In 2014, e-commerce sales were set to increase by 20 percent. With many businesses moving part or all of their operations online, it was suggested that there would be an increase in revenue to $1.471 trillion dollars in online transactions from e-commerce websites. There are many benefits to opening an e-commerce store online including providing a market for niche products, removing overhead costs of doing business and being able to do business without being limited by time or distance.
E-COMMERCE PROVIDES A MARKET FOR NICHE PRODUCT
Opening an e-commerce shop removes many of the limitations that often stunt the growth of businesses that offer niche products. These businesses are allowed to market themselves in a wider way than they could traditionally afford in print or television advertising. This is because Internet marketing is not only inexpensive, but businesses can learn to do it themselves in a short period. The Internet allows businesses offering niche products to reach their consumers not only through advertising but through forums and chat rooms, and it allows its customers to share their new purchase with their friends. If one person buys something they can’t get anywhere else, they can share their purchase with people who are also looking for that niche product. Those people can then visit that shop no matter where they are as long as they have an Internet connection. E-commerce has allowed businesses with niche products to grow like never before.
E-COMMERCE REMOVES OVERHEAD
E-commerce does not require several full-time salespeople to assist customers and prevent theft like a traditional brick-and-mortar store does. Businesses also do not have to hire full-time employees to run their websites; they can outsource things like online shopping cart solutions and web design to professional agencies that can take care of everything for them. E-commerce can also mean that businesses do not necessarily need the storage space or the shop front that they once needed, and this can save a lot of money. When businesses can streamline their distribution, they save time, money and storage space. When businesses can save money, that savings may also be passed on to the customer.
WEBSITES DON’T CLOSE
E-commerce is not limited by time or distance like traditional shops. People can visit an e-commerce shop any time of the day or night as long as they have an Internet connection. A business can take customers from as many areas as they are willing and able to ship their products to. Traditional shops require hassle for the customer because a visit usually involves travel time and investment, and customers are only able to shop when the stores are open which can be difficult for people who work non-traditional hours. When a business opens an e-commerce site, their customers can shop from the comfort of their own homes no matter what time of day it is.
E-commerce has changed the way shops do business, and it is growing rapidly every year. E-commerce lets businesses reach out to customers they might never have met and allows both large shops and niche businesses to thrive.