IoT in E-commerce and its future is very simple. The IoT has made its way into just about every industry. But, the impact that it has on E-commerce is remarkable. So, The IoT has revolutionized E-commerce in many ways. Never has customer service been more personalized and efficient, leading to unparalleled revenue that continues to grow.

E-commerce revenue is set to hit $387,158 billion by 2019. But, this number won’t be achieved without the help of the Internet of Things (IoT).

Imagine you have to buy a new mobile phone, what will you do? go to the nearest store or open a browser and just go through on your mobile app? So, More and more people today tend to choose the second variant since it takes less time and effort. The number of online-shoppers will keep increasing, as E-commerce or online commercial transactions becomes more comfortable by introducing high-tech solutions. For example, IoT-based.

We can say that IoT devices for e-commerce is certainly the most interesting invention since the creation of the Internet itself, and certainly the biggest thing to hit E-commerce even if it’s still in its developing phase. On the other hand, Imagine a future where everyday objects are able to identify themselves to other devices thanks to their internet connection.

Let’s find out what we will learn from this article:

Introduction of E-commerce in IoT

IoT is mainly the network system of interconnected things or devices which are embedded with sensors, software, network connectivity and necessary electronics that enables them to collect and exchange data making them responsive.

Internet of Things (IoT) is an interconnection between the physical object and the digital world. As a result, many E-commerce companies taking the advantages of the IoT to grow their business. However, the world’s largest minority are people with disabilities. So, IoT can lower barriers for the disabled people by offering assistance in accessing information. Increasing Internet accessibility can help to make that happen for both social and economic benefit.

What is the significance of IoT in E-commerce?

According to the E-Marketer report, E-commerce sales across the globe will reach $27 trillion in 2020.

Furthermore, by 2021 the IoT will have an increased impact on technology in these ways:

• A 68% increase in the e-commerce investment in machine learning and cognitive computing
• A 57% increase in e-commerce investment in automation

Also, if Gartner insights are to be believed, IoT (Internet of Things) installed base is expected to grow by 26 billion units in 2020. Amazon Echo owners spending about 10% more than earlier, IoT has augmented the growth of the E-commerce sector and has impacted millions of lives with its amazing efficiency and simplicity.

IoT devices making their way to online stores including smart mirrors that allow customers to try clothes virtually and Amazon dash button that helps users to reorder their desired products without logging onto the site. So, IoT has radically transformed the way a shopper shops.

So, An innovative technology like IoT, E-commerce businesses gather huge benefits which help them grow leaps and bounds in a small period of time.

Strategies to Make for Your E-commerce

• To get the idea that it works as an ecosystem. You can partner with other firms to get data you need to improve your E-commerce marketing strategy.
• If you want to develop IoT devices for E-commerce, be careful to choose wisely the platform your product will use. Estimation indicates there are currently more than 200 IoT platforms already existing.
• Ensure the security of the IoT devices you use for your own sake and also your customers. Lawmakers will certainly add regulations in the future, you do not want to get trouble with that.
• Reassure your customers about the collection of their data and what you will do with them. Be careful not to damage your image.

Here is How IoT can bring change to the E-commerce field in Future

1. Smart and Logical Strategy

E-commerce industry is incomplete without a proper channel of logistics. A minor flaw in this channel means a setback to online retailers. This is where IoT can come to their rescue by ensuring that commodities can move from one place to another smoothly. So, IoT technology can play a critical role in the tracking of products all the way from the production stage to final delivery.

RFID (Radio-Frequency Identification) and GPS enable E-commerce businesses to track the location of commodities at every instant. Digital data is encoded in RFID tags or smart labels, which are captured by a reader via radio frequency waves. The logistics management becomes a lot more efficient because IoT makes it possible to effectively manage the route and speed of items to deliver. Also, RFID and GPS ensure there are no missing deliveries or inexplicable delays.

2. Enhance Coordination between Manufacturer and Customer

IoT helps the retailer to produce a different identity in front of your consumer. So, Through this technology, a retailer enables the consumer to present their views regarding the product. On the other hand, It helps them to improve their product quality which ultimately makes them well-known among customers.

3. Automating Shopping Process

With the help of IoT, automated checkouts are now becoming a reality, like what Amazon Go is introducing.

This means the buying process becomes automated so customers walk in, buy, and walk out with the cost billed to their smartphones.

Additionally, in the future, predictive systems will know when customers are ready to go shopping and pack the products ready for them to pick up based on their shopping lists.

Once they send the details of the products they want to purchase to vending machines, all they do is pick up from the drive-through and they’re really good to go.

4. Automated Cars for better Consumer Experience

Industries like Google, Tesla Motors, Volkswagen, Mercedes-Benz, BMW or Nissan have started to introduce IoT for cars. Though nowadays we can speak only of slow-speed robots working at warehouses, the fast development of self-driving vehicles makes it possible to use them to deliver parcels sold on e-commerce platforms. Alternatively, the IoT can be used to enhance the delivery customer experience by sending automated messages to inform customers of the status of their package. For example, the first notification can be sent a couple of days before the delivery date, and then another a couple of hours before the item arrives, so that the customers don’t have to worry about missing the delivery and the state of their order.

5. IoT Big Data Management

As we saw, IoT is an endless source of data about your consumers’ routines. If row, that data is useless. They have to be stocked to further be analyzed. For that, what you need is a unified data platform that will gather several data sources, even the ones that don’t seem to work together at first.

This is the only way you would be able to unlock the real benefit of IoT data, by getting the all views of your customers activities and identify relationships, discover opportunities and be able to engage with your online customers in a more relevant way. Deep machine learning technologies already show great potential in deducing data relationship and will for sure be a part of IoT next development step.

Advantages and Disadvantages of IoT in E-commerce

Advantages:

• It helps to create a larger market
• Customers can view, analyse and can take decisions depending on your products
• Fast Response To Consumer Trends And Market Demand
• It is become very easy and affordable to set up and maintain an eCommerce store with a low cost
• More Opportunities To “Sell”
• E-commerce platforms give merchants the opportunity to serve up personalized content and product recommendations to existing customers
• Increased Sales With Instant Gratification
• Environment Friendly
• No Geographical limitation, tap the global market form the day one
• Avoid human error while dealing with customers
• Reduce Resource hiring and training cost

Disadvantages:

• Lack of personal touch
• Unsure about the quality
• Late Delivery
• Security issues
• Internet bandwidth
• Some products are really difficult to purchase online like, gold, spectacles and other which you required very customized one
• E-commerce is highly competitive
• It is difficult to try before buying
• Site Crash issues

Conclusion

We can conclude that IoT-enabled services offer great potential for success of disabled people in the context of E-commerce. Smart devices are able to work in wireless network environments without the fear of limitations such as access devices or a sources with limited power and unreliable connectivity.

Thus, The most critical IoT benefit to take into account is the automation of business processes. It helps to save money and time and provide better customer experience and to manage everything more effectively.