On one hand online shopping has transformed into a simplified, profitable way of transacting, on the other it has managed to lure most businesses into its enviable charm. Creating an online platform that is feasible, easier, trustworthy, and most importantly, one that generates most revenue is not an easy job. Unfortunately most startups fall for the ‘It is not a big deal going online’ trap and end up with not so happy results.
Yet E-commerce is an emerging and evolving industry, here’s an attempt to help you distinguish misconception and reality.
Misconception 1 : Revenue is the foremost metric to measure
The Reality: You need a strong financial base to buy merchandise, pay your employees and stay breakeven among a million other things. But there are several web metrics like your search engine click-throughs, conversion rate, and bounce rate that can paint a better picture of where your company stands financially and will give you a more realistic view of your online presence.
Misconception 2 : Low Prices = More Customers
The Reality: The price battle will always exist, so will the consumer psychology of “pay less and get more”. But the final purchase decision, especially in case of an online store, is made through factors like availability of product, inventory management, brand popularity, loyalty, credibility, and round the clock customer support. So price your products based on the quality and not on herd mentality.
Misconception 3 : All E-Commerce platforms are created equal
The Reality: Every product has its own way of selling itself, and no two purchase processes can be exactly alike. The time, money and energy invested in buying a cell phone will be different from that of a shampoo. So understand the mechanisms of your product and create a feasible site for selling it online.
Misconception 4 : Once the site is live, it will start generating traffic
The Reality: Successful ecommerce ventures use professional techniques like SEM, SEO, SMM, PPC advertising, etc. and will actively promote their brand to build a market place. All this coupled with internet marketing will drive traffic to your online store.
Misconception 5 : You don’t need to have business experience to succeed online
The Reality: Building an online business is the same as building a brick and mortar company. You need a strategy, you need a business plan, and you need some good experience. You need to build a clear definition of the company’s target markets and have a thorough understanding of your customers’ needs. It is no different than running a physical store.
Misconception 6 : Running an e-commerce store is much cheaper than a real world store
The Reality: E-commerce is a process, a journey to improve customer experience. It is more than just a catalog and you need to realize that it is not cheap. Ideally, it follows the process of carefully planning the venture, keeping realistic expectations, committing to a long term business and a focusing on profit generation.
Misconception 7 : Product Data is easy
The Reality: The more the products the harder it gets to manage. Putting up loads of information about the product will only do the job of a brochure. What you need to do is arrange for generating conversion, have outstanding visibility, ensure appealing call to actions, and a plan a hassle free layout.
Misconception 8 : Design is not a motivating factor
The Reality: A survey suggests that consumers will make a purchase decision in the first few minutes that they spend on your site. The factors that play around here are the design, the security and the layout. Be aware that if you focus on being a price leader and overlook the design aspect, you could be viewed as a “possible scam”.
Misconception 9 : Language cannot become a barrier
The Reality: Research has shown that less than 30% of the consumers do not buy from stores that don’t support their native language. If you’re looking at a global audience, let your website support multiple languages. Because even if the products seem visually good, customers may not buy them if they don’t understand the language.
Misconception 10: Your Ecommerce website is the total plan of your online business
The Reality: Your website is only one single part of your business plan. Analysis of the current trends along with potential risks, efficient marketing and promotional strategies are all a part and parcel of your online store set up.
So go on then, get your online store up and running soon! KNOWARTH’s E-Commerce development experts build robust and scalable E-Commerce Solutions that delivers the best user experience right from a front-end solution using the latest interface technologies and back-end architecture to solve a systems integration problem helping you to reach to global market.
Commercium assists Brick and Mortar stores in developing and driving maximum revenue from their e-store and ensure that their customers can buy the products from anywhere anytime using any device