Ecommerce is ever-changing. Not long ago, mobile technology disrupted the industry. Today, AI and other technologies shape how merchants present products and connect with customers.

As we look ahead, the future of ecommerce seems poised for even more innovation. From personalized shopping experiences to the seamless integration of virtual and physical retail, the next wave of change is just around the corner.

So, what does the future of ecommerce hold? In this article, you’ll learn about the factors set to redefine the online buying and selling of goods in the coming years.

Future ecommerce trends to watch out for

1. Rise of dark social

Ever stumbled upon a product recommendation in a WhatsApp chat or seen a brand being discussed in an email thread? That’s dark social, an emerging trend where content is shared through private, hard-to-measure channels. As it rises, it’s set to revolutionize both ecommerce and social commerce, amplifying the power of personal referrals and unearthing a wealth of untapped customer data.

Mastering the art of dark social is not just a competitive advantage, but a must-have strategy. Here are some tips to help you capitalize on this future trend:

• Discover the invisible: Adopt tools capable of tracking these hidden content shares.
• Boost shareability: Make your products irresistible for sharing on private channels.
• Foster communities: Form private groups or communities to keep the conversation going and gather valuable feedback.

2. Q-commerce growth

Another ecommerce trend on the horizon is Q-commerce, also known as quick commerce. Fueled by the likes of Amazon Prime Now and other innovative players, Q-commerce is revolutionizing the way products are delivered to consumers. 

The concept is simple: fast and convenient delivery, sometimes within minutes. This trend has gained traction due to increasing consumer demand for immediate access to goods. 

Businesses are pivoting to meet this demand. For example, the shopping app Need for It Tonight recently partnered with courier service Gophr to offer a 90-minute delivery service for fashion items.

As this trend gains traction, more businesses are expected to take steps like partnering with local delivery services and investing in last-mile logistics to provide quick and efficient deliveries.

3. Voice-enabled online shopping

In 2022, voice-activated devices were predicted to facilitate $40 billion worth of transactions. Compared to the 2017 figure of $2 billion for transactions made via voice search, this is a big increase.

How are shoppers most likely to use voice search? Narvar says 51% of shoppers use voice search to research items, while 36% use voice search to add relevant products to their shopping lists. 

To adapt to the rising trend of voice commerce, consider optimizing your product information pages for common voice search commands. Below are some tips:

1. Understand your customers’ phrasing: Voice searches are often conversational. Make sure your product descriptions mirror this style.
2. Implement schema markup: Schema markup feeds detailed product information to search engines, improving your visibility for voice searches.
3. Focus on local SEO: Many voice searches are local-oriented, such as “near me” queries. Optimizing your content for your location can boost your visibility in these searches.

4. Integrating shoppable videos

Ever spotted an item in a video and wished you could purchase it on the spot? Shoppable videos make that possible. They’re the trend that’s revamping ecommerce in 2023.

These videos put products a click away for social media users. It’s not just convenient and fast—it’s interactive. They’re transforming the online shopping experience into something truly immersive.

Brands like The Fresh Market, StolenStore, Angela Caglia, and Natori are ahead of the curve. They’ve seamlessly integrated shoppable videos into their platforms.

And the result? Enhanced user engagement. Effective product demos. Personalized ads. Shoppable videos aren’t just a trend—they’re the future of interactive ecommerce.

5. Embracing automation

Automation is poised to be a key element in the ecommerce market. Already, 61% of companies worldwide use some kind of automation software and tools. As its benefits become clear, more businesses are expected to invest in automation in the upcoming year.

For ecommerce businesses, automation stretches from marketing automation to warehousing and beyond. It’s a great choice because it frees employees’ time and resources for more important work.

For example, an ecommerce business that possesses large warehouses to carry out its operations can invest in robotics to become more efficient and free up staff to do more important tasks in the fulfillment process. 

Supply chain management can benefit from automation software that can schedule inventory alerts for reordering when stock gets low.

