December 1, 2011
By the ZippyCart Content Team
The successes of both Black Friday and Cyber Monday are encouraging signs for the ecommerce industry. Merchants worked hard this season to draw shoppers to their online stores and get them to fill their shopping carts. Record numbers of consumers flocked to retailers online storefronts to make purchases making it apparent that consumer confidence in online spending is at an all time high.
Although 2011 greeted merchants with many opportunities in the thriving ecommerce sphere, 2012 is sure to bring them unmatched success. The new technology and tools available in the marketplace in 2011 have helped retailers greatly increase sales and will only become further refined and useful in 2012. With the amount of competition in the ecommerce industry, 2011 brought innovation and diversity among retailers. 2012 will see retailers build upon new revenue streams and refine last year’s innovations.
To ensure success in the upcoming year, merchants should pay close attention to the 6 ecommerce trends for 2012 outlined below.
6 Emerging Ecommerce Trends For 2011
We recently spoke with co-founder and CTO of Baynote, Dr. Scott Brave, regarding the importance of leveraging new forms of personalization on ecommerce solutions. Personalization is moving away from the old-school idea of simply creating personalized greetings on a web page into complex personalization that is behaviorally infused. Brave suggests for success in 2012, retailers will need to focus their personalization efforts on shoppers “real time interest and intent.” We are moving beyond the days of reaching consumers through demographic and other types of segmentation. Retailers must now be in touch with what consumers are thinking and feeling at the specific moment they are shopping. According to Brave, retailers can gain access to this information by collecting consumers behavioral signals. Behavior signals include where shoppers are engaging, where they are spending their time online, what words and phrases they use to find products on search engines, etc. Old methods of personalization do not gather any information on consumer interest and intent and therefore will not efficiently leverage the benefits of personalization as we will see it in 2012.
Online and Offline Integration
Online and offline integration is also a developing trend that will only become more vital to retailer success in 2012. This integration is taking on a completely new meaning than it had in 2011. Throughout the past year, integrating on and offline shopping simply meant offering features such as in-store pick of products purchased online. However, the type of integration ecommerce solutions will see trending in 2012 is bringing the offline shopping experience to the online marketplace. This can take the form of social shopping, extra personalization, one click checkout and more. Websites like sneakpeeq have engaged in this trend by creating online social shopping experiences that match the offline experience. Additionally, PayPal opened a pop-up store in New York City to show users how they plan to integrate on and offline shopping in the new year.
Whether retailers are prepared for it, or not, shoppers are already integrating these two spheres in their own way. Consumers rely on their smartphones almost immediately upon entering brick-and-mortar stores in order to look up online reviews and price comparisons. Retailers should use this integration to their advantage by designing physical storefronts to accommodate interface with ecommerce solutions through consumers use and reliance on smartphones.
Continuing on from online and offline integration, retailers in 2012 must have a handle on their mobile commerce solutions. Consumers are embracing mobile commerce more than ever and mobile is now strategically important for all retailers. PayPal reported a 516% increase in global mobile payments this Black Friday compared to Black Friday 2010. Furthermore, there was a reported 371% increase in the amount of consumers shopping on mobile devices this Black Friday from the same day in 2010. In addition, mobile commerce solutions could see a shift from apps to m-sites in 2012. It may be time for merchants to ditch apps in favor of m-sites as shoppers are increasing looking to m-sites due to their immediacy.
Marketplace Optimization is a fairly new term coined by Zoovy but has potential to be a big ecommerce trend in 2012. It is an important tool for merchants who depend on business gained through their storefronts on marketplaces like Amazon or eBay. On these marketplaces, merchants aim to be the highest ranked seller when it comes down to consumers deciding on purchases. Competition on marketplaces is stiff and sellers need ways to separate themselves from others who offer identical products. Marketplace optimization is the idea is that merchants can increase their ranking and position on marketplaces, thus close more sales when a competitive price isn’t enough. Zoovy has developed specific techniques to help merchants achieve marketplace optimization and improve performance and plans to announce these techniques in January 2012.
Facebook commerce thus far has been a lot about experimentation for retailers, but with growing success in the area it is important for retailers to add a sales channel to their social strategy in 2012. Although f-commerce has mostly been in the testing stage, F-commerce will prove to extremely valuable for retailers, especially with the growing amount of users who “liked” and shared products in their news feeds in 2011.
Social shopping through Facebook is also gaining popularity with platforms like Shopcade and sneakpeeq, both of which attempt to recreate the offline shopping experience using an online platform (ahem, online and offline integration). Facebook commerce is beneficial for both these sites due to the amount of likes and shares products receive from shoppers using these apps. Although Facebook has been slower starting in the ecommerce scene than originally expected, consumers are beginning to feel more comfortable making purchases through social media outlets, making F-commerce a trend that will only gain momentum in 2012.
As we’ve seen with Shazam’s new technology, Shazam for TV, the ability to purchase products seen on television or other kinds of video media is gaining momentum. Currently, Shazam for TV has partnered with television shows in order to allow audiences to access products from their mobile devices while watching certain television programs. In 2012, video commerce will continue to be further developed in the ecommerce sphere as follows: Suppose you are on a brand’s online store and there is a video of someone in a particular outfit, you might click on her skirt and move it into your cart. This video commerce is different than what it looked like 2011, as consumers will not only see automated products videos. The video commerce trend of 2012 is moving beyond automated product videos and becoming an interactive process where shoppers can access products they see on TV at the same moment they are watching it. Ecommerce solutions who can leverage this technology will put themselves ahead of the pack in 2012.
There are several trends that were considered for this list such as group buying, private sales sites and push shopping. Push shopping and private sales sites are definitely still relevant, but are not new or emerging trends for 2012. As far as group buying, it’s hard to say if it will continue to be a relevant trend considering the ups and downs Groupon has experienced on the road to their IPO. Although Groupon and competitor Living Social met some success this past weekend on Black Friday and Cyber Monday, it’s difficult to be certain whether they will continue to thrive in 2012.
Opportunities and methods for connecting with customers and making sales are constantly evolving. As merchants prepare for the new year, they should consider trying out a couple of these emerging trends. With the increasing amount of consumers turning to online storefronts to make purchase, there will inevitably be more new trends that pop up in upcoming months.