For the past few years, eCommerce has been a huge hit. More online users are becoming addicted to online shopping, and for the right reasons. More businesses are now offering their products online and delivering their goods to your doorstep. With all the convenience and cost-effective perks that online shopping has to offer, it’s no wonder why many are getting hooked.
But like other industries, eCommerce has its challenges. Business owners who have already built their online stores are starting to realize that selling online and making sales sound easier than they really are. There are many factors that are costing you clients and sales. If you can avoid the following, you’ll find it easier to achieve more eCommerce success:
Trying to cater to everyone
One big mistake most newbie eCommerce owners make is their failure to find their specialty niche. You may think that you can easily find the best products to sell on your store to cater to a mix of consumers. But remember that you can’t please anybody. What you can do is to research a good niche that you will enjoy selling to. Focus on a single niche first before you even think of expanding. You’ll find it easier to market your brand and reach your target audience.
Not having an efficient returns process
Whether you have a physical store or an online one, it doesn’t matter. There will come a time when a client wants to return an item they have bought from you. While most consumers are smart enough to review your return policy before buying, some will check it only once they feel the need to return some items. Before putting your store online, make sure that you already have an efficient returns process in mind. It also pays to invest in a customizable RMA application to ensure that you stay on top of every facet of your returns and after-sales care.
Not having a solid social media presence
Do you simply rely on your online shop to make some sales? Then you’re missing out on all the perks that you can enjoy from marketing your business on social media. Having a strong social media presence can give you an edge over your competitors. By taking advantage of the different social media platforms, you can connect to your target audience and start making more conversions. If you share valuable content, you may even get their recommendations, which can serve as referrals to make more sales.
Failure to do financial analysis
Financial analysis refers to the process wherein you evaluate all financial statements to check the profitability and stability of a business. If you simply go on selling products without taking financial analysis into account, you’ll be surprised to know that you are losing money instead of generating some cash. You may think that you are already making money after selling your products at a higher price. But if you count all of your other expenses, you may end up with a negative cash flow result. Make sure that you crunch your numbers before you even post the prices online.
It is true that eCommerce can be your company’s saving grace. But selling online and being successful at it are not as easy as you think. There are many things that you need to consider and lots of risks to take. If you want to improve your success rate, then you should learn how to avoid the mistakes included on this list.