“Alexa, what will be your impact on e-commerce?”
Voice is now a consumer channel, with conversational commerce expected to reach $34 billion by 2034. Does your organizational strategy include voice? It should.
2024 brought some seismic shifts in the e-commerce world, specifically in the realm of AI. Emerging technologies, volatile market dynamics, and consumer expectations that seem to be changing more often than ever are creating big opportunities — and challenges — for commerce leaders. For online retailers, e-commerce trends in 2025 reflect a hybrid shopping reality. Customers expect to move fluidly between digital and physical purchases with a brand – and the brand better know them well enough to serve up personalized suggestions, great customer service, and an outstanding CX, or else they’ll bail.
Last year, global retail e-commerce sales landed around $5.8 trillion. Experts are anticipating ongoing growth, with 2027 projections surpassing $8 trillion by 2027.
Want a piece of that trillion-dollar pie? Better get your electronic commerce in best-of-suite shape.
To keep up with the digital Joneses, brands need to excel across all cycles and cylinders, offering intelligent e-commerce that provides exactly what consumers want, from product searches and recommendations to post-sale care. Above all, brands must have a customer experience that makes people forget about the competition. To do this, they need a deep understanding of the industry trends and buying behaviors shaping e-commerce.
Aligning with these trends is essential for brands, whether they’re selling to consumers or businesses. Study after study shows that B2B buyers have shifted to digital channels and expect the same kind of buying experience they have as a consumer.
For example, 33% of B2B buyers say they search for products on mobile devices and social platforms more than in the past.
2024 felt like the year of AI — despite talking about it for years, it’s suddenly everywhere. Generative AI in particular has integrated itself into our daily lives, with 92% of businesses already using it to enhance the e-commerce experience for more powerful personalization. As AI moves from tech trend to mainstream, it’ll be a cornerstone of successful digital storefront strategies in 2025.
Generative AI’s global market revenue is projected to reach $208.8 billion by 2032. And Gartner predicts that generative AI will account for 10% of all product data produced by 2025, compared to just 1% in 2021.Brands are already using AI to analyze customer behavior at a granular level and create experiences that resonate, including product recommendations, search results, email promotions, and delivery options — even dynamic webpage content.
As AI becomes more pervasive in e-commerce, consumers are becoming more concerned about data security. While generative AI offers brands the ability to analyze customer behavior so it can perfect personalized shopping experiences, it also requires handling large volumes of sensitive data. This is pushing security to the top of the agenda for e-commerce companies in 2025.
Brands must understand that transparency is NOT a trend; it’s a requirement: Businesses have to be transparent about how they use consumer data to build and maintain trust. Implementing practices like data encryption, secure payment gateways, and AI systems designed with privacy in mind are critical stepsAddressing these concerns involves not only meeting regulatory standards, like GDPR, but also communicating clearly with customers about how their information is protected. This approach ensures that as businesses leverage AI for personalization, they’re maintaining customer trust.
By aligning AI innovation with data security best practices, e-commerce companies can provide personalized experiences without compromising customer privacy. It’s a balancing act that, when done well, can set a brand apart in a competitive market.
Social commerce is set to dominate the e-commerce landscape in 2025, merging the convenience of online shopping with the interactive nature of social media. Platforms like Instagram, TikTok, and Pinterest are evolving into comprehensive buying experiences where users can discover, explore, and purchase products directly within their feeds.
Influencer marketing and user-generated content (UGC) is brand content that’s created by users, rather than the brand.
Social channels are crucial touchpoints for e-commerce: In fact, by 2030, social commerce revenue is expected to reach $6.2 trillion.
When it comes to finding new products, interacting with brands, and authentic product recommendations that consumers trust, social shopping will be a juggernaut for online retailers in 2025. With AI improving the experience, social commerce offers a tremendous opportunity for online retailers to hone in on truly personalized shopping experiences and product recommendations in real-time.
Social shopping makes the customer journey easier and more engaging, especially for digital natives who spend a lot of time on those platforms. For businesses, it’s a shift in how they market products—focusing on creating shoppable content, live-streaming events, and leveraging influencers to reach potential customers will be key to e-commerce in 2025.
Voice commerce has been around for a while now, but hasn’t yet gained real traction in the market. That may change for e-commerce in 2025, as smartphone usage, messaging apps, and AI become a normal part of the shopping journey within the e-commerce industry.
Smart speakers like Amazon Alexa and Google Assistant enable users to search for products, make purchases, and track deliveries using voice commands. The actual experience, however, can feel clunky and unreliable. But with recent advances in natural language capabilities, more e-commerce platforms are optimizing for voice search, giving consumers a hands-free, convenient way to shop
Between the launch of Apple Intelligence and ChatGPT’s “advanced voice mode” earlier this year, we’ve seen a big leap forward in the world of voice technology. And the more natural and intuitive this tech becomes, the more we’ll see consumers saying “Hey, Siri” or “Hey, Alexa” as part of their shopping experience.
Voice is now a consumer channel, with conversational commerce expected to reach $34 billion by 2034. Does your organizational strategy include voice? It should.
