At the end of the year, Mollie, one of the fastest growing financial services providers in Europe, provides its predictions for the year ahead in the eCommerce and FinTech sector.
Philippe Daly, Vice President of Mollie France, presents here the trends for 2023 that he has identified for the coming months.
The year 2023 will be difficult and optimization will dominate e-commerce strategies.
The economic downturn will reduce spending across all industries.
This will be especially true for spending on non-essential goods and services, which will have a significant impact on industries like fashion.
Black Friday volumes are also an important indicator of how difficult the year is ending and what is to come.
This means e-commerce companies will have to fight for every sale and focus on optimisation: perfecting the checkout experience and ensuring they meet consumers’ growing expectations for payment methods: local payment, fast delivery and free returns.
A delicate year for BNPL.
The “superstar” of new payment methods is going to have a difficult year.
First, this deferred or installment payment method will grow to allow consumers to better manage their finances during the difficult times to come.
Next, the authorities will step up their efforts to protect consumers in the face of the economic climate and concerns about their indebtedness.
At the same time, some BNPL providers will find that their pricing model may not withstand the downturn and costs for merchants will increase.
Finally, as defaults rise, more BNPL claims will be denied.
It’s hard to predict exactly what will happen due to the huge number of factors to consider, but the BNPL will not be the same at the end of 2023…
The Headless solution will be The way to secure the future.
Headless technology allows e-commerce companies to fine-tune the customer experience without having to incur the enormous costs of a complete platform overhaul.
Medium to large retailers are more likely to explore this option, as they already have technical resources in-house (as opposed to small and mid-sized businesses, which rely more on “off-the-shelf” packages and integrations).
The Headless system will allow large SMBs to gain independence from static e-commerce ecosystems and the limits they impose on optimization and growth.
VR/AR purchases will lose steam.
Despite some initial excitement, the rising cost of living will slow the adoption of virtual reality by consumers and all but the biggest retailers.
The mixed reality shopping experience will also decrease. 2023 will not be the year of VR/AR shopping…
Consolidation in the field of tools will intensify.
Many SaaS companies serving eCommerce businesses will struggle to raise prices and maintain profitability in 2023.
It is reasonable to think that these players will refocus their core offerings to add more value while reducing R&D.
The natural conclusion will be consolidation towards the end of the year, when small-scale SaaS vendors realize they need more leverage to succeed.
For traders, it will be imperative to ensure that their tools continue to interact with each other, which is not always obvious.
They will need to ensure that their leading eCommerce and payment platform providers offer fully flexible APIs and an ecosystem of partner integrations to help merchants succeed.
Any distinction between physical sales and online sales will become blurred.
Digital capabilities have created a hybrid retail environment and encouraged some shoppers to return to stores.
The “click & collect” system, delivery, the transition to flexible points of sale are changing the structure of the sector and the way of buying.
It’s still not quite the realization of the omnichannel dream, but that goal is not far away…