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9 Ways E-commerce Can Help in Growing Business

Are you thinking about starting an e-commerce business? The good news is that worldwide
e-commerce sales are expected to grow to $4 trillion by 2020. In 2016, in India only, e-commerce
retailers made Rs.2,11,005 Cr in sales revenue. There are many more benefits of e-commerce. In
this article, you’ll learn e-commerce advantages so that you can plan your online business
accordingly.

1. Able to Process a High Number of Orders

With e-commerce, there’s no waiting time. A customer can place orders on his or her own
schedule with no delays allowing you to accept a high number of orders. If you choose to
drop ship, you can process a high number of orders with ease. As your business continues
to grow, you might choose to hire employees to help with order processing. In retail
stores, long lineups can deter people from shopping.

2. Sell Internationally

With e-commerce, a small brand can sell to customers around the world easily. You have
the ability to discover your audience whether they’re in the U.K., South America, or
neighboring countries. If you choose to drop ship from AliExpress, many products offer
affordable E-packet shipping or free standard shipping. This allows you to price and ship
your products competitively to a worldwide audience. One can also take help of e-commerce
service providers which help in making this process more efficient. They also strategize in
your e-commerce brand building.

3. 24/7 Potential Income

Most physical location stores are open from 9 a.m. to 9 p.m. By being available at all
hours, you can attract people who would normally pick up a product in stores, if the store
were open. You can also attract those who may have odd work schedules or who don’t
have time to shop in-person. For a customer to order at night, you don’t need to have
employees working the night shift to ensure all orders get processed. One of the
advantages of e-commerce is that online stores are always open for business. With your
ads, you can attract someone at 11 p.m. or 4 a.m.

4. Personalized Online Experience

You can personalize the online shopping experience with a good online selling strategy.
Or segment email lists based on purchases made, location or even how much money a
customer spent. You can also retarget a customer who visited your store showing them an
ad for a product they added to their cart and forgot about. If your online store has a login
feature, you can have a welcome message appear such as ‘Welcome back (name).’
Product bundles can help the customer buy more for a better price. You can also
personalize upsells based on what the customer has looked at or what you think they
might like.

5. Easier to Encourage Impulse Buy

When running an e-commerce store, getting your customers to make an impulse buy is
easy. If you have an attractive product photo, one with vibrant color or human emotion,
you can create ads and promote products online that drive impulse buys. You can also
execute a range of scarcity tactics such as countdown timers or showcasing limited
quantities.

6.Low Investment High returns

One of the benefits of e-commerce is that has a lower startup cost. Physical retail stores
have to pay up to thousands to rent one of their store locations. Also, they have several
upfront costs such as store sign, designing their store, buying inventory, sales equipment,
and more. Physical retail stores also have to pay staff to work and run each location. They
may also need to hire security staff depending on the product value in the store.

7. Decrease in cost

The cost incurred on advertisement and communication is lower as the business uses e-
mail and online advertising channels, The cost incurred on human resources are also low
as most of the business processes are automated. Middlemen are eliminated to a
considerable extent as there is a direct link between the business and the consumers. Due
to the effective supply chain, the cost incurred on maintaining inventories is reduced.

8. Effective information management

E-Commerce helps business to create, process, distribute, store and retrieve any
information cheaply and quickly. The above benefits enable a business organization to
remove any communication gap between the business and consumer, or between business
and business associates or between business and its employees.

9. Personal Service

Shoppers aren’t just guided or influenced by price. Providing a personal service, albeit
online is both appreciated by shoppers and can prove to be very beneficial in increasing
sales. How can you provide a personal service via your online presence? Customers like
to be informed of the various stages of receiving their order so emails confirming receipt
of the order and dispatch of the goods with tracking information are always a good idea.

By
Abhineet Gupta
(HR Head and Analyst
Webdaksha Solutions)
Delhi

 

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