The sky’s the limit for ecommerce businesses. With a little research, you can find software that streamlines and automates various processes.

6. Prioritizing sustainability

As consumers become vocal about climate change, more and more companies will have to develop initiatives around sustainability. Doing so can be good for business: Studies show that climate-first stores achieved 5.8 times faster growth and saw their conversion rates increase by 20%.

Although there are several ways to showcase sustainability, an easy route is to use sustainable packaging. Online store ASOS leverages this tactic to ensure customers are satisfied with the way it does business.

Whether it’s eco-friendly packaging or using suppliers that put climate first, finding ways to be more sustainable will be a crucial trend moving forward.

7. Device-first thinking

When it comes to mobile commerce, one thing is clear: There will be much more importance placed on the devices that buyers use when they’re shopping online.  

But why exactly? It’s because brands want to provide native experiences in order to foster customer loyalty.

And it’s going to be fairly simple to please your audience if you’re running your store on Shopify.

You’ll have access to a wealth of themes built to ensure a seamless shopping experience, no matter which device your customers use.

Plus, you can easily check the adaptive version of your store’s design by simply resizing your browser—make it smaller when you’re on a desktop and you’ll see exactly what your tablet/mobile audience sees. This is one of the many perks of running your business through Shopify.  

Need help picking a theme for your ecommerce store? Check out our guide on picking the best Shopify theme for your business.

8. Personalization

Personalization is no longer a luxury in ecommerce, it’s a demand.

Consider this: 76% of buyers prioritize brands that offer tailored communications. But it’s not about overcomplicating things—often simple gestures like a tailored email, a custom-made discount code, or other personal touches that make the difference.

So, the next step for online merchants? Prioritize personalization on your website, social media platforms, and other channels of communication.

9. Enhancing customer experience

Both the pre-purchase and post-purchase customer experiences are pivotal in determining the success rate of an online business.

Onboarding top-tier sales assistants who are adept at navigating customers through the sales journey can mitigate any potential apprehensions they might encounter.

Diligently reviewing your online sales process to match customer expectations is essential. This involves in-depth user testing of your sales channels and checkout procedures with real customers to detect and rectify any challenges they face.

Areas to focus on during user testing include:

• Your call to action
• The length of your checkout process
• The information asked for on the checkout page
• Your messaging
• Your product page flow

Actively refining these elements should help uplift your business’s customer experience.

10. Leveraging AI assistants

Ever thought about how chatbots evolved? They started as simple, fun site extras. Fast forward to today, and they’re the backbone of customer interaction, bridging the gap between businesses and clients, wherever they are in the world.

But here’s the part most people miss: The power of AI isn’t confined to conversation. It’s revolutionizing inventory management, streamlining reordering processes, and basically becoming the behind-the-scenes ninja every ecommerce owner wishes they had earlier.

Using Shopify? Take note of these AI apps—they could be the secret sauce your store needs.

11. Augmented reality to visualize purchases

One of the biggest disadvantages of ecommerce is that customers cannot try out the product before they buy it, like in a brick-and-mortar store. Typical consumer behavior shows that people are more satisfied when they can touch, feel, and try an item before investing in it. 

On ecommerce websites, this experience is nearly lost, but technology is always one step ahead. With augmented reality technology, you can create an immersive shopping experience, where shoppers can engage with products before they buy them. 

For example, Shopify AR allows brands to show customers their products in natural environments before buying them to ensure that the product fits the intended purpose. This helps customers make great decisions quickly when it comes to choosing a brand to buy from. 

Interactive products through AR or VR is a new trend, but it is quickly being adapted within ecommerce brands to help customers choose the right product. If you are considering which ecommerce trend to be a part of, this is a good place to start.

Closing thoughts on the future of ecommerce

The future of ecommerce will undoubtedly be full of exciting changes and innovations for both businesses and buyers.

Whether you’re an entrepreneur or working at an ecommerce company, it’s important to keep your finger on the pulse when it comes to changes in the ecommerce landscape.

Our best advice is to keep on learning.

Read articles. Watch videos. Listen to podcasts.

Try to consume as much information as possible about the field of ecommerce—that’s how you’ll get an edge on your competition.

So, what do you think? Do you have any predictions for the future of ecommerce in 2024 and beyond?

Was there anything we missed that you’d like to learn more about? Let us know in the comments section below—we read them all!

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What comes to mind when you think about web design vs web development? The names of these two aspects of website creation hint at what establishes them as dissimilar, but there are more nuanced differences that make these two concepts vastly unique from each other.

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Deputy Attorney General Lisa O. Monaco announced today the results of an exhaustive enforcement operation. This comes in the wake of trillions of dollars in pandemic relief designated to assist Americans and businesses during this unparalleled public health crisis.

The Justice Department has highlighted an alarming trend. As billions flowed in aid, unscrupulous individuals both within the U.S. and internationally exploited the crisis, leading to fraudulent claims in the hundreds of billions of dollars, recent data revealed.

In response, the Attorney General formed the COVID-19 Fraud Enforcement Task Force in May 2021. The task force marshaled resources from various departments and the government at large. Their goal is to identify and prosecute these fraudsters and recover ill-gotten government funds.

This past summer, three interagency COVID Fraud Strike Forces stationed in Maryland, South Florida, and California collaborated with over 50 U.S. Attorneys’ Offices. Their combined efforts led to a nationwide COVID fraud enforcement operation. The results are staggering. Over a three-month period, more than 700 enforcement actions were initiated, targeting over $830 million in fraudulent activities. From this, over $200 million has been successfully seized through criminal and civil forfeiture actions.

The breadth of fraudulent activities is vast. Monaco revealed enforcement actions against diverse offenders – from street gangs in Wisconsin exploiting unemployment schemes to fund illicit activities to international criminal rings based out of Nigeria and individuals in California defrauding the IRS for monumental sums.

Yet, Monaco stresses that the mission is far from completion. She expressed, “Our focus on recovering stolen funds won’t be thwarted by fraudsters who try to hide or spend those funds before being prosecuted. We will seek judicial orders requiring convicted defendants to pay back every stolen dollar – and we have 20 years to realize those recoveries.”

For small businesses, this signifies the Justice Department’s unwavering commitment to ensuring that relief funds reach legitimate entities genuinely affected by the pandemic. The message is clear: a rigorous system is in place to apprehend and prosecute those capitalizing on the nation’s vulnerability during the pandemic.

Further cementing their dedication to curbing fraud, Monaco announced the establishment of two new COVID Fraud Enforcement Strike Force teams, one each in Colorado and New Jersey. These additions aim to amplify their efforts in combating fraudulent activities surrounding pandemic relief funds.

Deputy Attorney General Lisa O. Monaco praised the teams’ dedication and asserted their continued effort to pursue fraudsters, emphasizing that their mission to protect the integrity of pandemic relief efforts remains paramount. She then handed over to Acting Director Galdo for further details on the enforcement sweep.

Small businesses should remain vigilant and ensure their transactions, especially those relating to pandemic relief funds, adhere strictly to the rules, as enforcement actions continue to intensify.

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Image: Justice.gov

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Ever wondered how businesses track every product they sell? They use a SKU, or stock keeping unit. This unique code simplifies sorting and labeling each item. Companies internally create SKUs and incorporate them into inventory management systems to keep everything organized.

In this article, you’ll learn about SKUs, understand their importance, and find out how to use them for your business needs. 

What is a stock keeping unit (SKU)?

A stock keeping unit is a specific code that retailers use to manage the items they have for sale. Made up of both letters and numbers, this code gives details about a product, like its brand, color, and size. For instance, a green medium-sized shirt from Brand X might have an SKU like “BRANDX-GREEN-M.” 

Each company has its own SKU system for the products it sells, so even if two stores sell the same item, their SKUs might be different. SKUs help companies keep track of their stock efficiently, and while they are distinct from model numbers, some businesses might use model numbers in their SKUs. 

