In today's digital age, eCommerce has become a major player in the retail industry. With the growth of technology, businesses are able to reach a larger audience and offer their products and services online. However, as the eCommerce market continues to expand, businesses are facing new challenges and security concerns.
This is where blockchain technology comes into play. Blockchain is a decentralized digital ledger. It has the capability to provide a secure and transparent platform for e-commerce transactions. In this blog, we'll explore the ways in which blockchain can help in eCommerce app development. So let’s get started.
What is Blockchain Technology?
Blockchain is a decentralized, and digital ledger technology. It records transactions on multiple computers in a secure and transparent way. It allows secure, transparent, and tamper-proof record-keeping without the need for a central authority.
This technology is most commonly associated with cryptocurrencies. However, businesses use blockchain technology for a wide range of applications beyond cryptocurrency. For instance, supply chain management, P2P payment, digital identity, and more.
Data About The Growing Influence of Blockchain in eCommerce
The integration of blockchain technology in e-commerce app development is increasing rapidly. This is because blockchain offers numerous benefits to both consumers and e-commerce businesses. An ecommerce app development company uses blockchain to build high-end features in their mobile app solutions. If you look at the recent statistics and industry reports, you will observe how significantly blockchain in eCommerce is currently being used in various ways.
- According to a report by ResearchAndMarkets, the global blockchain in the eCommerce market is expected to reach $7.59 billion by 2023 growing at a CAGR of 54.3% from 2018 to 2023.
- A study by Accenture showed that over 60% of consumers are open to using blockchain technology for e-commerce transactions, particularly for securely storing their personal information and reducing the risk of fraud.
- In 2019, major e-commerce companies such as Amazon and Walmart began incorporating blockchain technology into their supply chain management to increase transparency and efficiency.
How Can Blockchain Help in Ecommerce App Development?
Blockchain technology has the potential to revolutionize the e-commerce industry through its security, transparency, and efficiency. By implementing blockchain in eCommerce app development, businesses can improve the user experience, reduce costs, and increase profitability. As a result, it makes e-commerce more accessible and accessible to everyone with the following benefits.
Increased Security
Blockchain technology provides a secure platform. It allows conducting e-commerce transactions by ensuring that data is encrypted and tamper-proof. Consequently, the confidence of users in using the e-commerce app gets increases.
Decentralized System
Blockchain technology operates on a decentralized network. This is the place where data is distributed across multiple nodes. Therefore, it becomes making more difficult for hackers to compromise the system. As a result, this ensures that transactions are transparent and secure. Therefore, many e-commerce companies hire blockchain developer to create decentralized e-commerce applications to provide advanced secure, and seamless shopping experiences to consumers.
Improved User Experience
Blockchain technology can help improve the user experience by enabling faster and more efficient transactions. This can help reduce friction in the buying process. And consequently, improving the overall customer experience and driving sales.
Cost Reduction
Blockchain technology help reduce the cost of conducting e-commerce transactions. It is by reducing the need for intermediaries, such as payment processors and banks. This, as a result, helps eCommerce businesses increase profits for merchants and reduce costs for consumers. So, blockchain here makes e-commerce more accessible and affordable.
Traceability
Blockchain technology provides a complete record of all transactions that are conducted through the e-commerce platform. This help improves the traceability of products. Thus, it makes it easier to monitor and track the supply chain, and ensure that products are not counterfeit or mislabeled.
Increased Transparency
Blockchain technology provides transparency to the e-commerce platform. It makes it easier for users to see how transactions are processed and ensure that there is no fraud or corruption in the system. This can increase trust and confidence in the platform. As a result, this leads to increased sales and higher customer satisfaction.
Conclusion
In conclusion, the integration of blockchain technology into e-commerce app development has the potential to revolutionize the way online transactions are conducted. With its secure and transparent nature, blockchain technology can help eliminate the risks of fraud, hacking, and data theft.
But since blockchain is a complex-level technology, it requires great expertise in effectively using blockchain in developing e-commerce apps. Therefore, you would need assistance from a blockchain development company to create a blockchain-based eCommerce app.
We all know what Blockchain is and how they can revolutionize E-commerce and retail business.
Yet, there are a few who have less knowledge about its potential.
By 2021, 25% of the Global 2000 will utilize Blockchain benefits as an establishment for digital trust.
As a decentralized model, the Blockchain innovation carries alongside its transformative capacity to streamline all the retail operations including; supply chain, logistics, product validness, installments and trustable design of a system of operators.
Security, consistency, cost, time, quality, responsibility and risk come as key components to consider while maintaining a business online.
Since the entire procedure is done cryptographically, trust is initiated in the information itself.
