The widespread adoption of smartphones has led to a rapid evolution of e-commerce and

social commerce, which has caught the attention of numerous brands. Many of these
brands are now eager to embrace an "always on" approach that seamlessly integrates
marketing communications with the ability to make online purchases. The goal is to create a
direct connection between marketing efforts and the opportunity to purchase products or
services, thereby improving the customer experience and increasing sales. This trend
highlights the importance of mobile optimization and the need for brands to continually
adapt to the changing needs and behaviours of consumers in the digital age

Some Definitions
• E-commerce - describes the trading of goods and services online.
• Social commerce - describes online retail which uses social networks or peer to peer
communication to drive sales.
• Shoppable media - is interactive content that enables users to begin and –
increasingly – complete a purchase within the publisher ecosystem.
• Shoppable video - is interactive video which allows viewers to click on items to
discover more information, add to basket and complete a purchase.
• E-commerce - advertising exists within e-commerce ecosystems, including search,
classified and display ads. Livestream is live video (or sometimes audio), usually
streamed on social platforms and apps and often hosted by a celebrity or social media
influencer.
• Retail media - includes all forms of online and offline advertising within retail
ecosystems, from targeted sponsored ads on websites to in-store media.
What we know about virtual and augmented reality

1. Virtual reality (VR) fully engages users in a digital word, without the distraction of
competing screens, while
2. Augmented reality (AR) unites the real and the virtual.

After years of promise, VR and AR look poised to become viable mainstream marketing
tools with global digital media owners such as Meta, Alphabet and Snap investing in
research, platforms and headsets.

Virtual reality marketing can be an effective tool for businesses to showcase their products
or services, allowing consumers to engage with them in a highly interactive and immersive
way. For example, a clothing brand might use virtual reality to create a virtual store where
users can browse and try on clothes, allowing them to experience the products in a more
realistic and engaging way. Similarly, a real estate company might use virtual reality to
create a virtual tour of a property, allowing potential buyers to explore every aspect of the
property as if they were actually there.

Augmented reality, on the other hand, offers a unique way to enhance the real-world
experience for consumers. Brands can use augmented reality to provide additional
information or context for products, such as allowing users to scan a product with their
smartphone to access reviews, product specifications, or other information. Additionally,
augmented reality can be used to create interactive and engaging marketing campaigns,
such as gamified experiences or scavenger hunts.

As the technology behind virtual and augmented reality continues to evolve and become
more accessible, we can expect to see these technologies become even more prevalent in
the world of marketing and advertising. While there are certainly challenges associated
with creating compelling and effective virtual and augmented reality experiences, the
potential rewards are substantial, offering brands new ways to connect with consumers
and stand out in an increasingly crowded marketplace.

Artificial intelligence (AI) refers to the simulation of human intelligence in machines that
are programmed to perform tasks that typically require human cognition, such as visual
perception, speech recognition, decision-making, and language translation. AI systems can
learn and improve over time, often through the use of machine learning algorithms that
analyse data and identify patterns to make predictions or decisions. AI is a rapidly growing
field that has the potential to transform many industries, from healthcare and finance to
transportation and entertainment.

Artificial intelligence is having a significant impact on businesses of all sizes and industries.
AI-powered tools and technologies are being used to automate and optimize a wide range
of business processes, from customer service and marketing to supply chain management
and financial analysis.
One of the primary benefits of artificial intelligence in business is the ability to process vast
amounts of data quickly and accurately, allowing businesses to make more informed
decisions based on real-time insights. Machine learning algorithms can analyse large data
sets to identify patterns and trends, enabling businesses to optimize their operations,
improve customer experiences, and increase sales.

Another area where artificial intelligence is being used is in customer service. AI-powered
chatbots and virtual assistants are increasingly being used to handle customer inquiries
and support requests, freeing up human agents to focus on more complex or high-value
tasks.

