Big data is emerging and a popular concept in this digital age. The technology trends are slowly redefining the IT industry. Now, popular technology is not just a topic buzzing around but every industry, including e-commerce, is actively embracing them to optimize their offered services.
Do you know that as per the ecommerce developer stats, 95% of all purchases will be made via e-commerce by 2040.
The eCommerce landscape has been set in the online space with a major objective of providing customers with an exceptional offline shopping experience.
This goal is accomplished by providing buyers with an intuitive and direct way to navigate their desired goods and services. The development of big data analytics has proved to be the latest technologies that the eCommerce industry requires today.
Here, through this blog, I will tell you the top 9 ways how Big data is revolutionizing the eCommerce Industry. Let’s start!
How Big Data Is Transforming the eCommerce Industry?
Let’s take a deeper dive into how it is helping the eCommerce industry to grow. Here we go!!
#1. Superlative User Experience
It is critical for your shopping assistant mobile app to offer a positive experience to users. With its help, it’s possible to get a positive recommendation from the client which can make them revisit your online store again.
You should also remember word of mouth is also a great means in order to reach more people than any other kind of propaganda.
87% of customers said that when online stores customize the shopping experience, they are eager to purchase more. After a business gets the customers’ data, they can make customized encounters that take into account their necessities.
Customized experience techniques incorporate sending altered messages to clients giving unique offers and discounts, demonstrating focused advertisements to various groups of individuals, executing up-selling as well as cross-selling strategies to people, and so forth.
The world’s biggest eCommerce giant Amazon is an extraordinary example of utilizing Big data analytics and cross-selling strategy to produce high revenue.
#2 Elevated Shopping Experience
eCommerce organizations have a perpetual supply of data to fuel predictive analysis that envision how clients will act later on.
Retail sites track the number of clicks per page, the average number of items individuals add to their shopping carts prior to checking out, and the average period of time between a homepage visit and a buy.
If users are signed up for a prize or membership program, organizations can examine age, demographic, style, size, and financial data.
Predictive analytics can assist organizations with growing new strategies to prevent shopping cart abandonment, reduce time to buy, and cater to sprouting trends.
Similarly, eCommerce organizations utilize this data to precisely anticipate stock necessities with changes in irregularity or the economy.
#3 Track Customer’s Purchasing Journey
Business is all about figuring out individuals, particularly the customers. Back in when online exchanges were not winning and individuals just shop in stores, it was not attainable to follow the background data of each user.
You also need to have an eye on the purchase behaviour like most frequently visited categories, checking the price of the products, etc. This will help you to learn more about the buying patterns and devise an effective sales strategy.
These days, there are around 2.05 billion individuals buying products online. Despite the fact that they tend to switch between stites prior to making a buy, the browning activity data can be tracked and analyzed.
#5 User Recommendations
Provide options to the visitors so that they can recommend or suggest after reading as many reviews as possible. They should also be given an option to cross-verify and have a second opinion before deciding to purchase a product.
#6 More Secure Online Payments
To give a pinnacle shopping experience, customers need to know that their payments are secure. Big data analysis can perceive atypical spending behaviour and notify users as it occurs.
Organizations can set up cautions for different fraudulent activities, similar to a series of various buys on a similar credit card within a brief timeframe outline or multiple payment methods originating from a similar IP address.
Similarly, numerous eCommerce sites currently offer numerous payment methods on one centralized platform. Big data analysis can figure out which payment methods turn out best for which customers, and can gauge the effectiveness of new payment alternatives like “bill me later”.
Some eCommerce sites have executed a simple checkout experience to diminish the chances of a deserted shopping cart. The checkout page enables users to put an item on a wish list, pick a “bill me later” option, or pay with different credit cards.
#7 Dynamic Customer Service
Have you ever experienced this circumstance: you had an uncertainty on an item you just found on BestBuy. You reached customer support. They reacted in practically no time and addressed your inquiry perfectly.
After receiving the product, you were fulfilled and shared this experience on social media with your loved ones.
It would appear that a typical scene, correct? Yet, behind the surface, there lies immense business potential. As per the stats from Business.com, loyal users spend 67% more than new customers, and 72% of the individuals who had a positive encounter share it with more than 6 individuals.
Great customer care prompts a higher retention rate, conversion rate and hence brings more benefit.
#8 Price Optimization
Selling a product at the right price, not just or the customer but also for the retailer or manufacturer is an important task. The price must not only include the costs to make the product but also should also take into account the ability of a customer to pay for that product while keeping in mind competitor prices as well in order to drive profits.
All of this is calculated with the help of machine learning algorithms again, the algorithm analyses a number of parameters from the data like the flexibility of prices, location of the customer, the buying attitude of an individual customer and competitor pricing.
It then comes up with the optimal price that can benefit all the parties.
This another powerful and important tool for retailers to market their product in the right way with the optimal pricing that aligns with the company’s business goals.
#9 Increased personalization
Other than empowering consumers to make secure, simple payments, Big data can develop a more customized shopping experience. 86% of customers state that personalization plays a significant part in their purchasing choices.
Millennials are particularly keen on buying online and assume they will get customized proposals.
Utilizing big data analytics, eCommerce organizations can build up a 360-degree perspective on the consumer. This view permits eCommerce business organizations to segment customers on the basis of their location, gender, and social media presence.
With this information, organizations can make and send email messages with customized discounts, utilize distinctive marketing techniques for various target audiences, and launch products that talk straightforwardly to explicit groups of customers.
Big data has already greatly affected the e-commerce industry and will likely continue to do so. To prepare, companies can use big data analytics to upgrade their self-service customer support, and interpret surveys.
Not only this, eCommerce businesses can prepare for seasonal influxes, new trends and customer preferences. To harness the power of big data, eCommerce development companies in India are turning to cloud-based big data analytics.
Cloud-based tools can transform and examine data quickly and effectively. This will make it easier to analyze all data sources concurrently and the speed of your business.
Sneha Das is a Sr. Tech Consultant & Blogger working for PixelCrayons which is a leading web designing company in India. She possesses in-depth knowledge of all the latest technologies and likes to share it with like-minded people. Recently she is helping businesses overseas to hire api developers in India from the most trusted Brand Pixelcrayons.