What is Boutique Commerce

I envision a future where offline shopping will become a leisure activity. Rental markets will fade, and a hybrid model of offline-online shopping will become the norm. Regardless, online shopping will continue to grow year after year, driven by the evolving demands of a consumer-oriented society.

Before diving into Boutique Commerce, let’s quickly recap e-commerce. E-commerce has continuously evolved: “Pure Commerce,” “Intent Commerce,” “Indirect Commerce,” “Social Commerce,” “Influence Commerce,” and “Quick Commerce” are just some of the phases we’ve seen.

What makes Boutique Commerce special is that it will influence almost all forms of commerce practices, blending elements of various existing models. It isn’t just another vertical; it’s going to reshape the existing ones.

Note: Unless someone claims otherwise, I made up this term "Boutique Commerce."

E-Commerce & it’s growth

There is something about visionaries—they aren’t just dreamers. They dream with conviction and make things happen. Not everyone succeeds, but every now and then, a few change entire industries. One household name is Amazon. The name itself comes from the world’s largest jungle. Just like Mother Nature doesn’t tell you what you’ll find in the Amazon rainforest, Jeff Bezos didn’t know what you’d find in his Amazon.

The first online commerce website, Amazon, launched in 1994, and since then, the e-commerce landscape has changed dramatically. Amazon is worth approximately $1.5 trillion, Best Buy is valued at $26 billion, and Alibaba, which owns AliExpress, is worth over $200 billion (source: 2024 financial data).

What we discussed above is what I call “Pure Commerce,” where the public has a need, and websites or apps fulfill that need. Like a shopping mall or a convenience store, you know what you want, the other party has it, and a transaction takes place.

Online commerce took years to settle down. One major shift it brought was in human psychology. Thanks to big brands like Amazon, which prioritized customer service, we have become comfortable trusting online companies with our money. We’re not entirely there yet—many companies still struggle to understand the DNA of online shopping—but the trust in online transactions has grown. A website is the shopping mall, and it should feel like one. Customer service is the cornerstone, and Amazon understands this better than anyone.

Internet is all about commerce

Humankind has been striving for technical maturity since its inception, but since the advent of computers, the internet, and mobile devices, every advancement has found new ways to sell more. Capitalism thrives on materialism. Let’s be clear: commerce is the backbone of the internet. Everything you’re reading, watching, or listening to wants your money—directly or indirectly.

Have you ever wondered how Google became such a big company while offering free services? The answer: commerce. Whatever you do on Google—search, maps, Gmail—it’s trying to sell you something in the form of ads. Google is essentially a “Commerce Engine.” Google bought YouTube for $1.65 billion, and it now generates billions annually from ads, all trying to sell you something. They bought Android, where apps are also trying to sell you something. The underlying theme is always commerce.

Phases of Commerce

Pure Commerce

If you want bread, pay and you get bread, that’s pure commerce. No gimmick, no drama, no tricks. We’re making it faster, more convenient, and more fun to sell people more, which brings us to Intent Commerce, Indirect Commerce, Social Commerce, Influence Commerce, and Quick Commerce.

Intent Commerce

After pure commerce came intent commerce. When a person wanted something, they searched online. Tools like Google Search and Google Ads tracked that intent and followed users across the internet with relevant ads, hoping they’d be convinced to buy. And data says they often are.

Indirect Commerce

We live in a world of algorithms. Once algorithms know your intent, they start throwing smart suggestions at you. You can see it in forms like “People who bought this also bought…,” “You may like…,” and “What your friends are buying.” And it works—we all know it does.

Social Commerce

This is one of my favorites. It emerged as a by-product no one expected. Social media was supposed to connect friends and family, but it grew into a space where everyone consumes information. Information and commerce have always gone hand in hand, whether on radio, television, or in town squares. Social media is where Gen Z spends most of its time, while traditional media is dying. The average age of TV viewers is over 50 in many countries, while youth are on TikTok, Instagram, LinkedIn, and Snapchat. These platforms, along with content creators, exist to sell you something—commerce is their heartbeat.

Influence Commerce

I’m not sure how long this medium will last. Maybe I envy these influencers, or maybe I don’t understand their ROI. Regardless, many influencers have figured out how to incorporate product shoutouts, ads, or even launch their own brands to their audiences, such as Kylie Jenner with Kylie Cosmetics. You, me, and countless others have been influenced into buying something at least once.

Quick Commerce

Quick Commerce, once thought impossible, is making waves in 2024. Instant gratification has its pros and cons—it’s hard to say whether it’s helping us or creating new problems. But one thing is certain: you can get almost anything you want in 10-15 minutes without leaving home. The downside? We may end up more anxious and obese as a result. Who am I kidding? We already are.

and finally, Boutique Commerce

In the commerce cycle, from production to consumption, every step incurs costs. This is why Direct-to-Consumer (D2C) brands have emerged—thanks to years of e-commerce evolution. For D2C brands, their websites and social media platforms serve as their shopping malls, allowing them to directly connect with consumers without traditional retail intermediaries. A lot of cost goes into decorating those malls (photos, videos, website, marketing content, ad-content), and who ultimately bears that cost? You, the customer.

One Thing Sells Products Online: Content

Content is everything—whether it’s product photoshoots, videos, social media posts, marketing content, ads, or memes. We buy what we like and what makes us feel good.

Boutique Commerce is about enhancing the aesthetics of online commerce, much like how physical boutiques carefully curate their spaces to create a unique experience. Online concept websites will resemble offline boutiques in their presentation and atmosphere.

The Role of AI

Traditional product photoshoots are costly and time-consuming. Traditional videos are even more so. AI will impact all aspects of our lives, including product photography, where it has the potential to make beautiful photoshoots more accessible and cost-effective. There are already companies trying this, and a few are showing promising results—it’s only the beginning. Here are some examples:

First Image is real mobile photo and rest are AI

First Image is real mobile photo and rest are AI

What the fish!

The Future of Product Photography & Boutique Commerce

I predict that product photoshoots and videoshoots will become so cost-effective and efficient that art and commerce will blend even more seamlessly.

AI will help making unique visuals more attainable for all brands.

It won’t stop there—products will be reimagined with different photoshoots over time. A product is not selling, let’s see it with different photo.

We may even enter an era where AI generates real-time product visuals tailored to individual interests. You might see a ring modeled by a blonde, while your friend sees it modeled by an Asian model.

Boutique Commerce has the potential to reshape all other commerce channels and pave the way for new ones. We’re entering an era of aesthetics-driven commerce, powered by AI, and I couldn’t be more excited.

Are you ready for this opportunity?