Ecommerce trends in 2020 and 2021. Advantages and disadvantages of electronic commerce and types of electronic commerce in the world.
After the social confinement caused by the pandemic, consumers found it necessary to increase their shopping habits for products online, thus encouraging a very accelerated evolution of e-commerce trends in 2020 . In fact, 5 out of 10 companies are doubling their sales on the internet, while 2 out of 10 are having a growth of more than 300% in their online sales volumes ( Report 4.0 Impact COVID-19 On Online Sales Mexico ).
This situation has made many traditional businesses consider this type of sale, which makes it necessary to know the trends of electronic commerce in the future , in order to carry out the best eLogistics and sales practices that are being developed in the sector.
However, before delving into the e-commerce trends of 2020 and 2021 , it is important that you first know what are the types and advantages and disadvantages of electronic commerce in the world .
Advantages and disadvantages of electronic commerce
The advantages and disadvantages of electronic commerce vary according to the perspective from which this business modality is analyzed.
For example, among the advantages of electronic commerce for the company, we can highlight that e-commerce helps reduce logistics costs , since the business does not have to invest in infrastructure or personnel to physically serve the public. Another very significant advantage of electronic commerce is that the company can sell its products at any time of the day and in an automated way.
On the other hand, on the advantages of electronic commerce for customers and consumers is that they can receive the products directly at their homes, as well as they can make the purchase at any time of the day.
On the other hand, there are also some disadvantages of e-commerce , such as the fact that any technical failure in the platform can mean a serious blow to the level of sales for the company. Another disadvantage is that in e-commerce, the only physical contact point that you have with the customer is during the last-mile delivery service , making it more difficult to build loyalty.
Types of electronic commerce in the world
In a traditional way there are 3 types of electronic commerce in the world:
- Online store : it is a type of electronic commerce that consists of the company developing its own website for the sale of its products, or also that within its corporate page, it develops a specialized section for the digital store.
- Marketplace : this type of electronic commerce refers to those platforms in which any user or company can buy and sell products. In this sense, marketplaces differ from online storesin the fact that the supply of goods is not made by a single seller or electronic business .
- Mobile commerce : the popularization of mobile devices has brought with it this type of electronic commerce , which consists of the sale of products through mobile applications and web pagesadapted to mobiles.
Apart from these 3 types of ecommerce , it is also important to highlight the social ecommerce a trend of e – commerce is increasingly seizing strength and explained later.
Examples of electronic commerce in the world
As for the examples of electronic commerce in the world , if we talk about marketplaces the most famous are Amazon , eBay , AliExpress , Linio , MercadoLibre , among others.
On the other hand, if we refer to online stores , a couple of very interesting e-commerce examples are the so-called dark stores and dark kitchens .
Ecommerce trends 2020 and 2021
The e-commerce business model is constantly changing. Therefore, any brand that wants to survive in this medium must be willing to change and update itself permanently. Therefore, below we explain some of the e-commerce trends for 2020 onwards:
1. Social commerce e-commerce trend
The social commerce is a trend of e – commerce which involves making direct sales and strategic through social networks. Thus, the brand takes advantage of the user experience to sell its products or services, departing from the traditional e-commerce model (directing traffic to a web page through search engine ads, display, among others).
For example , Facebook, Inc. has developed a functionality that allows creating online stores to sell products through its social networks Facebook and Instagram, also facilitating direct communication with potential buyers through Messenger, Instagram Direct and WhatsApp. With this e-commerce functionality , sellers can personalize their stores, create catalogs, achieve reach, and generate sales online.
This e-commerce trend has spread to other social networks such as Pinterest , Twitter, and YouTube .
2. Voice commerce e-commerce trend
Voice commerce is one of the e-commerce trends focused on generating sales opportunities by taking advantage of user voice searches. This is possible through virtual assistants that work on mobile devices. In this way, the user can check the availability of products or services by simply requesting them from their voice assistant.
For example , Google has dabbled in voice commerce using Google Duplex , a feature of Google Assistant. Duplex is a system capable of making arrangements related to a purchase such as reserving an appointment at a company, checking prices, knowing the opening hours, among others.
3. Contactless deliveries as a future trend in e-commerce
The contactless deliveries allow deliver the product at home without any physical contact between the dealer and the buyer. During the pandemic, this is one of the most useful e-commerce trends of 2020 , since it allows to avoid the contagion of the coronavirus in logistics operations as important as last-mile shipments. Generally, these types of secure deliveries are managed by mobile apps that avoid physical contact when processing proof of delivery.
4. Trends of the future of electronic commerce in deliveries
Robots and drones for deliveries are one of the trends in electronic commerce that have been developing for several years. It consists of implementing ground or aerial robots to distribute products in the last mile. Generally, they are used in urban areas, hotels or airports, however, their use has aroused greater interest during the pandemic, as it is an effective method to avoid contact between people.
For example , Starship Technologies is a company dedicated to the manufacture of robots for food delivery. This robot is capable of transporting products within a radius of 6 kilometers and its route can be tracked through a mobile app.
5. Click & collect mode as an e-commerce trend
With the click & collect mode, the customer can make their purchase through the internet (click), and then collect the product in the physical store (collect). In this way, brands that have a physical store take advantage of their workspace and promote cost savings by reducing shipping costs.
For example , Walmart decided to implement the click & collect modality by adopting a system called Cleveron 401 or Pickup Tower , a 5-meter-high structure located at the entrance of the stores. Once the customer places the order online, an employee loads it into the Pickup Tower, where the customer can go and pick up their product once the corresponding notification has been received.
Although this modality has been implemented for years in the market, the pandemic has made it become one of the most powerful trends in electronic commerce today.
6. E-commerce trend of real-time tracking
Real-time tracking is one of the most useful e-commerce trends related to last-mile delivery. On the one hand, this modality allows companies to supervise the routes followed by their carriers during product deliveries. On the other hand, it also benefits customers, who can obtain real-time information on the status of their orders. In this way, better service is provided to users, thus reducing uncertainty and customer dissatisfaction , and promoting brand loyalty .
As you will see, e-commerce trends have evolved as solutions that seek to meet the needs of increasingly demanding customers. Due to this, companies that are committed to e-commerce will have to face a progressive transformation, in order to stay at the forefront in all their logistics and digital operations.