There are already several examples of contextual commerce in action. For example, Instagram has introduced shoppable posts that allow users to purchase products they see in their feed without ever leaving the app. Similarly, Amazon’s Alexa voice assistant allows users to make purchases simply by speaking out loud.

In the future, we can expect to see even more advanced examples of contextual commerce. For example, augmented reality (AR) technology could allow consumers to virtually try on clothing or see how furniture would look in their home before making a purchase. We may also see more personalized shopping experiences that take into account a consumer’s location, preferences, and purchase history.

In short, contextual commerce enables increased conversion rates: Reduce the number of steps to make a purchase, increase conversion rates, and drive sales.

This means more revenue for merchants, an easier purchase experience for the shopper, and developers can get a cut for facilitating the transaction.