Most first-time entrepreneurs want to know the big secret to running a successful e-commerce business.
And while there are many factors that can affect the success of a business venture (i.e. timing, market readiness, or slow development in the cases of former stalwarts like Kodak and Blackberry), I’ve found some common elements of sound business strategy that have helped new entrepreneurs and even seasoned pros undergoing a re-brand or product expansion take their businesses to the next level.
Being successful in e-commerce comes with a steep learning curve (if you haven’t noticed already). There are various tactics and strategies to generate leads, acquire more customers, encourage repeat purchases and incentivize brand evangelism.
But there are also a ton of potential mistakes along the way, the inevitable ‘trial and error’ of starting and sustaining your own retail business.
The good news: you have a ton of examples to learn from. So avoid these 5 common e-commerce mistakes and you’ll be well on your way to increasing brand resonance and, most importantly, boosting your revenue.
Unlike traditional retail, online stores are open 24/7! That means your store should always be poised to convince and convert.
As ecommerce grows into the preferred shopping method for consumers around the world (thanks Amazon and Alibaba!), it’s more important than ever that you optimize your online store to actually turn that traffic into customers.
But if you’re struggling with sales, you might be making some common mistakes that keep online retailers just like you from maximizing profits.
Reputation is everything. Customers shop because of connection and consistency, from retailers that show an in-depth understanding of their issues and deliver the results that they’re looking for.
That’s the key to return customers and referrals.
As a business owner, there are simple ways to establish a trustworthy online presence that invites more visitors and ultimately more sales.
But you have to know what barriers you’re dealing with first.
You can have the best product in the world but the advertised value will always pale in comparison to how you’re perceived.
We all love a good sale.
But it’s worth considering whether it can help or hurt your business, both in the short- and long-term.
When you price your product, you should always include a healthy margin. That’s one reason there is a major focus from an investor standpoint to keep costs down.
When you factor in materials, labor, packaging and shipping, you should include enough profit to take a reasonable hit based on factors outside of your control (economic downturns, acts of God and the like).