As the eCommerce market booms, consumer demands also increase. A majority of consumers browse multiple websites before making a purchase. The UK’s market is expected to grow at 13.18% CAGR 2022-2027.
The year 2022 has been full of roller coaster rides for the UK. Despite the internal and external economic turbulence, the UK’s eCommerce industry has continued to flourish and ranks fourth in the world. Digital transformation will lead to sustainable economic growth, as well as other metrics, if it is, embraced successfully. To boost their growth, the brands operating in the country need to prepare for the foreseeable future and align themselves with the upcoming market trends.
Here are some eCommerce marketing trends you can use to expand your business in the eCommerce landscape and drive your business down a more profitable path.
Table of Contents
eCommerce Marketing Trends in the UK
- Rise in Social Shopping
A recent report from IAS indicates that UK consumers spend more than 5 hours a day on social media, primarily Instagram, Facebook, and TikTok. Social media accounts for 33% of UK consumer purchases, compared to 28% in France and 30% in Germany. With more consumers heading to social media channels to browse, purchase and review items, brands are offering seamless eCommerce experiences within social apps.
Example: ASOS, a fashion and beauty retailer based in the UK, sells its own brand and 850 others. To provide as much fashion inspiration as possible with entertaining and trendy styling videos, they use Snapchat, Instagram, and TikTok. Outfits Inspired in Phoebe Buffay” is a great example since it has a clearly defined topic (or character) that people search for online.
Source: ASOS
As new platforms emerge, e-commerce brands such as TikTok videos and social commerce campaigns on Instagram and Pinterest should embrace them as they become available. Your customers spend most of their time online. Making a solid impression on your target audience will ultimately lead to an increase in conversions.
- Metaverse
The term “Metaverse” has been garnering attention lately, and it is expected that the platform will be the game changer in incorporating consumers into the brand. Furthermore, it has been found that 42% of UK shoppers desire to employ augmented reality and the metaverse for their product research during the purchasing process.
To offer its customers a hassle-free experience, Tesco introduced Getgo stores. The technology provides a seamless checkout option with the Tesco app by scanning the product. It has been noted that, On average, it takes 3 minutes for a user to complete the checkout.
Source: Wowza
In 2022, Amazon UK integrated the Amazon View feature, which allows you to have an augmented reality view of the product in the virtual room. It further allows the users to design and decorate the virtual room before purchasing.
- Mobile Commerce is the Key
Always remember that your platforms should be highly mobile-friendly to boost your brand’s reach and profitability. An increase of 300% has been noticed in mobile commerce. Not every time do people have a system to research the product, and it becomes a time-consuming process compared to mobile.
If the brand’s online presence is optimized accordingly and can be accessed on mobile, then the products are more likely to reach the right audience at the right time. With the increased integration of digital wallets, mCommerce has become one of the easiest ways to shop online without extra effort.
- Sustainability in Green Commerce
Sustainability is one of the top priorities of the majority of UK shoppers. Research by American express depicted that 41% of consumers still prefer to shop offline as it will help them reduce their carbon footprint. Meanwhile, people prefer to shop from the ones that offer sustainable packaging.
Source: Acopia
Despite the economic challenges, people are prioritizing sustainability. Thus it becomes important for retailers to incorporate sustainability strategies that could best benefit the customers.
Source: Amazon UK
Amazon UK has taken several steps towards sustainability. The giant has been able to innovate successful ideas to decarbonize transport networks. Since 2015, the brand has eliminated over 1.5 million tons of packaging.
Tesco launched the 4R strategy – Remove, Reduce, Reuse and Recycle to tackle plastic waste. In 2021, Tesco launched its target to be carbon neutral by 2035 and achieve net zero emissions by 2050.
- Personalization and User Experience
Personalization in user experience is a growing trend in the UK market. This includes making the shopping experience more intuitive and user-friendly and using data and technology to offer personalized recommendations and customized experiences. Additionally, there is an increasing focus on offering fast and convenient delivery options, such as same-day or next-day delivery.
Based on your past purchases and searches, marketplaces like Amazon UK start recommending products you might be interested in along with lucrative deals and promotional offers.
Source: Amazon UK
- Curating Omnichannel experience
Retailers and brands in the UK today are investing in the omnichannel strategy as it tends to have higher conversion rates, greater customer loyalty, and increased average order value due to the increased personalization and seamless shopping experience. This has led to a shift in focus from just e-commerce to including all sales channels.
Some of the key elements of an omnichannel approach include the following:
- Integrating online and offline sales channels, such as allowing customers to purchase online and pick up in-store or return online purchases in-store.
- Using customer data to personalize the shopping experience and make recommendations, regardless of the channel being used.
- Providing a consistent brand experience across all channels, including in-store, online, and mobile.
- Allowing customers to start a purchase on one channel and finish it on another.
- Providing a mobile-optimized website or mobile app for customers to shop on the go.
- Click & Collect
The Click & Collect feature allows consumers to shop for the product online and collect it from the assigned store at their convenience. Click & Collect has preferably observed a boost and is further expected to be a significant chunk till 2025.
Primark, One of the UK’s leading fashion retailers, introduced the facility in 25 stores on a trial basis, and the response was immaculate.
- Buy Now Pay Later
The BNPL feature allows consumers to make a purchase and make a payment at a later date. According to modern retail, more than 17 million UK consumers have used BNPL services, and 59% of retailers report greater customer acquisition, along with a higher frequency of customers buying from BNPL. By offering BNPL, online retailers can encourage customers to make larger purchases since they won’t have to pay the total upfront.
This feature is prevalent among younger generations, such as millennials and GenZ, who are more comfortable with this type of payment method and less likely to want to take on long-term debt. Also, economic uncertainty played a role as well, as it had an impact on personal finances, making people more conscious about budgeting and credit. Overall, BNPL is a growing trend in the UK eCommerce market as it offers customers the convenience of making purchases without having to pay for them upfront while also helping retailers increase sales and customer loyalty.
Concluding Thoughts
Customers are increasingly demanding and expect personalization, convenience, and a seamless experience across different channels and devices. Companies are focusing on leveraging technology, data, and omnichannel approach to meet these expectations and stand out in a highly competitive market. To scale and stay competitive, our eCommerce experts can provide a range of services that help you adjust to market conditions and increase your revenue and customer base. Fill out the form or shoot your query to info@paxcom.net for more
