What does online shopping have in store for consumers next year? As bricks-and-mortar sales still prevail, how can e-commerce win a fairer share in shoppers’ hearts? Let’s take a look at e-commerce trends expected in 2025 to find out.
Current E-Commerce Market Stance
The global e-commerce market size is estimated at $18.77 trillion this year. It is steadily growing at a CAGR of 14.9%, and predicted to reach 75.12 trillion by 2034.
These solid figures are still far from the market’s full potential. In many developed economies, eight if not nine out of ten purchases were made in a physical store rather than a digital one this holiday season.
So far, the Asia-Pacific region leads in e-commerce adoption. It accounted for over 57% of global e-commerce revenue in 2023, with China, India, and Japan leading the sales due to their developed fintech infrastructure, large market size, and growing mobile commerce. E-commerce sales in China account for 47.3% of the total retail sales, which far exceeds the global average. However, in India or Japan, for example, online sales contribute to mere 5%-10% of the total commercial turnover. Hence, there’s much more room for e-commerce growth in all the regions.
The main growth drivers for the industry include significant improvements in digital payment systems, logistics, and mobile commerce platforms, advanced fraud detection systems, and increasing penetration of Internet and mobile phone technologies.
Besides, the increasing popularity of e-commerce is directly linked to the changing consumer behaviour. Shoppers today have less time and more needs to fulfill than they had even, say, a decade ago. Therefore, they seek fast, convenient, and flexible shopping experiences available 24/7 on-the-go, easy product and price comparison. These are provided by online and mobile shops worldwide. The number of e-commerce users worldwide is anticipated to reach 3.6 billion by 2029.
What Trends will Shape E-Commerce in 2025
Evolving consumer behaviour, technological advancements, and changing global economic factors call for some updates in the existing e-commerce routine. Some of the most prominent trends to witness in 2025 include technological innovation, customer-centric strategies, and an emphasis on sustainability. Now, let’s be more specific.
AI-Powered Personalisation
Personalisation of the target marketing, e-commerce platform interfaces, and other shopping experiences gets a chance to reach breakthrough levels by leveraging AI and machine learning tools.
As AI develops in giant strides and many retail leaders are experimenting with the technology, we can expect to see more AI-driven product recommendations tailored to individual preferences based on past purchases or browsing history, dynamic pricing strategies based on user behaviour and demand, and retail chatbots providing human-like customer support.
At present, most large retailers and e-commerce leaders have already started using such tools. Thus, Amazon employs machine learning for highly-precise personalised email marketing and homepage content, as well as social media insights regarding its products, and uses generative AI for contextual intelligence advertising. Walmart also uses AI for personal recommendations in its app, and employs dynamic pricing and stock management strategies based on AI-driven demand predictions.
Improved Tech-Driven Product Search
Modern technologies enable consumers to look for desired products in a quicker mode and get more precise results. In 2025, we might expect using voice assistants and image recognition tools for online shopping more often, as more companies embed such tools into their shopping platforms.
With the help of tech innovation, we’ll witness the growth of voice commerce through voice assistant devices like Alexa or Google Assistant on Google Home. According to Rohit Prasad, Senior Vice President and Head Scientist for Alexa, 50% of customers who use Alexa have utilised the tool for shopping as well. However, at present, voice assistants can make purchases on quite a limited number of e-commerce platforms. In 2025, this selection is expected to expand.
Besides, there’s growing popularity of visual search tools enabling users to shop by uploading images from their cameras or image repository. BNPL provider Klarna went even further with its AI-enabled shopping lens and shoppable videos. It enables customers to order products discovered in the app’s unboxings, tutorials, reviews or product drops directly from the video links.
Sustainable E-Commerce
As in many business segments, e-commerce will face increased sustainability demand from both customers and regulators and will place greater emphasis on eco-friendly practices such as carbon-neutral shipping and biodegradable packaging.
While more consumers are choosing brands with strong sustainability commitments over those with shady ESG declarations, retailers and merchants are bound to follow the lead of their eco-conscious peers. Retailers like Amazon and Shopify set industry standards by adopting green delivery and packaging options.
Thus, collaboration with shipping and logistics company Maersk enabled Amazon to transport goods on a zero-carbon cargo ship using methanol as a cleaner power source. The company also partnered with Rivian to roll out custom electric vans. Its delivery fleet already has over 5,000 EDVs operating in major cities, with plans to increase their quantity up to 100,000 globally by 2030. Besides, Amazon has a range of initiatives like “Frustration-Free Packaging” and using 100% recyclable materials to reduce packaging waste.
Shopify, while not directly involved in goods delivery, supports merchants in adopting sustainable shipping practices through its platform and partnerships. The platform provides tools for merchants to calculate and offset the carbon emissions generated by shipping their products, optimise routes and partner with green last-mile delivery providers, adopt sustainable packaging, and integrate carbon-neutral shipping into checkout options.