In addition to these operational benefits, artificial intelligence is also opening up new

opportunities for businesses to innovate and create new products and services. For
example, AI-powered software can analyse customer data to identify unmet needs or
areas of opportunity, allowing businesses to develop new products and services that
better meet the needs of their customers.

Despite these benefits, however, there are also concerns about the impact of artificial
intelligence on the workforce, particularly in terms of job displacement. As such, it's
important for businesses to approach AI implementation thoughtfully and strategically,
considering not just the potential benefits but also the potential risks and challenges
associated with these technologies.

Ecommerce and AI, AR, and VR technologies are increasingly becoming interconnected,
and they are changing the face of online shopping. Here are some ways in which these
technologies are being used in ecommerce:

Personalization: AI algorithms are being used to analyse customer data and provide
personalized product recommendations based on their past behaviour, preferences, and
buying history.

Chatbots: Ecommerce companies are using chatbots to interact with customers, answer
their queries, and guide them through the purchase process. These chatbots are powered
by AI and can learn from customer interactions to provide better service.

Visual search: With the help of AI and computer vision, ecommerce companies are
enabling customers to search for products using images rather than keywords. This makes
it easier for customers to find the products they are looking for.

Augmented reality: AR technology allows customers to visualize products in a real-world

setting before they make a purchase. This is particularly useful for products such as
furniture, where customers can see how the product would look in their home before
making a purchase.

Virtual reality: VR technology is being used to create immersive shopping experiences,

where customers can virtually explore a store, browse products, and make purchases
without leaving their home.
 Overall, ecommerce and AI, AR, and VR technologies are transforming the way we shop
online, making it more personalized, interactive, and immersive.

1. Some more learnings 1 - Gaming and E Commerce

Gaming has become a top form of entertainment, and the generational divide is becoming
less apparent as more people of all ages and backgrounds are playing games. This is
challenging the typical gamer stereotype and creating new opportunities for businesses to
tap into gaming culture.

One of the ways that businesses can benefit from gaming culture is by converting players
into payers. This can involve offering in-game purchases or subscriptions, as well as
leveraging gaming culture to promote related products and services. By understanding the
interests and preferences of gamers, businesses can create targeted marketing campaigns
that resonate with this audience and drive sales.

Another trend that is emerging in ecommerce is the integration of gaming. For example,
some online retailers are using gaming elements, such as leaderboards or challenges, to
engage customers and encourage repeat purchases. This can help to create a more
immersive shopping experience and build customer loyalty.

Overall, gaming culture represents a significant opportunity for businesses to connect with
consumers and drive revenue. As the popularity of gaming continues to grow, businesses
that are able to leverage this trend effectively will be well-positioned to succeed in the
market.
In addition to gaming in ecommerce, businesses can also benefit from sponsoring or
partnering with gaming events and tournaments. These events attract a large and engaged
audience, providing businesses with an opportunity to showcase their products and services
to a highly targeted and receptive audience.

Moreover, businesses can also create their own games or gamified experiences to engage
their customers and promote their brand. By offering interactive and entertaining
experiences, businesses can create stronger connections with their customers and increase
their brand awareness.

Finally, as the gaming industry continues to evolve, there is potential for businesses to
explore new opportunities and emerging technologies. For example, virtual reality and
augmented reality are becoming increasingly popular in the gaming industry, and businesses
that are able to incorporate these technologies into their products and services may be able
to gain a competitive advantage.

Overall, gaming is a trend that businesses cannot afford to ignore. By tapping into gaming
culture and engaging with gamers, businesses can convert players into payers, increase
customer loyalty, and drive revenue. As the gaming industry continues to grow and evolve,
businesses that are able to stay ahead of the curve and adapt to new trends and
technologies will be well-positioned for success.
 2. Learnings 2 - Robots and emotional bonds

In today's fast-paced world, consumers are constantly on the go and have little patience
for delays or inconveniences. They expect fast and frictionless solutions across all aspects
of their lives, from shopping and entertainment to healthcare and finance. This trend has
been fuelled by advances in technology, which have made it easier than ever for
consumers to access information and services on demand.

