Ambient commerce will drive expenditure on IoT connected devices and on IoT software and services in the retail sector. By 2020, the retail sector will spend $5.3 billion on IoT software and services — that’s up from $2.7 billion in 2018.
According to the latest market study by Juniper Research, revenues generated by the Internet of Things (IoT) and retail platforms will exceed $4.3 billion by 2023 — that’s up from an estimated $890 million in 2018.
While it might be tempting to look at online and offline shopping trends individually, doing so limits the ability to see the synergies. For example, click-and-collect retail shopping has increased 30 percent in the past two years — it represented 18% of online grocery sales in 2016 and now represents nearly half (48%).
According to the latest worldwide market study by Juniper Research, retail spending at new frictionless payment stores — such as Amazon Go — will increase from an estimated $253 million in 2018 to over $45 billion by 2023.
Consumers are increasingly turning to online and mobile channels to make retail purchases that they traditionally would have made in-store in prior years — thanks to new online purchasing experiences like click-and-collect and mobile order-ahead.