60 eCommerce managers and directors were polled to discover key topics in the industry
Mobile becomes key
Divante research shows that retailers who aren’t offering mobile in 2017, will lag behind. The rise of conversational commerce will enhance the customer experience and engage potential customers entering the website or app, convincing them to make a purchase. This will drive up eCommerce sales. In addition, video content will become crucial for mobile commerce, as it will involve the customer via live streams, and offer a more personal experience.
And while in the past mobile abandonment rates exceeded 80 percent when customers were asked to provide their credit card details, in 2017 mobile conversion rates will be up as a result of the increase in mobile-friendly payment systems. These payment systems, such as mobile wallets – which are becoming standard on new smartphones – make the customer feel more secure.
In the new year, wearables, virtual reality and the use of intelligence in e-commerce are on the rise. According to Divante, the brands to watch are HTC, Oculus, Samsung and Google. Facebook is also expected to introduce VR experience directly to all of its users, making the technology more accessible.
In addition, the eCommerce industry is likely to capitalize on intelligence. More and more companies will offer loyalty programs based on customer data, use visual search on mobile devices, which helps consumers find what they’re looking for. Furthermore, they will turn to price intelligence and start to provide personalized customer experiences on their app or website.
All of these technologies combined, are expected to enhance customer experiences and support eCommerce growth.
Meeting customer demands
Both when it comes to delivery options and Omnichannel, there is a gap between customer expectations and business possibilities. Over 60 percent of customers want same-day delivery, 82 percent want to buy online and pick up their purchases in-store, and 45 percent wish to buy in-store and have the purchases delivered to their home or office. However, despite the rise in local drop-off points and same-day delivery options in 2016, so far, less than half of the retailers offer any of these options.
According to Divante, in the new year, the continued rise of IoT and Big Data will help to create new customer experiences, for example by optimizing delivery times and networks.
In addition, the Omnichannel gap is caused by the following issues:
- 71 percent of customers expect to be able to check the availability of products online, but only 32 percent of retailers offer this option.
- 45 percent of consumers agree to a home-delivery of products that couldn’t be found in-store, yet only 32 percent of retailers enable such a process.
While cooperation between various departments is highly important, only 6 percent of retailers declare that there are no major problems in this area.
Divante predicts that the first companies to close this gap in 2017, will not only stay ahead of the competition, but also significantly improve customer satisfaction.
As a result of the growth of IoT, the number of cyber-attacks have increased. In 2016, firepower from DDoS attacks increased to alarming levels, and Divante expects this firepower will be used to take down critical infrastructures in 2017. Due to the many cyber-attacks, vulnerabilities from open source software will continue to be exposed, and as a result security teams will need to work harder to protect critical company data.
Finally, Divante forecasts which companies will be expanding their share within the eCommerce platforms market. The top three consists of WooCommerce, Magento – thanks to its release of Magento 2 – and Prestashop. Other companies that will be showing more growth in 2017 are Demandware, which is now a part of Salesforce and aggressively acquiring clients, and OroCommerce, a new, fast-growing eCommerce B2B platform.
The full Trends Report 2017 from Divante including research is available to download.