For businesses, meeting these expectations is critical to success. Customers who

encounter friction or delays in the buying process are likely to become frustrated and
may choose to take their business elsewhere. To meet these expectations, businesses
need to focus on providing fast and convenient solutions that are easy to use and
navigate.

One way that businesses can provide fast and frictionless solutions is by leveraging
technology. For example, ecommerce platforms can use advanced algorithms to
personalize product recommendations and streamline the checkout process, making it
faster and easier for customers to make purchases. Similarly, healthcare providers can
use telemedicine technology to offer virtual consultations and reduce wait times for
appointments.

Another key factor in providing fast and frictionless solutions is customer service.
Businesses that are able to offer round-the-clock support through multiple channels,
such as chatbots, social media, and phone, can provide customers with the instant
support they need to resolve any issues or questions they may have.

Finally, businesses can also benefit from providing fast and reliable shipping options. By
offering same-day or next-day shipping, businesses can improve customer satisfaction
and reduce the risk of abandoned carts and lost sales.

Overall, providing fast and frictionless solutions is essential for businesses that want to
remain competitive in today's market. By leveraging technology, offering exceptional
customer service, and providing fast and reliable shipping options, businesses can build
strong relationships with their customers and drive growth and success.

• Today’s consumers expect fast and frictionless solutions across all aspects of their
lives, gravitating towards quick, convenient solutions to save time and money.
• To meet these demands, consumers are leveraging advancements in technology
such as automated solutions to replace some manual tasks and smart appliances to
simplify and streamline day-to-day activities.
• Out of home, business is investing in androids for last mile delivery and services such
as hotel concierge that provide a more efficient service and consumers are
increasingly happy with these automated options.
• According to Euromonitor’s Voice of the Consumer: Digital Survey in 2022,
 o eight out of 10 consumers aged 15-29 stated they are comfortable interacting
with robots, and although adoption lags for older cohorts, Digital Seniors are
tightening the gap between generations.

But consumers still crave the personal touch

• Consumers want to interact with humans and machines but for different reasons
and at specific points in the path to purchase.
o Businesses need to understand the interplay between tech and personal
touch in their categories in order to win.

Automation is undoubtedly attractive to consumers everywhere, but there is a line and

consumers are wary of over-automating and becoming too reliant on technology.

The fact that automation can be appealing to consumers as it can make their lives easier and more
efficient. However, there is a concern that relying too heavily on automation can lead to a loss of
control and a lack of human connection.

As technology continues to advance, it is important to find a balance between automation and

human interaction. Consumers may be hesitant to embrace technology that eliminates the need for
human interaction entirely, as they value personal connections and experiences. Additionally, over-
reliance on technology can lead to a sense of disconnection and a loss of skills that are essential for
human interaction and communication. It is important for companies to recognize the potential
drawbacks of over-automating and work to integrate technology in a way that enhances, rather than
replaces, human interaction. This can involve designing automation systems that still allow for
human input and decision-making, or creating opportunities for employees to connect with
customers in meaningful ways despite the presence of technology.

Ultimately, finding the right balance between automation and human interaction will depend on the
specific context and the preferences of individual consumers. Companies should be mindful of these
factors and work to find solutions that meet the needs of their customers while also embracing the
benefits of automation.

Automation provides obvious benefits for businesses both financially and for productivity
efficiencies.

(https://www.geeksforgeeks.org/top-7-ecommerce-technology-trends-for-the-coming-
years/)

