E-commerce is definitely the trend for now and the future. However, if it is not done right, not being thought thoroughly, you might fail. Below are some reasons that might doom your business. Nonetheless, this article is not to scare or demotivate you from venturing into e-commerce.
1) Hidden Charges
This is something you should never overlook. Spell out your shipping charges and any sort of charges upfront else it will anger or upset your customers and lead to cart abandonment.
Shipping charges should be included at the product page. You could also embed a shipping calculator for your customer.
2) Unforeseen Cost
You have to put aside some cash. Do not expect immediate sales upon uploading your product. If you are selling a new product, it will take even longer, even months before people start purchasing from you.
Thus, you will need to take into consideration cost per customer and your customer’s lifetime value as there will be competitors and your customers might easily switch to your competitor if your branding is not strong or you are not marketing your product right.
3) Market Research
Speaking of competitors, you should do some market research before starting your business. Do not just sell because everyone is selling.
Do a SWOT analysis of you and your competitors. From there, turn your strength into opportunities. Work on your weakness and eliminate your threat to your best.
4) Pricing
Upon checking and studying your competitors, it is time to set the appropriate pricing. Too cheap and your customers would perceive your goods are of poor quality. Too high and your customers would feel being rip off.
Thus, paying close attention to your competitors’ pricings and on your sales performance is important to determine the appropriate pricing.
5) Complicated Checkout
A multi-step checkout will only frustrate your customers and lead to cart abandonment. Let your customer enjoy simple checkout process and if you wish to have their details, ask it at the very end. Always give them an option if they wish to provide you their details for future purchase.
6) Customers Do Not Know What to Do
Think in your customers’ shoes. This is alike walking into a mansion. As the mansion’s owner, guide your visitors around your mansion. Do not expect them to know where to go.
You can either have a “Next” button or auto direct your customers to your desired page upon performing a desired action.
7) Missing Contact Information
This might seem insignificant but do not overlook it. With proper contact information or even a map, helps in building trust in your customers.
As you are selling online, your customers are not in a physical store, they need to know as much as possible about you. No one would want to buy from an overnight business.
8) A Bad Website
Your website must be secure, easy to navigate and mobile friendly. Anything less will affect your buyers’ experience.
With the now known reasons your online business through e-commerce might fail, avoid them with all cost. Strive hard and thrive in this promising landscape.
