How the Rising Digitalisation Trend will Change the Landscape of Ecommerce Industry?

Rising Digitalisation Trend to Change the Ecommerce Industry

Indian Market
by 5paisa Research Team Last Updated: Dec 09, 2022 - 03:30 pm 15.6k Views

After the covid-19 pandemic, 2021 was the year of Digitalisation all across the world. Due to lockdown restrictions during the pandemic, various advancements have been made in terms of technology across the sectors be it in healthcare, education, or logistics.

The last two years were crucial for the logistics and supply chain industry, there were major changes that took place in the industry from advancements in technology to challenges in logistics, warehouses, etc.

Technology is considered one of the strong pillars of the e-commerce industry. And with the advancements in technology, customers are getting better experiences than ever before. Artificial intelligence, voice search commands, etc has made shopping easy.

People now can do their grocery shopping while watching TV, or playing video games. Customers can try dresses before buying them with the help of digitalisation in the e-commerce industry.

Let us try to understand deeper What is Digitalisation and What are the driving factors behind it?

Digitalisation simply means using digital technology for our own convenience or for business purposes.

What are the Driving forces that will change the E-commerce industry?

1. Shoppers looking for new products online:

According to the statistics by Salesforce, 87% of customers look for product information and reviews before buying any product. Therefore, consumers expect that the product information and reviews should be up-to-date on the e-commerce website.

2. Brands need a strong digital presence to show value:

Nowadays social media presence is very important for a brand to create value and reach out to a large group of customers. With the help of social media platforms, brands can sell goods and services directly to consumers without any intermediaries.

How will Digitalisation affect the Future of E-commerce?

1. Rise in D2C and Private Label Selling:

Earlier brands used to partner with major brick and mortar retailers but recently brands shifted to the D2C business strategy. In D2C the brands directly distribute goods to consumers without any middleman, with this brands get a better understanding of their consumer base through surveys, consumer feedback, and reviews. 

Brands that adopt D2C gain the ability to harvest consumer data so that they can learn more about their followers.

According to a survey, more than 55% of consumers want to buy directly from brand manufacturers as they want a personalized experience. Brands that use omnichannel marketing make more sales than those that don’t.

2. Augmented reality breaks all the barriers:

Augmented reality is a game changer in the e-commerce industry because it can help buyers to visualize the products before buying them. This removed the major psychological barrier to purchasing the items.

3. Big Data: A Big Player in Improving Personalisation:

Big data plays an essential role in digitalisation. E-commerce retailers like Amazon use big data to provide consumers with a highly personalised shopping experience. This happens by using Machine Learning to set site algorithms based on previous consumer activity. 

4. Beginning of the New Era:

It is said that 2022 will be the game-changing year for the technologies in the e-commerce industry. Metaverse, Artificial intelligence, Web3, Augmented reality, voice search commands, live streaming, omnichannel sales, and chatbots are the upcoming trends that will dominate the industry in 2022. 

Nowadays, various brands are buying digital assets and are setting up virtual stores in Metaverse. There are various voice assistants like Siri and Alexa which have become a part of people’s daily routine and are gaining popularity. Augmented reality and Artificial Intelligence are helping customers in their shopping. An omnichannel presence is helping brands reach to a large customer base.

Concluding to the topic, the rising trend in Digitalisation is helping to change the landscape of the e-commerce industry. All these emerging technologies are helping brands create a better customer experience.

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About the Author

Our research team is composed of some highly qualified research professionals, their expertise range across sectors.


Investment/Trading is subject to market risk, past performance doesn’t guarantee future performance. The risk of trading/investment loss in securities markets can be substantial. Also, the above report is compiled from data available on public platforms.

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