o voice-and-image-enabled distribution of services is engaging more and more

customers because they may now photograph the products which fascinate
them a lot, and later, those customers can potentially find similar examples
on other e-commerce websites just by sitting on their beautiful couches.
o multi-purpose and dynamic Virtual Assistants for example Amazon Echo,
Alexa, and Google’s Home are integrating well with a sudden boost in BRAND
IMAGE and improvised results in online shopping.
o From scheduling their flights to purchasing the clothes, groceries that will
match their interest, all this has been made easier by those Artificially
Intelligent Chatbots.
 o ROPO is well-relatable with RESEARCH ONLINE THEN PURCHASE THE ENTITY
SEARCHED OFFLINE. On the other side, ROBO shouts out loud and supports
the notion of RESEARCH ONLINE THEN BUY THE ENTITY OFFLINE.
▪ both these terminologies are the strengthened PINNACLES of the E-
commerce industry as they are backed by the metrics like
• shopping history,
• optimized reporting features, and
• easy-to-understand-and-use content.
• The difference between "research online then purchase offline" and "research online
then buy offline" is mainly in the intent and the specific action being emphasized.
• "Research online then purchase offline" implies that the goal of the online research
is to gather information about a product or service, but the actual purchase is made
in a physical store. This could be because the buyer wants to physically see, touch or
try out the product before making a purchase, or because they prefer to support
local businesses.
• On the other hand, "research online then buy offline" suggests that the online
research is done with the intention of making a purchase, but the actual transaction
takes place in a physical store. This could be because the buyer wants to take
advantage of in-store promotions, discounts or sales, or because they prefer to avoid
shipping fees and wait times associated with online purchases.
• Overall, both approaches involve conducting research online to inform an offline
purchase, but the emphasis is on whether the ultimate goal is to make a purchase
offline or online

“Consumers want it all” report also states that retailers and brands must shift their
sustainability strategies and cater their shopping experiences to meet evolving consumer
demands in 2022. Retailers need to understand how exactly can emerging technologies help
them improve their online sales. For example, most e-Commerce apps are now moving
towards shoppertainment to engage with their consumers. However, not all retail products
can cater to these.

According to recent studies, purpose-driven consumers have become the largest segment in
the market, accounting for 44% of consumers. These consumers choose products and
brands based on how well they align with their values and beliefs. This trend is driven by a
variety of factors, including increased awareness of social and environmental issues, greater
access to information, and a desire for more meaningful connections with the companies
and products they support.

Companies are recognizing the importance of responding to the values of purpose-driven

consumers in order to build loyalty and differentiate themselves in a competitive market. To
achieve this, they may take steps to align their business practices with the values and beliefs
of their target audience, communicate their values and mission clearly, and engage in
socially responsible initiatives that align with their values.
 3. Learnings 3 - The rise of “Shoppertainment”

Shoppertainment, a term used to describe the convergence of entertainment shopping

videos and commercials, has been increasing. Countries with movement restrictions and
deferred plans caused by Covid-19 have turned consumers to shopping with entertainment
for that feel-good factor. In TikTok’s survey, one in three users stated that they want to
make purchases and feel good about themselves.

“Shoppers expect not just to be sold to, but to be entertained as well. Instead of people
searching for products, products are now searching for people” shared Ng Chew Wee, Head
of Business Marketing, TikTok Southeast Asia.

Consumer behaviour in online shopping has moved towards “shoppertainment”, and

businesses seeking to remain competitive need to catch up.

At the same time, the convenience of a variety of digital payment options has affected
consumer behaviour. Innovations in digital payments, especially with more companies
looking to offer buy now, pay later options, are growing in popularity as well.

A recent study by independent identity provider Okta showed the shifting perceptions of
trust amidst a rapidly digitalizing world in 2020. When it comes to building a brand’s digital
trust, consumers care most about a company’s service reliability, strong security, quick
response times, and good data handling practices.

Asian consumers are most likely to lose trust in brands that intentionally misuse or sell
personal data, followed by brands that fall prey to a data breach. Digital trust has a big
impact on brand awareness and reputation, and ultimately where Asians spend their money
online – 50% of Asian respondents have lost faith in a company due to a data breach or
security event.

For brands, consumer loyalty is hard to gain and easy to lose. As organizations look to not
only provide the best service and experience to customers but also ensure customers stick
with their brand and keep coming back, businesses need to be able to capture this market
with techniques such as shoppertainment, but also maintain and build strong digital trust.