The world of E-commerce is changing with the speed of a sports car. This transformation is taking place because customers are no longer depending upon businesses; businesses have to depend upon customers because they are the KING now.
Shoppers today want personalized experiences that fit their choices and lives, not just transactions. Businesses must keep themselves updated with the latest trends, demands, and features available to satisfy customers and win their trust.
With the rise of generative AI, augmented reality, and social commerce, retailers are presented with a wealth of opportunities to enhance customer engagement and drive sales.
The stakes are higher than ever for tailored advertising that meets specific demands or immersive experiences that let people picture things in their contexts.
Let's discuss the key trends shaping the e-commerce landscape in 2024 that show how businesses can win the market by prioritizing innovation and customer-centric strategies.
10 eCommerce Features & Trends to Look in 2024
E-commerce is an area that is constantly advancing, and 2024 will be the year that many new and innovative changes will be made in the way consumers shop online. From the generative AI in the search to the immersive AR experience, the business needs to be ready to cope with customer expectations.
Let’s discuss the top 10 eCommerce features and trends that will make the road to success for your business:
1. Generative AI & Zero-Click Search Conversation
Many retailers are left wondering how to actually use generative AI technology in their e-commerce websites, whether or not customers will engage with it on search engines, and, frankly, what they need to change to avoid falling behind despite the technology's rapid rise through tools like ChatGPT.
Many e-commerce websites have started to implement conversational or generative search features in 2024 after Google launched its Search Generative Experience (SGE) at the end of 2023.
According to a Publicis Sapient global consumer survey, roughly 27% of consumers in general are enthusiastic about generative AI's potential to enhance real-time offer comparison and overall search results.
2. Consumers like Personalized Ads
Retail Media Networks (RMNs) outperformed search and social ads with $30 billion in revenue. This quick growth shows the trend toward tailored advertising. By 2028, RMNs will generate 15.4% of ad income, overtaking TV.
Consumers now find tailored adverts less bothersome. Many prefer customized ads. RMN advertising is "one-size-fits-all" when targeting loyalty members, which is an issue. RMNs can increase engagement and return business by segmenting offers using client data instead of blanket promotions.
Better personalization is essential for attention-grabbing. RMNs with personalized offerings will flourish and satisfy customers.
3. Social Commerce has the Potential to Drive Massive Engagement.
With 106.8 million Americans shopping directly on Instagram and TikTok, social commerce is booming. Millennials and Gen Z will dominate the market, increasing this number. Social media is where 83% of Gen Z shoppers start their shopping journey, highlighting the importance of companies on these channels.
Social commerce is anticipated to reach $7.4 trillion by 2026. Therefore, merchants should invest in social selling now. Customers expect seamless shopping experiences as brands make it easier to explore and buy things directly from their social apps.
Key 2024 Social Commerce Trends:
- Authenticity Matters – Gen Z appreciates authenticity, so businesses should interact with viewers in real, relatable ways to build trust and loyalty.
- Mobile-First UX Design — Most social commerce happens on mobile devices; therefore, optimizing for mobile devices ensures a frictionless experience.
- Seamless Omnichannel Commerce - Let customers create shopping journeys from social media to your website. Make channel changes smooth.
4. Mobile-First Dominates UX Design in 2024
Brands that follow these trends will gain social currency and stay ahead in the competitive e-commerce market.
Mobile-first design has revolutionized eCommerce. Brands now design their digital experiences for mobile users, moving away from secondary mobile optimization. This is important because 91% of consumers buy online on their smartphones, and by 2024, m-commerce will account for 40.4% of eCommerce sales.
M-commerce will grow to $856 billion by the end of 2027. With this trend, consumers prefer buying on their phones, and companies must react.
Key 2024 Mobile-First Strategies:
- Fingerprint and face recognition allow seamless login and checkout.
- User engagement is increased by creating dedicated mobile apps with easy navigation and eCommerce.
- Apple Pay and Google Pay reduce cart abandonment and improve checkout flow. Thus, integration of multiple payment options is a success mantra.
Retailers must prioritize mobile-first design throughout the purchasing journey in 2024 to prosper. This method boosts conversions and user pleasure.
5. AR and VR Make E-commerce Immersive
The lack of ability to provide users with the feature of "try on" things or imagine how they will fit into their lives is the major cause of cart abundance.
Users can use AR on their cellphones to virtually try on clothes, makeup, and accessories. The products can be tried on before buying. By allowing shoppers to virtually engage with things before buying, AR and VR have changed e-commerce.
Examples of businesses that have leveraged the benefit of AR/VR features:
- IKEA's AI-driven app lets customers see how furniture and appliances would fit in their space, streamlining the buying process.
- Audi gives customers the chance to try out products virtually, customize them, and make informed purchases.
