Future of Ecommerce in the Coming Decade – Ecommerce in 2020 -2025

Future of Ecommerce in the Coming Decade – Ecommerce in 2020 -2025

01 August 2017,   By ,   0 Comments

E-commerce is gaining a huge attention globally for its ample advantage to both the sellers and buyers. It brings the seller and buyers into direct contact while enabling to shop at discounted retail prices compared to shopping at stores nearby. The trend of e-commerce marketing is drastically evolving with its growth rate by at least 30% in next five years, which in turn is expected to boost up the total retail sales. This implies that the overall retail sector will experience gradual growth with the e-commerce sales climbing over $1trillion by the end of this decade 2020. This will be an impressive rate as over the period the online spending of shoppers worldwide is expected to increase by 82%.

Besides these above-said predictions and statistics, it is clearly visible that future of retail is fast emerging and the consumers are becoming comfortable with online shopping day-by-day. There is a huge shift in shopping behavior of people around the globe from in-store to online purchase, which as evidence reflects the fast progressing online shopping trend lines. Today, China is performing as the largest market for e-commerce global wide, followed by the US. In this array, India is one of the fastest growing countries with e-commerce trending rapidly.

According to the Retailers Association of India and Boston Consulting Group, the impact of e-commerce shopping would be more on goods like household items, furniture, consumer electronics, apparel, luxury, food, grocery, and health. However, by 2025 the consumer electronics would experience maximum penetration of e-commerce by 42%, which is currently 15%. With this strategy, India would become the 2nd largest e-commerce market by 2025.

What drives the tremendous growth of e-commerce?

Here they follow:

  • The sales of smartphones accounted over 50% of e-commerce traffic bringing the total e-commerce revenue of 75%
  • The entire e-commerce space is dominated by products like books, consumer electronics, computers, toys, cosmetics, hobby items and others. Categories like food and beverage also holds a huge space in e-commerce
  • Cross-channel marketing is an other reason for the boost of e-commerce. Compared with traditional media, the digital media opens new space for retailers, especially deliver and market in an efficient way
  • The penetration of advanced technology, particularly in Asia-Pacific region creates more business opportunities for the online retailers
  • The disruptive technology and augmented reality have a profound impact on the buying experience of people online in coming years. Going forward, such technologies create a huge impact on e-commerce
  • The content marketing techniques have a good impact on ROI and cost-efficiency. This enables many companies to implement content marketing strategies that help save on customer acquisition cost. Therefore a great content has the ability to convert readers into customers and thus helps e-commerce websites to achieve increased conversion rates
  • The increasing number of online users across the world is an other main reason paving way to the growth of e-commerce. For instance, by 2020 about 200 million people in India are expected to come to shop their essential products and services and thus e-commerce is expected to achieve 88% of growth in India
  • Social media is an other key drive, as the communication between the direct customers and the brands is expected to get closer
  • E-commerce brings world opportunities to the retailers to adapt and evolve their business, which in turn attracts more shoppers and exclusive offers and array of products from all brands in the online market place
  • The wide spread of broadband and digital network across extensive geographical regions including rural areas brings the awareness of online shopping to people, which further enormously takes the reach of e-commerce to a huge group of population

These factors efficiently drive the growth of e-commerce in the future with huge potential for many new brands and products enter the market.

The change in shopping trend and how people interact, search products and services and shop evidently reflects the growth of e-commerce and its future in 2020 – 2025. The growth and massive reach of portals like Amazon, Flipkart, eBay, Snapdeal and many others the real-time indication of how e-commerce is performing with huge success rate. While at the same time, the emergence of many new shopping portals online further reflects the advantage of choosing e-commerce from the perspectives of both retailers and ultimate consumers.

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