Advantages of E-Commerce for Consumers & Businesses
Why will e-commerce expand?
Before COVID-19 put e-commerce on a faster trajectory and accelerated the
industry's growth by 4-6 years, its growth was predictable. The pandemic
brought attention to the many benefits of online shopping, especially how
convenient it is. Global e-commerce sales hit $82.5 billion in May alone, up
77% from the same month last year, when there was a Coronavirus lockdown.
Top 5 benefits of online shopping for consumers
1. Reduced costs
Consumers can save money since operating an online store is less expensive
than operating a physical one. One of the biggest benefits of e-commerce is
this. Prices are often lower online than they are in physical stores, and e- commerce websites can offer additional discounts and promotions that are
simpler to redeem.
2. Feasible and secure
In this COVID reality, we now inhabit, shopping whenever you want from
wherever you want is far preferable (and much safer) than going outside. Putting the coronavirus aside, there is something to be said for buying from
the comfort of your own home, avoiding the hassles of going outside, standing in lines, braving the elements, and other difficulties associated with
consumerism.
3. A wide range of goods
Customers can purchase gadgets from China, books from England, clothing
from Paris, and traditional US goods all from the comfort of their homes in the
global marketplace that is the internet. There are no rivals for the breadth and
depth of products offered online.
4. Making more knowledgeable decisions
When shopping online, information is immediately at your fingertips, including:
Reviews from actual consumers are likely the most persuasive, merchandise
descriptions, usage videos, product manuals and social acceptance. One of
the greatest advantages of e-commerce for consumers is the ease with which
they can compare products, brands, and websites, sometimes even side by
side. With the express aim of enabling customers to compare products side
by side based on price and discount characteristics, many comparison
shopping websites exist.
5. Saves time
Online shopping allows consumers to save a significant amount of time in an
era where time is a precious resource. Considering that 63% of shoppers begin their shopping journeys online, it makes sense to be able to make
purchases from wherever you are (Thinkwithgoogle, 2018). You can access a wider selection of goods at lower prices from the comfort
of your home, so there's no need to leave the house, go shopping in a store, wait in line and then go back.
Top 5 benefits of online shopping for businesses
1. Reduced prices
Since there is no longer a requirement for a physical storefront, going online
results in fewer fixed expenditures for the company. Additionally, fewer
employees are needed because e-commerce is largely automated. Using
Google AdWords, promote your e-commerce site. For instance, Facebook
advertising and social media marketing are far more affordable than offline
marketing. Consumers will pay fewer thanks to these cost reductions, and the
company will make more money. One of the main advantages of e-commerce
for companies is this.
2. Client information
Online sales give a merchant access to a wealth of customer information that
is simply not available through traditional brick-and-mortar retailing. Online
shoppers typically give their name, email address, and phone number when
making purchases or signing up for services, but they also provide a wealth of
demographic and consumer behavior data that is accessible through Google
Analytics and can be used by online retailers to improve the customer journey
and execute more precise and effective marketing campaigns. Based on the
stage of their customer journey, e-tailers can also carefully nurture and
retarget customers. For instance, an online store might utilize data insights to
email potential customers who have abandoned their carts to encourage and
remind them to complete their purchases. They can also use retargeting
advertising.
3. A larger market
With the use of e-commerce websites, distances between locations are
irrelevant. You might market your goods to online customers all around the
country or even the world. You are not restricted to customers who visit your
actual store. Additionally, the internet gives your retail store access to specialized
audiences that you otherwise wouldn't have. Utilizing a variety of online
touchpoints, such as social media, forums, and Google searches can allow
you to reach customers from all directions.
4. Generally open
Your business is open 24/7/365 when you sell things online. Automation
makes sure that the rest of the sales process is always running and that customers may make purchases whenever they want, even if your customer
support is asleep.
5. Scaling up is faster
More floor space (and the associated cost! ), staff, and shelf space are
needed to scale up or expand a physical business. In contrast, one of the less
obvious advantages of e-commerce for firms is how easy it is to expand an
online store. The only things you need are additional products, a few digital adjustments, and perhaps more storage space—which is much less expensive than
storefront space. Being online also eliminates the need to establish a new
location for a store because you are already accessible to a worldwide market.
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