eCommerce Trends 2025

The leap in the development of modern technologies changed the sphere of ecommerce: 78% of online business has already used or is going to integrate AI technology (Forbes research), and 15-20% of stores use AR/VR (ARtillery Intelligence data). These areas will be the leading ones in 2025. For example, the e-commerce market using AI, according to forecasts, in 2030 will be valued at $16.8 billion. CAGR in the period from 2024 to 2032 will be 15.7%. However, modern technology is not the only thing online store owners should pay attention to: in 2025, the eco-trend, e-subscription sales (especially in the US) and the expansion of the number of payment methods will continue to be popular.

Artificial Intelligence in e-Commerce

Amazon, eBay, Alibaba and thousands of other top online retailers are actively using AI technology. For example, on Amazon, algorithms analyze customer behavior and provide personalized recommendations. And at Alibaba, one of the ways to use the technology is to create virtual fitting rooms through the “computer vision” (CV) option. AI can be used in dozens of ways:

• Offering a personalized shopping experience for customers. The browsing of specific products/purchases/experiences of other visitors with similar tastes are analyzed, advertising on the site is adjusted to the client's GEO-location, personalized email newsletters are created, and so on. According to Barilliance research, personalized recommendations ways to increase online marketplaces' revenue by 31%+.
• Analyzing visitor sentiment. AI makes recommendations and changes to assortment based on feedback, product view times, sales growth/decline;
• AI-based demand forecasting/inventory management. There is an increased likelihood of preventing oversupply/deficit of specific products as algorithms effectively analyze large data sets (sales history, trends, seasonal drops/rises, world events that affect demand). According to a McKinsey study, the number of errors in forecasts and further logistics will decrease by 30-50% thanks to AI. In the context of logistics and management, the technology also reduces delivery times and increases conversion rates. AI is also able to effectively predict future trends;
• Automating visitor service. The simplest solution is AI-based chatbots. Gartner claims that online retailers will reduce service costs by 20-30% by 2026. And Servion Global Solutions believes that AI will account for 95% of customer interactions in 2025;

• More precise analysis of the target audience and selection of the best marketing strategies. AI effectively segments visitors by different parameters (age, gender, GEO-location, interests). And for each group it can predict their behavior (this will help in setting up targeting) and suggest the most effective marketing methods. For example, Instagram/TikTok advertising will be more suitable for one group of CA, and contextual advertising for another;
• Detection of fraudulent actions. Especially relevant in the context of financial transactions. Juniper Research announced, AI can generally reduce business losses by $1+ trillion, and prevent up to 40% of breaches. CAGR of AI in the context of cybersecurity will reach 23.6% by 2025;
• Improved product visualization. According to Nfinite and Coresight Research, 60% of brands surveyed want to use AI for this purpose. This involves creating detailed and high-quality animations and 3D models without taking actual photos. Levi's, for example, has announced the addition of AI-powered models to bring more variety.

In general, AI improves customer experience and allows online retailers to retain and expand CA. For example, chatbots speed up the resolution of visitor problems/requests and provide more accurate recommendations through a personalized approach.

According to McKinsey research, the use of AI in businesses, including e-Commerce, has grown 250%+ since 2017.

Key areas that are commonly implemented are:

• Computer Vision (CV). That is, AI can analyze visual information (photo/video). For example, in an online store, a customer can find a product based on an uploaded picture. Or a virtual fitting room can be created this way;
• Natural Language Understanding (NLU). That is, AI algorithms understand visitors' queries and can provide answers, for example, through chatbots. Or analyze comments and make recommendations to improve the business;
• Virtual agents or conversational interfaces. This improves the user experience, as the customer can receive expert support from product selection to purchase;
• Deep learning. The ability to learn enables AI to make accurate predictions and make correct recommendations.

Augmented reality technology (AR)

A report by Deloitte Digital and Snap Inc (they surveyed 15,000 consumers) found that by 2025, some 4.3+ billion customers will use AR for shopping. And while AR was most often used more for entertainment in 2023-2024, in 2025 it will become one of the top practical business tools.

AR, unlike VR, is easier to integrate into e-Commerce in mass. Companies like Alibaba, Nike, IKEA, Sephora have already done so. From Social's survey, we can see that 66% of surveyed customers are more likely to buy goods in an online store that has a virtual fitting option. Generation Z customers are particularly enthusiastic about the technology (92% of customers).

When it comes to online business owners, this use of AR technology increases customer satisfaction + reduces the risk of returns.

How AR technology can be realized:

• Virtual “try-on” experience of shoes/clothes/accessories/cosmetics. The customer will be able to see how the product looks on him/her without leaving home and before the moment of purchase. Examples of companies: Warby Parker, Amazon;

• Visualization of furniture and other items in real space. For example, a client can see how a particular model of sofa will fit into the interior of his apartment. IKEA Place offers such an option;

• Interactive marketing for those who also have offline outlets. For example, a user can point a camera at a product and see an interesting animation with a story. The technique of storytelling will remain relevant in promotion. Such an option was implemented by Nike. They released a colorful application Play New AR;

• Step-by-step instructions for products/services with visual effects. It includes 3D images, animations, voice effects. The screen can often be rotated 360 degrees. Such guides are particularly useful when assembling/setting up complex devices or furniture. Or it can be a visual interactive instruction on how to use a product. For example, how best to apply a particular cosmetic cream. IKEA and BILT offer such a variant of AR implementation.

