2024 eCommerce Overview

The future of eCommerce in 2024 and beyond is not just promising – it's on a trajectory to redefine how we shop, sell, and engage with brands on a global scale. And numbers speak for themselves here.

With projected revenue reaching a staggering US$3,6 billion in 2024, the digital marketplace is expanding at an unprecedented pace. This growth is not merely numerical, though. It reflects a deeper integration of technology and consumer behavior, with both components becoming irreplaceable in each eCommerce strategy.

The expected annual growth rate (CAGR) of 9.83% from 2024 to 2028 culminates in a market volume of US$5,3 billion. Fueled by innovations in AI, AR, and personalized shopping experiences, it meets the modern consumer's demand for convenience, speed, and engagement.

The anticipated increase in eCommerce users to 4.5 billion by 2028, with user penetration rising from 53.9% in 2024 to 63.2%, highlights the expanding reach of online shopping – with, virtually, no borders. It’s driven by improved internet access, mobile technology, and digital literacy across the globe.

The Average Revenue Per User (ARPU) projection of US$1,079 further illustrates the growing economic impact of individual consumers in the eCommerce ecosystem. This figure suggests that as users become more comfortable and confident shopping online, their spending will likely increase.

It all paints a vivid picture of the eCommerce landscape in the coming years, doesn’t it? Now, learn about some trends that will help your business not only sell more – but also create shopping experiences that will make the customers come back regularly and for more.

6 Main Trends to Shape eCommerce

#1 The AI Takeover

We wouldn’t have been ourselves if we didn’t mention AI.

According to the Precedence Statistics, global AI in the eCommerce market is predicted to reach $22.60 billion by 2032, up from $5.81 billion in 2022.

Considering how many use cases AI has for both new and existing eCommerce business operations, this comes as no surprise. Let us just link a few:

• Personalized shopping experiences, with AI analyzing customer data to tailor product recommendations and marketing messages.
• Visual search capabilities, as shoppers can upload images to find similar products.
• Inventory management, with AI ensuring efficient inventory control as it forecasts demand, optimizes stock levels, and reduces overstock or stockouts.
• Dynamic pricing, as algorithms adjust prices in real-time based on demand, competition, and inventory for full profitability.
• Fraud detection and prevention since AI is able to identify and mitigate fraudulent transactions.
• AI-powered chatbots provide instant customer support, handling inquiries and resolving issues around the clock – all without human involvement.
• Voice search content optimization, improving discoverability through voice assistants.
• Adaptable product descriptions and marketing messaging that change based on customer behaviour.

#2 Using The MACH Stack in Development

The MACH Stack represents a cutting-edge approach in the digital commerce landscape, full of flexibility, scalability, and future-proofing.

This architecture is defined by four key components:

• Microservices-based. Microservices allow for the development of applications as a collection of small, independent services, so that the updates and scaling are way more manageable.
• API-first. With an API-first approach, applications are built with APIs as the primary interface for interaction and integration, all for seamless connectivity between different services and platforms.
• Cloud-native. Being cloud-native means that the infrastructure and applications are designed to leverage the full potential of cloud computing. This comes with scalability, reliability, and flexibility.
• Headless technologies. Headless architecture separates the frontend presentation layer from the backend data functionality. Developers can use any technology to create a user interface, thus providing a more personalized and optimized customer experience.

Through MACH Stack, eCommerce businesses can adapt to market changes and customer needs faster – and power up their stores with extra features, integrations, and digital experience management.

#3 Immersive Technologies

Immersive technologies such as virtual reality (VR), augmented reality (AR) and mixed reality (MR) offer customers unique, engaging shopping experiences. – Something to stand out from the crowd with.

Each of those technologies allows shoppers to visualize products in their own space or interact with them in a virtual environment before making a purchase.

According to a report by Grand View Research, the global AR and VR market is expected to expand significantly, reaching over $30 billion by 2024, with an expected compound annual growth rate (CAGR) of 27.5% from 2023 to 2030.

This growth is driven by consumers' increasing desire for deeper product understanding and interaction, which these technologies provide.

Retailers are adopting AR and VR to offer virtual try-ons, 3D product visualizations, and interactive shopping environments – not only to improve customer experience, though. With new technologies, they also reduce return rates, optimize their stock, and streamline their cashflow.

Immersive technologies are bridging the gap between physical and digital retail spaces. And, as we move forward, the integration of AR and VR in eCommerce platforms is set to become a standard that the industry leaders should also be aware of – otherwise, they simply miss the boat.

Ignoring the shift towards immersive tech risks losing competitive edge and market relevance. They must adapt or face the reality of being overshadowed in a digitally evolving marketplace.

