10 e-commerce trends you need to know in 2022

Welcome to the world of e-commerce! E-commerce is the process of buying and selling products or services on the Internet. It has been another year of interesting development and growth for the e-commerce industry. We've seen acquisitions, advances in technology, adaptions around the Covid-19 pandemic, and new trends led by consumer demand. Due to its extreme convenience, e-commerce is gradually dominating the retail market.

What Is E-Commerce?

E-commerce refers to online commercial transactions made through electronic devices such as mobile phones, laptops, tablets, etc. Almost all product types can be traded in the form of e-commerce, including both tangible and intangible products. The e-trade process commences from searching for products and making purchases, to after-sales service. Simply put, e-commerce is buying and selling goods or services online.

The 4 Major Types of E-Commerce

There are 4 main types of e-commerce:

• B2C (Business to Consumer): B2B refers to the process of selling and purchasing products or services between a business and end consumers.
• B2B (Business to Business): B2B is a digital sales model in which transactions are made between two businesses, such as a wholesaler and retailer.
• C2C (Consumer to Consumer): C2C a business model whereby consumers trade with each other using a third-party platform such as eBay and Craigslist.
• D2C (Direct to Consumer): D2C refers to a retail sales model where a manufacturer builds, sells, and delivers products directly to end consumers without intermediaries.

How Big Is E-Commerce?

E-commerce plays a vital role in the modern retail industry, accounting for 20% of total sales worldwide. Savvy retailers need to stay up to date with the latest e-commerce trends and keep up with the latest news in the industry. Consider these astonishing e-commerce stats and facts for 2022:

• Global e-commerce market value reached $13 trillion in 2021.
• Retail e-commerce sales amounted to approximately $4.9 trillion, accounting for 20% of total sales worldwide in 2021.
• B2B market value was $8.5 trillion, making up 63% of the total global market share.
• There are an estimated 12 million – 24 million e-commerce sites globally.
• The number of digital buyers is at 2.14 billion in 2021.
• In 2022, global e-commerce sales are estimated to total $5.5 trillion.

10 E-commerce Trends for 2022

With so much happening, it can be difficult to predict what could be next for this industry, so we at Asendia have put together the 10 e-commerce trends that we expect for 2022 and how your business should be prepared for them:

1. Inbound growth in the Asia-Pacific Region
2. The rise of Social Commerce
3. Maximising omnichannel sales strategies
4. Voice technology for e-commerce searches and purchases
5. Further marketplace growth
6. Flexible out-of-home last-mile delivery
7. The boom of Q-Commerce
8. More supply chain disruption
9. Paperless digital returns
10. Sustainability steps that are driven by consumers

Inbound growth in the Asia-Pacific Region

We were surprised when we read the substantial e-commerce growth figures predicted for these countries in the coming years. Asian markets are growing around 20% per year on average (vs <10% on average in Europe). China is the number one e-commerce market worldwide and other countries from South-East Asia are forecast to be number 4 by 2025. These increases are being driven by both domestic consumer demand within countries such as Singapore, Thailand, Vietnam, Indonesia, Australia, and New Zealand, and international demand from suppliers based in Europe and the USA.

The Future of E-Commerce

COVID-19 has fueled demand for online shopping and changed the way people shop. It is more likely that e-commerce will dominate retail sales in the future. In 2025, worldwide e-commerce sales are projected to top $7.4 trillion, overtaking in-store sales. By 2040, 95% of purchases will happen online.

Additional Trends and Technologies

To gain a competitive advantage, consider these latest e-commerce trends:

• Augmented Reality enhances the shopping experience
• Growing Volume Of Voice Commands
• Artificial Intelligence to learn about customers
• Mobile shopping on the go
• The rise of the second-hand market aka re-commerce
• Dynamic pricing drives optimal sales and profit