This episode dissects 2023 ecommerce predictions and unveils crucial forecasts for 2024, offering ecommerce operators a strategic roadmap for navigating the evolving retail landscape. It provides a candid look at what trends materialized, what didn't, and what's on the horizon, enabling businesses to adjust strategies proactively in areas like ad spend, technological adoption, and market consolidation.
Key takeaways
Anticipate continued retail bankruptcies and be prepared for potential shifts in market share among key players. Develop contingency plans for economic downturns impacting consumer spending.
Evaluate your ad spend across platforms like Meta, Google, and TikTok, but also explore emerging social media and retail media networks as ad share continues to fragment.
Integrate AI-powered solutions creatively and rapidly within your e-commerce operations, as AI's impact and adoption are accelerating beyond expectations.
Monitor the performance and strategies of major beauty retailers like Sephora and Ulta, especially their exploration of subscription models for new product discovery, as this could signal broader shifts in consumer engagement.
Understand that live streaming commerce in the US is still nascent; allocate resources cautiously while monitoring its gradual development rather than expecting a rapid explosion.
Themes
digital advertisinge-commerce trends & predictionsretail strategytechnological innovation
EP316 - Annual Predictions 2024 Jason visited the Walmart Neighborhood Market in Pea Ridge, Arkansas featuring drone delivery. Here is a video for those interested. 2023 Predictions Recap Jason: At least 2 retail bankruptcies (besides Party City) Yes BNPL Consolidation (Klarna, Affirm, Afterpay. Sezzle) – at least one merges/exits US or BNPL. No Shopify launches an ad product such as a retail media network Yes Meta/Google/TikTok lose ad share to new social media platforms and retail media networks. No Live Streaming Commerce Still not meaningful in US in 2023 (less than 5% of social commerce in US) Yes Jason Total Score: 3 of 5 Scot: Amazon uses this 2022 setback/slowdown/reversion to the mean for a public resetting of expectations, but behind the scenes they take share and raise the bar on shipping. Yes Shopify is acquired No An innovation in e-commerce powered by ai (gpt4) surprises us by how fast it's adopted and how cool it is. Yes E-commerce accelerates back to the mean in 2H after a mean regression in 1H. E-com returns 10-15% growth rates. Yes Sephora and/or Ulta move to a subscription model for new product discovery. Yes Scot Total Score: 4 of 5 Trends revert to the mean, and Scot is back on Top! 2024 Predictions Jason: Retail
Frequently asked about this episode
What does this episode say about digital advertising?
Anticipate continued retail bankruptcies and be prepared for potential shifts in market share among key players. Develop contingency plans for economic downturns impacting consumer spending.
What does this episode say about e-commerce trends & predictions?
Evaluate your ad spend across platforms like Meta, Google, and TikTok, but also explore emerging social media and retail media networks as ad share continues to fragment.
What does this episode say about retail strategy?
Integrate AI-powered solutions creatively and rapidly within your e-commerce operations, as AI's impact and adoption are accelerating beyond expectations.
What does this episode say about technological innovation?
Monitor the performance and strategies of major beauty retailers like Sephora and Ulta, especially their exploration of subscription models for new product discovery, as this could signal broader shifts in consumer engagement.
What does this episode say about digital advertising?
Understand that live streaming commerce in the US is still nascent; allocate resources cautiously while monitoring its gradual development rather than expecting a rapid explosion.
