Estimated read time: 4 minutes, 12 seconds
Keeping up with the latest and greatest in ecommerce can be a lot of work. Between new legislation going into effect and shifting consumer preferences, the ecommerce landscape is anything but stagnant.
But don’t worry, we got your back.
As your global ecommerce partner, we make it our mission to stay on top of the latest trends. This way, we can ensure that we’re not only improving our ecommerce solution to better meet your needs, but also the ever-changing demands of the digital economy.
Want to learn more about the 5 ecommerce payments trends shaping 2019? Keep reading to find out more.
1. Multi-channel selling is a must.
In 2018, Cyber Monday online sales totaled $7.9 billion, a 19.3% jump from the year before. What’s even more staggering is that 54.3% of these purchases came from mobile. With more consumers choosing to conduct their shopping directly from their mobile devices, mobile isn’t a channel your business can afford to ignore.
Digital businesses must prioritize shopping experiences that are just as fluid as the users conducting them. Some shoppers may choose to start their checkout journey from their desktop and then decide to finish up their transaction from a mobile device or vice versa. Give your customers the flexibility to complete their purchase from any device, regardless of where they initially started the checkout process from. By catering to your customer’s unique shopping preferences (this includes accounting for the devices they prefer to shop from), your digital business is effectively taking steps towards maximizing your conversion rate.
2. A push for smarter payment processing.
Businesses around the globe will look to simplify their payment tech stack. Managing multiple payment processors, payment gateways, and even just trying to understand online payment processing can be challenging especially if your business is just starting out. Throw in the complexities of maintaining global sales tax/VAT compliance into the mix and you might start to feel a bit overwhelmed.
Instead of investing time into improving their product or service, digital businesses suddenly find themselves sinking valuable resources into managing payouts, billing, and collecting & remitting taxes. Luckily all-in-one ecommerce platforms, like FastSpring, seek to remedy this problem by acting as your Merchant of Record and providing a broad range of ecommerce payments features to simplify online payments for your digital business.
3. Data security becomes an even larger focus.
Your digital business isn’t the only one taking notice of the influx of shoppers transacting online. Cybercriminals also want in on the action too! Make sure your business is taking steps to protect your customer’s data and security by ensuring that your website is compliant with the necessary PCI-DSS and data privacy standards.
Data privacy and protection will continue to be one of the most important areas of focus for ecommerce. We’re already seeing evidence of this with the EU’s General Data Protection Privacy Act going into effect in 2018. New advancements in payment processing and ecommerce tech will continue to streamline the shopping experience for many consumers thanks to increased personalization. However, businesses must balance collecting sensitive customer information(in the name of providing better customer experience) with ensuring proper data protection, since a data breach can have a serious impact on your brand’s reputation.
4. More businesses will transition to a subscription model.
According to research by Gartner, all new entrants and 80% of historical vendors will offer subscription-based business models by 2020.
Moving to a recurring billing model instead of a one-time sales model has positive implications for both business and consumers by:
- Enticing shoppers to buy with flexible pricing that better fits their needs.
- Opening up additional customers segments who may have initially been hesitant to subscribe because of high upfront investment.
- Promoting growth with more consistent revenue streams.
- Increasing customer retention through hassle-free billing.
5. Global ecommerce continues to cross borders.
With ecommerce customers expected to continue looking beyond their borders when shopping online, can your business keep up? In fact, Forrester estimates that cross-border shopping will make up 20% of ecommerce in 2022, that’s a whopping $627 billion in sales!
Making sure your digital business has the ecommerce capabilities to accept global payments and currencies is only the beginning. Converting international shoppers involves building out truly great shopping experiences that make it both easy for customers to identify the digital product or software they are searching for and allows them to seamlessly purchase these items. To capture cross-border shoppers, digital businesses must ensure their ecommerce platform has the capabilities to:
- Accept multiple currencies and global payment methods.
- Display pricing that accurately matches a user’s geolocation.
- Stay compliant on global tax complexities.
- Cultivate seamless customer experience across the entire checkout process.
To close, it looks like 2019 will be an exciting year for ecommerce! To ensure that your business is in a position to ride on the tailwind of these ecommerce trends, your business should start preparing now.
Interested in learning more about how partnering with an all-in-one ecommerce platform can help you grow your business? Click here to speak with one of our platform experts.