Breaking Down the Top 5 Ecommerce Trends to Watch in 2024

 

Gen Z is joining Boomers, Gen Xers, and Millennials in the world of online shopping, and Gen Alpha isn’t far behind. 

 

(We’ve started over in the generation alphabet already?!)

 

To capture the attention of the youngest members of your audience, staying on top of e-commerce trends in 2024, and onward especially, will be of utmost importance. (We should also probably stop using words like utmost if Gen Alpha is listening.)

 

This article examines some top trends in e-commerce and discusses how to implement the right tech tools to leverage them. 

 

Before we get into 2024 e-commerce trends, let’s look at how we got here.

 

A Brief History of Shopping

 

Dawn of Trade and Commerce

 

If you look way, way back to the earliest forms of trade and commerce in human society, you’ll see that shopping was purely transactional. 

Back then, buying and selling was a straightforward exchange of goods for payment. The focus was on the exchange itself rather than the shopping experience. 

 

Pre-Digital Era—The 1990s

 

During this period of time, physical retail outlets dominated the shopping scene. Catalog sales became popular in the latter half of the 20th century, giving consumers the ability to shop from home, by telephone, or by mail order. 

However, in both cases, the focus was primarily transactional.

Retail experiences were more about the practicality of buying goods and less about an immersive or engaging experience. The main goal was for the customer to have the item they needed and for the retailer to make the sale. 

 

1990s—2000s

 

At the end of the 20th century, the concept of shopping began to shift. With the advent of advertising, branding, and the popularity of malls and department stores, shopping became less transactional and more personal. 

Consumers were no longer shopping solely out of necessity. We began looking for entertainment and buying things that expressed our lifestyle and individuality. 

 

The Early 2000s—Today

 

The digital revolution and the dawn of e-commerce have further transformed shopping from a transactional activity into an experiential one. 

 

With online retail dominating the shopping scene, consumers expect more than just the exchange of goods for payment. 

 

Technologies such as AI, AR, and VR, along with advances in social media, have set the stage for an immersive, engaging, and personalized shopping experience that obliterates the concept of a purely transactional exchange of goods for cash.

 

Today’s consumer demands… 

 

🦄 personalized experiences

🏪 high levels of convenience

💳 interactive and social shopping environments

… 💌 and brands they can connect with emotionally. (No pressure.)

 

While shopping has always involved a transactional element, the way consumers and sellers approach the exchange of goods for money has evolved. (A lot.)

 

 

The Rise of 5 Major E-commerce Trends in 2024

 

Let’s examine some significant online trends that have changed the way we shop, starting with the rise of experiential e-commerce.

 

1. Experiential E-Commerce

 

Today’s consumers crave experiences that mirror the tactile engagement of in-store shopping, with the added convenience of digital. 

 

This shift towards experiential e-commerce demands that brands innovate to create immersive, interactive online experiences. 

 

Imagine trying on a pair of glasses or visualizing how a sofa fits in your living room through augmented reality — this is the future of online shopping, and it's here.

 

IKEA is a great example of a brand embracing experiential e-commerce by developing innovative digital strategies to enhance customer experience and streamline the shopping journey. 

 

 

One key initiative is the IKEA Place app, which uses augmented reality (AR) to allow customers to visualize IKEA products in their own homes. 

 

The app lets users browse through more than 2,200 items and see them in true-to-scale 3D representations of their homes. Customers can interact with items virtually before deciding to buy.

 

Businesses can craft personalized shopping journeys by harnessing the power of composable commerce, leveraging AI and AR to bring products to life right before the consumers' eyes. 

2. TikTok E-Commerce

 

Brands are now leveraging TikTok not just for marketing but as a direct sales channel, tapping into the power of short, engaging videos to drive purchases. 

 

TikTok has over one billion active monthly users (a billion with a B), many of them being Millenials, Gen Z, and Gen Alpha. 

 

TikTok e-commerce refers to the integration of online shopping features within the TikTok platform, allowing users to discover, interact with, and purchase products directly through the app. 

 

A survey revealed that 35% of TikTok users have bought something from the social media platform. That’s a lot of exposure for your brand.

 

Gymshark is a British fitness apparel brand founded in 2012. Gymshark’s goal was to build a community of fans to support its growth.

 

 

 

The problem was that Gymshark was competing against giants like Adidas and Nike—big brands with big budgets. 

 

Yet, Gymshark’s TikTok account now has more than 98.6M Likes. Nike? A paltry 29.9M.

 

Gymshark’s TikTok e-commerce strategy included…

 

• partnering with micro-TikTok influencers, a demographic with higher engagement rates than celebrity influencers. 

