E-commerce challenges: Omnichannel shopping, sustainability and inflation top priorities for 2023

Omnichannel shopping and sustainability will be among the key issues online vendors will need to tackle heading into the new year, e-commerce experts predict.

Personalising the user experience and offsetting the effects of soaring inflation will also be key areas of focus in 2023 as internet-based shopping continues to eat into traditional sales channels. James Khoury, an e-commerce expert and chief executive of fulfilment provider Zendbox, said it was no longer enough to simply have a website, with online stores now needing to make their goods accessible across a range of selling platforms.

“Consumers are channel surfing more than ever, often discovering brands on social media before they find their website,” he said. “People are more price conscious too and will be looking to compare prices for your product, or similar ones, on search engines or comparison sites. Now might even be the time to look into what will potentially be the next ‘super app’. As part of your omni channel approach, focus efforts on these types of apps in line with your website, social media accounts and, if applicable, your bricks and mortar store.”

Khoury pointed out that by 2024, it is predicted that mobile sales will reach more than £100 billion, thanks in no small part to generation Z and the rise of generation alpha.

“It’s more important than ever to adopt a mobile-first approach to retail sales and maximise every e-commerce opportunity,” he added. “It’s no coincidence that this upward trend in mobile sales aligns with the exponential growth of social commerce. TikTok has experienced the largest increase in the percentage of consumers willing to buy from social media. People can discover your brand on social media and then buy from the comfort of their mobile phone.”

According to Zendbox’s forecasts, “green commerce” will also become an increasingly important issue in the year ahead as environmental concerns come to the fore. “The word ‘sustainability’ won’t be going anywhere in 2023,” noted Khoury. “In fact, more and more retailers will be looking to increase their green credentials. This means offering things like sustainable packaging, more eco-friendly shipping options and carbon offsetting.

“Online second-hand stores and rental services have gained popularity in recent years, and even charity shops now have an online presence. Some existing retailers allow customers to recycle old items in return for vouchers, and others have set up marketplaces as an offshoot, where they resell past season and pre-loved stock.”

Meanwhile, tackling the impact of inflation has been described as a “necessity” for online retailers. Consumer price inflation is likely to have peaked at just over 11 per cent but despite easing last month is forecast to remain in high single digits throughout much of 2023.

Online retailers will need to address a number of issues in the new year if shoppers are to continue clicking and buying.

Khoury said: “The economic downturn has made customers savvier than ever before. Purchases are carefully considered, and choosing which e-tailer to buy from may come down to which one has the most budget-conscious options. Things like free delivery and free returns are very attractive right now. Offering a range of payment options will also help to assuage any buying-related anxiety.”