AI, AR and VR
Research by Mintel but also at the CES2017 (the world’s largest home electronics and technology tradeshow) show that artificial intelligence (AI), augmented reality (AR) and virtual reality (VR) will be the key disruptive home technology for the upcoming 20 years, and will have a big impact on the way we shop.
Voice control takes away the need for a physical interface, and could make current technology obsolete. It allows for an instant convenient shopping service by simply asking Siri (Apple) or Amazon Echo what you need. As voice control is developing rapidly (online) retailers should explore the opportunities offered by this technique as well.
Embracing mobile technology
Mobile usage is embedded in our daily lives. The simplicity and its convenience are key to this success. Consumers embrace mobile technology such as contactless payment methods via their smartphones, and are more loyal to brands who incorporate these mobile technologies into their online shopping experiences.
In 2016, Criteo conducted a research that showed that retailers who prioritised the mobile experience saw that 54% of all online transactions were done via the mobile app. These app-users browsed products by 286%, and had an add-to-basket rate which was 90% higher than those shopping via a mobile browser.
Online shoppers expect complete flexibility and control on their orders and deliveries. They have strong views on delivery price, service and times. The majority expects delivery options that extend beyond their homes, such as Click&Collect or parcel lockers. They also require more efficient services and the ability to track their online orders every step of the way. Although consumers are willing to wait for what they consider non-urgent orders, they still want to be able to monitor where their order is in the delivery process.
Fuelled by mobile technology, online shopping habits change constantly, and online retailers should try to keep up, and even predict consumers’ needs. Logistics parties should also keep up with these needs, and provide track & trace on all shipments. Recently, Spring introduced Tag & Trace, a cost effective tracking based on RFID for low value and non urgent items. Allowing online retailers to provide the required insights to their consumers.