In all the posts I have shared with you throughout the semester I have discussed the current digital trends that surround us. As my last post, I thought it would be most appropriate to talk about the predicted future of digital marketing, especially in the retail industry. Digital Marketing has increased immensely in the past 10 years so it would be crazy to reveal what there is to come.
Digital marketing is the future. It has already effected the traditional way of marketing new products as industries have been forced to comply with trends to remain competitive. Look at the use of catalogues. How often do we see catalogue’s in shops as compared to say 10 years ago? Catalogue subscriptions are also rare. People rely on technology to browse through products rather than an old fashioned catalogue. Online shopping is increasing as well as mobile dependency. People are getting busier, lives are getting crazier but shopping becomes easier through online shopping. It’s now unusual to not own a mobile phone, to not know how to use a computer. Technology is our livelihood and being in touch with people through these devices is part of an everyday activity.
So what’s the future?
Online shopping has become part of consumer’s behaviour and is expected to grow, forcing retailers to comply to survive in the industry (PWC, 2012). Online shopping in 2012 was anticipated to reach $16b which is equal to 6.3% of retail sales. It is also expected that growth will continue, attaining 26.9b by 2016 (PWC, 2012). Firms are recognising opportunities of selling straight to customers via digital channels. This is identified by big brands such as Sony and Apple whom offer competitively priced deals, exclusive products and customised options through this strategy (PWC,2012). People a becoming more busy and finding convenience in online shopping more each day and it is only expected that this will increase in the future.
Social media shopping
Most of the time when we mention ‘online shopping’ we assume websites, the future will allow consumers to shop through social media platforms too. As social media becomes part of the majorities everyday routine so will the ability to shop whilst navigating news feeds on social media sites. Systems such as ‘Like2Buy’ which was mentioned in my previous post is just the start of a phenomenon where it is a normality to shop online through social media.
Twitter has also introduced its first commerce product called ‘Twitter Commerce’, where it provides a “Buy” button on mobile (Ha, 2014). Facebook has also incorporated a “Shop Now” button on pages which redirects you to the brands website to shop. As leading social media platforms begin to implement these new functions within their sites it’s only expected that they will continue to grow as they attempt to gain competitive advantage over each other. The convenience in social media shopping will be one of the largest factors which will take digital marketing to a whole new level. This will give consumers constant exposure to new products every moment they open their news feeds.
Did you know that in America alone 171.5 million people (71%) own mobile devices? Most of which are part of Generation Y where 85% own smart phones (Neilson, 2014). This is just a factor that shows how mobile phones are ‘…the staple of everyday life…’ Regardless of what part of the world, the reality is that mobile phones are the future. Especially due to the fact that Generation Y are known to be tech savvy and are essentially the future which will further influence all. As mentioned before, it’s unusual for people to not own a mobile phone. It has become a norm, and will continue to do so.
Remember when people said it was crazy to have a camera and a phone in one? Well, now I’m telling you, in the upcoming years, we’ll be saying, ‘Remember when people said it was crazy to shop through facebook? Remember when people said that not everyone owns a phone?’. Online shopping, Social media shopping and mobile marketing are going to be three of the main trends of digital marketing, especially in the retail industry.
What are your thoughts? Would you agree that these will be the three of the major trends for the future of digital marketing in the retail industry?
Check out these links that were used throughout the post if you’re interested about mobile dependency and want to know more about the future of retailing!
Nielson. (May 2014). Retrieved May 27, 2015: http://www.nielsen.com/us/en/insights/news/2014/mobile-millennials-over-85-percent-of-generation-y-owns-smartphones.html
PWC. (2012). Australian online shopping market insights: The future of retail – Consumer adaptive