People’s way of shopping has changed, all thanks to technology and innovation. This has undoubtedly made businesses adopt from brick-and-mortar shops to eCommerce sites. In fact, competition to become the No.1 eCommerce is fierce. And to stay ahead, you must know the details and importance of eCommerce. In this blog, we will discuss eCommerce in detail and provide you will a guide to eCommerce.

What is eCommerce?

According to Investopedia, eCommerce(Electronic commerce or internet commerce) is buying and selling goods and services through the system and network of the internet. In simple words, eCommerce is doing business online and doing transactions using online payment methods or cash on delivery.

eCommerce Facts 2023

• Among all eCommerce Visits, Only 2.17 Percent Convert into Purchases.
• In 2023, there will be between 12 and 24 Million Online Stores.
• When compared to Older Generations, younger consumers shop online more.
• The use of 3D Product Images can increase conversions by 250%.
• By the year 2026, 24% of retail purchases of the world will take place online.
• More than 50% of consumers use a smartphone for shopping.

Types of eCommerce

• B2B (Business-to-Business)

In a B2B eCommerce, a business sells its product or service to another business. Also, B2B transactions are high in costs and have a longer sales cycle but more recurring purchases.

• B2C (Business-to-consumer)

In B2C, businesses sell directly to their customers. In B2C, both products and services are sold. In the B2C model, the purchase and transaction cycle is much shorter than B2B.

• B2B2C (Business-to-business-to-consumer)

In B2B2C, a company sells its product or service to an end customer in partnership with another organisation.

• B2G (Business-to-Government)

Here, a business sells and markets its products to government entities or public administrations (local, county, state or federal).

• C2B (Consumer-to-business)

Here, individuals can sell goods and services to businesses through C2B organisations. Affiliate Marketing is included in C2B services.

• D2C (Direct-to-consumer)

Here, businesses sell their items directly to their end clients without the assistance of third-party distributors or online retailers.

• C2C (Consumer-to-consumer)

Here, businesses link consumers in order for them to exchange goods and services. eBay, Etsy, Ali Express, and Amazon Marketplace are examples of C2C Companies.

Benefits of eCommerce

1. It offers a faster buying process.

Using eCommerce sites, consumers can spend less time shopping as they no longer have to leave their houses for real-deal shopping. In fact, they can look for the desired products just by entering the search bar rather than moving in an aisle or to another floor. It just saves people’s time and energy and reduces fuel consumption (to some extent).

2. It is affordable advertising and marketing.

Businesses working as eCommerce don’t have to spend much money as building an eCommerce site is affordable and a quick way to market online. Also, the extra effort to promote their items is not necessary. In fact, eCommerce businesses can use advertising tools to add good-quality resolution images, videos, and infographics. Further, some tools can give information about the order which are pending, unshipped, sent, cancelled, or returned.

3. You are offering flexibility for customers.

eCommerce to business can provide flexibility to customers. These sites are open 24×7, meaning you can place your order or send a request at any time. Also, customers can share their reviews on the items they buy. These reviews help the business gain trust and use it as strong social proof needed to show businesses as a loved one.

4. You can get a faster response to buyer/market demands.

Mostly, in eCommerce, a customer’s buying journey becomes short, easy, and efficient. Also, online businesses can easily respond to market demands. Using some tools or making notification options can inform sellers when to restock an item and tell customers when their desired item is available again. Businesses can create deals and promotions and eventually attract customers and increase sales.

5. eCommerce enables easy exports.

If an e-business can grab the attention of international customers in global marketplaces, it can effectively start selling items to them. In fact, e-commerce exports can be an excellent move for entrepreneurs and expanding enterprises who are willing to go worldwide and earn higher revenue.

Read Also: A guide to e-commerce platforms in 2023

How to Start an eCommerce Business?

Well, when we talk about a guide to eCommerce, the step-by-step process to actually start your online business journey can’t be missed.

Step 1: Research and decide on suitable e-commerce models

First, businesses must vividly understand their niche, what product they want to sell, to whom, and how they will distribute it. Talking about eCommerce models, you can understand these models ( Business-to-customer (B2C) or Business-to-business (B2B) or Customer-to-customer (C2C) or Customer-to-business (C2B)) and go for the one which suits your business.

Step 2: Write a business plan.

The second step is to draft a business plan in a written document; the document must have objectives and a roadmap for finance, operations, and marketing. You can study your competitors and figure out the market landscape for your product or service. Also, businesses can plan the logistics and how to proceed in the upcoming months.

Step 3: Give a name to your business and build your brand.

If you want to stand out from the crowd, then making efforts to build the best brand name and brand identity becomes vital.

Make sure to have a unique yet relevant business name. Since the brand name will stay forever and will be used in the web domain, social media handles, and legal name, be cautious about choosing a brand name.

Like a brand name, a brand logo is also crucial. You can contact branding companies to help you with your brand name and logo. But if you want to put in your effort, you can brainstorm with your business partners and come up with the answers.

Step 4: Get your business registered.

Now it is time to register your business following the legal requirements. Consider consulting a legal professional to ensure you are on the right path to embark on your business journey. Your business registration requirements differ as the business rules depend on your country, province/state, industry, and business type.

Step 5: Create your e-commerce business website.

After your business is officially registered, creating an e-commerce website is time. You should start by getting

a domain name and then selecting an e-commerce platform for the online store. You can opt for open-source platforms (like Magento) or all-inclusive software (like Shopify). Likewise,

you can opt for Squarespace, WooCommerce, and Wix, some popular eCommerce platforms. After you have your e-commerce platform selected, you can start building, customising, and launching your online store.

Step 6: Arrange details about your products or services.

You can start adding product names, descriptions, and photographs. You may require content or copywriters to write some killer pieces for your website. Along with that, you can plan on branded packaging, warehousing, inventory management, and shipping.

Step 7: Launch and market your business.

You can successfully launch your business when you have everything uploaded and checked. Once started, start working on marketing it. As your business grows, you should monitor your metrics and key performance indicators (KPIs). Also, it would help if you prepare contingency plans for any emergency or situational problems.

How to Increase eCommerce Sales?

• Offer great deals and discounts

Everyone loves discounts and special offers. So, a business can put some discounts or offers for different occasions or end-of-season sales to make clients make purchases. You can use the sense of urgency, timer, and offer till type of phrases to encourage people to make immediate sales. However, your discount should not be directed to the misconception that “the more the discount, the lower the quality”.

• Accept multiple payment options

You must provide many payment options for your product o reduce cart abandonment and encourage users to buy more. You can make payments using credit and debit cards, e-wallets, and even cash-on-delivery(for local customers). Having these payment channels helps you get sales from every website visitor.

• Use social media and Influencers

Along with your eCommerce website, you can use social media and influencer marketing to grow your business. You can use images or videos dedicated to your brands for social media.

Businesses can find good influencers on TikTok and Instagram, but be cautious of taking influencers, as there are numerous fake ones out there.

• