6 eCommerce Merchandising Trends You Need to Know in 2024
From AI-driven personalization to interactive live streaming, use the innovative strategies below to boost engagement, drive sales, and stay ahead of the curve.
Published October 1, 2024.
The eCommerce industry is highly competitive due to shifting merchandising trends driven by technology and consumer behavior. Adapting to these changes is essential for businesses to thrive and redefine customer expectations.
This shift is about creating immersive, personalized shopping experiences that resonate with consumers more deeply, a clear indicator of how merchandising strategies have changed over history. As we dive into the core of this year's most influential trends, it's clear that the future of eCommerce merchandising is not just about what you sell but how you sell it.
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» Want to jump straight into inspiration? Check out some inspiring digital merchandising examples to emulate
1. AI-Driven Personalization and Automation
Gone are the days of broad-spectrum marketing and generic displays. AI-driven personalization enables your business to tailor the following aspects based on each customer's unique profile:
- Personalized product recommendations: Ensure customers see items they're most likely to be interested in.
- Messaging: Craft communication that resonates personally with each recipient.
- Special offers: Design deals that appeal directly to individual preferences.
» See our top product recommendation strategies
As the eCommerce competition intensifies, personalization technology is essential to differentiate yourself from the competition and build solid customer loyalty. To achieve this, leverage machine learning through eCommerce personalization software to sift through customer data like:
- Purchase history
- Browsing behavior
- Customer feedback and reviews
- Social media interaction
- Demographic information
- Device and channel preference
Example: Amazon's Recommendation Engine
Witness the power of AI-based personalization with Amazon's renowned recommendation engine. By leveraging customer data, Amazon makes personalized product suggestions that align seamlessly with individual preferences, significantly enhancing engagement and driving sales.
» Here are 5 elements you should personalize on your store
» Make sure you know the difference: B2B vs. B2C personalization techniques
2. Social Commerce Expansion
In 2024, social commerce has emerged as a defining trend, transforming platforms like Instagram and TikTok into direct sales channels. With a staggering 47% of social media users open to purchasing directly through these platforms, the opportunity for businesses like yours is immense.
Leading brands are successfully setting up storefronts on Instagram, allowing their followers to seamlessly shop their products without leaving the app.
This shift illustrates social media's transition from a mere promotional tool to an active sales channel, enhancing customer engagement and driving sales growth for brands targeting tech-savvy consumers.
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When you embrace social commerce, you can tap into a plethora of audiences actively engaging with your brand. This makes it convenient for your customers to discover, explore, and purchase your products within the social media platforms they frequent daily. This improves customer experience and can boost sales and brand loyalty.
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3. Augmented Reality (AR) Shopping
AR in eCommerce enhances customers' exploration and visualization of products. With AR technology, your customers can see how products look in their environment through their digital devices. This offers an interactive and immersive shopping experience that surpasses traditional static images.
This trend is gaining traction due to advancements in mobile technology—including enhanced cameras and processors—and the widespread availability of smartphones with AR capabilities.
Integrating AR into your eCommerce platform can provide your customers with a more interactive and engaging shopping journey, ultimately driving sales and fostering loyalty in the following ways:
- Reduce uncertainty: Enabling customers to visualize products in real-world scenarios can make customers more certain of their purchases beforehand, reducing abandoned carts and product returns.
- Engagement and immersion: Engaging shopping experiences can captivate customers' attention for longer and encourage them to explore more products.
- Stand out in a competitive market: Offering a unique shopping experience attracts new customers and also retains existing ones.
- Gain valuable insights: AR interactions can help you better understand customer preferences and behavior, enabling more targeted marketing and product development.
- Reduce the need for physical samples: AR technology allows potential customers to review products digitally, reducing the need for showrooms and lowering overhead costs.
Example: Ikea's Place App
IKEA's Place app is a prime example of how AR can transform the shopping experience. By allowing customers to visualize furniture in their homes before purchasing, the app has significantly improved customer satisfaction, boosted conversion rates, and reduced return rates.
» Discover the differences between product search and product discovery
4. Sustainable and Ethical Practices
Sustainable and ethical practices are becoming increasingly important as consumers demand transparency and responsible sourcing, minimizing the environmental footprints of the brands they support. This approach focuses on eco-friendly and socially responsible decisions across the supply chain, from sourcing to packaging, contrasting with traditional cost and convenience priorities.
While the value of sustainability varies across sectors, industries like fashion and home goods can benefit more immediately due to their significant environmental impacts.
As conscious consumerism continues to gain momentum, prioritizing sustainability can resonate deeply with your customer base. By adopting sustainable practices, your eCommerce business can:
- Enhance customer loyalty
- Reduce operational costs
- Offer a competitive edge through brand differentiation
Example: GANNI's Fit Finder
Through its Fit Finder size advisor tool, the fashion brand GANNI showcases the dual benefits of sustainability and customer satisfaction. It helps customers find their perfect size by analyzing their body measurements and previous purchase history, offering personalized size recommendations. By reducing returns and optimizing inventory management, GANNI has increased conversion rates and decreased its environmental footprint, demonstrating the synergy between sustainability and business success.
5. Localized and Fast Delivery Options
Localized and fast delivery options are reshaping the logistics field by utilizing distribution centers and advanced strategies so that businesses can:
- Cut shipping times and costs
- Boost sustainability
- Improve operational efficiency
- Enhance customer satisfaction with speedy deliveries
This approach aims to meet the increasing consumer demand for fast delivery, driven by expectations set by industry giants like Amazon. Technological advancements in logistics software and the growth of eCommerce have further facilitated this shift, making it easier for businesses to manage local deliveries and tackle last-mile delivery challenges.
This benefits both your bottom line and customer loyalty. Stay ahead of the curve by offering your customers the convenience and speed they desire, and set new industry standards.
Example: Getir's Dark Store Model
Getir, an Istanbul-based startup, has improved the grocery delivery industry with its innovative "dark store" model that facilitated their rapid international expansion and impressive $12 billion valuation. By strategically placing mini warehouses near customers, Getir offers ultra-fast grocery delivery within 10 minutes. This groundbreaking approach has proven effective and scalable, as evidenced by Getir's rapid international expansion and impressive $12 billion valuation.
6. Voice Commerce
Voice commerce is rapidly gaining traction alongside site search best practices, offering a hands-free and conversational shopping experience through voice recognition technology. As voice assistants like Alexa and Siri become increasingly prevalent in our daily lives, the convenience of voice-based shopping is appealing to consumers seeking multitasking and accessibility features.
While beneficial across various sectors, voice commerce is particularly advantageous for frequent, simple purchases like groceries, offering increased accessibility, convenience, and an enhanced customer experience. However, for sectors requiring detailed examination, traditional eCommerce may still be the preferred choice.
Implementing voice commerce in your eCommerce strategy can set you apart from competitors by providing your customers with a seamless, hands-free shopping experience that caters to their evolving needs and preferences.
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Example: Amazon's Voice Commerce Integration with Alexa
Amazon's integration of voice commerce with Alexa is a prime example of how this trend can simplify and enhance the shopping experience. Amazon has demonstrated the potential of voice commerce to boost convenience, engagement, and sales. It has done this by enabling users to reorder, track shipments, and get recommendations through voice commands,
The Guiding Principle: Customer-Centric Innovation
In the eCommerce industry, always prioritize customer-centric strategies and personalization to build lasting relationships and loyalty. Keep updated on technological advancements and integrate them into your business to streamline operations and enhance the customer experience.
In addition, maintaining flexibility and agility in business practices enables swift adaptation to market changes and consumer trends. This ensures sustained growth and relevance in a rapidly evolving market.