How 5G Will Change So Much More Than Your Phone
5G technology has been subject to some controversy in the wake of the COVID-19 pandemic. Bizarre conspiracy theories and their equally bizarre reactions have put some bad light on this technology.
This is unfortunate as 5G is the next big step in telecommunication and its impact will be no less than revolutionary. In fact, eCommerce will be one of those sectors that will transform significantly as the world adapts to fifth generation technology.
How 5G Will Advance eCommerce
5G or Fifth Generation is a wireless technology that connects modern devices such as smartphones and smart appliances to the web. Currently, this technology is only available in certain parts of the world but it’s spreading rapidly.
Some of the big advantages of 5G are faster speed, higher connection density and decreased latency. As more countries adopt this technology —industries including eCommerce will see big advancements.
Here’s how 5G is Going to change online shopping.
1. Improved AI Will Drive Efficient Customer Service
Artificial Intelligence in retail isn’t something that’s being visualized for the future. In contrast, it is already here. Virtual personal assistants and chatbots are already taking customer service in retail to another level by answering inquiries in real-time.
We have all communicated with a chatbot by now and while they do vary in efficiency —it’s apparent at this point that the general standard for these AI assistants is improving by the day.
When 5G arrives, customers will be able to connect and download information from chatbots within mere seconds. This means customer experience will speed up and the end result will be better-informed customers getting personalized recommendations. Ultimately, this will help eCommerce businesses boost their sales and attain bigger profits.
2. Increased Speed Will Make Way for High Quality Visual Content
Brands put in a great amount of effort in creating visually strong content. Studies have shown that articles optimized with compelling images and videos have 37% more engagement. So it’s no surprise that nowadays most blogs and social media posts are accompanied by crafty infographics.
However, many brands are hesitant to include visual content as they may take time to load on customers’ screens. It’s important to create amazing photos and videos but all that effort is wasted if it doesn’t get to the masses.
Fortunately, this will change with 5G. Brands will be able to create high-resolution media without ever worrying about it lagging on the customer’s screen. This one change will take the marketing of eCommerce websites to a whole new level. No longer chained by speed issues, online stores will be able to better inform their customers and boost their bottom line as a result.
3. Better Connectivity Will Lead to More Personalization
One profound effect of 5G will be that an enormous amount of data will be generated due to better connectivity. Using this data, companies will be able to better understand how businesses and people consume their products and services.
What will follow will be personalization on a gargantuan scale. Brands will analyze their customers through locations, usage patterns and profiles that will help in crafting personalized offerings.
Learning about the online spending habits of customers will allow brands to offer unique coupons and promo codes that will appeal to different sections of the market. This way, companies will be able to better optimize their coupon marketing campaigns.
5G will unleash an era of hyper-personalization of products and services by generating vast amounts of data and also empowering on-demand business models.
4. Consumers Will Shop from Multiple Devices
Currently, two devices dominate when it comes to online shopping. Consumers either order through their smartphone or from behind a computer screen. But as 5G brings speed and simplicity to online shopping and more internet-connected items hit the market —people will be purchasing from a wide variety of devices.
Other than the usual options, an increasing number of transactions will take place from emerging touchpoints. In the years to come, cars that browse the internet through 5G, fridges that restock the items instantly by ordering online and watches that can make purchases through a few simple taps will serve as examples of 5G opening new avenues for eCommerce.
This technology will also enable retailers to order new stock based on information from sensors in items and applications that are connected to the network.
5. There Will be Less Abandoned Carts Due to Speed Issues
One thing that 4G changed was allowing mobile consumers to have the same experience as those ordering from a computer. However, it was observed that the speed of 4G slowed down whenever consumers were on a check out of an online store.
Inevitably, many consumers left the cart because they were either annoyed by the lags or lost trust in the websites. This led to many carts left abandoned and stores missing out on guaranteed sales.
This is currently a common problem and one that will hopefully be eliminated by 5G. The technology would take internet speed to the optimum and there will be zero glitches in the shopping experience. This would be a welcome news for eCommerce enterprises.
6. AR and VR Will Find Place in Online Retail
AR and VR have been touted as technologies that will save brick-and-mortar stores from the eCommerce onslaught. However, it’s not often considered that the same technology will be integrated in eCommerce.
IKEA piloted their VR campaign way back in April of 2016. It was a sign of things to come as a year later, the company launched an online VR store in Australia. Now, customers could browse the variety of furnishing products from their homes with the help of a mobile VR headset.
More brands are hesitant to mimic IKEA’s strategy as the internet speed of consumers vary greatly and some cannot enjoy a smooth VR experience. 5G with its ultra-fast connections will make VR content more accessible to the masses. This will drive more eCommerce stores to invest in VR.
The Future is Here
Fifth Generation (5G) is the next big step for telecommunication and its impact will be felt across industries. This technology will bring forth an era of connectivity as smart devices will have better access to fast internet.
Businesses need to realize that change is coming whether they are ready or not. As the world moves to a new generation of cellular networking —eCommerce ventures need to lay out a strategy for this monumental change.
Better mobile connectivity would mean new opportunities for online businesses. A world where people order from their smart watches, cars and even refrigerators would need revised marketing strategies and an infrastructure that can satisfy emerging consumer needs.
Enterprises that are best prepared for 5G will have a head start on their competitors and this in turn, will allow them to grow and prosper.
