eCommerce sales are set to break the $1 trillion barrier this year. But that value still only represents 13% of total retail sales.
If you think about the histories of commerce, this makes sense because digital commerce is a child compared to physical commerce.
But ecommerce is gaining traction. And its momentum parallels that of Web3 as we enter an era of open and decentralized internet.
While ecommerce and Web3 merge and intertwine into the future, it opens powerful capabilities for brands. Released from the restraints of monolithic platforms that chain customer data, sales channels, and operations, Web3 can empower businesses in digital commerce.
Web3 for brands
While ecommerce continues to gobble up a greater share of the retail market, consumer expectations are elevating in terms of affordability, quick delivery, and simple returns. And Web3 makes it easier for brands to at least meet these expectations and ideally exceed them.
Brands and retailers are capable of enabling transparent systems where they are free to link all of their ecommerce operations, such as tools, transactions, partners, order sources, and data, all connected into the same platform.
This is set to shake the ecommerce status quo, with its accelerating adoption of technology-driven services that are designed to benefit businesses and their customers.
The move away from the traditional methods of storage has already started to shift, with brands often lacking the connectivity that is needed in order to keep pace with the constant growth of ecommerce.
Crucial aspects of Web3 include fulfillment networks that are powered by leading software and integrated into ecommerce platforms – crucial to deliver world-class digital experiences for consumers.
Consumers and Web3
For consumers, the benefits of Web3 include greater transparency and visibility, which ultimately create better ecommerce experiences that are powered by personalization and enhanced security.
That’s because brands that maintain greater control over the data of their customers are better positioned to design and create individualized products, services, experiences, and promotions.
We now stand at the frontier of shopping with the emergence of social media commerce. And Web3 is a core part of that. With social media commerce, brands and retailers can provide customized and targeted content with buying functionalities baked into it.
f providing 1-1 customer experiences, and at scale across its market segments, they are able to not only maintain brand visibility but also boost brand loyalty to drive ecommerce sales.
In terms of security, blockchain payments have the potential to drastically cut down on fraud, while interconnected systems give greater visibility when it comes to tracking transactions from the moment a customer clicks buy to the moment the goods arrive at the customer’s door.
Whether it be DTC, online marketplaces, retail websites, applications, or social media, brands are branching out to meet their customers wherever they reside digitally.
These omnichannel strategies are made more effective by Web3 as all digital channels can be linked into their sales and operational systems for seamless ecommerce experiences.
Adopting tech stacks that best fit each consumer’s wants and needs. That’s the potential given by the decentralized nature of Web3. The hype seems too much of a good thing, offering the best possible outcome for both brand and consumer.
PS: ArganoUV is one of the world’s leading digital products & experiences development & strategy teams. Contact us to see how we can work together.