Updated November 7th, 2022
Reason to start an eCommerce business
With how much eCommerce has grown in recent years, it is no surprise to see more aspiring entrepreneurs starting their own business with the hopes of making money. After all, creating a reliable source of income solves one’s financial woes.
But what makes eCommerce so popular? Let’s take a look at the advantages from consumer and seller perspectives.
Quality Driven by Competition
The competitive nature of eCommerce is a good place to start. Since creating an eCommerce store is relatively simple, thanks to available solutions, consumers can choose from different online stores.
Businesses need to compete with one another and do their best to attract customers. This leads to offering the best possible services an online store has to gain an edge over its competition.
Adapting new technologies, offering top-notch customer service, having a flexible refund policy, delivering goods on time, and even sticking to eco-friendly shipping are a few examples of how eCommerce businesses have to be at the top of their game to ensure quality for their customers.
With the growth of eCommerce, we can also see an emergence of various solutions, services, and tools that make it easier for businesses to set up their stores and sell goods.
For example, there is no longer a need to start an eCommerce website from scratch when you can sell directly on different eCommerce platforms. Social media integrations, no transaction fees, upselling, and built-in email marketing are some of the features that these platforms offer.
It is also worth mentioning that there are platforms for selling specific goods or services. For instance, if one wishes to sell educational courses, they could do so on Skillshare and Udemy.
The audience on these websites is already looking for learning material, meaning that selling educational content on these platforms could be easier than starting an eCommerce site from scratch and selling your courses on it.
Faster Buying Process
One of the biggest advantages for consumers is how convenient it is to shop online. You do not have to leave your home and visit a brick-and-mortar store. Instead, open an online store’s website and browse through available products. Once you add goods to the shopping cart and pay for them, you can wait for the delivery.
The rise of digital products is another great example of how people can get their desired goods faster. For example, if you want to read a newly-released book, you can purchase a digital version and read it on a Kindle, smartphone, tablet, or computer.
Watching a movie or a TV show does not require purchasing a DVD and using a DVD player. No, it makes more sense to use digital streaming services that have media on the go that is available with a few clicks.
The product variety is worth a shout as well. You might have a supermarket or a shopping mall in your city with plenty of neat things you could purchase, but it is more convenient to browse through available products online.
Besides, you can find pretty much anything you want to purchase online. And more often than not, eCommerce stores like Amazon have the goods available on the same website, meaning that you do not have to surf the net and browse through multiple stores.
Shopping online also helps if you live in a small town that might not have physical stores selling particular goods. Driving to another town might take a lot of time, and there are instances when it does not make sense to bother driving a long way just to purchase something, right?
On the other hand, if you order from an online store, you might need to wait for a bit for a delivery man to reach your home, but the method is more efficient than driving outside the town yourself.
Like already mentioned, there are multiple options as far as available online stores go. Naturally, different shops will offer different prices. You can open multiple browser tabs or even use price comparison apps or tools to find out which store has the best deal. It beats walking from one physical store to another, right?
According to StatusLabs, 70 percent of consumers trust online reviews more than they trust advertisements.
Customer feedback impacts online shopping habits, and thankfully, most stores have enough user reviews to help new shoppers make up their minds. Missing this feature could be detrimental to an online store’s overall success.
No Queues or Crowds
Not having to stand in long queues is one of the best things about shopping online. Imagine what it would be like to deal with crowds during summer when the temperature is hot. Even if a store has AC, it might not be enough to make shopping feel comfortable.
Meanwhile, purchasing goods from the comfort of your home means not standing in line and wasting your time thanks to the option of making a few clicks to order the goods to your home.
Different Payment Methods
Payment method flexibility might not seem like a big deal, but offering multiple options for customers reduces abandoned shopping carts and builds trust between the store and the customer.
Someone might put a product in the shopping cart and proceed to the checkout, but if they discover that the online store does not have their preferred payment method, the customer will likely not complete the transaction.
On the other hand, accepting Stripe, Payoneer, PayPal, Skrill, and even cryptocurrency will encourage customers to not just continue shopping in a store but recommend it to their friends and family.
Scalability and Advertising
Growing a business online can be easier given the nature of selling online. For example, a business might encourage impulse buying by creating a fear of missing out.
Showing countdown timers and limited quantity drive customers to spend money because they might be afraid of missing a great deal.
Attractive product photography is another tactic that businesses use. Vibrant colors and human emotions sell, especially if there are models wearing clothes or accessories.
Some entrepreneurs might also find digital marketing less challenging and cheaper. Instead of renting billboards, running ads on TV and radio, or giving out pamphlets in the streets, one can focus on search engine optimization, email marketing, and social media.
No Invasive Experience
Unless you bombard website visitors with aggressive ads, your customers will not feel like someone is invading their privacy.
Visiting a brick and mortar store sometimes results in uncomfortable interactions with store employees who want to push you into purchasing goods even if you only wish to browse.
Meanwhile, shopping online means not having to interact with annoying store employees. And in case a customer has a question, they can check an FAQ page or send a message on a live chat that is usually available on online stores.
To sum it all up, the points made in this article should justify why online stores are superior to brick and mortar stores.
With such advantages, it is no surprise to see the growth of eCommerce continue, and we can expect to see this trend for many years to come. Who knows, there might come a time when online stores will completely replace brick and mortar stores. We will just have to wait and see.