Ecommerce & Marketplaces Newsletter – Jan 12th, 2024
In this edition – Integrating embedded payment methods, such as digital wallets and Buy Now, Pay Later (BNPL) options, is becoming more prominent on online marketplaces like Amazon, eBay, and Rakuten. A study titled “Embedded Payments and the Retail Innovation Agenda,” conducted jointly by PYMNTS Intelligence and Carat by Fiserv, reveals notable trends in this area.PYMNT reports how online marketplaces prioritize digital wallets and BNPL for payment options. As 2024 begins, manufacturers face an added concern in business-to-business (B2B) digital commerce. It has become increasingly important for them to safeguard their products and intellectual property (IP) on B2B marketplaces. Digital Commerce 360 story examines why manufacturers must be vigilant and proactive in implementing strategies to secure their intellectual assets in these online marketplaces. EMarketer reports that Amazon dominates approximately 37% of all retail e-commerce sales in the United States. However, the e-commerce landscape is becoming more varied with the entrance of major players like Walmart and Target. This diversification implies that brands now face a more intricate ecosystem in which they need to operate, support, and expand. Razorfish blog looks at five ways brands can gain marketplace revenue. The e-commerce sector is experiencing a significant transformation, with multivendor marketplaces at the forefront of this evolution. These platforms, which host a variety of sellers and their products, are becoming increasingly influential in shaping the future of online commerce. RST Software has a comprehensive guide on building a successful multivendor ecommerce in four phases. This guide serves as your blueprint for successful multivendor marketplace development. Read this and other great stories in this week’s edition. Read this and other great stories in this week’s edition.
Notable news from the past week
Online Marketplaces Prioritize Digital Wallets and BNPL for Payment Options
Online marketplaces like Amazon, eBay and Rakuten are increasingly embracing embedded payments options for consumers, such as digital wallets and buy now, pay later (BNPL). According to “Embedded Payments and the Retail Innovation Agenda,” a PYMNTS Intelligence and Carat by Fiserv collaboration, 58% of eCommerce platforms accepting payments from digital wallets show interest in innovating the process, alongside 39% of those offering BNPL. The research also found that 22% of marketplaces that do not currently offer BNPL plan to start doing so in the future. These findings suggest that marketplaces are exploring a holistic payments strategy. “Embedded Payments and the Retail Innovation Agenda” is a study examining the state of play of PayFacs, marketplaces and independent software vendors (ISVs) in the retail sector, taking a deep dive into the innovation strategies and challenges these players face.
Manufacturers Need To Guard Their Intellectual Property On B2B Marketplaces
As 2024 gets underway, manufacturers can add one more worry to their business-to-business digital commerce watchlist. They need to protect their product and intellectual property on B2B marketplaces. “As sales of industrial products and replacement parts transition to the ‘wild, wild west’ of online marketplaces, so too do infringements of Original Equipment Manufacturers’ (OEMs) intellectual property,” say Richard McKenna and Andrew Salomone, attorneys with Foley and Lardner LLP. “The barriers to entry for an industrial part retailer to create an online page selling will-fit replacement parts are very low, so these listings are growing as both industrial retailers and consumers discover these online markets.”
Today, according to eMarketer, Amazon accounts for about 37% of all retail e-commerce sales in the U.S. But with additional entrants such as Walmart and Target, the e-commerce field is diversifying. That means brands now have a more complex ecosystem to support and grow. Each marketplace has unique attributes to optimize for their digital shelf success, and there is no one-size-fits-all approach. For many brands the question is not selecting a single marketplace but understanding how to expand effectively into new commerce ventures to achieve revenue and profit goals. Many brands are failing at creating meaningful consumer experiences within each marketplace, and as a result, they lose revenue to their competition. But here’s the good news: Based on our experience and research powered by Profitero (a leading-edge eCommerce analytics partner), we’ve found that brands have considerable revenue growth opportunities when they improve their marketplace strategy.
Multivendor Marketplace Development: How To Build A Successful Multivendor Ecommerce In 4 Phases
The e-commerce landscape is undergoing a seismic shift, and multivendor marketplaces are emerging as the new powerhouses driving this evolution. If you’re considering to build a brand new platform where diverse sellers showcase their wares, you probably know that this move can unlock a treasure trove of opportunities: reaching a wider audience, diversifying revenue streams, and fueling substantial growth for your online business. This comprehensive guide serves as your blueprint for successful multivendor marketplace development. We’ll delve deep into the essential components you need to consider, break down the journey into clear, actionable phases, and sprinkle in valuable insights applicable to everyone – from seasoned e-commerce veterans to ambitious business owners and investors.
Some e-commerce trends and technologies pass in hype cycles, but others are so powerful they change the entire course of the market. After all the innovations and emerging technologies that cropped up in 2023, business leaders are assessing how to move forward and which new trends to implement. Here are some of the biggest trends that will affect your business over the coming year. There’s no doubt about it: Artificial intelligence (AI) is changing the ecommerce game. Commerce teams have been using the technology for years to automate and personalize product recommendations, chatbot activity, and more. But now, generative and predictive AI trained on large language models (LLM) offers even more opportunities to increase efficiency and scale personalization. AI is more than an e-commerce trend — it can make your teams more productive and your customers more satisfied.
Let’s talk AI tools for ecommerce. This post is here to help you find real AI ecommerce software to assist you with content creation and management, sales, customer service automation, marketing strategy audits, competitive intelligence, and more. There were several AI tools and technologies that were widely used in the ecommerce industry to improve customer experience, increase sales, and streamline operations. However, please keep in mind that the landscape of AI tools is constantly evolving, so there may be newer tools available now. Remember to research and evaluate the most up-to-date tools and solutions based on your specific ecommerce needs, as the field of AI in ecommerce is continually evolving. Consider factors such as your target audience, budget, and the unique challenges your business faces when selecting AI tools for your ecommerce operations.
Victoria’s Secret & Co. (VS&Co.) has announced a multi-year strategic partnership with Google Cloud to create more personalized and inclusive online shopping experiences, improve customer and associate experiences, and drive operational efficiencies through the use of AI and generative AI technologies. “The integration of Google Cloud’s AI and generative AI technologies will not only improve the online shopping experience for our customers but also will empower our internal teams to drive innovation across various business functions,” said Chris Rupp, Chief Customer Officer at VS&Co. in a statement. “This partnership signifies a new era for Victoria’s Secret & Co., where cutting-edge technology meets our passion for enhancing the customer journey and reinforcing our position as a leader in retail.”
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