In 2024, the ecommerce industry experienced transformative changes setting the stage for what is likely to be an equally dynamic 2025. A strong understanding of emerging trends and the ability to apply lessons learned is vital to staying ahead in this fast-paced environment.
It’s easy to become immersed in a new strategy but taking the time to reflect on last year’s landscape enables you to better position yourself for success in the year ahead.
Key takeaways
Here are the main trends and predictions shaping the ecommerce space at the moment:
- Integration of AI/Machine Learning (ML) tools: These tools can support product data management, SEO, and accessibility reshaping how businesses operate. We have also seen the use of more sophisticated AI tools to share custom offers and recommendations, as more personalised user experiences remain essential.
- Rise of Centra in the UK Fashion Sector: Centra has made waves, particularly in fashion retail, emerging as a potential new alternative to other established platforms like Shopify.
- Marketplaces gaining prominence: Marketplaces are continuing to grow , with 35% of global purchases now made via these platforms. 2024 saw the accelerated rise of TikTok shop and growing popularity of other marketplaces like Temu.
- Google’s experimentation with AI Overviews: This brought a significant shift to SEO best practice and user behavior as results are more concise and tailored to search queries, with websites often seeing more impressions, but fewer clicks as a result.
What can we expect in 2025?
In addition to the trends highlighted above which aren’t going anywhere, our predictions also include the continued growth in AI applications, the rising importance of accessibility and compliance with the latest European regulations, and the potential growth of ‘Pay by Bank’ as a payment method for ecommerce websites.
Read on as we delve deeper into these insights and what they mean for ecommerce businesses looking to thrive this year.
Ecommerce Trends and Insights from 2024
1. Growth of ML/AI tooling in ecommerce
Machine learning (ML) and artificial intelligence (AI) tools are no longer ‘nice to have’. We’re seeing an increasing use of these tools in ecommerce as they enable seamless integrations with Product Information Management (PIM) systems, automate SEO processes, and help ensure compliance with accessibility standards.
As AI tools become more sophisticated, their role in ecommerce is set to expand even further.
This is also reflected in the continued growth in personalisation tools which have always adopted machine learning to provide recommendations and searches based on onsite user behaviour.
As we see increased confidence from customers with tools like ChatGPT it’s becoming more common to see them feel comfortable asking questions on their ecommerce journey too.
Whilst general AI chatbots in ecommerce have a place, we’re seeing the growth of tools like Asklo from the team at Klevu which provides answers where a customer needs them – on the product page. Giving the customer confidence at this point increases conversion and reduces the level of returns as they can clarify product details before purchase.
2. Centra’s rise in UK fashion retail
Centra, a SaaS platform, is becoming increasingly popular in the UK’s fashion retail sector with brands such as Paul Smith having launched their ecommerce stores on it.
Centra can provide a one-stop shop for this sector with a product model that already supports the data needed for product variations and customer information, and support for full omnichannel including retail, B2C, and B2B.
With a growing presence and easy integrations, it provides a practical route to composable commerce for the sector and is providing a viable alternative to other more established platforms.
Centra also has its own order management system which can integrate third-party logistics and supply chain, bringing benefits to both the customer experience and operational efficiency.
3. The continued dominance of marketplaces
Making up around 35% of global purchasers, marketplaces are growing in strength as alternatives to traditional D2C ecommerce. Their ability to offer convenience, variety, and a reliable customer base has made them indispensable to businesses looking to scale.
Whilst traditional marketplaces such as Amazon and eBay have been around for a long time, we’ve seen the range of options available rapidly expand recently.
For example, TikTok Shop was introduced in September 2023 growing rapidly in 2024. Chinese marketplace Temu also became the most downloaded app in 2024 offering low prices for customers prepared to wait longer for goods. The rise of Temu has prompted Amazon to look at its own alternative with Haul offering items under $20 with longer shipping windows.
For small and medium-sized organisations, these platforms, and low-price solutions, are allowing them to tap into new audiences that have a high intent to purchase.
4. Google’s AI overviews in SERPs
A major talking point of 2024 was Google’s AI Overviews. Introduced as an experiment, AI Overviews provide a short, personalised and tailored search result based upon multiple sources. They are shared above organic listings and, on some occasions, before ads.
As they provide a summarised response, there is a reduced need to click through several results bringing a significant change to SEO best practice and user behaviour.
In 2024, we also saw an even higher need to optimise product pages and images displayed as a direct result rather than category pages.
So, based on these learnings, what can we expect from 2025?
2025 Ecommerce Predictions
1. Further AI advancements in ecommerce
AI is set to revolutionise customer support. As we see further growth of AI and ML in ecommerce, they will retain and learn from more knowledge and so, we should see improvements to chatbots and FAQ solutions for a more intuitive experience.
As mentioned previously, tools like Asklo from Klevu exemplify how AI innovations can drive better engagement and resolution times.
2. Expansion of B2B Ecommerce
B2B Ecommerce continues to be an area with higher growth potential than B2C and there are still a lot of companies who have not moved their sales online. It is predicted that 56% of the UK’s B2B revenue will come from digital channels in 2025. This creates a broadening opportunity for ecommerce platforms to target these businesses and win in this growing market.
Every platform provider is looking to the B2B sector and working on winning clients from smaller wholesale with more simple requirements through to large enterprise businesses.
The established enterprise players such as SAP and Adobe Commerce have the most robust and adaptable models for this market with complex customer account configurations and flexible data models. However, BigCommerce and Shopify are making strong moves to match this and as part of a composable stack with integration capabilities to CRM, Pricing Engines, and flexible headless solutions they can offer a compelling alternative.
We expect to see all platforms continue to enhance their B2B capabilities with a focus on global businesses and trying to provide simple solutions for complex problems.
3. Industry consolidation
The abundance of ecommerce platforms is difficult to sustain.
Our industry experts predict that we may see smaller platforms either be acquired by larger players or exit the market, leading to a more streamlined landscape.
4. Accessibility and compliance
The European Accessibility Act, set to take effect from June 2025 is a pivotal step towards ensuring businesses prioritise inclusive ecommerce practices. This not only allows companies to attract a broader audience but also ensures they comply with regulatory requirements.
Despite the name of the act, businesses in the UK are affected by this too and it’s vital your organisation complies. Our sister agency Un.titled discuss everything you need to know in this blog.
5. Rising popularity of ‘Pay by Bank’
‘Pay by Bank’ is emerging as a secure and convenient payment method as customers do not need to enter their bank account details. Research found ‘65% of shoppers are happy to try Pay by Bank’.
We know payment methods are a crucial factor in shaping checkout abandonment rate and so, this trend is certainly one to watch. It’s already resulted in a higher transaction rate of 99% compared to 91.6% for cards.
Final Notes
From technological advancements to regulatory shifts, the ever-changing nature of our industry highlights the importance of keeping informed and being able to adapt. Whether it’s adopting AI tools, embracing accessibility, or expanding through marketplaces, by leveraging these insights, businesses can position themselves for sustained success in a competitive landscape.
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