Sunday, August 14, 2022
spot_img
HomeBusiness12 Reasons Why Digital Transformation is The Future Of eCommerce

12 Reasons Why Digital Transformation is The Future Of eCommerce

Continuous changes are taking place in the market requirements. It is of paramount importance for most companies, however, to stay current with these changes. This challenge can be overcome through digital transformation. Digital technology is integrated with a company’s business processes and culture.

Digital technology should be incorporated into eCommerce business activities, whether they are B2C or B2B. Therefore, many experts believe digital transformation will shape the future of eCommerce stores. In support of this view, here are some compelling arguments.

eCommerce’s Future is Digital Transformation: 12 Reasons

As a starting point, digital transformation is evident in the way B2B and B2C companies compete with one another. Consumer behavior and data insights can be used to formulate and implement business strategies. In order to achieve their desired results, businesses must implement such strategies.

Stores integrate digital technology with social media after starting an eCommerce business. Online ads were previously the only thing that could be published on social media accounts. Things haven’t changed much in a long time. In addition to publishing online ads, eCommerce brands also interact directly with customers through social media.

The importance of digital transformation cannot be ignored by e-commerce businesses.

1. As a result of digital transformation, customer expectations are increasing

Along with existing technologies, eCommerce companies are adopting trending technologies. Artificial Intelligence algorithms, Internet of Things (IoT), and robotics are among the prominent examples.

Digital transformation has resulted in a higher level of expectations among customers as a result of these feature-rich technologies surfacing and being adopted by companies. Additionally, augmented reality (AR) and virtual reality (VR) can enhance customer experiences

Business activities can only be integrated with these technologies through digital transformation. Providing the best customer experience may include digital transformation in eCommerce stores’ schemes of things.

2. Creating a strong online presence for brands requires digital transformation

Due to the deep penetration of the Internet and its wide availability, brands have transformed how they engage with customers. Consequently, brands are becoming increasingly dependent on their online presence. An effective online presence is essential for generating sales and revenue.

Retail stores are a viable option for some customers. However, they visit eCommerce stores to find out more about a product. An engaging and up-to-date piece of information about an item is the only thing that will convince a customer to purchase the item.

As a result of digital transformation, brands are able to regularly update the information about their products. The information provided about a product can sometimes arouse the curiosity of a customer. Most of the time, potential customers will contact an eCommerce store with their questions.

It is likely that these activities will continue to increase in the future, which will make digital transformation a key consideration for most eCommerce stores.

3. To drive digital commerce, digital transformation provides the necessary tools

Driving digital commerce requires a number of platforms and tools. In turn, online stores should provide consumers with an easy-to-use experience. In today’s competitive business environment, eCommerce stores need to stay competitive.

In eCommerce stores, digital transformation brings the fluid and seamless experience that most customers expect. Smartphone users and FinTech players will increase the demand for digital transformation in the future.

4. Direct sales of products to customers are facilitated by digital transformation

Nowadays, most companies have started selling directly to consumers (DTC). An eCommerce store can benefit from two major advantages with this approach. Customer satisfaction is also increased when the customer experience is controlled.

Existing customers give positive reviews to brands when they are satisfied. Prospective customers are also encouraged to invest in a brand’s products as a result of such reviews. A brand’s sales and revenue increase as a result.

5. Everyday life can be transformed with digital transformation

Currently, all types of businesses must undergo a digital transformation. eCommerce stores need it as market dynamics continue to change over time. As well as staying afloat in the market, such stores must also compete with their rivals.

By integrating digital technology into business activities, both tasks can be accomplished simultaneously. A brand can benefit from this move in two ways. A brand can increase productivity and add value to its business by taking this approach.

In the coming years, digital transformation alone has the potential to reach $2.4 trillion in eCommerce. It will be necessary, however, for eCommerce companies to replace manual processes with digital strategies in the future if they intend to achieve this goal.

6. Augmented Reality Maximizes Online Shopping Through Digital Transformation

Today’s customers are more intelligent and informed than ever before. A product’s specifications and other details are taken into account before they purchase it. Visualizing the product helps them determine if it is the right one. Augmented Reality (AR) has made things easier for customers in this regard.

When it came to visualizing products in the past, people relied on their imaginations. Then, they can make informed decisions based on their vision of a product. As AR has evolved, this has become possible. Shopping from eCommerce stores today allows customers to overcome psychological barriers easily.

Both customers and businesses have benefited from augmented reality. Thus, SaaS-based eCommerce solutions like BigCommerce are able to integrate AR.