There have been several studies that prove the benefits of AR for e-commerce: customers who use AR technology are 30% more likely to make a purchase because they are more confident in their choice (Deloitte data), and Business Review showed that the technology increases conversion rates for stores by 20%. Additionally, AR is a good way to stand out from the competition, as the technology is not really used as much yet. Among online store owners, the trend for AR is lower than for AI trends, but only for one reason - the complexity of implementation.

In fact, 52% of surveyed online business owners announced that they would like to use AR technology, but they don't have the capabilities to do so yet. Only 15-20% are actually doing it in 2024.

E-subscription sales

The e-subscription trend in e-commerce will continue to grow. For 2024, this market is already worth $43+ billion, with a projected CAGR of 18%. Such services have piqued the interest of both millennials and Generation Z, so they will be the backbone of CA. Also, surveys show that e-subscriptions are particularly popular in the US. Subscriptions cover both physical goods (e.g. delivery of ready-to-eat meals, cosmetics, home goods) and e-services (an example is a Netflix subscription).

What online store owners need to consider in 2025:

• Maximum personalization of offers is required. AI can help in analyzing CA and selecting marketing methods;
• Maximum variety of subscription formats. For example, temporary/flexible + free (or discounted) trial periods;
• Ease of changing and canceling subscription terms is important.

Green Trend

Environmental awareness will remain popular in 2025. A survey conducted by McKinsey and NielsenIQ shows that 60%+ of customers are ready to pay more for products with environmental packaging, and 78% said they are interested in ESG (Environmental, Social, Governance) initiatives. And practice bears this out: companies adhering to ESG have collectively shown 28% growth over the last 5 years. The ones that don't, have shown only 20% growth. How this can be realized in online stores:

• Creation of eco-friendly product lines. This is a production whose creation and usage has minimal impact on the environment. For example, organic products with USDA Organic labeling or electrical products with Energy Star certification, which shows low energy consumption + reduced carbon footprint, inspire more trust among customers;

• Eco-friendly packaging. Using recycled and biodegradable materials can help to increase trust and generate customer interest. For example, Amazon has implemented a “Frustration-Free Packaging” initiative to make unpacking products easier + reduce waste. And Unilever and Procter & Gamble have eliminated the use of plastic packaging;
• Options for resale and rental of goods. Reuse means extending their life cycle, which globally also affects pollution levels and environmental stress (ES). For example, on the popular marketplace Zalando, visitors can buy used clothes;
• Carbon offsets for the delivery of goods. For example, some online retailers introduce the option of delivery via bicycles/electric cars, others cooperate with eco-friendly logistics organizations, and others invest in programs to protect the environment to offset harmful emissions.

Expanding payment methods

All in all, the trends of 2025 can be characterized as maximum customer comfort. Making payment convenient is one of the priority areas. A seamless, speedy and accessible 24/7 payment experience is a basic requirement for online stores for Generation Z. Interesting statistics based on EcommPay surveys that online store owners should consider:

• 65% of Generation Z shoppers (those who were born between 1997 and 2012) are likely to abandon a purchase if a payment method they are comfortable with is not available. For millennials, the figure was 78.7%;
• 3% of Generation Z shoppers would abandon a purchase if they had to create a profile on a website; among Millennials, the percentage was 13.1%;
• BNPL (“buy now, pay later”) option is gaining popularity among all generations. 1 in 10 Generation Z customers plan to use BNPL more often in the next 5 years. Among millennials, 14%+ hold the same view. More than half of those surveyed between the ages of 16 and 34 believe that BNPL will be the favorable solution in the future due to rising inflation and overall cost of living. The number of search engine queries about BNPL has already increased by 500% in the last 5 years.

What do online business owners need to consider in 2025? The top payment method, according to Clearly Payments research, will be credit cards (45% of all transactions in 2024), but the introduction of Apple Pay/Shopify Pay/Google Pay in 2025 is mandatory. These payment methods already represent about 25% of transactions. The introduction of the BNPL option is also important (about 10% of purchases are already made using this principle).

Cryptocurrency payments are also growing in popularity. Nearly 25% of online retailers have already accepted payments in coins, and more than 60% of Americans surveyed expressed their willingness to pay in crypto.

Thus, collaborating with platforms that will help integrate coin/token payments will be an important step in 2025.

Another feature of Generation Z worth considering: the growing popularity of social shopping. It is through social media that customers will increasingly search for their favorite products (e.g. Instagram). Also, online retailers need to set up an easy and fast way to buy/pay for them.