The world of e-commerce may be increasingly volatile, but it’s also more and more data driven. That makes it more democratic because the customer now defines the agenda. The companies that most closely align to this agenda will come out on top.
When facing a more turbulent future, it’s easy to lose control and, unless companies have a handle on the major trends, it’s difficult to plan with high confidence and move forward effectively.
Here are four trends that we see coming into view that could redefine the rules of engagement for businesses:
1. ZERO UI
As the prominence of screens as the primary user interface (UI) declines, so rises the importance of new, less visible interfaces. Personal assistants have familiarised us with a voice interface to the internet. Look at Siri, Cortana, Amazon Echo and Google Assistant.
Voice is just one example of Zero UI, which also includes gestures and even thoughts, and removes the need for a cumbersome, physical interface. It’s part of an even larger network of interfaces we call Omni-UI. And it has big impacts for e-commerce as it lets consumers slot digital services into their lives with less disruption.
2. AUTOMATED/PROGRAMMATIC PURCHASING
In the near future, machines will reorder products on behalf of their owners. Coffee machines will order coffee capsules before they run out. Amazon’s Dash and Nespresso’s wi-fi coffee machine are just a couple of examples of more automated purchasing.
This phenomenon, coined Programmatic Commerce by Salmon, is set to change the way brands, retailers and customers interact. In fact, 57 per cent of UK consumers will be ready for this new phenomenon in two years. Will you be?
3. INTERFACE IMPERIALISM
Have you noticed that all the big tech companies seem to be diversifying their offers? Under their brand, and often their digital platforms, they are consolidating and expanding a whole range of services. We call this trend Interface Imperialism – the consolidation of services under one interface.
Interface Imperialism explains some of the biggest advances in technology. Amazon has launched Echo, Facebook is investing in messaging and Google is branching out into the connected home. Multiple services allow tech giants to create a connected virtual ecosystem for customers. If you own the interface, you own the customer. If you own the customer, you own the data. And if you own the data, you own the future.
Brands need to beware. Interface Imperialism could mean brands become one step removed from the customer, only buying products through an interface owned by a third-party company. Brands have no control over this and the third party will probably offer myriad services to retain customers within their digital environments. This may erode a company’s hard-fought brand equity, as customers become less loyal to brands and more loyal to services. Amazon Prime is a good example of this phenomenon.
4. PROACTIVE PEAK FORMATION
The last few years have seen a proliferation of new peak selling periods. They’re created proactively by retail organisations looking to make more sales.
This is what we’re calling Proactive Peak Formation, and the likes of Amazon (Amazon Prime Day) and Alibaba (China’s Singles’ Day) have been taking the lead.
While the calendar can’t accommodate every business creating its own peak, there are opportunities for other companies with sufficient clout to conspire proactively to form a peak of their own, which benefits their customers as well as their business. So rather than marching to the beat of the tech giants’ drums, what’s your peak period?
These are just some of the prevailing e-commerce winds set to unleash significant impact across markets. It’s here now for the trailblazers, don’t get left behind. Your customers will be ready far sooner than you could have ever imagined.
Download Salmon’s 20 for 20 Trends Guide at salmon.com/ecommerce-trends-report
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