One of the most awaited technological developments is the introduction of 5G technology. Its arrival will not only transform technology but is expected to lead the fourth industrial revolution. The fast-paced world wants faster streaming, downloads and slow connections are frustrating. For e-Commerce, the full potential of the internet of things (IoT) will be released by 5G and the way businesses are done will also be revolutionized. The world is going to change in unexpected ways due to Artificial Intelligence (AI), marketing automation, and hyper-connectivity with exceptional network coverage and speed making all of it possible.
Keep up with the latest technology if you own or plan to open an online store. 5G will open new doors and bring change to your business. Figure out how and you are all set to work on all your future plans.
What You Need to Know About 5G
What is 5G?
It is the 5th generation of mobile network technology that is going to become the fastest network and take the place of 4G LTE. Several companies have plans of investment in 5G and are in the process of improving their current networks so that they can properly switch to 5G.
When Will 5G Be Available?
Some companies claim to have already launched the first commercial 5G network in the world. 4G is also fast but the amounts of data and the speed at which it can be accessed with 5G will be a huge step forward.
How Fast Will 5G Be?
5G is expected to offer at least 1 gigabit per second to many people simultaneously. A data rate in the range of tens of megabits per second will be delivered to the users whose number is in the tens of thousands. It might seem vague but it is pretty beneficial. But 5G will not only bring the advantage of having faster speed. It will also scale as per your requirements, notwithstanding the number of connections the network is dealing with. This will mean faster speed but that doesn’t mean any compromise with proficiency or usage loads.
Will 5G Have Lower Latency Than 4G?
Time taken by a network to respond to a request is referred to as network latency. It is the spinning circle that shows up while a video loads up on YouTube or your browser. Any request that is submitted requires a response time from the server after which it begins to load.
A network is considered faster if its latency is lower. So, if you want a high-speed connection, choose a network with the lowest possible latency. The expected response time with 4G is approximately between 15 to 60 milliseconds while it is expected to be just 1 millisecond in the case of 5G.
How Will 5G Change e-Commerce?
Global e-Commerce is predicted to reach up to $4.8 billion by 2021 and the introduction of 5G will be playing a huge role in it. One more prediction that is linked with 5G is the total amount of individuals that will be connected. By 2024, 8 billion people are forecasted to be online, which is a clear increase when compared to the number of people connected in the last few years.
In addition to these findings, other features of 5G will transform e-Commerce forever.
1. More Customers, More Revenue
As per Adobe Digital Insights report released recently, 5G will result in increasing e-Commerce revenue. The internet will be more accessible due to 5G. More people will be able to browse online faster and get solutions as soon as possible resulting in more potential customers.
2. More Brands Will Use Virtual Reality (VR) and Augmented Reality (AR)
In addition to e-Commerce and more people being connected, one more area that will witness a huge surge due to 5G is the global virtual reality and augmented reality market, which is expected to reach $80 billion by 2025, as per Goldman Sachs.
Brands like IKEA have taken proper advantage of VR and more stores/brands are using and benefitting from VR by letting their customers surf through the products directly from their respective places with the help of a mobile VR headset.
VR experiences will be more efficient, buffering and lags will be unnoticeable due to the super-fast 5G speed. The quality of VR content will also be improved due to 5G.
3. Better AI Learning Capabilities
Chatbots and virtual personal assistants are some of the AI tools that have enhanced customer service in the retail area by responding to FAQs and offering recommendations. Chatbots of some clothing retailers deliver clothing suggestions depending on the preference of the customers.
The information can be downloaded by customers from these AI assistants at an ultra-fast speed with 5G. Speed is vital to a successful customer experience; this will eventually help retailers as they can get more data about customers and can provide more customized recommendations.
4. Boom of the Smart Wearable Technology Market
One more area that will witness huge growth is the smart wearable technology market. Sales in smart wearables are expected to reach $95.3 billion in 2021. Data transfers in smart wearables will be of high speed at ultra-low latencies due to 5G.
5G can help retailers use this technological space by enabling them to send customers push-notifications with customized information which will eventually boost sales.
Prepare for 5G Now
The way IoT devices are being used will change significantly due to 5G. 5G will bring new demands including more personalization, faster speeds, and more internet accessibility and the brands will have to build foundations to meet these demands. Investing in CMS, which provides very significant experiences to any device, including smart wearables and VR/AR, is necessary for brands.
IoT will be amplified by 5G, because:
- more devices can be linked due to higher bandwidth capacity without compromising on connection speed
- devices can be connected to the internet notwithstanding where they are, meaning the coverage is almost universal
- higher connection speed enables customers to buy products faster and efficiently using any device
Market analysis reveals the reaction to 5G is already very positive. Consult those having expertise in mobile and 5G technology to tackle your specific business issues before investing a huge amount to develop strategies deploying 5G technology. Prepare, don’t delay, or ignore how 5G is going to be an important part of mobile retail.