, we will continue to demand personalised customer experiences that are tailored to our unique needs and preferences. Personalised experiences foster a personal connection and build brand loyalty. 91% of consumers are more likely to shop with brands who provide relevant offers and recommendations. While 80% of those who classify themselves as frequent shoppers say they only shop with brands who personalize their experience.
The convenience economy will drive eCommerce growth
COVID-19 made digital convenience a necessity. Services like on-demand delivery apps have been instrumental in shaping customer expectations to get what they want, when they want, and how they want. The convenience economy will continue to be a major eCommerce trend in 2021 as consumers continue to seek new and innovative ways of accessing goods and services.
Payment flexibility will dictate where we buy
Shoppers are increasingly turning to the zero-interest, part-payment platforms to spread out the cost of their purchases. As a result, Buy Now Pay Later platforms across the globe, including Payflex, have experienced significant growth. Transparency, spending control and convenience are key motivations for this increased demand for flexible payment methods. A report by Worldpay from FIS forecasts that BNPL services will steadily gain eCommerce market share ultimately earning nearly 3% of global eCommerce spend by 2023. In the same vein, a report from IBISWorld predicts the BNPL industry will grow by 9.8% annually over the next five years to $1.1 billion.
Social commerce will have its moment
Our social media feeds are no longer for just social interaction. As a result, social commerce, the merging of social media and eCommerce, is definitely an online shopping trend to watch in 2021. It’s forecasted that by 2021, the global social commerce market will increase by about 34%. At the same time, it is estimated that the social commerce industry will be worth 2051.49 billion by 2024.
Shopping experiences will be more immersive
Retailers will continue to try replicate key elements of the in-store experience online via immersive technologies. Technologies like augmented reality, 360° video, 3D content and virtual reality will play a more pivotal role in shaping our shopping experiences in 2021.In fact, 64% of leading consumer brands are starting to invest in immersive experiences.
We will shift our focus to local
In our post-pandemic environment, consumers are now able to see the direct impact they can have within their local communities. As a result, a growing number of shoppers are striving to shop locally, mindfully and cost-consciously. For instance, 56% percent of consumers are shopping in neighborhood stores or buying more locally sourced products, with 79% and 84% respectively planning to continue with this behaviour in the longer term. Moreover, 82% of shoppers said they will pay more to support small businesses.