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Why are SKUs important?

SKUs help shoppers differentiate between products. Say a shopper picks up a particular mystery novel; online stores might show other mystery books that customers bought using the SKU details. Such suggestions can lead to more sales, boosting the company’s profits.

Similarly, SKUs provide insights into sales trends. A shop can determine its bestsellers and underperforming items by analyzing the SKUs scanned at the checkout. This allows the business to make informed decisions about inventory management, such as restocking popular items promptly and reconsidering the placement or promotion of slower-moving products.

Other practical applications of SKUs include:

• Establishing product reorder thresholds
• Reconciling stock levels
• Identifying shrinkage in inventory
• Improving inventory tracking accuracy

How to calculate SKUs

To calculate your stock keeping units, think of every distinct version of your product. This could be variations in flavor, package size, or even design. The number of SKUs you have is the total of these different product options.

Consider you’re a seller of gourmet popcorn. You have popcorn in two flavors: cheese and caramel. You offer them in two sizes: regular and jumbo. And, there are two types of packaging: tin and box. 

So with two flavors, two sizes, and two packaging choices, you end up with 2 x 2 x 2 = 8 product combinations. That means you have eight SKUs.

Where SKUs are used 

SKUs are typically used in:

• Retail stores
• Warehouses
• Brick-and-mortar stores
• Product fulfillment centers
• Ecommerce vendors

How are SKUs formed?

Companies create unique SKUs, and each has its own distinct method.

For instance, imagine a blue Adidas running shoe in the Ultra Boost design, size 9. Its SKU might look like this: ADI-UB-BLUE-09. 

Similarly, a container of Sunburst mango juice, sugar-free version, in a 50-ounce tin can could get a SKU from a local grocer like this: SUNB-SF-TIN-50. 

While there’s no universal formula for crafting a SKU, it’s crucial that a company to establish a consistent system. This ensures everyone in the organization follows the same approach and can easily decode the SKU. Above all, SKUs should be straightforward, allowing anyone to understand them without requiring special tools. 

Best practices for effective SKU management

Managing products is key to a thriving business, and SKUs are at the heart of it. But how do businesses keep it organized and efficient? Here are some straightforward tips to keep SKUs in check:

1. Simplicity in SKU creation: Adopt a straightforward approach when creating SKUs. Think of it like naming a file on your computer: it should be descriptive yet concise. Using a system like “manufacturer-color-size” keeps it simple. Always capitalize letters and avoid confusing characters, like “O” and “0.”
2. Know when to reorder: Instead of ordering the same quantity for every product, adjust based on sales. A basic formula to consider is: Optimal Reorder Quantity = Average Daily Units Sold x Average Lead Time. This helps in adjusting inventory levels without the headache of excess inventory.
3. Group by common features: If you sell products with variations, group SKUs by similarities such as color or size. For instance, if you offer a shirt in three colors, group those SKUs together. It aids in efficient supply chain management and also helps customers easily find variations of a product they’re interested in.
4. Review and adjust: Not all SKUs are winners. Regularly assess your inventory system. If you notice some products aren’t selling as expected, it might be time to phase them out. Holding on to unsold stock means wasted space and resources. Remember, more options aren’t always better. Offering too many choices can overwhelm customers, so focus on your bestsellers and streamline your offerings.

In essence, SKU management doesn’t have to be complex. By adopting a systematic and organized approach, businesses can ensure their products are always in the right place, at the right time.

Taking action with SKUs

SKUs are the key to smooth operations. They help sort inventory, make orders right, and reduce mistakes. By using these unique codes, you can lessen errors, make returns simpler, and build a stronger supply chain.

Stock keeping unit FAQ 

What is a stock keeping unit with example?

