Bid Adieu To 2020 With Top 20 E-commerce Trends!

Did we ever think classroom sessions will be replaced by video call applications? Did we ever think sanitizer will be given more priority over a bottle of water? 

Whatever they say, 2020 has been quite a momentous year! 

With a pocket full of technology and free time, we have faced many challenges. Not to mention FOMO has finally become our best buddy! But still, it would be a shame to say that the year was boring. There was a time when we were a bit skeptical to shop online. But, this year, has clearly changed that too, as we were left with no choice but to buy everything we had abandoned for months. 

So, can it be any better than 2020? Well, to kick off your year-end blues, we have curated a list of 20 e-commerce trends to wave our goodbyes. Also, if you are planning to start your online business, or you already have an established e-commerce business, you must capture the recap of this beloved year!

Top 20 E-commerce Trends of 2020! 

1. Spike in the contactless payment options

The pandemic has surely seen a decrease in the percentage of cash on delivery orders! According to our data, the contribution of the COD payment options has decreased from 47% in 2019 to 27% and the share of online payment modes has increased to 73% this year. Seeing this trend, e-commerce businesses have included a plethora of social payment options such as Apple pay, Google wallet, Facebook payments, Twitter Buy, etc., to let customers make seamless payments. 

2. The increasing demand for Mom & Babycare products

There is no doubt in saying that health has been a major concern this year, especially for new mothers and infants. This need has surely upsurged the demand for the Mom & Babycare products. If we talk in numbers, there has been an 8X increase in the sales contribution from this segment in 2020!

3. Devouring healthy snacks and counting their nutritional value is the new norm

The outbreak of pandemic has increased the importance of food and nutrition in our lives. But now, people have become more conscious about their health. Soy milk, whey ice cream, protein bars, dried berries, roasted seeds, etc, have become their go-to snacks. Marketplaces such as Amazon, Flipkart, etc. have been flooded with nutritional products.  

4. Increase in the sales contribution from non-metro cities

According to ANS Commerce partner brands data, the sales contribution of tier-2 cities has increased from 44% in 2019 to 65% this year. Buying patterns of consumers all around the nation seem to have changed significantly with categories such as health & nutrition and FMCG & agriculture making a surge. Further, with an increase in the number of mobile users, tier-2 city users seemed to become more confident and aware of online shopping. 

5. The importance of the user-generated content


With the emergence of social media, the pandemic has failed to keep people distant mentally. They have been using social media sites more than ever. Taking the advantage of this trend, brands have been using engagement marketing tactics such as contests and giveaways by motivating users to generate content. 

6. The rise of independent local businesses in shaping customers’ journey

Local businesses, on one hand, are the backbone of our nation’s economy, while on the other hand, they serve with a plethora of inexpensive options, not to mention the fact that they keep us close to our culture. People’s preferences for local and small brands have increased in the year 2020. Not to mention how our social media news feeds are flooded with users giving shoutouts to their favorite brands.

7. An increase in the service-based subscription model

The subscription model has been preferred by almost all e-commerce businesses, given the fact it has the leverage to boost sales. Coming over to the specific type in the e-commerce business, the service-based subscription model seemed to hold a great value. This business model generally controls pricing based on the value, giving users flexibility. Extra benefits such as free delivery, quick delivery, etc, add more value to the customers’ lives. Almost all the platforms are indulged to position their brand through these tactics.

8. Loyalty programs to establish long-term relationships

In entrepreneurs’ marketing toolbox, loyalty programs hold a certain value to enhance long-term relationships with customers. With deeply personalized offers, brands try to make sure their customers are rewarded.

9. A surge in the sales of Sustainable products

People all around the nation have seen to pay more attention to their purchasing decisions. More sustainable ways of production are fabricating ways into shopper’s marketing strategies. Some of the popular sustainability trends include the production of homegrown food items, cruelty-free makeup products, sustainable & slow fashion apparel, etc.

10. Influencer marketing is the new sales model

With an increase in the consumption of social media, influencers have attained enormous power to guide their audience. Through influencer marketing campaigns brands are trying to make use of the creativity and control that the influencers have made over time with their audience.

11. New ways of gifting loved ones

The idea behind giving e-gift cards to loved ones has become popular these days. And e-commerce players are well acquainted with it. So, if you want to grab the notice of your prospects, invest in e-gift cards to give your customers flexibility! ANS Commerce has been in close contact with their partner brands and decided to expedite a module in our product roadmap given its increased relevance. We had enabled the gift cards feature on Kartify this year – it’s an easier way to boost a brand’s sales.

12. Chatbots have become a new way to communicate

Be it tracking your product, or asking queries regarding product exchange, communicating with chatbots have increased more than ever! Chatbots have been there forever, but with the surge in online sales, their usage has also increased. 

13. ROPO (research online purchase offline)

Forecasters and marketers have forecasted last year that ROPO (research online purchase offline will continue to rise. But looking at the current scenario, the trend seems to have disappeared in the year 2021.

14. Mobile commerce in 2021

To let people enjoy the perks of quick shopping, businesses are engaging in mobile/ social commerce. Also, brands have looked to integrate WhatsApp & social commerce as another online sub-channel. Due to a tremendous increase in online shopping, Instagram has come up with a new option to sell. It has expanded its shopping services across IGTV. You can sell and merchandise your products by showcasing your range of products via IGTV. 

15. An increase in the Omni-channels tactics

Customers are present everywhere. Be it website, mobile applications, social media platforms, you won’t see a single platform that doesn’t have a social presence. Omni-channel is an approach that provides a fully-integrated experience to the customers. Warehousing and fulfillment also play an eminent role when it comes to e-commerce sales. Not to mention how omni-channel tactics can improve inventory depth! Along with the drift, the preference of brands has also seemed to change with the rising number of stock-keeping. To enable simple, fast, and reliable delivery, brands are seen to get fascinated by multi-city warehouses and omnichannel delivery options.

16. The rise of AR and VR

Virtual reality has been there before this year, but it has continued to pick up speed in 2020.  Virtual reality and augmented reality have increased to enhance the e-commerce experience for customers with online assistance/ recommendations, virtual trial rooms, etc. 

17. Most preferred product segments of 2020

Fashion & Lifestyle was always a major contributor to e-commerce sales. But this year, the festive season in the wake of coronavirus has upsurge the demand for other segments as well. Beauty & personal care segment contribution has also increased. In the current scenario of washing and sanitizing each item, there is a surge in the hygiene and germ control category too.  

18. Unstoppable growth of B2B e-commerce

In the age of digital technology, B2B e-commerce is growing with an accelerated speed. The days of supplies needing to be ordered via fax order forms or other offline methods are seen to be shrinking. Both new and established brands have started to value their customers online.
By automating B2B through their e-commerce site, the businesses also seem to reduce their operating costs. 


19. Country of origin norm

100% of brands around the nation have this information on the mandatory guidelines of using ‘Made in India’ as a product attribute. This has risen in both the production and consumption of Indian goods. Kartify – our brandstore tech – is made in India to deliver exceptional e-commerce experience to Indian brands. We are striving to increase India’s e-commerce presence by assisting brands! Request your free DEMO now!

20. Voice Commerce has introduced us to voice search

With Apple’s Siri, Microsoft’s Cortana, or Amazon’s Alexa, shopper’s reliance on voice assistants has increased. Simply commanding a voice assistant while indulging in the routine chores helps you save time. People have seen to use voice search more rapidly in 2020. 

While these are some of the biggest trends of the year 2020, we can see many other trends impacting the industry. We are super excited to see what next year brings in, are you?