- Immersion reduces purchase anxiety and boosts consumer confidence. The Snap/Publicis Media survey indicated that 80% of shoppers feel greater confidence in their purchases, and 66% are less likely to return things.
AR and VR have achieved much, yet they're still underutilized. AR, VR, and mixed reality solutions will improve online shopping in 2024 as more businesses adopt them.
6. Frictionless Payments and Short-Term Financing Streamline Checkout
Ecommerce businesses need to adopt multiple payment options that make a good choice option for shoppers to pay. In the last three years, half of millennial and Gen X consumers have utilized short-term financing like Paypal Credit, Afterpay, or Apple Pay Later. This rise of BNPL has also pushed “invisible payments”—transactions without visible customer-payment system interaction.
However, retailers must be careful when adding new BNPL options to their checkout. BNPL users are also more prone to financial difficulty. Retailers should offer more payment options for repeat BNPL users who prefer splitting purchases over four payments without burdening naïve shoppers with unpayable debt.
7. AI-Generated Images Blend Smoothly into Marketing
Generative AI is fast-changing internet advertising by allowing firms to produce tailored product visuals for different audiences. Companies can boost e-commerce conversion rates, cut costs, and speed up creative processes by using AI to place products in relevant "lifestyle" contexts.
While concerns about AI's impact—such as job loss (42%) and misinformation (53%)—exist, 27% of consumers knowledgeable about generative AI are optimistic about its ability to deliver personalized product suggestions. This indicates e-commerce's growing acceptance of AI.
In 2024, eCommerce Development Company needs to utilize AI-generated images in ways that captivate consumers, raising engagement, basket sizes, and overall conversion rates. Success will rest on balancing innovation with strong digital knowledge and quality control, making AI advertising feel natural rather than intrusive.
8. Word of Mouth, Product Reviews, & Influencers Drive Online Shopping
Online shoppers, especially younger ones, value authenticity more than ever. As corporations increasingly saturate social media with paid ads and influencer relationships, many consumers are turning to “unsponsored” product evaluations and genuine word-of-mouth recommendations from pleased customers.
According to a global survey by Publicis Sapient, 30% of consumers say they recommend their favorite brands to friends and family, highlighting loyalty as a key factor in brand preference. About half of consumers make purchases based on online searches (45%) and product reviews (41%).
As social media becomes overloaded with sponsored material and paid influencers, merchants who integrate user-generated content—from written reviews to video testimonials—into their e-commerce platforms will attract younger customers. Celebrating authenticity and using real customer feedback can help brands become the top shopping destination in 2024.
9. Consumer Privacy & Transparency are Key in 2024
Customers want personalized and seamless e-commerce, but they're wary of data scandals. According to Gartner, the share is expected to rise to 75% by the end of 2024, meaning your personal data will be protected by privacy regs.
Stakes exceed financial penalties. Brands that undermine customer trust, particularly around personal data, risk losing their business permanently. Trust breaches are dangerous and can lead to negative reviews and public outrage, hurting a business.
Personalization & CX strategies should prioritize data privacy and transparency. To preserve growth and consumer loyalty, firms must prioritize customer trust as they explore new AI and hyper-personalization methods.
10.Subscription Commerce Drives Retention in 2024
Consumers like subscription models because they combine automated deliveries with handpicked goods. Since it generates predictable revenue, e-commerce retailers like this trend.
It is expected that by 2026, global subscription e-commerce is expected to reach $904.2 billion, showing rising demand across sectors. Almost any seller can use subscription commerce techniques, from physical goods to digital services.
Brands can offer customized subscriptions to target consumer preferences, such as:
- Offering multiple pricing tiers makes memberships more accessible.
- Choices based on customer preferences improve the experience.
- Subscribers can customize delivery frequency and method.
Allowing subscription members to terminate or manage their memberships is as crucial as retaining them. Increasing government focus on misleading subscription practices can undercut goodwill garnered through flawless purchase processes by making it hard for customers to opt-out. By stressing transparency and client control, organizations can build loyalty and comply with changing requirements.
The End Note
When we consider the future of e-commerce in the year 2024, we can expect to see an even more exciting future of technological innovation and customer expectations. The retailers who will adopt this change will not only exist but will also grow with strong customer relations.
With the help of generative AI, engaging shopping experiences, and direct-to-consumer engagement, focusing on privacy and transparency, brands can foster customer loyalty in the age of market competition.
In this ever-evolving environment, it is important to keep up-to-date with trends. If you are interested in the next level of e-commerce performance and engaging your audience, you should cooperate with TypeOf.
Our understanding of the business environment and the ability to provide custom solutions will help your brand to overcome the challenges of the digital environment and find new opportunities for development.
So, let’s start this journey and transform the world of e-commerce and what is possible in it.