A stock keeping unit (SKU) is a unique identifier that a manufacturer or retailer assigns to a product. It’s typically associated with an item’s bar code and is used to track inventory. For example, the SKU for a specific black t-shirt could be P1MT229TB166BK. This would serve as a unique identifier for that product, helping merchants identify it via a bar code. (To create a bar code from your SKU code, try Shopify’s free bar code generator).  

What is the difference between a UPC and a SKU?

The Universal Product Code (UPC) and the stock keeping unit (SKU) are distinct methods of product identification. UPCs are 12-digit numbers with bar codes representing products universally and remain consistent across all retailers. Conversely, SKUs are unique identifiers chosen by individual retailers or manufacturers for their internal tracking of inventory. A product might have different SKU numbers in across two or more stores, but its UPC will always be the same.

What does SKU mean in manufacturing?

In manufacturing, a SKU is like a name tag for products. It’s a unique code—each product gets its own. This code helps makers find items fast and keep their stock in order.

What a SKU is not

Some people mistake SKUs for UPC bar codes, but there’s a difference. A SKU is a unique code a business makes for its own use. On the other hand, a UPC remains constant, regardless of the seller.

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The evolution of web design is a topic that captures the interest of many, especially when considering the profound change in how we perceive and create websites over the years.

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America is confronted with an unexpected hurdle: an acute worker shortage. Small business owners, who form the backbone of the nation’s economy, need to be especially alert to the intricacies of this labor situation. While every state grapples with this issue, some are hit harder than others. Recognizing the most affected regions and understanding the labor market dynamics is vital for small businesses to navigate this challenge.

The Worker Shortage Index: Unmasking the Impact

The Chamber’s Worker Shortage Index ratio is a crucial metric that gauges the severity of the worker shortage in each state. It measures the number of available workers per job opening. A higher ratio suggests abundant workers, while a lower one indicates pronounced scarcity. For instance, a 0.39 ratio means there are merely 39 workers available for every 100 job positions, underscoring a significant workforce deficit. Conversely, a ratio above 1.0 indicates a surplus of workers concerning job vacancies.

State-by-State Snapshot

Although the shortage crisis is nationwide, some states endure a more acute challenge. Notably, only 11 states, including Oregon, Illinois, Alaska, Oklahoma, Utah, Texas, North Dakota, New York, Florida, Virginia, and New Jersey, boast a higher labor force participation now than before the pandemic. Conversely, most states have witnessed a contraction of their labor forces, attributed to early retirements, increased savings, and decreased immigration.

For small business owners, this contraction can signify increased competition for available talent, potentially higher wages, and the need for more innovative recruitment and retention strategies.

Unraveling the Data

According to the Bureau of Labor Statistics (BLS):

• Job Openings represent unfilled positions with work readily available.
• Unemployed Workers are individuals without jobs but have actively sought work in the previous month and can work now.
• Labor Force Participation Rate denotes the segment of the populace either working or actively hunting for employment.
• Quit Rate portrays the fraction of the workforce that resigns voluntarily, reflecting employment satisfaction levels.
• Hire Rate highlights all new additions to the payroll, offering insights into the hiring landscape.

Analyzing this data reveals a worrisome trend. The national labor force participation rate has dwindled, presently standing 0.7 percentage points lower than before the pandemic. This decrease translates to a staggering 1.9 million workers exiting the workforce since February 2020.

Implications for Small Business Owners

These figures are more than just statistics for entrepreneurs and small business proprietors. They can translate to challenges like prolonged vacancies, wage inflations, and operational inefficiencies. Adopting adaptive strategies, such as remote working, flexible hours, and employee benefits, can be pivotal in attracting and retaining talent.

The Way Forward

The U.S. Chamber and U.S. Chamber Foundation have launched the “America Works Initiative” to assist employers in identifying and nurturing talent. This initiative could allow small businesses to tap into resources, training, and strategies to confront this labor crunch.

In conclusion, the labor shortage, while pervasive, affects states differently. Small business owners must stay informed, adapt, and leverage available resources to thrive in this challenging labor market.

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Image: Envato Elements

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