What Are The Top Challenges Faced by eCommerce in 2023?
The switch from High Street shopping to eCommerce was accelerated by Covid and has continued its rapid growth over the past year. Statista predicts a market value of $8.1 trillion by 2026, registering a 56% increase over just 4 years. This kind of sector expansion is a massive success story, but it creates a number of eCommerce challenges for 2023.
In times of change, with so many moving parts in play, the challenges are many and various. For this article we have grouped them under 4 headlines:
Top eCommerce Challenges for 2023
1. Customer Behaviour and Expectations
2. Omnichannel Integration
3. Data Security Threats
4. AI Assisted Shopping
1. Customer Behaviour and Expectations
Online shoppers are increasingly familiar with eCommerce, and their growing expectations and demands are what is driving tech advancements. Their requirements are fairly simple. Consumers want online shopping to be enjoyable, convenient, and personalised. Tracking an order should be standard, using their platform or channel of choice, and returns should be frictionless.
Throughout 2023, we expect to see a growing focus on developing solutions for particular and persistent problems experienced by shoppers:
- Simplified checkout processes. There’s a growing impatience with what consumers perceive as unnecessary ‘data collection’ before a purchase can be made.
- An expansion of ways to pay. In addition to credit cards, there’ll be demand for more interest-free credit services, and extended options for payment.
- Delivery options. There will be greater pressure on eCommerce brands to widen the range of options for delivery to include store pickups, free delivery and next day delivery.
- Customer Support. The use of a range of channels to access customer support 24/7.
The emphasis throughout the coming year will be upon exceeding consumers’ expectations in order to retain their custom.
2. Omnichannel Integration
Omnichannel fulfilment places the accent on convenience for shoppers. It’s about providing consistency of brand experience across a number of touchpoints. A customer may make initial contact in-store, visit the website, order on their phone, and then call to check up on the order status. In this way online shopping is seamlessly integrated into our daily routines.
There is clear evidence that using more than one channel creates more online sales. Marketers using a minimum of 3 channels as part of a campaign, achieved a 494% higher order rate than brands using a single channel. in 2023, eCommerce brands will be looking for ways to work with 3pl partners in order to integrate multiple channels into their operations.
3. Data Security Threats
In a recent report on consumers’ attitude to data security, over 80% of consumers expressed a concern over the collection and use of their data online. There were 5 online touchpoints where they felt their data was most at risk:
- Social media (72%)
- Browsing (51%)
- Messaging apps (39%)
- eCommerce sites (33%)
- News sites (21%)
Many consumers expressed frustration at trying to navigate consent banners and said that they felt that data privacy policies tended to be confusing and lacking transparency. The challenge for eCommerce in 2023 is to convince their visitors that they can be trusted with their data, without putting the onus on shoppers to navigate complicated policies.
4. AI Assisted Shopping
Artificial intelligence is now at a stage of development where the range of possible applications for this technology is growing exponentially. Its ability to predict patterns makes inventory management easier; it’s ability to generate tailored content based on data, makes personalised customer experiences simpler, and the growing sophistication of chatbots facilitates 24/7 customer service.
The challenge for eCommerce brands will be to recognise the genuine opportunities for business growth in this new industry, and to work with partners who can offer AI integration at every stage of the fulfilment process.
Are You Ready to Face the eCommerce Challenges for 2023?
If you’re an eCommerce business that’s considering working with a 3pl partner in order to scale in 2023, we would love to talk to you. Prolog has an established fulfilment centre, located in the heart of the UK, with flexible warehousing and a trained, highly motivated workforce. Most important, we consistently invest in innovative new technologies in order to keep abreast of new challenges for eCommerce fulfilment.
We’ll walk you through our fulfilment centre, introduce you to our 3pl team, and listen to what you require from your 3pl partner. If you feel that we may fit the bill, we can proceed at your pace to work with you in facilitating the switch seamlessly.
