New data from Juniper Research has shown that the total transaction value of remote payments for digital and physical goods will exceed $6 trillion by 2024. This represents a growth of 53% from 2019.
The research group says that online sales will be dominated by physical goods with the forecast to account for almost 80% of online retail purchases by 2024. Juniper urges traditional retailers to offer omni-channel offerings to ensure services align with ever-increasing consumer expectations.
Remote payments will be driven by purchases made via mobile devices, with the number of smartphone buyers increasing by nearly 60% between 2019 and 2024, according to the research group. Consequently, just 21% of purchases will be made using PCs, laptops and connected TVs globally by 2024.
Juniper says the shift to mobile has impacted purchasing behavior, with the average value of transactions expected to decline by 2024. Underpinning this growth, and the change in average transaction values, is the adoption of mobile ticketing — which is becoming increasingly remote and cashless, according to the research group.
Juniper assessed the digital strategies of 25 leading bricks-and-mortar retailers according to their levels of agility and innovation. The Home Depot ranked first, owing to its proactive eCommerce strategies and engagement with new technologies, such as augmented reality and analytics, to improve online consumer experiences.
“Bricks-and-mortar retailers have to go beyond simple eCommerce to become digital-first companies,” says research author Morgane Kimmich, “Retailers must fundamentally embrace the digital era by optimizing data analytics and embracing new technologies; enabled by radical internal organizational change.”