The basics of retailing have remained the same since ages. People who wished to purchase anything simply went to a store with relevant signs and purchase it. However, it need not be mentioned that the times have changed drastically now. The internet has dramatically influenced the way of shopping and interaction of the people and the businesses. The small businesses have only paddled their way to enter the far-reaching ecommerce market. Nonetheless, now is the perfect time for these businesses to scoot into flourishing in this pervasive market.
Today, retailers need a strong internet marketing strategy as well as a smart ecommerce business strategy like never before. The past decades have witnessed an outbreak of ecommerce websites/ stores with many small businesses coming into the limelight. With the COVID-19 pandemic on the rise, the ecommerce industries have flourished beyond any imagination and predictions. It is better or even the best time for small businesses to get into the ecommerce business in order to reap its unmatched benefits. In this blog, we will be discussing the reasons why small businesses need ecommerce.
Do small businesses need ecommerce?
The ecommerce businesses are booming, more than ever. By the year 2023, ecommerce sales are anticipated to scale to 22% from 14.1%. Even the people who mocked online shopping are today installing home delivery options to avoid crowded places as much as possible. From groceries to everyday essentials to clothes, and electronics, everything is bought online today. Earlier the highest sales rate was experienced only during the holiday season. However, this pandemic has fortunately become a boon to the ecommerce industry and the sales rate has long passed the one that used to be attained during the holidays. All these facts are self-sufficient to answer your question of whether small businesses need ecommerce.
Despite the clear reasons, unfortunately, some small businesses consider ecommerce as a good-to-have addition to their existing business when it should be believed and considered as a must-have for every business. 35% of small business entrepreneurs feel that their businesses are too young for having an ecommerce website. On the other hand, 19% of small business entrepreneurs believe that their businesses can potentially grow and develop by up to 25% within three years or less by creating an ecommerce website. If these stats weren’t convincing enough, below are a few reasons to let you know the advantages of an ecommerce website for your small business:
Build Relationships
If you compare a tuition class of 3 students and another of 60 students, it is understood without saying that the 3 students are clearer with the basics and concepts of learning than the other 60 students. The very same principle can be used to understand the relationship-building method in small business and large-scale business. In a small business, chances are, as a retailer, you know the names of your customers, their likes, their dislikes, and their shopping interests. In fact, you may even know about how they spent their day and other personal stories. Every time you are talking with your customers in a small business, you are building a bond or as we mention here, a relationship with them. The face-to-face interactions and closeness you can maintain with your customers are near to impossible for any large-scale business. Moreover, researchers have found that customers find small businesses more trustworthy than large businesses.
Agility
Compared to large-scale business, small businesses have the flexibility of implementing changes to the retail store as well as the website. Whether it is about changing the product prices, a promotion, or testing to check your customers’ acceptance of the changes, any business decisions can be made and effected easily and more efficiently. In fact, small businesses follow a faster decision-making process, whereas, the larger companies are often hampered by the administration.
What are the benefits of ecommerce for small businesses?
The idea of reaching out to customers had never been so competent until the dawning of ecommerce. Ecommerce has literally been the game-changer for millions of people across the globe by providing a more structured and convenient way of shopping. Businesses of all kinds are gradually turning towards ecommerce in order to create their strong online presence. Taking the global stats, over 75% of people today prefer shopping online at least once per month. As you know the advantages you can enjoy from ecommerce as a small business owner, now, let us move onto the benefits of leveraging the power of ecommerce in small businesses:
Create a Powerful Online Presence
Switching over to ecommerce gives a great opportunity to create a powerful online presence. Before the customers purchase online, the first thing they do is search for a product and browse through the websites that offer the products they like. If you are running a small-scale business, getting this online presence where the majority of the people are searching and spending their time, your sales rate is surely soaring towards the sky. Ecommerce can imply to an easy-to-navigate vehicle for your potential customers to reach your small business and eventually the products you sell. It is natural for customers to check the ratings of the product, customer reviews, product specifications, and quality tags before purchasing anything online. These are probably the only ways by which online shoppers can get an idea of the product they are investing in. For showcasing your products and these details, you need a strong online presence and ecommerce can bridge the distance between your business and your potential customers. Not only can you promote your services, but, with ecommerce, you can create an impactful brand value for your small business.
Low Costs of Operation
Among all the benefits of small businesses entering the ecommerce market, this one is the most essential. Compared to a traditional brick and mortar store, creating and running an online store includes less expenditure. The reason for the above statement is that, in a physical store, the owner needs to invest in finding the perfect location and establish or rent a store (physical building). For a physical retail store, choosing the location of the building is of prime importance to grab the attention of the right audience. For instance, establishing a stationery store near a school is a perfect idea for getting increased sales as compared to choosing an isolated location. Here’s the thing, in order to rent or purchase a physical building in such posh locations is a costly affair. On the other hand, establishing an online store helps in skipping this major investment. Not only the charges of the physical store but creating online store curbs other overhead charges that are usually imposed on the physical retailers. Even if you choose the best ecommerce platform out there such as Builderfly, the overall charges would be probably half the amount paid by a physical store owner. Moreover, the additional profit margins achieved in selling goods and services online are enough to recoup for the charges of creating and designing an online store using such ecommerce platforms.
Another major savings of creating an online store is for hiring staffs. In a physical store, owners need to hire staff in order to manage their sales and store operations. While, in an online store, unless your store is a large-scale ecommerce giant, you do not need man-force to manage your online store. Without being a technical genius, you can manage your store inventory, payments, checkout, delivery, and other essential processes within a few clicks. It is the age of digitalization and everything can be automated. Which means, you can automate many functions of your ecommerce store with a minimal investment such as providing 24/7 customer assistance. The small and medium-sized businesses are mostly starting their businesses with limited funds and now when you have the option to cut down some major investments, why not? No more investing in a physical store, infrastructure, insurance, and so on. Create and design your ecommerce store, your way, using premium services offered by Builderfly. All you have to do is register and learn about the exclusive features using the 14-days trial period.
Expanded Customer Reach
By simply launching an ecommerce store, by default, you are spreading your wings to reach an expanded customer base beyond the limitations of your geographical barriers. Using an online store, you can reach customers from around the globe. This means, if you are an Indian-based ecommerce firm, you can be shipping your products to the USA, Australia, UK, Spain, and many more countries. Now if it were a physical store, people beyond your city would hardly know about your business. Also, this is when your 24/7 online presence benefits the most in an ecommerce store. Unlike limited operational hours in a physical store, you could be boosting your revenue while you are well-asleep on your comfy-bed, by creating an online store, especially with Builderfly. Moreover, the facilities to integrate multiple selling platforms aid in finding potential customers across various platforms using simplified and easy management.
Our Final Thoughts
Creating an ecommerce store offers immense potential to boost sales and build a loyal and long-term customer base. Looking into the increased demand and need for such facilities, we have created a complete ecommerce solution for people like you. Why not give it a try?
