This is how Dr. Somdutta Singh is reimagining the future of e-commerce with new technologies

Have you ever wondered how much technology has changed the way we shop? Did you know that by 2023, global e-commerce retail sales are expected to reach $8.1 trillion by 2026?

Correct! E-commerce is booming, all thanks to constant technological innovation.

Think back to the beginnings of online shopping. It was a far cry from the convenient and personalized experience we have today. Like any other industry, e-commerce is constantly evolving. New technologies are emerging all the time and have a huge impact on the way we shop. Let’s take a look at some of these exciting new technologies and see how they are changing the e-commerce landscape!

. Augmented Reality (AR)

Increasing shopping comfort with AR

If you ask anyone in the field, most of them will agree that augmented reality is a game changer in the e-commerce world. And I know most readers will agree with this if you think about it. The biggest advantage of stationary stores over online stores with wearable products was the ability to try them before purchasing.

From clothing and fashion accessories to essential products like prescription glasses, people always rely on physically trying out items before making a purchasing decision. This tactile experience provided confidence and confidence in the fit, feel and overall suitability of the product. AR can bring this experience to online shopping, bridging the gap between online and offline shopping experiences.

An example

Indian eyewear retailer Lenskart allows users to use their phone’s camera and see how their chosen glasses will look on them. This experience has also been extended to products such as furniture and home decorations.

Have you ever bought furniture online and worried whether your new chaise longue would take up your entire living room? IKEA Place uses AR to see exactly how furniture will look in your space. Just point your phone’s camera at the place where you want to place the furniture and voila! Suddenly, a virtual version of that shelf or dining table appears.

According to Shopify, using AR can increase conversion rates by up to 94 percent.

. Machine learning and artificial intelligence

Considering how common AI and machine learning already are in all aspects of life, it is quite difficult to imagine how things will change in the future.

Let’s take a look at how artificial intelligence is used today.

AI-powered chatbots already enable online sellers to communicate with customers for trivial queries, many of which can be successfully resolved without having to be forwarded to human sales representatives. Moreover, machine learning algorithms analyze customer data to provide personalized recommendations, improving the shopping experience by presenting products that closely match individual preferences. Fraud detection systems use artificial intelligence to identify and mitigate suspicious activity in real time, ensuring safe transactions.

How to predict the future with AI and ML?

As AI continues to evolve, we can envision even more advanced applications, such as predictive analytics for supply chain optimization, voice-activated shopping assistants that understand and anticipate customer needs, and immersive virtual shopping environments powered by AI-powered augmented reality. These innovations promise to make e-commerce more efficient, personalized and secure, fundamentally changing the way we shop online.

. Autonomous vehicles

While previous examples focused mainly on improving the user experience, new technologies can also revolutionize e-commerce backend operations. Self-driving autonomous vehicles have the potential to revolutionize the logistics and delivery landscape. Equipped with advanced sensors, artificial intelligence-based navigation systems and machine learning algorithms, autonomous delivery vehicles and drones can optimize routes, avoid traffic congestion and operate around the clock without human intervention. Autonomous vehicles can also contribute to sustainability efforts by reducing fuel consumption and emissions through more efficient driving patterns.

The current state of autonomous vehicles

While fully autonomous vehicles are still not available, there has been significant development over the last few years, with companies such as Waymo, Cruise, Aurora and AutoX already experimenting and making progress with Level 3 automation. Level 3 means that while driving vehicle, driver intervention is or may still be necessary. We’re still quite far from Level 5, or fully automated driving, but experts predict that these types of autonomous vehicles could be ready for consumers by the end of this decade.

. High-speed connectivity

5G and high-speed internet

As with all forms of technology, telecommunications technology has also made some significant advances over the years. Thanks to these advances, we moved from basic landline telephone systems to the high-speed wireless communications we now use, enabling global connectivity. 5G technology is the latest leap forward, enabling mobile data transmission speeds to be even faster than ever before.

But what does this mean for the world of e-commerce?

5G not only enables websites to load faster, thereby reducing user downtime and enabling seamless transactions. Faster speeds and better connectivity also enable some of the technologies we talked about earlier, including AR and autonomous vehicles.

The future of connectivity

Currently, 5G is being rolled out steadily around the world and is expected to reach the vast majority of people by the end of this decade. Work is also already underway to develop 6G technology, which will provide even faster connectivity, although this is still a long time away. As 5G networks become more widespread, they will enable more reliable mobile commerce by providing stable and fast connections even during peak hours, thereby increasing conversion rates and customer satisfaction. Overall, the integration of 5G technology will significantly transform e-commerce over time, making online shopping more efficient, engaging and accessible.

To sum up

The convergence of cutting-edge technologies is not just an evolution, but a revolution in the e-commerce sector. These improvements are intended to break down the remaining barriers between physical and online shopping, creating seamless, highly personalized consumer experiences. Implementing these technologies will be critical for businesses that want to thrive in this dynamic environment, ensuring they remain competitive and responsive to the changing needs of their customers.

The author of the article is first-generation serial entrepreneur, founder and CEO of Assiduus Global Inc, angel investor LP and former member of Niti Aayog, Dr. Somdutta Singh.