EQ Commerce: the digital retail shopping experience revolution

In recent years, global retail has experienced a transformation driven by new consumer demands. According to a survey by PwC, 56% of CEOs point out that the change in customer preferences is the biggest challenge to business profitability. This phenomenon, accentuated by the pandemic, raised expectations for a personalized, intuitive and effective shopping experience.In response to this reality, the concept of Economy of Expectation has been gaining strength, proposing a consumption model in which brands not only meet, but anticipate the needs of their customers at all points of contact.

It is in the scenario of the Economy of Expectation that we see the macro trend identified by the consultancy The Future Laboratory. EQ Commerce (or Emotional Quotient Commerce) is an approach that goes beyond traditional selling and seeks to transform each interaction into a predictive and proactive experience. In this macro trend we observe the union of the power of advanced technologies, such as artificial intelligence and augmented reality, to a qualified understanding of expectations and the behavior of the public. This new form of commerce solves one of the greatest pains of digital retail: the algorithmic“, when consumers are frustrated with generic recommendations and offers that do not reflect their real environment, with this new approach and preferences.

Among the main trends of EQ Commerce is Discovery Commerce, which transforms the traditional search for products into an intuitive and customized discovery. Instead of waiting for the consumer to find what they want, this strategy presents items and offers that proactively align with their profile and interests. According to Coresight Research, the hyper-personalization of shopping feeds which takes the right product to the right customer & can increase engagement and strengthen loyalty, turning the experience into a true competitive differentiator for brands.

Another central aspect in EQ Commerce is the integration of artificial intelligence (AI), which allows for large-scale customization. With 71% of retailers increasing their investments in AI, according to Total Retail 2023, 73% have specifically targeted these features to offer highly personalized content, according to Coresight Research. AI enables brands to adapt not only what is suggested, but also how and when this is presented, generating satisfactory interactions and at relevant times. In an environment where a competitor can mean migration to a site, this type of agile and data-oriented response becomes essential.

Augmented reality (AR) is an important pillar of EQ Commerce, raising the moment of purchase to a new level of interactivity and immersion. About 63% of consumers say that AR significantly improves the experience, according to Statista research, allowing them to view products in a dynamic and in-depth way. Big brands such as Walmart and Lacoste already use AR according to the Virtual Flagship trend, creating immersive online environments that replicate aspects of the physical experience and strengthen the sense of exclusivity and belonging of customers.

Thus, EQ Commerce has the ability to promote closer and emotionally connected interactions with consumers. With it, it is possible to have environments in which influencers and curators participate in the digital journey, bringing brands and consumers closer in an authentic way, stimulating the identification and feeling that their preferences are valued. This creates a bond that goes beyond the commercial transaction and reinforces loyalty in the long term.

In Latin America, where 50% of companies still do not feel confident in their customer experience strategies, according to a 2023 CMO Council survey, EQ Commerce stands out as a transformative model. Companies that adopt this approach, using AI and behavioral data in real time, have a greater chance of differentiating themselves and winning customers in an increasingly digital and competitive market. The promise of EQ Commerce goes beyond meeting the demands of the present, it establishes a new paradigm of relationship between brands and consumers, in which innovation and experience go hand in hand, shaping the future of retail.