Four specific technologies will have a “high impact” on e-commerce over the next two years, according to a new study from Gartner, as the widespread adoption of digital commerce technology increases.
Visual setup, digital wallets, customer identity and access management (CIAM) and virtual customer assistants (VCAs) will gain importance as the market continues to change frequently, said Sandy Chen, vice -President of research at Gartner.
âDigital commerce is a rapidly changing market where competitive pressures and the need to innovate mean that new technologies emerge frequently,â explains Chen.
âApplication managers can use the hype cycle to differentiate which technologies are fads that will fade over time and those that are expected to have a significant business impact.
âBy understanding the capabilities and challenges of each technology, they can make informed decisions about available resources. “
CIAM, digital wallets, visual setup and VCA entered the enlightenment slope in the Hype Cycle in 202. During this phase, examples of how technology can benefit the business begin. to crystallize and be more widely understood.
CIAM tools manage identity, authentication and authorization for external identity use cases. Privacy regulations and increased reliance on remote interactions have heightened the importance of CIAM to businesses and their customers.
âCIAM is also leading to improved user experience (UX) in B2C and B2B commerce, the odd-job economy, and government-citizen interactions (G2C),â Shen said.
âBy the end of 2021, 86% of organizations will be competing on the basis of UX. In industries with very little competitive differentiation between products and services, the online experience becomes the differentiation.
Digital wallets establish credentials to allow users to conduct transactions remotely or face-to-face from connected devices. This technology has demonstrated comprehensive benefits, according to Gartner, such as reduced customer effort and increased revenue. Failure to support the digital wallet could impact conversion rates and be viewed as a competitive disadvantage.
A VCA is an application that engages, provides information, or acts on behalf of an organization’s customer. The COVID-19 pandemic has accelerated the adoption of CAVs, pushing some use cases into the mainstream adoption phase, but new use cases in healthcare or brand marketing are also emerging. .
As VCAs are now the first point of contact to support multiple interactions with customers through digital engagement channels, they can provide proactive guidance and engagement to retain and satisfy customers.
The visual configuration allows sales representatives and end customers to see a visual representation of the products they wish to order with the options and features they have selected. It is more relevant for B2B transactions where it can enable customers to purchase complex manufactured products through digital commerce without training. Organizations that are among the first to adopt it in their industry see a substantial competitive advantage and cost savings.
Recent technological improvements, such as enhanced photorealism, are leading to rapid growth and wider adoption of visual setup among digital commerce companies.