See the Challenges of eCommerce Marketing and How Businesses are Maximizing Strategy
How businesses use eCommerce can be the ultimate decider of whether they turn a profit in a given quarter. Using it inefficiently means lower revenues and untapped potential. For any eCommerce business, that’s not ideal. Exploring eCommerce marketing, you’ll find a number of trends to respond to and an overview of challenges.
There’s a lot of reason to jump into the world of eCommerce. Every year, the percentage of Canadians doing online shopping increases and the number of shop regularly online see an uptick. Every year, billions more are spent on online shopping with more Canadian eCommerce companies springing up in response. That has meant high competition but a lot of low hanging fruit that the world’s most successful eCommerce websites can share.
If you’re starting with a new eCommerce website, know the most successful websites have three primary things in common. First, they’re able to attract customers with the right mix of products. Secondly, they know what fair pricing is for the marketplace. Thirdly, they offer incentives to shop with them, including things like exclusive discounts, ‘free shipping’ coupons, BOGOs, free returns, and warranties.
Keep in mind, even with these three components in place, there’s still a lot of competition including catalogue-based businesses and retail corporations who are trying to move into this space. For years, the United States and the UK dominated eCommerce but smaller markets like Canada are generating their own momentum and when it comes to international purchasing, China and India are coming up with many low-priced products that are very popular among consumers.
Venturing into eCommerce is a serious marketing venture. There are a number of hidden costs that come with an eCommerce business that can be crippling to long-term growth. For example, an eCommerce company that markets ‘free returns’ sees an average rate of return up to 33 percent. Studies have shown that a clothing company going into eCommerce can have an average return rate of 50 percent, with some websites seeing rates as high as 70 percent! Comparatively, electronics is a category with the lowest return rate in eCommerce with only 9 percent. Also, it’s worth noting a large portion of goods returned will either be opened or damaged. Therefore, they’ll be unsuitable for resale and virtually have no value.
Regarding strictly marketing challenges of eCommerce sites, there’s a long list. It’s not unsurmountable to make a dent in the marketplace but one requires an experienced, expert-level digital marketing partner to reach a brand’s potential.
eCommerce success must take into account these trends and work to reduce costs, in addition to building a user-friendly eCommerce website and maximizing one’s marketing. Businesses who achieve their objectives in this space do not do so overnight. Though it takes time, the rewards are bountiful. If you already have the right mix of products and are looking to get things to the next level, seek out a digital marketing agency specializing in eCommerce. They’ll be your best resource to elevate your brand, and get it out in front of qualified targets and the buying public.
Contact Unlimited Exposure today for more information on eCommerce digital marketing and how to overcome the challenges. If you’re serious about achieve long-term sustainable momentum and real results, we want to help!
