E-commerce, in the U.S. is projected to produce more than 400 billion in sales for this year alone, with an expected increase of roughly forty percent anticipated over the next four years. That’s a lot of clout. It also bodes well for those planning an Internet business. But, while opening a business online is in many ways the same animal as opening one up anywhere, there are important differences. Roughly 90% of e-commerce sites are slated to go under in their first few months. One reason may be that they did not spend the time needed to analyze and use the specific strengths inherent in have an online business. One important distinction is in the area of overhead costs. Since the site is virtual, that alone saves a ton of start-up costs that can be used to get a cheaper, better product to the customer. Oftentimes customers in landlocked venues expect to find what they want on the spot. When they can’t get it they leave. Fortunately, for e-venues, when a person peruses an online site they can pick exactly what they want and then normally get it shipped in the same amount of time, whether or not it a product the site normally has on hand. The wait period is part and parcel of online shopping and the customer is fine with the wait as long as he gets what he wants. Online sites can also, usually, adapt to changing trends more quickly then solid-ground venues and they can be accessed by customers all over the world. It is important to realize, however, that ‘real’ stores have the upper hand when it comes to face time with customers. Also, the sheer volume of e-sites can make standing out a major job in and of itself. But, if you can get past the negatives and work the positives you may have a solidly solvent e-business.
- Starting an ecommerce business is alluring since it requires very little start up fees.
- Collecting the right data and customizer your content can help your business grow.
- Lacking of credibility, customer service issues and too much saturation in your market can all affect your online business.
“”The fact that ecommerce continues to grow should tell you, as an entrepreneur, that online business works.””