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Emerging Trends in the E-commerce Industry

Emerging Trends in the E-commerce Industry

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The e-commerce industry is constantly reshaping the way goods are purchased globally. E-commerce began with relatively limited capabilities, but with time and by incorporating some ongoing changes—customisation, improved return policies, and integration—it is now one of the pillars of the global economy. Furthermore, within the last decade, many new trends with a profound influence have emerged, along with changes in consumer behaviour, indicating a growing demand for the industry.

Australia’s e-commerce sector is currently the 11th largest in terms of global market size, experiencing rapid growth in recent years, fueled by rising internet penetration, the availability of secure online payment systems, and an increase in the number of online shoppers.

In 2021, Australians shopped online in record numbers, spending $62.3 billion, which accounted for 19.3% of total retail spending. According to GlobalData, Australia’s e-commerce market is expected to grow by 13% to $50.2 billion by 2022, owing largely to the increasing shift of consumers from offline to online platforms. The pandemic has induced a permanent change in consumer purchasing behaviour, pushing people online; a trend that is expected to continue
in the coming months. To keep you up to date on emerging trends and data-driven consumer behaviour, here are some of the most recent e-commerce trends for 2022.

Emerging Growth Trends

Same Day Shipping Services

It wasn’t until recently that same-day delivery became mainstream. Consumers expect their goods to be delivered faster than ever before, which is why same-day delivery or one-day shipping has become the industry standard. Due to its size, Australia’s logistics infrastructure isn’t quite ready to handle one-day deliveries throughout the country, and as a
result, retailers are increasingly relying on “click and collect” to speed up customer delivery

Options for Contactless Payment

With the advent of convenient and contactless shopping, the days of most buyers paying in cash are long gone. Instead, digital solutions provide a diverse range of alternatives for consumers to make seamless purchases online. Secure online payment solutions are easy to streamline, simplifying user purchases and enhancing brands’ e-commerce capabilities. Over the last year, 75% of Australians have paid using e-wallets and bank cards, 16% have utilised bank transfers, while 5% inclined towards cash payments.


As shopping has moved digitally, it does not mean that customer service standards have deteriorated. Many e commerce businesses are investing in AI chatbot technology to answer customer questions 24/7, create user engagement, and help maintain a great consumer experience—no matter the device being used. According to a new report by Grand View Research, Inc., the global chatbot market is expected to reach USD 3.99 billion by 2030.

Environmental Choices

According to a KPMG study on the Australian retail outlook, 80% of consumers prefer to buy from businesses that value environmental, social, and governance factors. More than half of Australians (54%) believe that a company’s environmental credentials are important, while industry trends are shifting towards sustainable packaging and environmentally friendly product materials. 60% of consumers are willing to pay more for packaging with a low carbon footprint and those that are ethically made.

AI-assisted Upselling and Cross-selling

Retail companies are undergoing a significant digital transformation, leveraging Artificial Intelligence (AI) and Machine Learning (ML) powered by big data. This is assisting businesses in forecasting demand and personalising services for customers. While no human brain is capable of tailoring a website to each individual visitor, artificial intelligence (AI) is making steps in this direction. Nowadays, using artificial intelligence to understand what customers are looking for is critical in order to better match search intent and cross-sell other relevant products. Many eCommerce giants understand this, which is why tailored recommendations can be found on a variety of popular sites. Between 2020 and 2025, experts predict a 36% CAGR (compound annual growth rate). With this in mind, demand for AI services has increased exponentially over the last five years, and the trend is expected to continue.

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