According to data from Euromonitor International, 2019 was the first year that more than 50% of the world’s population was connected to the Internet. People are likely to stay connected throughout 2020 and beyond as more consumers are using the Internet for the first time because of affordable online access and mobile phones.
Technology motivates us to be innovative and develop trends that change the way we do business. Here are some technological trends that experts predict will change commerce significantly in 2020, as told by Pulse Labs.
Changes in privacy regulations
Many customers expect companies to tailor their services and products to their needs. However, consumers have to provide some of their personal information for businesses to customise their inventory. While this is a necessary trade-off, customers are apprehensive about this since providing details like address, phone number, and credit card information can make consumers prime targets for identity theft. Rules and regulations that protect a customer’s privacy are in effect for nearly all reputable businesses to give shoppers peace of mind and protection. Some companies are taking extreme measures to keep consumer information private and only ask for minimal details when making a sale. This has helped to boost the company’s reputation by showing genuine concern for their clients and the community.
A rise in passive commerce
Society is on the cusp of the Internet of Things era. This means the connection between customers and businesses will change and continue to develop, which will result in passive commerce. Passive commerce includes utilising machines to complete purchases and complete household tasks. Several major corporations like Whirlpool and Samsung are planning to sell appliances that can make home and professional life easier with automated intelligent features.
The Internet of Things will also change the way many customers browse for the items they want by foregoing traditional shopping methods.
Competition with delivery
Logistics and delivery are competitive facets of business these days. From retail businesses to software companies to restaurants, every company is focused on getting the right items to customers as quickly as possible.
Delivery technology like drones is gaining access to delivery professionals to enter your home and place your packages inside while you’re away. Drones and other forms of key-less delivery are in the headlines and many companies will likely adopt this technology in some form to make shopping more convenient for customers.
The introduction of 5G
Researchers and technology companies have talked about 5G for about 10 years now. 5G technology will likely become a reality in 2020. All the economic leaders in the world: South Korea, China, Japan, and the US, as well as other European countries, have decided to plan for 5G deployment. This technology will change the way we use mobile devices and speed up downloads up to 10 times more than 4G LTE. With 5G, you’ll be able to download songs instantly and movies in a matter of seconds using a voice search or by typing in a song or movie title. 5G technology is also a system that will power driver-less cars. A November 2019 survey by Euromonitor International revealed that around 40% of professionals in the industry say that 5G will be at the forefront of customized m-commerce and give people better access to the internet in highly populated areas.
People are spending less time utilising traditional media so brands are relying on digital marketing and social media to reach their customers. The internet has become a virtual billboard for most businesses and brands have a variety of tools to reach their clients through social media. However, these tools come with drawbacks as well. For instance, a business may partner with another company to attract more clients. After a few months of doing business together, one company owner may find that his/her consumer philosophies and brand values are not in keeping with the partner company. If the business owners are feeding or customers have a negative experience with either brand, the news could go viral.
Social media and other digital channels provide marketing teams with unlimited access to customers. However, many brands have a hard time establishing a relationship of trust with their clients. Since most online content is sponsored, some customers may question a company’s authenticity. In 2020, businesses will again face the pressure of staying true to their brand when using digital marketing methods. This will require honesty and transparency with customers to build a sense of comfort that could lead to more sales.