The growth of technology is key to the growth of e-commerce. Technological advancements in content generation, payments, have blazed the trail for communication convergence to one single portal – digital. This digitization has made communication more efficient, faster and accessible. For businesses, this has been a boon!
Technology is powering the e-commerce industry and redefining it with new concepts. In 2020 alone, e-Commerce has estimated sales of about $27 trillion and the Indian e-commerce market is expected to grow to $350 billion by 2030.
Digital-first approach also became key when the pandemic hit. Much of the growth for the industry was also triggered by an increase in internet and smartphone penetration. Technological advancement became essential to increase accessibility for the customer without geographical restrictions, run promotional campaigns for new customer acquisition and offer an enhanced customer experience.
Approximately 400 million Indians have become a part of the online community over the last few years. This is because of affordable smartphones and the internet. This has given online brands a massive opportunity to enter the market. With enhanced CRM, AI and ML and an Omni-channel presence, tech-savvy brands are shrinking the gap between companies and customers by meeting the consumer where they already are – online.
Technology has helped brands be online in hours. Launching a brand online is a matter of hours. Comprehensible and affordable platforms such as Shopify, Amazon et al help brands get online without hefty investments. Facebook and Google ease marketing even with a limited budget. Logistics verticals such as Delhivery, Shiprocket optimise reach with a pay-per-conversion module. This makes supply chain management and shipping easier.
Brands are no more limited by their geographical location and or monumental rentals thus making e-commerce their major source of income. As tech grew so did the use of smartphones. The pandemic democratized the use of smartphones. As enhanced technology reached two-tier and three-tier cities, online brands grew exponentially. Internet connectivity across generations has also aided the growth of E-commerce. People are choosing convenience and unique experiences as they are no longer restricted by their location.
Customers today are looking for stories and experiences online. Their interest towards any brand is driven by personalized shopping experiences. Consumers are now spending a huge amount of time on their digital devices. As digital life becomes more personal and customized, the consumer prefers the same for shopping. This is where technology steps in. Tech-powered tools are helping e-commerce brands understand their consumer and offer tailored services. With advanced analytics powered by tech, brands can cater relevant content to customers and enjoy a more personalised business relationship.
Social Media has become the sales point where customers now expect brands to engage with them directly. Catchy content takes the consumer through the journey of a product and consumers also are interacting only with content that resonates with them. Tech is a big part of this connection. Technology for online shopping is contributing significantly to improving user experience not just on e-commerce websites but also on social commerce.
With tech-powered tools, brands now have the means to turn every shopping interaction into a meaningful experience. This is key to customer acquisition, retention and engagement in today’s retail landscape. Tech-powered tools sift through significant volumes of data and analyses the same for better customer segmentation. Analyzing consumer purchase patterns, previous transactions, interest, demographics and other such relevant data, tech tools help suggest relevant and personalised suggestions to the consumer which increases their chances of buying and interacting with the brand more frequently. The ease of access, ease of purchase and relevance is what tech brings to e-commerce.
Besides this, tech is crucial in creating more impactful advertising that is based on previous ad performances. Augmenting relevant reach by delivering tailored marketing content, like adverts, blogs, reels, videos etc techI works behind the scenes optimizing marketing cost.
Around 75% of customers expect a response within a couple of minutes. This means brands need to have state-of-the-art CRM in place and tech-powered chatbots facilitate the same. The chatbots are also not limited to just scripted, generic responses rather they are learning, evolving and imitating human responses,
This enhanced customer experience is further fuelled by seamless tech-powered logistics. Technology has made logistics including services like same-day delivery, next-day delivery hyperlocal etc easier. With end-to-end visibility, the customer and the brands can monitor order details and ensure timely deliveries and no pilferages. Besides these, facilities such as automation of warehouses, machine learning, order sorting, cancellations, rider allocations etc have become easier with technology making it much easier for brands to maintain inventory as per demand and supply.
Technology is reshaping e-commerce and augmenting its reach.