Advances in augmented reality (AR) are changing how buyers interact with products, offering more immersive online experiences. One of the biggest challenges in e-commerce is helping customers visualize the sensory aspects of shopping: how a product will look on them, or work for them in their space. Augmented reality can help ease that anxiety, making online shoppers more likely to click buy.
AR technology lets customers visualize products in their real-world environment by placing it virtually in their space. Consumers can visualize their room in a different paint color, see how a new piece of furniture will fit in their space, or virtually try on new glasses, clothing, makeup or even hair colors—simply by activating the camera on their phone.Thanks to smartphones, consumers already have access to AR experiences – and brands will embrace this trend in 2025, using AR activations as part of their marketing strategies.
It’s also opening the door to experiential retail, which essentially turns brick-and-mortar stores into immersive showrooms where customers can explore products physically but make purchases online. By integrating AR and VR (virtual reality), brands are able to offer dynamic shopping experiences that seamlessly blend the digital and physical worlds. Physical stores become less about direct sales and more about brand immersion.
Done well, this technology can help slash return rates by boosting customer confidence in their buying decisions. As AR continues to become more accessible, sophisticated and user-friendly, it will be a powerful tool for creating interactive shopping experiences that build trust and drive sales.
Augmented reality is transforming online shopping. Find out how brands are using AR technologies to deliver innovative e-commerce experiences.
Growing concern for the future of our environment has consumers and governments alike putting pressure on companies to curb emissions and invest in sustainable practices. For e-commerce businesses, that means delivering a high-quality customer experience that’s also eco-friendly.
According to an IDC study, 46% of consumers believe that a retail brand’s sustainability record is an important deciding factor for whom they’ll do business with.
In 2025, e-commerce companies are looking at everything from their product packaging to their manufacturing and warehousing facilities to assess their emissions baseline and identify opportunities to improve.
Expect to see sustainability stories take the spotlight in around e-commerce in 2025, as more and more commerce brands adopt eco-friendly practices.
As 85% of single-use plastic packaging ends up in landfills, brands are looking to reduce their environmental impact through sustainable packaging.
In 2025, the efficiency and speed of e-commerce operations will heavily rely on supply chain innovations. By integrating technologies like AI, automation, and drones, logistics processes are becoming faster, more precise, and increasingly sustainable. This allows businesses to meet consumer demand for quick, reliable, and eco-friendly delivery options.
For example, with AI-enabled demand forecasting, machine learning models analyze vast amounts of sales data, seasonal patterns, and even external factors like weather or geopolitical events to predict demand. This improves inventory management, reduces overstock and understock situations, and minimizes waste
Meanwhile, robotics and automation are revolutionizing warehousing, with autonomous guided vehicles (AGVs) and robotic arms optimizing sorting, packing, and distribution.
Experts at Prophecy Market Insights estimate that the market for drone package delivery will grow to $38.5 billion by 2034, up from $2.1 billion this year.
Subscription models have been a staple of e-commerce for years, but in 2025, expect to see them become more flexible to meet consumer demands around personalization and convenience as online retailers use technology to refine their subscriptions and offer more relevant experiences than before.
The global e-commerce subscription market size is projected to reach $904.28 billion by 2026.
In 2025, companies will continue moving beyond fixed monthly boxes to create flexible subscriptions that allow customers to swap products, adjust delivery frequencies, or receive personalized recommendations based on their browsing and purchasing history. Predictive analytics helps businesses anticipate customer needs before they even realize them.
The continued growth of this model shows that while subscriptions may not be new to e-commerce trends, they’re constantly being revamped to boost customer loyalty and create consistent revenue streams for brands.
Automated customer support tools like chatbots are becoming increasingly sophisticated – they aren’t the chatbots of old. In 2025, AI-driven customer service will play a crucial role in improving user experiences and CX across commerce platforms
With AI taking over routine inquiries, human customer support teams can focus on more complex issues, making sure customers receive the help they need without delay. This shift improves operational efficiency, and can make for happier customers by providing faster fixes. Ultimately, these factors can lead to higher conversion rates.
But it’s not just about quick resolutions to basic questions—AI in customer service is about helping brands unlock the bandwidth and data needed to foster the personal and humanized experiences that consumers value.
The best e-commerce platforms in 2025 will make sure AI systems are integrated with customer data to provide tailored support so that customers feel seen and understood.
Composable commerce will continue to reshape the e-commerce landscape in 2025 by offering businesses even more flexibility in how they deliver their digital storefronts.
Unlike traditional monolithic commerce platforms, composable commerce setups are modular, allowing brands to create and then adapt their e-commerce infrastructure using various components or microservices instead of one, traditional full-stack commerce application.
For businesses aiming to scale globally or cater to niche markets, the composable commerce trend provides the agility needed to create unique digital experiences for diverse audiences.
As e-commerce grows more complex, more brands will look to composable commerce in their quest for innovation and competitive differentiation.
From hyper-personalized shopping experiences to customer support and advanced security measures, one thing is clear: In 2025, AI will be a driving force working behind the scenes – and alongside humans – to deliver seamless, efficient, and personalized e-commerce experiences.
The key to e-commerce success in a world run more and more by machines is to embrace AI’s abilities while staying laser-focused on the humans who make up your business.