The Ecommerce Market is Booming; Here’s Why You Should Take Your Business Online
Updated: Dec 10, 2020
In just the first six months of this year, American consumers spent close to 348 billion dollars just on “e-commerce,” in line with the market’s 129% year-over-year growth. The term “e-commerce” refers to the business model that involves buying and selling products and services online. While some businesses exist purely online, many traditional brick-and-mortar stores are jumping on the bandwagon and are setting up online “branches” of their business, allowing customers to buy both in person and through the internet.
The boom around e-commerce is no coincidence; the COVID-19 pandemic has revolutionized how and why people shop. In a global study released by Salesforce Inc., 63% of consumers said the way they obtain goods and services “transformed” during 2020 and 57% said the same about the ways they engage with companies. It also looks like these ecommerce trends will continue even after COVID-19 restrictions are lifted, as 58% of consumers said they expect to do more online shopping after the pandemic than they did before it. Also 80% of business buyers surveyed expect to do more business purchasing online in the post-pandemic era, compared with the pre-pandemic period. The online market is not just popular with consumers, but with sellers as well.
E-commerce provides a rare and unique opportunity for business owners; a low-risk investment with the promise of lucrative rewards! Unlike traditional brick and mortar stores, online shops do not need to take into consideration the high expenses of shop rental, staff, shop renovation, utility bills and security measures. This of course, can result in high profit margins, since sellers can circumvent their traditional geographic and time zone limitations. They can also branch out in tapping into new demographics, countries, and global markets. The second major benefit of e-commerce is customer buying analytics.
In a usual mom-and-pop shop it is impossible to study customer buying habits. Small businesses have to build customer persona based on vague assumptions and perceptions rather than actual data. Unfortunately, these strategies are hardly effective in improving sales and marketing strategies. In contrast, online stores empower small businesses to keep a constant eye on their customers’ buying habits and interests. These include which products are most popular, the times when customers buy the most, and what kind of discounts and offers motivate customers to buy. Based on these crucial insights, small businesses can tailor their marketing campaigns and business layout to satisfy their customers’ needs. They will aim to achieve this consistently, sell more efficiently, and build a positive global reputation.
Ok, I am interested in creating an e-commerce business.... How do I get started?
Starting an online business can seem intimidating. Luckily, here at Join Marathon, we allow each new customer to book a free strategy call to start brainstorming their plan. Our talented team of web developers and social media experts can help design and build a professional website to solidify your online presence, which is essential in order to start getting customers! With the e-commerce market rapidly growing, now is the perfect time to start! What are you waiting for?