Spotlight

Report:

The Forrester Wave™: Commerce Services, Q2 2024

How does Forrester define the Commerce Services market in 2024?

Commerce has expanded from a purchase moment within a single channel to a total commerce experience across touchpoints and stages of choosing, buying, and owning a good or service. The consumer lifecycle has collapsed - customers expect to shop and transact in every moment and channel with order fulfillment any way they want. This evaluation of 10 commerce services providers in a 24-criterion assessment helps technology, marketing, and digital business leaders select providers - particularly agencies and consultancies with a full set of marketing and commerce capabilities - to implement flexible commerce backbones, thrive on marketplaces, build retail media networks, and use genAI to personalize content and engagement at scale.

Key Facts for The Forrester Wave™: Commerce Services, Q2 2024 in 2024

How did the Commerce Services market evolve in 2024?

What product features are required to be included in this year's evaluation?

What are the common features of top products in the Commerce Services space?

No common features specified.

Scope Exclusions

Inclusion Criteria

Vendors must, among other requirements:

Offering Strengths — Relative Weighting

Strategy Strength — Relative Weighting

FAQs

Q: What does this research cover?

A: This research evaluates 10 commerce services providers using 24 criteria grouped into three categories: current offering (50% weight), strategy (50% weight), and market presence (0% weight). The evaluation focuses on providers' ability to help companies create total commerce experiences across choosing, buying, and owning stages, including capabilities in flexible commerce backbones, marketplaces, retail media networks, and genAI-powered personalization.

Q: Who should use this research?

A: This research should be used by technology, marketing, and digital business leaders responsible for commerce channels and the customer's path to purchase, including chief digital officers and chief marketing officers. It serves as a starting point for selecting commerce services providers based on specific organizational needs, with the ability to customize criteria weightings using the provided Excel-based vendor comparison tool.

Q: What are the mandatory features of vendors included in this market?

A: To be included in this evaluation, providers must offer the most complete portfolios of total commerce experience services, spanning the full journey from buyer to owner including marketing communications, every transaction and engagement channel, and the after-purchase experience. Providers must also be most frequently requested by Forrester's enterprise clients, particularly business leaders responsible for commerce channels including chief digital officers and chief marketing officers.

Q: What are some reasons for not being included in this report?

A:

  • Incomplete portfolio of total commerce experience services
  • Lack of services spanning the full customer purchase journey
  • Not frequently requested by Forrester's enterprise clients
  • Limited relevance to business leaders responsible for commerce channels
  • Declined to participate in the evaluation
  • Contributed only partially to the evaluation

Q: What should buyers consider when evaluating products in this market?

A:

  • Implement and operate flexible commerce backbones with composable technology solutions
  • Optimize marketplace channels where over two-thirds of online retail sales flow
  • Build or utilize retail media networks with performance-based commercial models
  • Leverage genAI capabilities for content personalization and engagement at scale
  • Select providers with experience in your specific industry, category, and markets
  • Evaluate providers' ability to deliver total commerce experience across all touchpoints
  • Consider providers' engineering capacity for your chosen commerce platforms
  • Assess global delivery capabilities and talent strategy

Q: How has the Commerce Services market evolved in 2024?

A:

  • The consumer lifecycle has collapsed with customers expecting to shop and transact in every moment and channel
  • Commerce is expanding from a purchase moment to a total commerce experience across touchpoints
  • Shift from commerce suites to composable technology solutions
  • Almost a quarter of all US retail sales are online and over two-thirds flow through marketplaces
  • Retail media networks are the new frontier for commerce, spurred by Amazon
  • Generative AI is a game-changing technology for content operations, audience identification, and personalization

Q: What differentiates Strength of Offering vs. Strength of Strategy?

A: Current offering (50% weighting) evaluates each vendor's position on the vertical axis and measures the strength of their current services portfolio including commerce strategy, e-commerce solutions, retail and marketplace capabilities, technology services, content, analytics, platforms, retail media and managed services. Strategy (50% weighting) is placement on the horizontal axis and indicates the strength of providers' strategies, evaluating vision, partner ecosystem, platform strategy, innovation (with focus on genAI), pricing flexibility, talent development, and global delivery capability.

Reference

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