E-commerce trends

The e-commerce industry is relentlessly growing at a rapid pace. It continues to explode in
coming years with great profits. The COVID-19 pandemic has increasingly accelerated the
shift towards e-commerce in 2020 with social distancing being enforced to prevent the
epidemic. According to the report, while traditional retail sales have severely plummeted, e-
commerce saw a 129 percent year-over-year growth in the U.S. and Canada, with an
impressive 146% growth in all online retail orders. Besides a substantial shift to online
buying, there has also been a significant rise in the consumption of smartphones and digital
media.
Considering another report, e-commerce giant Amazon gained net sales of US$386 billion in
2020, a 38 percent increase year-over-year. As Amazon sparks competition in the challenging
year for retail, many e-commerce companies are capitalizing on emerging e-commerce trends
to stay germane and competitive in the market.
Let’s have a look at the top e-commerce trends to leverage to gain a competitive edge.

Sustainable Business
Sustainability becomes a top priority for today’s businesses. It is top of mind for consumers.
Sustainability is all about meeting the needs of today concerning the environmental or social
impacts on future generations. Customers today seek to know about the environmental impact
of their purchases and around 57 percent of consumers would change their shopping habits to
lower negative environmental impact, according to the National Retail Federation. Amazon is
working on making its half of all shipments net zero carbon by the end of 2030. The company
saw its carbon emissions rise 15 percent in 2019 to 51.2M metric tons, the equivalent of 13
coal-burning power plants running for a year. This is major because of its reliance on fuel-
powered trucks and planes to deliver its goods.

Personalized Commerce
With increasing customers’ expectations, e-commerce businesses now need to leverage
personalization technology to give consumers a customized experience. E-commerce
personalization refers to the practice of creating personalized interactions and experiences on
e-commerce sites by demonstrating content, media, or product recommendations based on
consumers’ browsing behavior, buying history data, demographics, and psychographics.
Unlike traditional retail that involves a salesperson to recommend products based on interest,
human touch-points in e-commerce provide numerous opportunities to trounce the
competition. Personalization technology identifies a consumer’s in-store experience,
including their purchasing behavior.

Customized Packaging

Customized packaging has the potential to make a brand’s products stand out in the crowd.
Packaging is the most imperative branding element to an e-commerce business. It indorses
recurring clientele, facilitates the all-important unboxing experience and, and can transform a
company’s product into a lifestyle. Customized packaging can augment the company’s brand
value, draw attention to environmental practices, or empower online unboxing experiences
that convert into social proof.

Social Commerce
Social commerce refers to the selling of products directly through social media. However, it
differs from social media marketing because businesses are not redirecting users to an online
shop, but giving them the ability to checkout directly within the network they are using at that
moment. Social commerce is driven by the rise of digital communities and influencer
marketing. Paired with influencer marketing, social commerce can boost e-commerce sales.
Companies like skincare and makeup company Glossier and China-based lifestyle-focused
platform Xiaohongshu are known for building strong communities in their user bases.
Leveraging advanced technologies will help e-commerce companies to stay ahead of these
trends, driving sales and enhancing market share.