The ecommerce industry has seen several important announcements and changes this week. There have been projections made for the future growth of the ecommerce industry as well as significant alterations made to Google Shopping. Whether you are an online shopper using a tablet or an ecommerce vendor, don’t miss the top ecommerce stories of the week.
A Glimpse into the Future of Ecommerce
At a panel discussion on the future of ecommerce, Director of Technology and Ecommerce at IndiaTimes, Guatam Sinha and several other experts converged to discuss how the ecommerce market would be affected by future changes and proactive steps that vendors can take to convert the base of people that are not currently involved in online transactions. The panel concluded that the industry has “a lot of scope for growth.” The top players in the industry are growing at an annual rate of 100% according to studies, and there are several profitable players in the ecommerce industry. This places an increased importance on choosing an ecommerce provider, to take advantage of this rapidly growing medium.
Google Changes that Ecommerce Vendors Need to Know about
Google has unveiled a series of changes to Google Shopping and other arenas dominated by the online shopping industry, and understanding these changes could prove to be paramount to ongoing success in the industry. Google Shopping is a new paid option that will allow online merchants to list their products on Google’s new product pages for a nominal fee. This new feature will serve as a comparison shopping guide, and the ranking of each product will be determined by relevance and the amount bid on the spot. While some merchants may be concerned about the cost of purchasing these ads on Google, Google is allowing merchants to bid $0.01 per listing so that products can be listed without the high cost. Google has also released a new Trusted Stores program in which merchants who qualify will be able to instill trust and confidence in buyers through sharing certain information with Google, e.g., shipping information, etc. This may prove to be a very important change for vendors engaged in Internet marketing and digital promotional practices.
New Study Finds Tablets Better Suited for Ecommerce than Smartphones
While many retailers seem to lump tablets and smartphones into the same category, that may not be the best idea according to a new study. Monetate, an online marketing technology company, conducted a study that found that out of more than 100 million online shopping experiences, tablets are much more valuable to the ecommerce market than smartphones. Smartphones have a much lower conversion rate, and people who shop on their tablets behave similarly to those using a desktop or laptop computer. As consumers shift from computers to tablets, these devices will become even more important to developing an effective ecommerce strategy.
China Exhibits Greatest Potential for Ecommerce Market Reports Indicate
According to AT Kearney’s 2012 Retail Ecommerce Index, China is the ecommerce market with the most to gain and the most potential. China’s national ranking is second only to the United States, and the market is worth an estimated $23 billion per year. Of the 30 developing nations that were examined in the study, Chinese online shopping behaviors are expected to cause an explosion in sales over the next half of a decade. According to Mike Moriarty, Chinese infrastructure challenges hinder the country realizing its full ecommerce potential, as delivery mechanisms are much less reliable than those in developed economies. After China, Brazil and Russia are ranked two and three respectively in reference to the potential of the market for ecommerce growth. Global ecommerce solutions will be designed to delve into all of these markets in the future.
iPad Shopping Apps a Hidden Gem for Online Merchants?
According to TechCrunch, the lack of mobile shopping apps available on the iPad should be readily addressed by merchants to give shoppers more variety while shopping online. Currently, only a few applications and ecommerce platforms exist designed to help people shop for their favorite products and services on their tablet computer. Tablet computers are an excellent place for online shopping recent studies indicate because “[iPad] shoppers are in a different state of mind (they are relaxing instead of being distracted with work or IM),” and this, leading experts say, has resulted in a perfect opportunity for app developers to bring forth mobile shopping platforms to satisfy hungry online buyers.