Four eCommerce Trends to Watch in 2023

With Q1 of 2023 well underway, brands have been looking back to try and predict what lies ahead. As Pacvue predicted last year, 2022 was the year for omnichannel strategies, shoppable video, and retail media networks.

?Brands that adapted quickly, transitioned from one ad type to another, and kept up with the trends saw immense growth, and it will be no different this year.

Here are 4 notable trend predictions in the eCommerce industry, and how you can strategize to stay ahead of the competition.

1. Supply Chain Transparency

With the tumultuous times of 2020 and 2021 came the stark realization of transparency. Since then, sustainability has become a buzzword, and for good reason. 45% of total estimated emissions in the industry come from the packaging of goods, and this figure is only magnified by the number of packages that end up in landfills or returned warehouses.

?As consumers are becoming aware of their contribution to the planet’s health, ethically sourced raw materials and eco-friendly brand practices are becoming the need of the hour. Brands are held accountable for their decisions fiercely today, and each error can become painfully expensive if you lose the consumers’ trust.

?From CPG brands to electronic gadgets, every step on the road to transparency can help improve your bond with shoppers and increase conversion. Social issues are of paramount importance to customers, and they expect the same from you too.

2. Data Accessibility on the Rise

While every brand wants to spread out and be visible to potential consumers on as many platforms as possible, an omnichannel strategy is far from straightforward.

?Today, retailers are open to sharing first-party data with every brand on their shelves, but this advantage has still not been exploited to its full potential. Both online and in-store presence facilitates consumer convenience and allows you to better understand purchasing patterns over seasonal highs and lows.

?2023 will see bigger investments for turning this raw data into actionable insights, helping brands simplify data, rather than complicate it. This means tools and software that visualize input queries and tell you what steps you can take to reach your goals faster will attract the industry.

?When hyper-personalization can bring in as much as 25% more revenue, who wouldn’t want to go the extra mile?

3. The Year of Purposeful Spending

While brands enjoyed the fruits of revenge shopping after the pandemic, rising global inflation has undoubtedly impacted budgets and led to significant cost-cutting since then. 2023 will see both companies and consumers looking to maximize every dollar for value.

?As we strive toward increasing profits while decreasing expenses, 2023 will have brands looking for tools that complement this goal. The most effective way to accomplish this will be to retain digital tools and software that help you predict and calculate returns for every advertising, marketing, and awareness-building effort.

?We see social media influencers partnering up with unusual brands to boost discoverability, while some companies have been cutting jobs to keep up with rising costs. Either way, the ‘watch and learn’ mode is here to stay as everyone learns minimum spending for maximum return.

?While some companies are keeping budgets flat or cutting jobs to keep up with rising costs, most advertisers plan to increase their retail media spending in the next 12 months. Either way, the ‘watch and learn’ mode is here to stay as everyone learns minimum spending for maximum return.

4. Pushing Human Efficiency Barriers with AI

As artificial intelligence becomes a household staple, everything from chatbots as self-serve stations to one-click video editing automation is challenging the barriers to human efficiency. AI has helped brands price competitively, prepare for adversity using data predictions, and understand consumer behavior deeply.

?While automating aspects of your business can help you save time and resources better spent elsewhere, increased dependability may prove faulty. Recruiting and training specialized digital talent has historically helped brands achieve that human connection through digital screens, something only humans can execute.

?Instead of looking at AI as a replacement, think of it as an addition to your toolkit as you set higher revenue goals this year. For example, Netflix is planning an integration that will allow users to shop character wardrobes with a click as they binge-watch their favorite shows.

Forecasting Preparations for 2023

Rapid evolution is a scary prospect, and many brands simply don’t have the extra cash to make big upgrades. While those who can afford to set up their presence in physical stores and invest in tools that make their decisions easier will benefit immensely, a great opportunity lies for brands that can think outside the box and capture the attention of new consumers.

To recap, here are 4 trends to look out for:

1. ?Be transparent with your consumers.
2. Visualize and personalize your data as the core of your strategy
3. Provide maximum value in exchange for your consumers’ dollars
4. Increase output by combining the power of AI with creative human understanding

?It is more important than ever for advertisers and business leaders to remain fluid in their plans and prioritize strategies and tactics that address these trends to uncover opportunities, engage consumers, grow share of voice, and scale their operations.?

about the author: Melissa Burdick is an ecommerce expert having spent a decade at Amazon and then co-founding the market-leading commerce acceleration platform Pacvue to help brands, sellers, and agencies optimize their returns efficiently & effectively and win online.