7. The conversion of physical retail businesses to digital has been facilitated by eCommerce, and it will continue to do so

The Covid-19 outbreak caused people to stop buying their preferred items or going to concrete stores. Most customers changed their standard practice after the outbreak of the pandemic caused frequent lockdowns. People who had never shopped online for essentials or other products were forced to do so.

Physical store owners were able to transform their stores into digital stores in two ways thanks to lockdowns. In response to the closure of their concrete stores, some shopkeepers started their own eCommerce stores. The purpose of this collaboration was also achieved with the help of existing eCommerce vendors. By offering digital solutions to customers, shopkeepers maintained profits and sales.

There will likely be an increase in the purchase of goods from eCommerce stores as the world returns to normalcy. Both existing and prospective buyers are likely to be attracted to the convenience of shopping online.

Digital transformation is expected to boost retail e-commerce sales in the United States to 476 billion dollars by 2024. In the coming years, other countries will also achieve impressive growth in retail e-commerce.

8. Big Data helps enhance personalization through digital transformation

Through data-driven insights, personalized B2B marketing underscores customers’ preferences. By using machine learning, big data, and artificial intelligence, it can be achieved.

Consumers can get personalized items from Amazon and other major eCommerce retailers using machine learning (ML). To create personalized shopping experiences, retailers use ML to draw insights into their customers’ activity.

Adding personalization and big data to their business models is not a problem for eCommerce retailers.

Having access to big data provides companies with a lot of information. In spite of this, it isn’t automatically organized. In order to properly analyze and process the vast amounts of data that it generates, it must be processed. This process can be simplified and streamlined through artificial intelligence and machine learning.

9. APIs and headless eCommerce power digital transformation through eCommerce innovation

It involves decoupling a company’s eCommerce platform from its backend to streamline operations.

Customers’ preferences are seamlessly recorded into its database by Lark, one of the largest brands. Before reaching the front end, data entering its headless eCommerce system passes through numerous APIs. APIs include progressive web apps and content management systems.

It is undeniable that headless eCommerce offers some undeniable advantages, such as flexibility, customization, and personalization. Aside from being SEO-friendly, it also facilitates multiple international transactions under one site.

Multiple devices are preferred by some users when shopping online. It is more common for them to switch from one device to another than to remain confined to a single device. The ability to offer customers a smooth experience and monitor their behavior is a major challenge for businesses. By implementing headless eCommerce, they can exert greater control over the consumer experience.

More eCommerce retailers will likely implement headless eCommerce with APIs to provide a valuable customer experience.

10. Digital transformation will result in alternative payment methods

In eCommerce stores since the 1920s, credit cards have been the obvious payment method. Blockchain platforms, however, have started to change things. Since Bitcoin and other decentralized digital currencies have become increasingly popular, shoppers have begun searching for payment options involving them.

To remain competitive, businesses, especially those in the apparel and luxury goods sectors, need to integrate alternative payment methods. The future of eCommerce stores may be shaped by new players entering the blockchain technology domain.

11. Leads from Google and Bing are more useful for businesses due to digital transformation

To gain leads, most businesses rely on search engine optimization (SEO). It is more important, however, to convert those leads into sales. Optimizing conversion rates (CRO) can help. An organization’s digital marketing strategy is incomplete without it.

Through effective frameworks, CRO promotes optimization. Admins tweak their strategies and measure their results with the latter’s assistance.

Forbes reports that top companies invest up to $2000 in CRO tools every month. Top brands will continue to improve navigation options, product descriptions, and page design over time.

12. One of the top reasons for B2B eCommerce sales growth is digital transformation

There is a thriving B2B eCommerce market at the moment. The foreseeable future, however, still holds a lot of challenges for it. A study conducted by Statista predicted that this sector in the United States would grow to $1.1 trillion by 2021.

In the future, digital initiatives will be implemented at a higher rate due to the growing emphasis on digital transformation. Brand loyalty is therefore one of the main objectives of B2B businesses. Future B2B businesses will benefit greatly from digital solutions, regardless of whether they update product catalogs or include cutting-edge templates.

Conclusions

For eCommerce brands, digital transformation is the next big thing since it is a continuous process. As a result of digital transformation, brands’ online presence promotes digital commerce. Besides boosting profit margins, the latter allows eCommerce stores to stay within budget without exceeding it.

Together with the reasons mentioned above, digital transformation will become a valuable asset for eCommerce in the future.

5/5 - (4 votes)
RELATED ARTICLES

LEAVE A REPLY

Please enter your comment!
Please enter your name here

- Advertisment -spot_img

Most Popular

Recent Comments