0:00 E-Commerce is going to undergo a high number of changes because of technological and social 0:04 factors. I’ll describe the future of e-commerce and 9 trends that will exist in the future. 0:10 1. Augmented Reality Will Be Commonly Used Augmented reality simulates in-person shopping 0:16 experiences by allowing customers to see how a product might look on them or in their home. 0:22 With AR, customers click on a product and instantly see it overlaid wherever they point 0:26 their mobile device. And when customers can view products from every conceivable angle 0:31 in an interactive 360-degree experience, it gives them a better idea on the value that 0:36 the product can offer. 0:38 Smartphones, smart glasses, and other handheld and wearable devices will provide the bulk 0:43 of these experiences. 0:44 Shopify AR is an example of a tool that already allows customers to view products in natural 0:50 environments before buying them. This helps to ensure that the product is fit for the 0:54 purpose intended. This helps customers make informed decisions quickly when it comes to 0:59 choosing a brand to buy from. 1:00 And here’s what most people don’t realize: augmented reality is likely to be more widely 1:05 used than virtual reality. 1:07 According to Grand View Research, the global virtual reality market will be worth $67 billion 1:12 in 2028. By comparison, the augmented reality global market will be worth $340 billion in 1:20 2028. That means that the augmented reality global market will likely be 5 times larger 1:24 than the virtual reality global market. 1:27 2. JARVIS-Like AI Assistants Will Begin to Become Popular 1:32 Most people in developed countries could have AI assistants to improve the quality of their 1:37 lives. According to Peter Diamandis, founder of Singular 1:40 University, services like Alexa, Google Home, and Apple HomePod will expand in functionality. 1:45 They will eventually expand beyond just the home and become your cognitive prosthetic 1:50 24/7. Depending on what permissions you grant to it, a secure JARVIS-like software could 1:56 listen to all your conversations, read your emails, monitor your blood chemistry, and 2:00 more. With access to all of this data, this AI-enabled software would learn your preferences, 2:06 anticipate your needs and behaviors, shop for you, monitor your health, and help you 2:10 problem-solve in support of your mid- and long-term goals. 2:14 And by the mid-2030s, we will begin using brain-computer interfaces to connect to the 2:19 human neocortex, according to Ray Kurzweil. This will allow us to interact with AI assistants 2:25 with our thoughts and bring this technology to an entirely new level. 2:30 3. Crypto May Become A Common Payment Option To reach more consumers, especially Generation 2:36 Z and Millennials, brands will need to accept as many payment options as possible. The price 2:41 fluctuations for crypto currencies may begin to stabilize over the next decade, which will 2:46 make them more attractive payment options for large companies like Amazon and large 2:51 payment processing companies like PayPal. 2:53 On top of that, most cryptocurrencies use blockchain technology to record transactions. 2:59 Basically, blockchain is a shared database that allows multiple parties to access data 3:04 and verify that data in real time. Blockchains make it difficult or impossible to change, 3:09 hack, or cheat the system. According to Grand View Research, the global blockchain technology 3:14 market will grow from $6 billion in 2021 and to $395 billion in 2028. That’s a whopping 3:20 65 times increase in just several years. With such a massive increase in the use of blockchain 3:26 technology, most industries will have a far greater familiarity with blockchain and cryptocurrencies 3:31 in general. 3:32 4. Autonomous Delivery Drones Could Become Mainstream 3:36 Delivery drones are capable of handling and automating shipping in different volumes, 3:41 all without human intervention. 3:43 The advantages of automated shipping for e-commerce are many. They include: 3:47 • Speed in delivery time • Reduction of freight costs 3:50 • Accident reduction • Decrease in human error 3:53 • Reduction of co2 emissions • And customer satisfaction 3:57 Amazon Prime Air will deliver packages up to 5 pounds within 30 minutes or less using 4:02 small drones. Amazon has been developing and testing the platform through Prime Air development 4:08 centers in the U.S., the U.K., Austria, France, and Israel. And in August 2020, Amazon received 4:15 approval from the FAA to operate its Prime Air delivery drones to “safely and efficiently” 4:21 deliver packages to customers. 4:23 Also, UPS Flight Forward was the first company to get the U.S. government’s full certification 4:29 to operate a drone airline. In 2020, UPS Flight Forward and CVS partnered to deliver prescription 4:31 medicines from a CVS pharmacy to The Villages, Florida, the largest U.S. retirement community 4:32 in the U.S. 4:33 5. Virtual Reality Will Play an Essential Part of Marketing Initiatives 4:36 The use of virtual reality devices will allow people to view products from any angle imaginable 4:41 and see those products in action within virtual environments. 4:45 With virtual reality, we could quickly change the type of product we’re looking at and 4:49 change the environment so that we could view the products in different contexts. 4:52 It’s expected to transform multiple industries such as education, social media, video games, 4:58 and entertainment. 5:00 6. In-App Purchases on Social Media Platforms Will Be Commonplace 5:04 Facebook and Instagram make it easier than ever to let consumers buy products without 5:08 ever leaving those platforms. 5:10 Facebook Shops lets you set up a shop that people can browse and lets people buy your 5:14 products directly on Facebook. You can already see brands like ThreadBeast 5:15 setting up these types of social media storefronts. 5:16 Instagram Shoppable posts allows you to add your products to your Instagram posts and 5:20 enable easy checkout without ever leaving the platform. 5:21 Likewise, Pinterest has a Buyable Pins feature that allows shoppers to buy products directly 5:26 on Pinterest. 5:27 These are perfect tools for companies to increase their sales because 54% of social media users 5:32 research products using social media. Not only that, these tools simplify and shorten 5:37 the customer journey and reduce abandoned transactions. 5:41 7. Emerging Markets Will Play a Huge Role In July 2021, there were more than 4.8 billion 5:46 users online. That was 63 percent of the world’s population of 7.7 billion. 5:52 Cybersecurity Ventures predicts that there will be 7.5 billion Internet users by 2030—that 5:59 would be 90 percent of the projected world population of 8.5 billion in 2030. 6:04 A high percent of those additional internet users will live in emerging markets like India, 6:10 China, Brazil, Russia, and South Africa. That’s going to lead to an extra 2.7 billion potential 6:16 consumers on the internet. 6:18 That could lead to a massive increase in profits for e-commerce based companies of all sizes. 6:23 8. Voice Commerce Will Grow in Popularity Voice commerce will top $40 billion in the 6:29 U.S. by 2022. Even though the global smart speaker market is growing rapidly, the majority 6:34 of voice activity occurs on mobile devices through virtual assistants. 6:38 It’s also very common for consumers to use voice search features in search engines such 6:43 as Google and Bing to search for products. Since voice search typically happens in the 6:48 form of questions, the page ranking of various websites and webpages could be greatly affected 6:53 over time. 6:55 9. More Product Descriptions Will be in Video Format 6:58 According to studies conducted by Social Media Today, 60% of shoppers would rather watch 7:03 a product video than read a product description. 7:05 Also, 64% of shoppers are more likely to purchase a product after watching branded videos on 7:12 social media. 7:13 These studies help prove that shoppers want more interactive experiences when making a 7:17 purchase to better understand the value being offered. 7:20 Additionally, the video format is ideal for providing product demonstrations and utilizing 7:25 internet influencers. 7:27 Amazon is already using more product descriptions in the video format and this trend will only 7:33 grow throughout the entire e-commerce space. 7:35 Thanks for watching. Make sure to watch the video to the right about the future of augmented 7:40 reality.
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