E-commerce has become the newest venue for business owners who seek additional revenue. Some even made it their default form to market their brands. Who would not venture into the e-commerce world? It’s literally one of the most profitable business models today. And it doesn’t seem to be waning any time soon.
Figures don’t even lie when it comes to showing the profitability power of e-commerce. According to statistics, online sales in the US totaled $222.5 billion in 2021, which is higher than the previous year. That’s just one of the reasons why e-commerce is an unbeatable force. The business model is thriving because of the consistent digital advancements.
However, e-commerce has downsides too. A lapse in operations may result in revenue loss for your business. Worse is it may also affect how people view the integrity of your brand. This is why there are some things you have to be careful of when you’re venturing into e-commerce.
We’ve listed some of those below. This should help you avoid flaws in e-commerce operations.
Timeliness
Most of the e-commerce operations are being handled by logistics. But your meticulous attitude towards time will always matter. From packing the merchandise to shipping it, that’ll be on you. You can’t afford to delay orders that may give your customers a misconception on how you do business. You should always project the discipline your business should be known for. People have the impression that business operations that a digital model controls should always be fast. While consumers may have unrealistic expectations, you should always strive to meet their demands. Your timeliness can show how dedicated you are to running your business. It’s one way to win clients, old and new.
Reputation
The way you handle things in your business will always have an impact on your clients. Having a bad reputation may always pose a danger to your business. However, you can’t have a bad reputation unless some elements trigger it. So if you suspect that sabotage is happening, you must take action. See if a particular competition is trying to taint your brand’s identity. You may not know they’re already getting your business involved in a crime—perhaps an online scam or an internet human trafficking scheme. The next thing you know, you’re already asking someone to deal with a 24-hour bail bonds service. These things sound outlandish, but they can happen. Worse, it’s going to take a toll on your business’s reputation once people know about this fiasco. Investigate quickly if you’re already sensing a demolition job against your business. The reputation of your business in e-commerce is essential, so always take care of it. Or else, you’ll suffer revenue and client loss.
Customer Reviews
As someone who runs a business, you already know that getting positive feedback can boost your sales. Customer reviews on e-commerce platforms can hugely help you with that. However, one client leaving a valid negative review may turn a couple of other potential clients away. That’s something you don’t want to happen. Be keen on looking at comments and testimonials that you get from consumers. Always have an eye on your e-commerce pages and their feedback section. Did you know that 79% of shoppers say that they trust online reviews as much as personal testimonials? That’s according to a survey conducted last year. If you ignore this aspect of your e-commerce venture, it will not be suitable for your business. Pay attention to complaints and find an immediate resolution. That’s how you can retain a client who had a negative experience with you. Bounce back and promise the client that the setback won’t happen again.
Revenue Dip
It’s not that easy to detect flaws in operations, especially if you’re doing business through e-commerce. However, one main indication that something’s not functioning right is a revenue dip. A stable income generation is your basis for a smooth-flowing business. However, if your profit suddenly fluctuates, you may need to review every operational channel. There could be a problem with your product that has been raised by your client. Maybe an unbearable delay in your shipping. Or perhaps, a failure in quality control. There’s a lot of things you need to check to see what’s causing the dysfunction in your operations. E-commerce has a lot of channels. You have to exert effort in finding the root cause of the sudden revenue dip.
Final Thoughts
Whatever struggles you encounter in your e-commerce pursuit, make sure you learn something. Pick up all the best practices you can get from the negative experiences. But most importantly, prevention is better. Reduce your risk of making mistakes in your e-commerce venture. Don’t ignore the factors mentioned above.