Customers are really starting to like using AR and VR when they shop. Soon, they might pick those stores and services that have these features to keep them coming back. If your business already offers it, even in a basic scope – you’re already a step ahead of many of your competitors.

#4 Voice Commerce

Voice commerce has been a transformative trend in eCommerce, reshaping how consumers interact with brands and make purchases. This innovation leverages smart speakers and voice assistants, allowing shoppers to buy products, search for information, and track orders using simple voice commands.

In 2024, this will be taken even further.

Market research indicates a significant uptick in voice shopping. OnlineDasher predicts voice commerce will surpass 30 billion dollars by 2024, up 50% from 2023, making it something not to be missed by businesses of all sizes.

And that’s not all. According to Statista, by 2024, the number of digital voice assistants will reach 8.4 billion units – more than all the people on Earth combined.

This surge reflects the convenience and speed voice commerce offers, making it a go-to option for busy consumers. Brands are now more than ever optimizing their online presence for voice search and focusing on natural language processing to meet this growing demand.

As voice technology improves (we already mentioned that it can be further developed with AI), its integration into eCommerce platforms promises a more intuitive and hands-free shopping experience.

And that’s what, ultimately, each eCommerce business should aim for.

#5 Cookie Depreciation

Cookie depreciation is less of a trend, and more of a challenge, but we decided to include it here as it’s going to reshape the eCommerce industry and signal a shift in how eCommerce businesses need to approach customer acquisition and retention.

As third-party cookies become less prevalent due to privacy concerns and regulatory changes, traditional methods of tracking user behavior and targeting advertisements will face challenges. This change is making third-party channels not only more competitive but also more costly and less effective for businesses aiming to understand and engage their customers.

The answer? Owning and optimizing own channels like websites, mobile apps, or direct email marketing.

These owned platforms offer a wealth of first-party data, which, when leveraged correctly, can provide deep insights into customer preferences and behavior – but without infringing on privacy.

Businesses have full control over the data collected through their channels, so that they can conduct more accurate and privacy-compliant data analysis. And, while initial investments in technology and content may be required, owned channels often lead to lower long-term costs compared to the rising prices of third-party ad platforms.

As cookie depreciation continues, the ability to collect, analyze, and act on first-party data through owned channels will be a key differentiator for eCommerce businesses.

#6 Sustainability in eCommerce Technology

Talking sustainability in eCommerce is not new, but talking sustainability in eCommerce technology development is something that’s going to be on charts in 2024.

The awareness of environmental issues increases, so companies are exploring innovative ways to reduce their carbon footprint but also promote sustainability throughout their operations.

Companies have been adopting biodegradable, recyclable, and minimal packaging solutions to reduce waste and environmental impact. Optimization of delivery routes, use of electric vehicles, and carbon offset programs are being implemented to minimize carbon emissions associated with shipping

However, changes also include energy-efficient internal operations. eCommerce platforms are investing in green hosting services and optimizing their data centers for energy efficiency to reduce their overall energy consumption. On top of that, blockchain and other technologies are being used to enhance the transparency of supply chains. And, there are many more examples that could be given here.

Rather than being a fad, this is an industry-wide trend that we’ll observe in 2024 – and beyond.

How Can eCommerce Leaders Leverage These Trends?

• Integrate AI with Magento. Beyond automation, use AI for deep learning about customer preferences. For instance, AI can analyze customer behavior to automatically adjust product recommendations, content, and promotions in real-time, creating a highly personalized shopping experience. From predictive analytics forecasting inventory needs to natural language processing for improved search functionalities, AI makes Magento sites more intuitive and efficient.
• Rethink augmented reality as a standard. Make AR a core part of your eCommerce strategy. Allow customers to interact with your products virtually and revolutionize the customer experience you deliver.
• Keep sustainability as a core value. Implement green practices across all operations, from sourcing to shipping. Communicate this commitment to your customers to build a strong, loyal community.
• Leverage owned channels for insight and impact. Collect comprehensive first-party data through your digital platforms. Start using this information to tailor experiences, refine product offerings, and, in general, streamline operations within your company.
• Develop eCommerce software with AI. Who doesn’t want to make processes smarter and more efficient? Through integrating AI into the development lifecycle, businesses can automate code generation, perform advanced testing, or ensure software quality. Faster deployment times and more robust platforms are just a few outcomes.

eCommerce industry trends - conclusion

Do you need to embrace every eCommerce trend? Not necessarily, but picking the right ones can elevate your online presence. Think of integrating AI and AR to personalize and enrich shopping experiences, or focusing on sustainability to connect with eco-conscious consumers. Or both? Create a shopping journey that doesn't just focus on selling, but also creating lasting customer relationships. These trends will help you with that, 100%!

If you want to capitalize on these trends and improve your eCommerce in 2024, choose the right eCommerce store development company and offer customers experiences that they expect.