Launching your eCommerce business is all about the accurate execution. If that s done right, the rest usually follows. To set up and launch eCommerce business requires a lot of time, effort investment and comes with several different challenges too.
There were times when you could sell just about anything and make plenty of money. Back in those days, the competition was minimal, technology wasn’t as within your means as it is now and the reach to the product was limited. As of today, Amazon is a major competitor to all in the eCommerce world, China is opening up opportunities to masses, and technology is now affordable.
To make your eCommerce business success, customer satisfaction and a good hopping experience should never be compromised. However, if you are looking for a bigger share of the pie in the eCommerce business race then you would have to do a little more than the rest.
In the real world, things aren’t as rosy, from fighting competition to finding suppliers—the challenges one faces while launching the eCommerce business are a good handful. In this article, we have gathered and listed down a few of those lesser-known challenges which you can avoid to minimize the hassle.
Challenges an eCommerce Business Face
Adjusting the change
Change sometimes is a scary thing—especially when we are used to a particular way of working and we believe in its methodology. Familiarity with a legacy process can make it seem like a logical and reliable choice even if it no longer delivers acceptable results.
The reality, though, is that change is inevitable, and learning to embrace change and being open to possibilities is both healthy and an urgent necessity. Without innovation, without development and change, companies would ultimately stagnate and would never survive, let alone grow.
Undoubtedly, in the course of driving change and big transitions, you can set off a whirlwind of questions and difficult conversations. This is doubly true when there is business at stake that you developed and nourished over the years. Today the world is shifting its gears at greater speed and the time calls for the necessary change towards building an eCommerce business.
Finding the right products to sell
Many eCommerce platforms have eliminated entry barriers for people in the business including—Shopify, Amazon, and Aliexpress. These eCommerce platforms have not only simplified product sourcing but also enabled sellers from all over the world to easily reach paying customers.
However, these platforms giving access to all, have also made it difficult for retailers to source different or unique products.
All of this has made it very difficult for retailers to source unique products unless they decide to manufacture your own. Most often the search for the right commoditized product and not finding one leaves the brand in the deeper shade then they should be in.
Prefer choosing unique, one-of-a-kind, or handmade niche products as they usually become the most popular selling products online. You can also offer commoditized and niche products to your customers while delivering an on-brand experience to set your online shop up for success.
The choices are innumerable but you have to choose wisely.
With products come inventory, and demand planning is an area of supply-chain management that even the largest consumer goods companies in the world struggle with. For even a small-time business, improper inventory management can make or break your business.
Attracting the perfect customer
Customers don’t shop online the same way as they used to do back in the old days. They do research, research, and research. They request for recommendations on different social platforms. They read product reviews from different platforms and for purchases, they pay using all different sorts of payment methods.
In addition to that, the way customers consume content and communicate online has also changed rapidly. They get easily distracted by technology and social media.
To run a successful eCommerce business, you must figure out where the audience is and how to attract them efficiently without killing their marketing budget.
Generating targeted traffic
With technology, digital marketing channels are also evolving. To drive the optimum traffic to your online store, you can no longer rely on a single medium.
To drive qualified traffic to your online store you must effectively leverage SEO, PPC, email, social, display ads, retargeting, mobile, shopping engines, and all other possible affiliates. You must pay notice where the audience is paying attention.
Capturing quality leads
Several eCommerce businesses are spending a significant sum of their money on driving traffic to their online store. To get the most out of your marketing efforts, you must put your efforts in the right place.
Money tops the list, however, building a strong email scribers list will undoubtedly give you long-term success. In this manner, you will be able to communicate your message effectively and allow you to prospect better using tools in social media channels.
Yet, entire leads generated are no created equally. To convert the potential leads into prospective customers, you must craft the right message for the right audience.
Nurturing the ideal prospects
If you are not actively engaging with your customers than owning a large email list is of no good use. From this list, you will most definitely get some amount of converted paying customers. In all and what you do, you must keep in mind that all your marketing efforts—including email marketing must deliver value to your customers. You can communicate product offerings and promotions; however, entertainment and value never disappoint here.
Converting shoppers into paying customers
If you want to close your sale successfully, you must drive quality traffic and nurture the leads. You will be needing those leads to be able to pay for your marketing campaigns.
As an eCommerce business, you must constantly optimize your efforts in converting email leads as well as website visitors into customers, as conversion optimization is a continuous process.
To get a new customer attracted is an expensive task rather than retaining an old one. You need to practice ways to enable you to get the most out of your customer base that will increase customer lifetime value.
Achieving profitable long-term growth
To grow your eCommerce business, increased sales play an important role but in the end, it all comes down to profitability.
You must look for ways to cut down your inventory costs, improve marketing efficiency, reduce overhead, reduce shipping costs, and control order returns.
Choosing the right technology & partners
A few of the eCommerce businesses may also suffer growth challenges because of their technology limitations or by hiring the incompetent partners to help them manage their projects.
A good technology foundation being vital, you must also choose the right shopping cart solution, email software, inventory management system, CRM systems, and analytics to begin with.
Choose carefully who you work with—hiring the wrong partners to help you implement projects or drive marketing campaigns will halt your growth.
Attracting and hiring the right people to make it all happen
Let’s face it, getting into an eCommerce business, you may have aspirations or visions but you need the right people to help them carry out your desires. To achieve your desired level of growth you must attract the right eCommerce developer with precise talent.
To run an eCommerce business, you need to detach the old, traditional way of getting customers’ attention. The adage “tried and tested” no longer holds, as eCommerce market forces change, and customer mindsets, attitudes, approaches, priorities, personalities, and habits have also evolved. We at Nextbridge can help you recognize these current forces, along with the power, influence, and scope of digital technology to catch up and retain — or better yet, gain — market share.