E-commerce is important for your business. you have already heard this recommendation again and again. But why?
The importance of electronic commerce in business has been clearly shown during the Corona virus pandemic. In the time that all businesses went down, Jeff Bezos, Amazon CEO, became the richest man in the world. Moreover, the number of people who have been using online shops to fulfill their needs has noticeably increased during the lock down.
These improvements in the e-commerce market ended up in Jeff Bezos becoming the king of e-commerce marketing. The fact that he was one of the pioneers who understood the potential of the internet for selling products and the importance of e-commerce marketing could not be denied. The Bloomberg billionaires index claimed that Jeff Bezos worth $202 billion which was achieved by e-commerce marketing. This makes you to think “why e-commerce is important for your business.”
In another word, technological advancement, rising of globalization and mass adoption of the internet in the last decades are all the factors that can persuade you why e-commerce is important for your business. Do you still underestimate the importance of electronic commerce marketing?
Statistical data shows that in the UK, 688.4 billion pounds was spent on e-commerce sales in 2018 and this is about to grow each year. Furthermore, e-commerce sales are expanding at a rate of 20 to 25 percent each year. Therefore, all brands and companies need to realize the importance of online retail and the brilliant future that has been predicted.
Moreover, all brands and companies should be aware that if not losing the market influence is intended, presence in the virtual world is necessary. In this article, 5 reasons why electronic commerce is important for your business is going to be discussed.
E-commerce can help your customer
Customers have never had as much purchasing power as now. The truth is that in this era, people can buy what they desire with a simple tap of a finger. Since the internet connects everyone from all around the world, your e-commerce marketing business is not restrained to any geographical limitation.
On the other hand, live chats and the ability to be in touch with consumers are helpful when they want to make a purchase decision. One of the most important rules in brick and mortar stores is the way you treat the customer, however, questions like their address and phone number cannot be asked, and if these questions are asked, they will feel insulted.
The importance of e-commerce marketing is the point that with setting simple chat boxes customers can keep in touch. Then, at the end of shopping, you can ask their address, postal code, and phone number which means more security for both consumers and retailers.
In this competitive market, fixed or free shipping is what customers are in favor of. Additionally, flexible payment gates and methods make the buying process easier for customers. Another reason for why e-commerce is important for your business is making a dynamic environment which is open 24 hours a day, 7 days a week, and 365 days a year. Furthermore, this feature makes consumers capable of choosing when to shop without spending their money and time on traffic and gas.in addition, no matter how busy their schedule is, your shop is some finger taps away.
E-commerce is important for developing your brand
Another reason why e-commerce marketing is important to your business is the fact that, even if you are about to start a small business, a site with impressive graphical designs and security can be established. Then, this site will be your store with your ideal name on it and you would be to sell globally; because, one of the greatest features of e-commerce marketing is the lack of geographical limitation. As a matter of fact, electronic commerce marketing is not a chance for small businesses to develop themselves unless their stores are correctly implemented online.
An online store can have so many views. The more visibility of the site, the more customers are.When a high number of individuals choose your market to buy, Others can introduce your business to each other. your small business will be a well-known brand.
Moreover, not only this process never can be interrupted by pandemics but also it may grow more than before
E-commerce is useful for Increase your profit
Profit is what you get when costs from revenue are subtracted. This means two ways to increase your profit are either increasing sales or decreasing operating expenses. Besides, automation to reduce costs can lower labor costs and increase your operating profit margin.
If your average order size is a noticeable amount, there is no doubt your profit margins will increase. Another importance of e-commerce marketing is the reduction of costs from tax liability, like:
- Mortgage payment
- Utility bills
If you had a physical shop and you tend to develop your work in another city, you would pay a great cost for the rent pf a new place and employment of new staff. So, e-commerce is important for your business because there’s no geographical limitation, and once your shop is open, the whole world can buy from your shop without you paying a high cost.
Technically speaking, another importance of e-commerce business is the ability to set codes for discounts at the back end of the site with an expiration date.
Thus, this prevents the possibility of mistakenly accepting expired coupons that regularly happen at a physical shop.
Plus, do not worry if you are a small business, for according to the 2007 U.S Census Bureau, half of the small businesses earn more than $100000 in revenue annually.
Increasing your profit is another reason for you to start an e-commerce business because it has lower operational costs than a brick and mortar store. Meanwhile, in an e-commerce marketing business:
- There’s no need to hire people to manage your stores.
- You can eliminate the cost of rent and staffs salary from your investment.
- Furthermore, you don’t need to pay for billboards instead you can use Google ad and influencer marketing.
Giving more marketing opportunities
If you intend to sell a product or service, you should first establish that there’s someone eager to buy it. To recognize market opportunities, it is essential to evaluate factors like
- political, economic, and competitive environments.
- Social, cultural, demographic, physical environments.
- market access.
- product potential.
- local distribution and production.
Besides, more than ever, it is possible to assess trends through online data and simply search for products in marketplaces. Also, you can create surveys and interviews to better understand first-hand, what potential customers in markets are looking for, and their current sources for procuring the product.
Making your business successful
Presenting numerous variety of products is another reason why e-commerce marketing is important for your business. Actually, in e-commerce marketing, you can present a lot of services and products and there is no need to worry about having enough space. By the way, as long as you are connected to the internet connection, the store is yours. Therefore, thanks to the internet, the store is always available to the consumers and this opportunity makes you and your products more accessible.
It is not to say that costumers are giving up on physical sales but e-commerce marketing is a rapidly growing business that is not going to slow down. While physical stores might not be known or hard to find due to traffic, an online shop, with a proper advertisement, is always known and available.
With a glance at statistics, online customers buy their products around 8 p.m. whereas most physical stores are closed at this time thus the purchasing peak is missed.
When for brick and mortar business location is the most important priority, in the e-commerce marketing business, you can easily sell your products from wherever you are without violating any laws. Furthermore, people from all around the world can buy your products but it depends on how much shipping you like for them to pay.
Let me remind you again that electronic commerce marketing companies have got successful during Corona virus whereas local stores suffered during this economic uncertainty.
All these 4 paragraphs are the other features of e-commerce marketing that can guarantee your business’s success as well as:
- Focusing on the user
- Staying on top of SEO
To summarize, 5 reasons that e-commerce is important for your business has already been discussed. It has the power to help customers, develop your brand, increase your profit, give more market opportunity, and make you successful. These are all that occurred to Jeff Bezos because he is both the king of e-commerce marketing and a manager.
Keep in mind that these 5 reasons can come true in your business when you put the effort into it. Lastly, in e-commerce marketing, you do not need to see which way the wind blows as you will ride on the wind.