What should e-commerce startups’ expectations be in 2023? What trends should startups keep an eye out for this new year? How are these trends going to impact startups and the e-commerce industry? The e-commerce industry has witnessed incredible growth since the pandemic with the rapid adoption of digitization in all spheres. Ecommerce revenue is expected to reach $4.48 trillion by the end of 2023. The industry is expected to grow at a CAGR of 9.3% reaching $6.3 trillion by 2027. The e-commerce industry is extremely competitive. For startups to remain competitive and find new opportunities, it is important that they stay in sync with the latest trends in 2023. Here are some trends e-commerce startups should keep an eye out for to manage their expectations. E-commerce startups should be aware of one thing — nothing stays the same in the e-commerce world. Consumer preferences and changes in technology are very frequent. Not keeping up with the latest trends is one of the biggest e-commerce marketing mistakes you could ever make. If you want to boost online sales while increasing customer trust and satisfaction, you must be aware of the latest trends in the eCommerce industry. Here are some of the trends that are going to shape the e-commerce industry in 2023. Virtual Reality and Augmented Reality are not new concepts in ecommerce. A growing number of brands, including ecommerce startups, are turning to VR and AR to offer an immersive shopping experience to their customers. One of the downsides of online shopping is that customers are unable to touch or feel products. Most brands try to make up for it by using high-quality images. Why not use VR to go a step further and exceed customer expectations? Case in point, IKEA The IKEA Place app lets you virtually place 3D models of its furniture and fixtures in your home. It helps customers visualize how a specific piece of furniture would look like in their house. The app essentially helps customers figure out whether an item is the right fit for their homes. Image via IKEA Launching a similar app or features on your e-commerce website could help e-commerce startups exceed customer expectations. In 2021, e-commerce purchases worth $4.6 billion were made through voice assistants. This number is expected to reach $19.4 billion in 2023. For eCommerce startups, this trend could be a game changer. Amazon already has Alexa Voice Shopping which allows shoppers to add or remove items from their shopping carts using voice commands. Image via Amazon Other e-commerce giants like Walmart and Alibaba are also offering voice shopping. Voice shopping is going mainstream because of the convenience it offers. If you want to boost ecommerce sales and go beyond customer expectations, offering voice shopping is the key to your success. Social media is already an integral part of the e-commerce marketing strategy of numerous brands. Many brands have created a robust social media presence to widen their reach. In fact, global sales through social media platforms were estimated to be around $992 billion in 2022. The value of social commerce sales is expected to reach $2.9 trillion by 2026. Social commerce is going to be big in 2023 with more and more brands using it to sell to customers where they are most active. From live shopping to shoppable posts, social commerce is going to play a big role in ecommerce startups’ success this year. For exmaplPharma ecommerce startup companies now using HCP engagement platforms to get more social e-commerce ROI from their social media campaigns. One of the best examples of brands leveraging social commerce is Kylie Cosmetics, which has over 25 million followers on Instagram. Image via Instagram The brand uses Instagram marketing tactics and sells over 150 products on this social platform. It also partners with various influencers to showcase and promote these products in their stories and Reels. If eCommerce startups want to fulfill the expectations of their target audience, social commerce is crucial to their marketing strategy. After all, consumers rely heavily on their social media feeds for shopping suggestions. 73% of customers prefer to watch a video to learn about a product or service. Consider investing in professional video editing software to create stunning videos for your social media accounts. Most people spend a lot of their time online, but they are not necessarily on their computers. Smartphone usage has increased exponentially. Having your phone with you at all times is considered absolutely normal and even essential. Whether it is big brands or eCommerce startups, enabling your consumers to shop through their smartphones and tablets has become crucial to keep up with customer expectations. In 2022, smartphones generated 73% of retail traffic and 63% of online shopping orders. For eCommerce startups to stay competitive, offering a mobile-friendly shopping experience to your customers is an absolute necessity. Take a cue from Sephora. Sephora’s Virtual Artist feature on its mobile app allows customers to try on hundreds of products virtually. Image via Sephora To ace mobile commerce, eCommerce startups should also strongly consider offering payment options that can be easily done using mobile devices, such as Apple Pay and Google Pay. The easier you make it for your customers to shop, the more sales you’ll generate. Don’t forget to ask your customers to leave Google reviews. You may embed Google reviews on your e-commerce website for social proof. Almost all brands, including emerging e-commerce startups, are using technology to improve customer relationship management. To overcome the challenges of CRM, brands are investing in the best lead-generation software, automation tools, and many other solutions. However, that’s not enough. To build solid customer relationships, eCommerce startups need to stand out and sustainable practices can help with that. Customers are also becoming increasingly aware and are actively looking for sustainable brands. According to a report, 78% of people want to buy from environment-friendly companies. 66% of people are even willing to pay more for sustainable products. In 2023, eCommerce startups should expect to see more and more brands going green and embracing sustainability. A lot more brands these days are selling products made of sustainable materials. They are also choosing more eco-friendly packaging options and offering customers more sustainable shipping options. A good example is Humankind — an e-commerce company that sells personal care products. The company is making serious efforts to cut down on single-use plastic. By substituting single-use plastic products with other sustainable materials, Humankind is creating products that are not just beneficial for their customers but also good for the environment. Image via by Humankind The growing popularity of websites like Thrive Market and Kalyx also reaffirms the fact that customer expectations have changed, and they are looking for greener products. The future of the e-commerce industry is going to be exciting for e-commerce startups as well as buyers. As an entrepreneur, it is extremely important to keep your finger on the pulse when it comes to emerging trends in the e-commerce space. Leverage the trends mentioned above to boost sales and manage your e-commerce startup’s expectations. Keep these trends in mind when developing your e-commerce strategy for 2023.E-commerce Startups’ Expectations: Trends to Look Out for in 2023
1. VR/AR to Become More Prevalent
2. Voice Shopping to Grow
3. More Brands to Use Social Commerce
4. Mobile Will Be a Massive Driver of E-commerce Sales
5. More Brands to Go, Green,
Conclusion
