Voice Commerce: Benefits, Challenges & Future Trends

Voice assistants have been around us for decades. However, their prominence in the commerce industry rose to the limelight with the adoption of Alexa, Google Home, and Siri. Consumers since then have become accustomed to commanding the AI voice service to search for products, add to cart, and place the order. In fact, according to the Grand View Research study, the global voice market is expected to grow at a 24.6% CAGR from 2024 to 2030. The expanding role of voice commerce indicates the increasing reliance of shoppers on the AI-assisted eCommerce technology.

As an online business, keeping up with the voice assistance trend is imperative to attract customers and survive today’s eCommerce landscape. This blog will keep you in the loop by providing an overview of the emergence of V-commerce, its benefits, and future innovations.

What Are the Key Milestones in Voice Commerce?

Today’s consumers are seeking convenience. They want everything done with a single command, rather than spend hours searching for their desired products. Stats show that around 71% of consumers prefer using voice over typing for queries. To keep up with this changing user requirement, eCommerce businesses are quickly adopting voice commerce and expanding their reach. So, how exactly is this technology shift achieving global prominence?

Here are some voice commerce examples that showcase the key milestones achieved by the AI assistance:

• Conversational Queries: As the AI assistant improves, it can have conversations with the user. For example, instead of typing “Velcro shoes,” a user can ask AI to “find the best Velcro shoes on Amazon.”
• Local Searches: Voice assistance is no longer merely beneficial for big brands. Local businesses have also started adopting voice assistants for better visibility. Today’s AI can provide local results, depending on the user’s query.
• Smart Speaker Assistance: Google Home and Amazon Alexa have already assisted with shopping. In 2025, your experience will further enhance as these devices will allow users to request more information about the product merely through voice commands.

How Does Voice Commerce Work?

Voice commerce is backed by NLP (Natural Language Processing) and speech recognition technologies. In simpler terms, when you speak, your device understands your query, converts it into digital data, and interprets it using a sophisticated algorithm.

Let’s break down how exactly the voice command works:

1. Input: The user speaks to the voice assistant and provides a command. They can ask questions like “find a pair of running shoes on eBay” or “search for a pink summer dress on Amazon.”
2. Recognition: The smart device recognises the input and converts it into the required format. This step involves converting spoken words into text for understandability.
3. NLP: The text is processed using NLP to identify the user’s intent and identify specific requirements. For example, in the above case, the product is “running shoes” or “pink summer dress.”
4. Processing: The voice assistant processes the query once the user’s intent is clear. This step involves matching the query with the eCommerce platform’s data. During this process, the assistant finds available products based on the requirement and the user’s past preferences.
5. Response: The assistant’s next step is to generate a response and provide users with multiple options. It might say, “Here are some of the options I have found for you.”
6. Completion: If the user likes something, they will confirm the purchase and command the assistant with “buy these shoes for me”. The assistant will complete the transaction.

What Are the Benefits of Voice Commerce in Retail?

Voice assistance began shaping eCommerce when these AI devices integrated deeply into the consumers’ lives. With giants like Amazon, Google, and Apple enabling users to browse products and complete the purchase via a single voice command, other companies also started integrating voice commerce into their platforms.

Here is why voice assistance is an integral part of today’s retail:

1. Improves User Experience

Voice commerce improves users’ interactions with eCommerce platforms. Stats say that about 80% of voice assistant shoppers are satisfied with their experience. By commanding the AI assistant, users can browse through the product range, select the desired item, and complete the purchase. The hands-free shopping experience improves customer satisfaction and leads to a higher retention rate.

2. Enables Personalisation

Voice-assisted experience uses artificial intelligence to provide recommendations and a customised shopping experience. The digital assistant analyses purchase history, user preference, and browsing patterns to suggest relevant products.

3. Reduces Card Abandonment

Since users enjoy a hands-free shopping experience with voice commands, they are less likely to abandon the cart. Businesses also set up automated prompts to remind customers of the items they have added to their cart but haven’t purchased. This recall action, combined with a seamless voice interface, contributes to increasing sales.

4. Provides Accessibility to Everyone

Voice-enabled shopping enables physically challenged and visually impaired customers to purchase with ease. The assistant allows these users to navigate through the website and purchase products easily.

V-commerce is an emerging trend that simplifies the shopping experience for customers. However, the technology is still evolving and includes a few pitfalls that need to be addressed:

1. Privacy Concerns

Although customers use voice assistance up to a certain extent, they are still worried about the device listening to their conversations. This security concern acts as a drawback as the users do not want to rely on a machine for online shopping.

2. Inability to Handle Complex Queries

While NLP has improved over the years, it still cannot handle overly complicated commands and needs refined conversations for accurate responses. For example, a device might not be able to understand diverse accents, dialects, or jargon. AI assistance also finds it tough to cut through the background noise or understand regional languages.

3. Platform Dependency

Every voice assistance has its unique requirements and limitations. It operates according to the data provided by the parent platform. For example, Alexa will only operate how Amazon has set its functionalities.

What Does the Future Hold for Voice Commerce?

As said above, V-commerce is continuously evolving and shaping the future of online shopping. Voice shopping already accounts for over $3.3 billion in consumer spending and is projected to become a $45 billion channel by 2028. To tap into this revenue-driving growth opportunity, today’s marketers must understand the voice of their consumers. 

From traditional marketplaces to various eCommerce startups, voice assistance will provide an intuitive way to connect with the audience and convert visitors into actual buyers. Through sentimental analysis and predictive understanding, smart devices should overcome barriers like security issues, complex conversations, and multilingual support.

Conclusion

Voice commerce continues to grow and provide a seamless user experience. From browsing specific products to payment processes, everything can be taken care of through AI-assisted devices. As consumers seek hassle-free shopping experiences, businesses with voice commerce will gain a competitive edge in the evolving eCommerce landscape. 

Owing to the latest AI technologies and tech solutions, Shiprocket is a perfect example of organisation that assists eCommerce companies in benefiting from the voice commerce trend and improving customer experience.