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Ecommerce is a new way to shop.
Every day, technology is evolving and the world is changing. 5G is one technology that will change everything. 5G is the fifth generation of cellular networks. It is 100 times faster than 4G. According to Next Generation Mobile Network Alliance for 5G to be considered, it must produce at least 1 gigabit per sec to allow tens of workers to work on the same floor. This huge speed will definitely change the internet experience.
E-commerce is one such industry that will see major changes due to 5G. The global eCommerce market is expected to grow by $4.8 billion in 2021, which will be a substantial increase on the $2.3 billion that was recorded in 2017. 5G is still a subject of speculation. Ecommerce executives have the opportunity to use 5G to enhance their omnichannel strategies and mobile retail strategies. Let’s examine the factors that will improve the constraints surrounding it.
Never expected Speed Before
This is the biggest and most obvious factor that will change the eCommerce industry. The gap between 4G & 5G will be huge. 5G has been deemed to surpass the 5G bar and is expected to eventually reach 10Gb/s. Pages with heavy elements will load in seconds. This will also change the way web pages are created. Developers will have the option to add images and videos to pages. Ecommerce retailers will have the opportunity to design as many pages as they wish without having to worry.
Increasing the consumer base
A recent Adobe Digital Insights Report states that 5G will boost eCommerce revenue by $12Billion by 2021 if major telecommunications firms follow through with their rollout plans. 5G will increase internet accessibility and make surfing more enjoyable via mobile devices. Expect more people to surf online, with faster websites and apps that deliver them in record times.
VR will play a greater role
Virtual reality (VR), is the practice of immersing yourself in a computer-simulated three-dimensional world. This is usually done using a headset. Due to the large amount of data required for this technology, slow or unreliable connections can ruin VR’s effect and cause a loss in customer experience. For a variety reasons, customers may prefer to shop in-store than online. You can do this with fully immersive virtual reality experiences. This technology will greatly increase sales of experience-driven products such as theatre tickets and hotel rooms. The customer can get a taster of the future by using this technology. 5G’s power will allow customers to connect with the product online. This will make it easier for them to purchase the product.
Artificial Intelligence will become more casual
Artificial Intelligence-powered customer support tools are being increasingly used by companies on e-commerce platforms. These include chatbots and virtual personal advisors. These tools replicate the shopping experience in a physical store with real assistants to help you make your purchase. These customer service tools will be indispensable for online businesses due to the speed and latency reductions of 5G. As customers have instant access to the correct information, retailers will be able reduce cart abandonment and customer drop-off.
Multi-device Shopping has many possibilities
With the rapid and easy use of 5G, e-commerce will be possible using other devices than smartphones and computers. 5G will allow e-commerce to grow in new ways. Examples include cars that can surf the internet using 5G, watches which let you make purchases from anywhere and any time, and fridges that automatically place orders for restocking when they run out of certain items.
All of this may give the impression that 5G technology will solve all your problems. However, that is false. The potential capacity will skyrocket with the advent of 5G. Visual Networking Indexes reports that video content will account for 79% of global Internet traffic by 2022, up from 23% in 2017. Increased bandwidth will lead to increased demand for high-quality video services. eCommerce will be a major part of the 5G infrastructure.
We need to be aware that video services over mobile networks may not be the same as those on broadband networks. First, there are many mobile devices that can play video at different resolutions. Traditional mobile networks still rely on data centers for video content delivery. The current 5G networks are largely non-standalone (NSA), meaning they rely on existing 4G core. Remote surgery and driverless cars are two of the most exciting 5G applications yet to come.
5G NSA is able to support more devices concurrently that 4G and offers greater bandwidth and lower latency. UHD streaming can be made a reality by this technology. The theory is that more people can stream video content at higher resolutions (such as 4K or 8K) simultaneously. However, networks must be prepared for the increased data volume. Operators know how important it is to continue meeting consumers’ high expectations, as content services become increasingly popular and a larger revenue stream. They must also rethink their network architectures and relocate caching to the network’s edges.
Internet providers must deliver more content at high resolution, along with a better user experience. They also need to reduce costs due to the massive increase in content consumption. Cloud-native and virtualization technologies can be more cost-effective than building capacity to meet peak demand. This is especially true when these technologies are compatible with existing virtualization platforms that CSPs may have.
The general rule of thumb when it comes to providing content to users is that the closer you get to them, the quicker you can deliver the content. Customers will be more satisfied if you deliver content faster. The virtual content delivery network is evolving with new forms that use caching technology. This allows streaming platforms and network operators to speed up the delivery of your favourite eCommerce sites.
The latest generation of vCDNs is well-versed in tightly integrating the network and being deployed at the edge to support 5G edge cloud data centres. They are smaller than traditional data centers.
It will be difficult to deliver video to thousands of people gathered at one spot after lockdowns. Traditional CDNs cannot support these experiences. It would be too costly due to bandwidth requirements, and cause far too much delay because they are not located in the same data center or within the telecom network. The cloud-native, elastic CDN technology can, however, handle high-density environments such as those found in stadiums or city centers. It can also handle spikes in demand from live sports events, season ends, and viral content.
As 5G rollout accelerates worldwide, traditional content delivery networks will not be able to compete with 5G in speed and capacity. Operators also face increasing consumer demand for high-fidelity video and immersive experiences such as virtual reality. Content delivery speed and latency will become more important as mobile devices dominate the way content is accessed. The 2020 content delivery boom will not be a passing trend. This is the future mobile and must be adopted by ecommerce in the next years. To provide faster, better and more reliable services to subscribers, it is important that the CDN technology and caching technology are in place. Enjoy the business boom that follows.
Operators must remember the importance of meeting consumers’ high expectations, as online services continue to grow in popularity around the globe. They must redesign their network architectures to move caching to the edges of the network. Many people streaming simultaneously can generate huge amounts of data and transcoding requests, which could be the case during flash sale. It would be impossible to distribute requests to the stadium’s core network. Instead, it would make sense to do it locally to ensure low latency.
Mogi’s proprietary video tech
Mogi’s Video Tech Solutions are available end to end (Video Transcoding + Video player + Mogi streaming engine (multi-CDN delivery), + DRM + Video analytics) or you can choose individual products from the suite such as the Video Transcoding. Mogi also offers white-label plug n-play solutions for OTT platforms and Edtech platforms. These include Web, Android, and iOS apps, as well as a dedicated CMS and LMS for EdTech.
Our Transcoding Architecture is one of our best products. It is unique and cluster-based, and transcodes within 30% of the content’s length. Transcoding architecture produces a compressed video that is up to 50% smaller with no quality loss and, if you select quality enhancement, a 40% compression along with enhanced video quality.
Transcoding’s pricing is extremely competitive. You also get a compressed output of the same quality or better. Because Transcoding is competitively priced, your contractual pricing is lower and your bandwidth consumption is also reduced. This results in improved user experiences. It’s a win for everyone (Users and Clients, Mogi).