There is no denying it, the retail industry is cut-throat, with small businesses struggling to succeed in the shadow of the retail giants.
It is in this competitive landscape that the rise of e-commerce and internet sales is gaining greater traction as differentiators are sought to set companies apart from their opposition.
This trend has been gaining ground since the late 1990s, forever changing the consumer experience with more and more businesses creating advanced e-commerce interfaces in an attempt to earn and keep customers.
With this movement came the need for secure connections and electronic payment services, with even the ‘brick and mortar’ retailers recognising the advantages of electronic commerce, including such capabilities on their web sites.
While e-commerce has huge benefits for retailers and customers alike, undeniably, the greatest benefit is the ‘24/7 salesman’ who never rests and is there to attend to every enquiry. The internet does not adhere to trading hours and therefore customers are not limited by when your retail location is open.
E-commerce allows for improved business flexibility by offering products and services to customers on their own schedules, when it suits them, even if that is 2:00am, giving you increased prospects for income and sales.
This platform also gives you the chance to promote web-only products, along with exclusive offers that are only available via the website and not in the brick-and-mortar establishments, driving traffic to your website. Even customers who visit your physical location will be motivated to also shop online, boosting the opportunity for sales and revenue growth.
E-commerce also creates a personalised customer experience where recommendations based on previous purchases are offered, taking full advantage of word of mouth (WOM) advertising, the motherlode when it comes to brand awareness!
Unless it’s bad publicity, brands can never have too much exposure and the internet landscape increases this brand visibility. The interesting thing is that your brand is more likely to be discovered through an online search than by chancing upon your space randomly while out walking the dog. In addition, even small retail businesses that have developed an e-commerce arm have access to just about the whole global market, as location is not a factor. This affords them the ability to deliver products beyond their borders and even worldwide.
Lest we forget one of the biggest drawcards to e-commerce: convenience! You can do it in your pyjamas, when you have a bad hair day, or even from your sickbed! You can shop at your own pace, in your own space, in the comfort of your own home or office. The benefits are multiple, including not having to travel, saving on petrol and also the flexibility available in terms of payment. Online retailers can offer payment through PayPal and other finance options.
With e-commerce, you are not confined to physical space for the duration of a brick-and-mortar lease. Retailers who use e-commerce can expand product lines without concerns of outgrowing a space, allowing businesses to scale as required. While warehousing and shipping costs are a consideration, overall, there is significant overhead savings in the retail sector. So too, advertising an online retail presence costs less than traditional methods such as direct mail, billboards, magazine ads, and more, affording start-ups and other entrepreneurs the ability to easily start and run a business successfully, with minimal outlay.
E-commerce has become such a central element to the customer experience that we must often stop and marvel at how our shopping experience has changed so drastically, over such a short period. One can’t help but wonder with a sense of excitement, what next is coming down the line for the retailer and customer alike?
