6 trends driving the growth of e-commerce apps
E-commerce is growing and becoming increasingly important to the global retail market. According to Adjust’s Mobile App Trends 2022 report, mobile app installs grew 14% in 2021 in Latin America alone, beating the global average of 12%.
The mobile analytics platform responsible for the study picked some trends among e-commerce apps that retailers and marketing teams should pay attention to. Check out the 6 trends that will drive the growth of e-commerce apps below;
6 Trends to Drive the Growth of E-Commerce Apps
1. Audio experiences: In the wake of the Covid-19 pandemic, audio apps (such as Spotify, Apple Music and YouTube Music) have seen year-over-year growth of 31.5% — driven largely by the boom in podcasts. The e-commerce industry can use platforms to get closer to customers, such as a Q&A channel, recording testimonials, and more.
2. Live purchase: Sales-oriented online broadcasts have grown exponentially on platforms like Instagram and YouTube. As of 2021, conversion rates were 10 times higher than other online sales formats. Twitter also announced the start of live store tests in Brazil, focusing on events in the second half of the year: Black Friday and the World Cup.
3. Buy now, pay later services: There is a growing demand in the market for “Buy Now Pay Later” services, where platforms allow customers to purchase and pay in multiple installments. In Brazil, the modality can be found through installment payments via Pixo. Large corporations such as Apple and PayPal already offer similar services.
4. CTV advertising: Connected TV (CTV) has become an effective alternative as an advertising channel to target audiences. According to Magnite research, 91% of Brazilians watch content on CTV, and 79% of Latin American viewers have no problem watching ads in exchange for free programming or reduced subscription costs.
5. Mindless trading: The headless architecture uses an API to send real-time information between the consumer-facing digital storefront or front-end and back-end processes, tools and systems. The technology offers easy integration and management of multiple channels, eliminating the need for separate processes and tools. Many retailers have turned to headless technology to create a more fluid experience for their customers across all channels.
6. Augmented reality help: Augmented reality (AR) experiences have grown significantly this year and are expected to increase by 20% between 2022 and 2028. According to Adjust, the increase is due to greater smartphone adoption worldwide. An example of the application of this technology is the application of Sephora, a cosmetics store, which uses facial recognition for customers to try different shades of makeup through AR.
Focus of e-commerce at the World Cup
Larissa Olival, executive director of sales at Adjust, points out that the holiday shopping season kicks off with the World Cup — an opportunity for brands to capitalize on the biggest and most popular sporting event in the world.
“Furthermore, it is critical that marketers are aware of changing trends and adapt their marketing strategies to improve customer engagement, build customer loyalty and increase revenue,” says Olival.
67% of e-commerce sales in 2021 were made via smartphone
E-commerce sales are expected to reach $5.42 trillion by the end of 2022 — up 10.6% from the same period in 2021, according to Shopify. The mobile channel is the main driver of growth, as 67% of e-commerce sales will come from mobile devices in 2021.
Adjust’s 2022 Mobile App Trends Report shows that e-commerce retail sales via mobile devices will reach $3.56 trillion in 2021, with more than 100 billion hours spent on in-app purchases.
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