How E-Commerce Will Look Like in 2030 – Trends and Ideas

By: Neelesh N. Vasnani (MBA candidate)

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The world has seen significant revolutions in the past, but one can argue that there is discernibly
something different about the 4th Industrial Revolution that we are currently in. This difference is in
part due to the very nature of this revolution: its reliance on information as a pseudo-currency. Yes,
we are indeed in an information age, in case you didn’t get the memo. There are new technological
advancements and innovations popping up every day which are changing the way we handle all this
new information – and further - changing the way we live our life. The rate at which new
technologies and megatrends are disrupting business is unparalleled compared to the previous three
revolutions.

As a result of digitalization and the information age, E-commerce is one of the fastest growing areas
of modern business. E-commerce has already changed the retail scene beyond repair if you will.
Everyone wants to be an e-tailer rather than a traditional retailer nowadays. Newsflash: E-commerce
is here to stay and is not going anywhere.

The next decade, in particular, will play an integral part in shaping the online market and there are
inevitable drastic changes in store for E-commerce. To name a few, technological advancements such
as machine learning, artificial intelligence, internet of things, and augmented reality will drive these
changes. It would be no overstatement to say that E-commerce will become the default mode of retail
transactions in the future.

Let’s now time travel into the future to see some exciting trends and ideas of E-commerce that we
can potentially expect to become norms come 2030.

Consumers on the throne

E-commerce has enabled large amounts of mass personalization in shopping, and guess what?
consumers are really buying it. In fact, they want more of it. Statistics show that 48% of consumers
spend more when their online shoping experience is personalized. To succeed ten years from now,
online businesses will have to put consumers at the center of everything similar to the way Amazon
currently does. Analytics and machine learning will enable deep data mining on consumers’
demographics, browsing history, purchasing behavior, and local conditions to recommend specific
personalized products to customers. Businesses that will be able to do this at a large scale will have
the edge and will reap the profits.

Shopping as a wholesome digital experience

People already love browsing through products online as an activity of leisure. Can you imagine this
experience amplified to a whole new level in the future? Online stores will give you the full
experience of shopping physically but in a digital space.
Long paragraphs of product descriptions and details will be a thing of the past. Instead, you will be
able to try and get a feel of products with the help of 360-degree 3D views and interactive product
videos. Online stores will allow you to virtually navigate and get a feel of the product you are
buying. Holograms will erect from mobile screens giving you enlarged 3D product angles which you
can maneuver and explore with your hand. If you’re buying a shirt or a pair of shoes, for example,
you’ll be able to try the apparel in a digital fitting room by entering your body measurement
information along with other relevant characteristics.

Augmented reality

More than virtual reality (VR), augmented reality (AR) is the big word that will drive innovation in
the online shopping space. Imagine your smartphone being able to detect products based on what you
see through a smartphone camera, and recommend to you where you can buy these products nearby.
Imagine seeing someone wearing a shoe you really like and the AR would tell you all its details
including price, store location, popularity, etc. Better yet, augmented reality will allow
recommendations of products based on the location captured by your camera. For instance, it will
pop up furniture product ideas when you are in an empty room.

Shops will know you better than you do

This is one of the more exciting trends that E-commerce will bring. Internet of things (IoT) will
change the game by allowing device and appliance data to be shared and leveraged in an incredibly
useful way. E-commerce will highly benefit from this in a multitude of ways. Take for example a
simple product like milk. Over time, your fridge can monitor your consumption patterns and stock
levels of milk. Using this data, online stores can recommend you, remind you, or even automatically
replenish your milk for you. Subscription-based purchasing will become common in order to
automate purchases.

Moreover, recommender systems will anticipate what you might need or want before you even
realize it. Online stores will be able to recommend products that you may want to purchase whether
to replace old ones or to complement existing ones. The power of data, information, and advanced
analytics will enable businesses to know you more than yourself, in the context of purchasing
products at least.

Fast and convenient home delivery

In 2030, convenience will be everything and businesses will have to deliver. Same-day deliveries
will no longer be a big deal. Air traffic will increase with drones flying around the city to deliver
products. Convenience will be the big word and express home delivery will become the standard.

Our mailboxes will have to become bigger as they would need to house a large volume of delivered
goods, from medicines delivered by online pharmacies down to groceries from online supermarkets.
Moreover, services such as laundry, carwash, haircuts, or massage services will also be purchased or
subscribed for online. For example, you will be able to order for a pickup and delivery of your
laundry online and the laundry service provider will have it picked up, washed, and delivered right
back to you within the same day.
Cross-border ease

Smarter supply chain and logistics will enable E-commerce businesses to move products
internationally with ease. Basically, anyone from anywhere will be able to purchase anything at any
time. With faster delivery times, consumers will not be afraid of making global purchases in the fear
of long delivery times. Metaphorically speaking, as the world continues to become smaller, the E-
commerce market will continue to expand.

Smartphones and social media

Screen time is one of those statistics that is only increasing by the day. People are spending more
time on their mobile devices, especially on social media. For, E-commerce, the implication would be
that businesses will be able to reach the largest audiences on these social media platforms.
Advertisements will be designed almost completely with social media and mobile devices in mind.
The E-commerce players who can best take advantage of how users spend their time on social media
and induce purchases from them will turn out most successful.

Cryptocurrency as a payment method

Blockchain is one of the biggest disrupting megatrends that has quickly emerged in the last few
years. One of the more useful features of blockchain technology is that it allows users to make
payments using cryptocurrencies. Decentralization will enable easier and faster online payments with
cryptocurrencies, and E-commerce businesses will benefit from this significantly. While
cryptocurrencies are starting to be used by large businesses around the world, widespread adoption at
the end-user level is still far away. That being said, significant progress is being made and by 2030,
we can expect it to become just another option of payment.

Automated customer service

Finally, as shopping will mostly take place in the digital realm, customer service will also have to go
digital in the form of AI-powered chatbots and customer service robots. Artificial intelligence will
play a big role in the customer service space. As a result of this automation, consumers will have
precise and concise pre-sales and post-sales support at their fingertips. This is not to say that
customer service agents will lose their jobs altogether, but there will certainly be a notable amount of
disruption. Specifically, an estimated 85% of all customer interactions will be done without a human
customer service agent.

Without a doubt, a paradigm shift is coming in the way E-commerce will operate 10-15 years from
now. Success will principally depend on whether or not businesses are willing to openly embrace
these trends and ideas. The question is - are you ready?