• creating hashtag challenges and campaigns that resulted in millions of views, likes, and comments. 

• and consistently posting engaging TikTok content. 

 

The explosive growth of TikTok e-commerce presents an unprecedented opportunity for brands to engage with younger audiences through creative, authentic content. 

 

Can you imagine what might be possible for your brand with the right strategy and technology?  

 

Composable commerce provides the highest level of flexibility for integrating smoothly with TikTok's shopping features, enabling businesses to leverage live shopping events, shoppable ads, and product links within TikTok videos.

 

Sitecore, Commerce Layer, Optimizely, Salesforce, Shopify, Ultra Commerce, and Ucommerce are all examples of composable commerce platforms that offer the flexibility you need. 

 

This integration ensures a frictionless transition from content to commerce, capturing the attention of Millennials and Gen Z in their natural digital habitat.

 

Want to know more? Then we need to talk.

 

3. Recommerce

 

The recommerce trend reflects consumers’ growing interest in sustainability and value. 

 

According to ebay’s 2022 Recommerce Report, 93% of respondents claimed that sustainability was either “somewhat” or “very” important to them. 

 

Recommerce will appeal to the environmentally conscious and economically savvy Gen Z and the upcoming Gen Alpha. 

 

If you’re following e-commerce trends, 2024 is the time to consider recommerce for your enterprise. Let’s look at an example for inspiration. 

 

The Patagonia Worn Wear program is a great example of recommerce in action. Patagonia initiated the program to extend the life of its products. 

 

 

Launched in 2013, the Worn Wear program allows customers to exchange their used Patagonia items in exchange for credit. These gently-used items are then resold, promoting sustainability and reducing waste. 

 

This initiative underscores Patagonia's commitment to environmental responsibility by encouraging the reuse and repair of clothing. It also aligns with the brand's broader goals of minimizing our collective impact on the planet.

 

A composable commerce platform will allow you to integrate an element of recommerce into your business, offering customers the option to buy and sell pre-owned goods alongside new ones. 

 

This caters to the eco-friendly sensibilities of younger shoppers and opens up new revenue streams for your business.

 

4. Hassle-free Returns

 

According to a recent Hubspot survey, physical stores see an average of 8-10% product return rate. E-commerce stores? 18.1%. 

There are several reasons for this, including…

 

• The item quality didn’t line up with the price

• The product was delivered late

• The customer didn’t like the item

• The item was the wrong size

• The product didn’t match the description

• The item was damaged

  
  
  

That same Hubspot survey suggests that if you can nail your return policy, 92% of customers will return to buy from you in the future. 

 

On the other hand, an inconvenient return experience may deter a customer from coming back to your website. And they’ll likely tell their social media followers about their trouble, as well. 

 

Simply put, a smooth return experience is crucial for customer loyalty.

By leveraging platforms like Bold Commerce, businesses can offer flexible return options, easy-to-navigate return portals, and even instant vouchers for future purchases, making returns less of a hassle and more of a loyalty-building opportunity.

 

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5. Personalization 

 

Personalization is becoming a defining feature of e-commerce, with businesses leveraging data and technology to tailor shopping experiences to individual preferences. 

In 2024, the e-commerce personalization trend is accelerating as consumers expect more intuitive, engaging interactions. 

Brands are using AI and machine learning to analyze customer behavior, providing 

• personalized product recommendations, 

• custom content, and 

• targeted marketing campaigns. 

  
  
  

This level of personalization enhances customer satisfaction, drives loyalty, and increases sales by making each shopping experience unique and engaging.

 

We’ve written many articles about the e-commerce personalization trend including→ 4 Digital Personalization Trends For Better Customer Engagement

Knowing these online trends is one piece of the e-commerce puzzle. 

 

Understanding the nuances of each generation’s preferences is key to developing targeted strategies that resonate.

 

Whether it’s leveraging technology to enhance the shopping experience for younger generations or emphasizing value and customer service for Gen X, successful brands will be the ones that can navigate the complexities of generational differences while maintaining a core identity that appeals across the board.

 

 

Now that we’ve looked at five major e-commerce trends of 2024, let’s consider the shopping habits of today's different generations of consumers and which trends will matter most to them. 

 

Baby Boomers (Born 1946–1964) appreciate… 

 

• Prompt customer service

• Straight-forward information about products and services

• Accessible websites

• Privacy

 

While still warming up to the online shopping world, this demographic tends to be cautious about e-commerce. 

 

To satisfy your baby boomer customers, prioritize the following: 

 

• E-commerce personalization trends that make transactions feel comfortable

• Clear, hassle-free return policies 

  
  
  

Generation X (Born 1965–1980) is looking for…

 

• Reward programs

• Discounts

• Detailed product information

• Ample customer reviews

 

Gen Xers still like shopping in stores, but are also comfortable shopping online. 

