Initial Forecasts on How 5G Networks and Technology will Improve eCommerce
The next generation 5G networks designed to link multitudes of devices, appliances and sensor-driven machines, not just in terms of millions but in billions, have already begun.
Countries like China, South Korea, Japan, USA, Sweden, Estonia and Turkey have quickly embraced 5G networks; Through wireless communication that is 100x faster than before with significantly lower latency and lesser costs, their forward-looking initiatives will enable them to expand and extend eCommerce ahead of other nations.
The Internet of things (IoT) In those countries will likely kick start a new range of devices and appliances, making eCommerce more robust and broader than anyone could ever imagine at present. The forecast once full global 5G coverage is attained by year 2021, is that eCommerce revenues will spike by up to $4.8 billion; taking off from the $2.3 billion figure last reported in 2017. After all, the greater the number of eCommerce customers, the higher the expected yields in revenue.
Growth in eCommerce by 2024 will definitely be greater, as the projection is that as many as 8 billion people will be simultaneously doing their thing online. Such an estimate placed an additional 4.2 billion, Internet-connected eCommerce customers from the 2017 starting point.
Translations of eCommerce revenue growth in the full advent of 5G technology are attributed to faster and smoother Internet accessibility. The fifth generation (5G) networks will give billions more in numbers of potential customers, the power to browse through websites and transact businesses by way of applications that can connect and serve quickly in a matter of milliseconds.
Other eCommerce Elements Likely to Receive a Boost from 5G Technology
Use of Virtual Reality (VR) and Augmented Reality (AR) in eCommerce will be more prolific, making brand marketing campaigns more engaging and highly enticing. Actually, the use of VR and AR as tools for running highly efficient advertising videos has been proven in the 4G and 4.5G communication networks despite the lags and bufferings in streaming services.
VR and AR in the 5G world therefore will have greater power to boost eCommerce since 5G communication networks will be everywhere and anywhere.
Tools utilizing Artificial Intelligence as they occur in the customer service aspect of eCommerce, can have greater capabilities in satisfying customer needs and in addressing concerns. Quicker and smoother responses from chatbots and virtual agents can equate to better personalized customer interactions. Excellent interactions further translate to improved customer relations, leading towards the attainment of its ultimate goal. That of maintaining a greater number of satisfied customers.
Expect more smart wearables to arrive at the scene, since 5G networks will give wearable devices greater capabilities in transferring data at a faster speed and with lower latencies. Ecommerce will likely realize greater revenue when sending push notification data through an improved array of 5G connected mobile devices, including wearable gadgets.