This is a user generated content for MyStory, a YourStory initiative to enable its community to contribute and have their voices heard. The views and writings here reflect that of the author and not of YourStory.
6 Important Factors That Define Success in Commerce Space
This is a user generated content for MyStory, a YourStory initiative to enable its community to contribute and have their voices heard. The views and writings here reflect that of the author and not of YourStory.
Digital disruption is reinventing retail. The fact that commerce is shifting from the brick-and-mortar to the Internet doesn’t ask for any argument.
It’s an irony that despite the growing Internet penetration – a jump from 29% in 2010 to 48% in 2017 as shown in the figure below – the eCommerce conversion rate stays in a not-so-healthy state (2.35%). A huge chunk of visitors (97.65%) that visits an online store leaves it without making a purchase.
Internet Usage
Online retailers are trying every attempt in the book to woo their prospects and achieve the desired conversion rate. Here are 6 most important factors for success in the e-commerce business.
#1. Read the Competition
The perception regarding a brand is built with the kind of user experience it delivers to its users. If you are a beginner, it’s a must to perform a competition analysis before you hire an eCommerce development firm or a developer. A study of competitors helps you understand what works in the market and the kind of user experience your target audience wants. An indepth competition analysis helps you pinpoint the areas you need to stress on, the gaps that need to be covered, the positioning and pricing that is required to carve a niche.
#2. Hire the Right eCommerce Developer
The next big thing is to invest in the right skills and resource. There are many portals including Upwork, Guru, Freelancer, and PeoplePerHour, to name a few, from where you can easily find the right talent for your job. Simply post your development requirements, neatly explained with your expectations clearly spelt out. Propose a budget for your project and wait for some time. In a few hours, you are likely to receive bids from eCommerce developers. Hire the developer that has good ratings, client feedback, skills and talents and a neat portfolio.
#3. Don’t Make Assumption in Marketing
Research, analytics and monitoring are the critical cardinals of marketing. They help you understand what’s working and what’s not and take measured steps that pay off. There are a number of eCommerce KPIs (Key Performance Indicators) including
1. eCommerce Conversion Rate
2. Average Order Value
3. Shopping Cart Abandonment
4. Revenue on Advertising Spend
5. Customer Lifetime Value
Discuss with your digital marketing agency to know about them and how to measure them. Luckily, AI (Artificial Intelligence) makes it easier for eCommerce vendors not just to augment the user-experience but also to keep a track on the corresponding outcomes- engagement, conversion and ROI.
You Will Like to Know: 5 Reasons Why Your E-commerce Cannot Afford to Ignore Artificial Intelligence
#4. Sync your eCommerce with eCommerce Strategy
In the multi-culture digital space, your customers are most likely to conclude their product research and checkout across multiple devices or screens. If you have a mobile app too, it’s important that you maintain consistency in marketing communication strategy on the Web and mobile. The audience must feel connected with your brand whether they are using your website or mobile application.
#5. Offer Discount Coupons and Cashback
Customers love to shop from stores that offer discount coupons and cashback. They grab the attention of shoppers and influence their purchase decision in your favour. You can offer discount coupons and cashback on your eCommerce store or partner with a deals or cashback platforms like Kiindly or others to drive your sales. Discount coupons and cashback also improve the customer loyalty which, in turn, boosts the Customer Lifetime Value.
#6. Implement a User-Friendly Feedback Mechanism
In a digital world, change is the only constant. Behaviour and data consumption habit of customers keeps changing across devices, geographies and cultures. You have to keep reinventing your eCommerce design and experience with time and audience. However, implementing a feedback collection strategy that works for an eCommerce business in the US, might not work for one in the UK. You need to make a personalized attempt to make it work for your store.