eCommerce needs to go greener. For a long time, online shopping was a great and more environmentally friendly alternative to standard shopping. Why? Fewer transportation costs and less overall paper waste. However, in the last few years, we have experienced an overwhelming boom in the sector. In the US alone, eCommerce sales were $870 billion in 2021, representing a 14.2% increase over 2020 and a 50.5% increase over 201.
eCommerce is no longer the greener alternative to normal retail and there are three main problems to address: transportation emissions, return rates, and packaging. But it can be.
We bring you 5 sustainable technologies that can elevate your online business at the same time you help the planet.
#1 – 3D configuration
Companies have invested heavily in product imagery but cannot take their customer experience to the next level in an eco-friendly way.
Incorporating 3D configuration into eCommerce is a cost-effective way to add capacity and sustainability for competitive advantage. What is 3D configuration?
Using 3D models of products, a configurator is created and integrated into a company’s website. The 3D configurator enables 360-degree visualization of products, zoom in and out functionalities as well as personalization and/or customization, such as color and material changing, accessorizing, and engraving.
3D product configurators give customers the power to configure items, creating the perfect product that’s as unique as they are. The product isn’t a static image but a detailed render that the customer can inspect from every angle. As a result, customers are more engaged in the buying journey and more attached to their purchases.
Why is 3D configuration part of our sustainable technologies selection?
Well, from the customer’s side, it means that the product is personal. Shoppers are less likely to return something they built themselves and to which they have an attachment. This means less transportation-related pollution, which is one of the great contributors to greenhouse gas effects. There’s no greater eco-friendly product than the one we know we are going to cherish.
From the company’s side, 3D configuration enables a make-to-order way of producing which advantages are overwhelming. From shifting to the on-demand way of producing where nothing is wasted to the unnecessity of having a large storage facility, the benefits are countless. No more thousands of unsold products, no more product incineration in landfills, and no more energy waste in maintaining large storage houses.
Brands will have the power and the resources to create their own digital showroom at the same time they cut on waste coming from the manufacturing process.
#2 – Augmented reality
Augmented reality or AR is where the real and virtual worlds meet. It helps shoppers to experience online content in the same way they do it in the real world.
The ability to place virtual objects in the physical world can help people understand the product better and improve the shopping experience.
What positive consequences does this have for the environment?
Item returns are a big contributor to the negative impact of online shopping on the environment. “Not every customer is satisfied with an item that is shipped to them. If the item is exchanged for another item, you are tripling the amount of travel required for one item — essentially tripling the number of transportation emissions.” – according to Sana.
By being able to place a product in their desired context, shoppers know if for example, a couch fits their living room or if a certain eyeshadow goes well with their eye color. The result is fewer unnecessary purchases and a decrease in return rates.
The customer no longer needs to go over and over again to stores/warehouses and pick up samples or take measurements. Everything can be done from home, and the environment benefits from that.
#3 – Internet of Things (IoT)
The Internet of Things or IoT describes physical objects with sensors, processing ability, software, and other technologies that connect and exchange data with other devices and systems over the Internet.
It’s a giant network of connected things and people – all of which collect and share data about the way they are used.
You can use these technologies and devices in your business to optimize energy efficiency.
IoT devices can pass information about their lifecycles, enabling energy saving and the exact understanding of when components or hardware might need to be replaced, rather than doing so prematurely and increasing waste.
This tech can be used in your own office or in your manufacturing sites.
#4 – Eco-packing technology
Biodegradable plastic is used by many companies as a way of having a “greener” footprint. The fact is that the biodegradable plastic used in eCommerce packaging is almost always non-recyclable.
Businesses should focus on other environmentally friendly packing solutions such as polylactic acid, bubble wrap, and cardboard, all more biodegradable and with a more sustainable manufacturing process.
A 100% eco-friendly packaging is still far from sight, but by exploring sustainable technologies like the ones mentioned above, companies will be able to evolve to a “greener” level.
#5 – Expivi’s CPQ software for supply chain integration
CPQ means configure, price, and quote. Practically speaking, customers configure their desired item using a configurator like the one mentioned above, the value of the product is shown in real-time and a Bill of Materials (BOM) is generated and sent to production. That’s what Expivi’s 3D configuration platform is all about.
This tech improves the overall customer experience since shoppers are able to have access to the price in real-time but it also helps businesses to use a digital supply chain integration through a unified ERP system. Customers, brands, and manufacturers are all connected by one platform, minimizing errors, miscommunication, and waste.
The ideal addition to our sustainable technologies list.
Sustainable technologies have to be part of the future of eCommerce
Although online shopping has 1.5-2.9 times fewer greenhouse gas emissions compared to in-person shopping, in 2020 alone, the shipping and return of products accounted for 37% of the total GHG emissions.
Customers want to follow a “greener” future. In fact, 73% of consumers are willing to change their ways to reduce the impact on the environment.
eCommerce can be part of the solution, instead of being part of the problem. Companies are doing that effort, but are they doing it in an efficient way?
Reach out if you want to discuss some of the sustainable technologies mentioned above and see how Expivi can work for your business.