 

For this demographic, consider the following: 

 

• Customer loyalty programs

• Personalized marketing 

• Adopting e-commerce marketing trends

  
  
  

Millennials (Generation Y) (Born 1981–1996) require…

 

• A seamless mobile shopping experience

• Personalized marketing

• Social media engagement

• Transparency

 

This generation is heavily influenced by social media and cares about sustainability and ethical practices. 

 

For this generation, consider the following: 

 

• TikTok e-commerce

• E-commerce personalization

• Recommerce initiatives

• Latest e-commerce trends

  
  
  

Gen Z (Born 1997-2012) wants…

 

• Creativity

• Immersive experiences

• Social justice 

• Instant gratification

 

This generation tends to support brands with a strong online presence, and they spend a lot of their time on social media. 

 

To appeal to Gen Z, consider the following: 

 

• TikTok e-commerce

• Recommerce 

• E-commerce technology trends

• Experiential e-commerce

 

Gen Alpha (Born 2013 - 2024) needs…

 

• Interactive content

• AI-driven personalization

• Voice search

• Gamification

 

Generation Alpha has grown up entirely in the digital age and will be the most technologically integrated of all demographics. 

 

To attract Gen Alpha, consider the following: 

 

• TikTok e-commerce

• Seamless shopping experiences

• Experiential e-commerce

• Latest e-commerce trends

• E-commerce personalization trends 

 

Understanding these generational preferences will allow you to adjust your online presence and marketing strategies accordingly. 

 

By catering to the unique needs and trends favored by each demographic, brands can enhance their appeal and foster loyalty among a broad range of consumers.

 

Luckily, there are some e-commerce trends that are universal:

 

Seamless Omnichannel Experience. Consumers of all ages appreciate a seamless shopping experience across multiple channels, whether they’re browsing on a mobile device, desktop, or in-store.

 

Fast and Free Shipping. Expedited and cost-free shipping options have become a standard expectation for online shoppers across generations, influencing their decision to complete a purchase.

 

Easy Returns. A straightforward and hassle-free return policy is crucial for all shoppers, providing them with confidence in their purchases, regardless of generational differences.

 

Now that we’ve covered the major online trends and what our different generations of shoppers are looking for, how do you implement the technology to leverage this information? 

 

 

Personalization at Scale with Composable Commerce

 

Composable commerce allows businesses to create customized e-commerce solutions by selecting and integrating various "best-of-breed" components. 

 

This modular approach ensures that each element of the e-commerce experience, from the user interface to payment processing, can be tailored to meet different generational cohorts’ specific needs and preferences:

 

For Baby Boomers, composable commerce allows for more accessible and user-friendly shopping platforms. 

This can enhance the e-commerce experience by incorporating intuitive navigation and customer service options that offer immediate assistance, such as live chat or callback services. 

 

Personalization can also include tailored content and product recommendations that cater to their preferences and values, ensuring an e-commerce experience that's both convenient and aligned with their expectations for quality and service.

 

For Gen X, known for valuing quality and customer service, composable commerce allows for the integration of personalized product recommendations based on their browsing and purchase history. 

 

By leveraging data analytics, businesses can offer this generation a seamless and supportive online shopping experience that mirrors the in-store service they know and love.

 

With their penchant for digital experiences and social media, Millennials and Gen Z can benefit from e-commerce platforms that integrate seamlessly with platforms like TikTok, allowing for social shopping experiences. 

 

Composable commerce facilitates the incorporation of social media feeds, user-generated content, and influencer collaborations directly into the e-commerce platform, making it easier for these younger generations to discover and purchase products authentically and engagingly.

 

Composable commerce supports the integration of sustainable shopping options into the e-commerce platform, such as the sale of pre-owned or refurbished items, directly addressing these generations' desire for sustainable and ethical consumption.

 

Pulling it all Together: Crafting a Future-Proof E-Commerce Trends Strategy

 

By building with composable commerce architecture, you’ll have the flexibility and adaptability you need to stay on top of all the latest e-commerce trends—2024 and beyond. 

You’ll be well positioned to deliver personalized, engaging shopping experiences, tapping into trends like TikTok e-commerce, recommerce, and everything in between, to create a bold, dynamic online presence that resonates with consumers from Boomers to Gen Alpha. (Our personal favorite.)

Speaking of Alpha, if this article has left your head spinning with ideas, Alpha Solutions is here to help. Reach out when you’re ready for an implementation partner that will help you keep up with all the e-commerce trends online so you can reach and exceed your goals!