3 Key Ways Magento Supports Growing Merchants
July 11, 2018
Gartner’s new report, “Magic Quadrant for Digital Commerce” offers an evaluation of eighteen leaders in the field of digital commerce platforms. We’re thrilled to announce for the second year in a row, Gartner has identified Magento Commerce as an industry leader.
According to Gartner, Leaders execute well against their current vision and are well positioned for tomorrow. Magento Commerce believes this recognition underscores the platform’s unique ability to provide customers with the performance, scalability, and security they need to deliver full-lifecycle customer experiences and grow sales, no matter their size or needs.
Gartner’s Magic Quadrant for Digital Commerce evaluated 18 vendors and identified their ability to execute and completeness of vision, which we feel gives a nuanced, transparent view of competitors within the market.
Gartner’s report also highlighted three key trends in merchant growth that we think every mid-sized and enterprise merchant should have as an immediate imperative:
1. Smart Personalization
Nurturing interactions with customers by personalizing the customer journey has been proven to increase conversions and Average Order Value (AOV). Now, smart-personalization systems are helping merchants identify their most valuable customers, where they’re coming from, and how they can attract more individuals like them.
Automated systems like those offered by Magento Business Intelligence (MBI) can identify the types of merchandise, offers, and promotions appealing to specific customers while enabling merchants to effectively allocate their marketing resources. Gartner has reported smart personalization will drive customer engagement and become a major element of online business strategy, stating that, “By 2020, smart personalization engines used to recognize customer intent will enable digital businesses to increase their profits by up to 15 percent.”
2. Support & Enablement for Innovation
Modern businesses require agile tools for growth which meet the demands of ever-evolving marketing and technology trends. One of the answers to these needs is open-ecosystem, collaborative resources (like Magento Marketplace) which are online repositories of software solutions, data systems, and a collaborative hub for experienced developers. Compared to rigid intellectual properties, these assets can be rapidly adapted to solve complex problems.
FOR EXAMPLE: Magento customer Yakima crafted a customized product management tool to deliver a seamless shopping experience for their customers on reseller sites. Magento Technology partner Webkul built an extension allowing merchants to turn their stores into third-party marketplaces, growing their business well beyond familiar territory.
3. The Rise of AI
Hollywood may have made AI seem like an alarming problem, but for merchants it’s fast becoming, or should become, an integral part of everyday operations. Data-driven AI is drastically enhancing the buyers’ journey through smart personalization technology while maximizing customer engagement and merchant profits. AI is also being used to automate the fulfillment process by identifying logical inventory sources and the best carriers, resulting in lowered shipping costs and wait times. Even on the mobile level, retailers are benefiting from augmented reality and rapid advances in voice and image recognition technology to enhance the buyers’ journey from browsing to checkout
As commerce continues along its digitally-driven evolution, so will the needs of merchants to efficiently personalize the buyer’s journey, develop flexible workflow solutions, and intelligently automate elements of daily operations. Whether implementing high-quality site extensions, collaborating within an open developer ecosystem, or tapping emergent AI technology, merchants are finding smarter, faster ways to extend their store capabilities. These improvements will help them keep pace with emergent technological trends which continue to upset traditional business operations year after year.