AI-Driven Omnichannel Experiences
Seamless integration of online and offline shopping experiences provides a holistic approach to customer service across different sales channels. In 2025, we expect this approach to become more prevalent, as click-and-collect services are gaining traction. The reasons for this are numerous, starting from saving money on delivery or special online offers to easier return if the item doesn’t fit the online description. Whatever the case, today, over 60% of consumers prefer such a shopping mode to be available.
Proper omnichannel experience would require unified customer profiles across multiple channels. For this purpose, retailers might use AI that can easily collect and sort out data from various sources to create a single profile picture.
A recent survey of the MIT Center for Transportation and Logistics (MIT CTL) revealed that supply chain professionals believed AI-driven innovations in omnichannel fulfillment were having the most impact on demand forecasting, followed by customer experience, customer service, chatbots, and inventory management. Besides, AI plays an important role in transforming warehousing practices and returns management.
Click-and-collect omnichannel shopping which involves online product selection and store pickup would not be efficient without increased focus on quick delivery and streamlined supply chains. In 2025, same-day or even one-hour delivery is becoming the norm. Shipping and order fulfillment times are getting shorter due to the use of autonomous vehicles, drones, and robots in logistics, as well as AI tools in warehousing and inventory management.
For example, Amazon is currently implementing a large-scale innovative project to be launched in 2025. It plans to use a fleet of robots assisting human employees in managing the four-level fulfillment center in Australia. The e-commerce giant has also piloted Vision-Assisted Package Retrieval (VAPR) functionality that uses artificial intelligence and lighting to help delivery drivers find the packages they need in trucks at a particular moment, thus, shortening the delivery time.
Innovations in order fulfillment and supply chain management will bring customers exactly what they want from the click-and-collect services: speed, convenience, saving time and money, and efficiency.
Expansion of Subscription Models and B2B E-Commerce
Next year, we expect more businesses adopting subscription-based services for reliable revenue streams along with enhanced convenience and loyalty for customers. Subscription services are gradually becoming more popular in previously untapped e-commerce segments like grooming products, makeup, groceries or ready-made meals, creative and DIY supplies, or even fishing items.
At the same time, digital transformation will take place in business-to-business transactions. We shall see more user-friendly platforms for bulk purchasing, online custom pricing tools and negotiation options as manufacturers are increasingly selling directly to businesses via e-commerce platforms.
Increased Focus on Data Privacy
Stricter regulations like GDPR, CCPA, and emerging global privacy laws and consumer demand for transparency amid the most extensive use of customer data for different purposes (including potential AI training) will force e-commerce companies to prioritise secure payment gateways, data encryption, clear opt-in policies for data tracking and targeted marketing and other privacy-related tools.
As the growing number of online shopping businesses implement AI systems, they must integrate security practices to prevent data infringements and unauthorised access. Although this powerful technology can enhance business performance, innovation, and customer satisfaction, AI also poses challenges to data privacy and compliance, dealing with large amounts of personal and sensitive data. Many AI systems, including AI-powered search tools, do not provide clear options for users to opt in or out of data collection, so retailers still have a lot to do to improve that area of data integrity.
Immersive Technologies to Enhance Online Shopping
Augmented and virtual reality (AR and VR) can provide a significant boost to online shopping. A lot of globally renowned brands understand that and leverage the power of technology and innovation.
For instance, AR is leveraged for virtual try-ons (e.g., clothes, accessories, furniture, makeup, hairstyle). These tools can be available both online or in-app and offline as in case with 3D augmented reality mirror by ModiFace used by Sephora that simulates the use of selected cosmetics on a client’s face photo-realistically in real-time.
Meanwhile, VR enables immersive store experiences. This year, Amazon launched the whole Virtual Holiday Shop, an immersive 3D shopping experience that allows customers to browse over 300 curated gifts and holiday items, including toys, fashion, and tech from popular brands. A few months earlier, Balenciaga introduced an immersive fashion experience designed for Apple’s mixed-reality headset, the Apple Vision Pro. With a specialised app, users could view 4K videos of runway shows and browse individual looks through a carousel of lookbook images.
In 2022, the global virtual reality market in the retail sector was valued at $3.25 billion, with a forecast compound annual growth rate (CAGR) of 28% up to 2030.
Summary
In 2025, e-commerce will continue its rapid growth, fueled by advancements in digital payments, logistics, and mobile commerce, as well as shifting consumer preferences for convenience and personalisation. AI will play a key role, enabling tailored shopping experiences, dynamic pricing, and improved customer support.
Technologies like voice assistants, visual search, and immersive AR and VR experiences will make online shopping faster and more engaging. Sustainability will remain a priority, with brands adopting eco-friendly practices like carbon-neutral shipping and biodegradable packaging. Additionally, stricter data privacy regulations will push businesses to prioritise security and transparency.
