Over the past few years, ecommerce has experienced tremendous growth and has become an important part of the global economy.
With more people having access to the internet, the potential customer base for ecommerce businesses is growing.
Ecommerce can help small businesses in a number of ways. There is still time for them to take advantage of ecommerce and see even more success
In this article, we’ll give you all the reasons why ecommerce can help your business.
Why is ecommerce growing?
The rise in online shopping for consumers has been caused due to its convenience and accessibility.
Customers can shop from anywhere at any time and have products delivered directly to their doorsteps
Those small businesses that adapt to ecommerce can make changes to their business.
For a full guide on setting up an ecommerce business, check out our article “How to start an ecommerce business“.
Benefits of ecommerce for small businesses
There can be a lot of benefits for those small business owners considering adding in ecommerce. Here are some of the benefits.
Increased reach
By selling products online, small businesses can access customers from all over the world, rather than just those in their local area.
Furthermore, it can significantly increase their customer base and revenue potential.
Gain more data
Online businesses can use analytics tools to track customer behaviour. They can discover things like what they are searching and buying for, and how they interact with the website.
It can help owners make better-informed decisions about their products, marketing, and customer service.
Lower operational costs
Ecommerce platforms often offer affordable pricing plans and payment processing fees, making it more cost-effective for small businesses to sell products online.
There is also a number of software that can help reduce costs and add efficiencies.
Improved customer service
Ecommerce allows for better communication.
Online chat and social media messaging allow small businesses to communicate with customers quickly and easily.
How ecommerce helps small businesses
Ecommerce gives small businesses more opportunities when it comes to reaching their potential.
Let’s look at it some of the key improvements owners can make with ecommerce.
Personalization
Personalization in ecommerce refers to the process of customizing the shopping experience. This can help businesses tailor the customer experience based on their unique preferences, behaviours, and interests.
This can involve using data such as browsing history, purchase history, and demographic information to create personalized product recommendations, targeted marketing campaigns, and customized promotions.
Also, it can also help businesses better understand their customers and their behaviour, allowing them to make more informed decisions.
Examples of personalization
Personalized product recommendations – Using data such as browsing history and purchase history businesses can recommend products to customers that are likely to interest them.
Targeted marketing campaigns – By segmenting their customer base and tailoring marketing messages to specific groups, businesses can improve the relevance and effectiveness of their marketing campaigns.
Customized promotions – By offering personalized discounts or promotions based on a customer’s behaviour or interests, businesses can increase the likelihood of a sale and improve customer loyalty.
Loyalty
Customer loyalty in ecommerce refers to the tendency of customers to continue purchasing from a particular online store or brand over time.
It involves building a relationship of trust and satisfaction with customers through personalized experiences, exceptional customer service, and value-added benefits.
Loyal customers are more likely to make repeat purchases, refer friends and family, and leave positive reviews, which can help attract new customers.
Also, loyal customers can provide valuable feedback and insights that can help businesses improve their products and services.
Examples of loyalty
Personalized experiences – By using data and technology to small business owners can create a more engaging and relevant shopping experience for their customers.
Exceptional customer service – Providing exceptional customer service can help businesses build a loyal customer base.
Value-added benefits – Offering value-added benefits such as free shipping, loyalty programs, and exclusive discounts can also help small business owners gain customer loyalty.
Sales
Sales in ecommerce refers to the revenue generated from online transactions.
It involves using various strategies and tools to attract potential customers, drive traffic to the website, and convert visitors into paying customers.
Generally, ecommerce allows businesses to expand their reach beyond their local area, providing access to a global customer base.
Examples of sales
Search engine optimization (SEO) – By optimizing their website for search engines, small business owners can increase their visibility in search results and attract more potential customers.
Social media marketing – Small business owners can use social media platforms to promote their products and services, reach a wider audience, and engage with customers.
User-friendly website design – A user-friendly website that is easy to navigate and provides a seamless shopping experience can help small businesses convert visitors into paying customers.
Customer experience
Ecommerce can significantly enhance the customer experience of small businesses by providing greater convenience and access to a wealth of customer data.
By leveraging this data, small businesses can gain insights into customer behaviour, preferences, and purchasing habits, enabling them to deliver more personalized and targeted experiences.
Altogether, the improved experience will lead to increased customer satisfaction, loyalty, and repeat business.
Examples of customer experience
Better communication – Ecommerce businesses use chatbots to provide quick and efficient customer support, answering questions and resolving issues in real-time.
Proactive customer service – Businesses can use customer data and analytics to anticipate customer needs and proactively offer assistance.
Personalized discounts and promotions – Small businesses can use customer data to provide personalized discounts and promotions.
Looking to gain the benefits of ecommerce now?
Our product Chatso is a live chat service that can help agents engage at the right moment with customers and gain sales with real-time support.
Small businesses that use Chatso, can collect customer data and utilize it for personalization.
Agents can recommend products or promotions while chatting with customers that will offer a tailored experience bringing in more sales and loyalty.
Check out Breadstack: Chatso to learn more.
The future of ecommerce
The future of ecommerce looks promising as technology continues to advance and consumer behaviour shifts towards online shopping.
Some of the trends that are likely to shape the future of ecommerce include; social commerce, AI products, and personalization. To learn more read our “Ecommerce trends report“.
Ecommerce is likely to continue growing and evolving as technology advances and consumer preferences change.
Small businesses that are able to adapt to these changes and provide a seamless online shopping experience for their customers are likely to thrive in the future ecommerce landscape.
