Good morning earthlings. By 2021 three billion of you will be using digital commerce according to a new report from Juniper. That’s a 25 per cent increase on today.
The figures are contained in a new report called, Digital Commerce: Key Trends, Sectors & Forecasts 2017-2021.
According to the authors, two core sectors will dominate the global digital commerce industry, in terms of transaction values:
- Remote payments for digital & physical goods
- Digital banking via bill payment services
These segments together will account for over half of global transaction values by 2021. Significant opportunity for businesses exists, with remote payments for digital and physical goods forecast to account for over 10 per cent of the $20 trillion global retail market in 2017.
Chatbots Crucial for Engagement
Juniper’s study found that businesses will gain advantage through use of automated customer experiences. With product search and discovery a key stage in the shopper journey, merchants must adopt conversational interfaces to drive customer engagement and, ultimately, sales. Juniper found that by 2021 the surge in chatbot use will result in positive gains throughout the digital commerce market.
Research author Lauren Foye explained: “Juniper has found that chatbots and natural language search can greatly improve retailer understanding of consumer behaviour, so we are witnessing growth in this sector, for example investment by Facebook and Google, as well as the launch of digital assistants by companies such as Amazon.”
Mobile Drives Digital Banking
In addition, the research discovered that digital banking will increasingly envelop a greater proportion of the global population, with adoption approaching 1 in 2 adults by 2021.
The study;s authors say that usage will continue to rise as consumers increasingly opt for banks offering the convenience of rapid, multi-channel digital services. This means that providers will need to focus on presenting ever more frictionless digital experiences to their customers, especially if they are to remain market leaders.
The whitepaper, Digital Commerce ~These Two Channels Are Dominating Digital Commerce, is available to download from the Juniper website together with further details of the research.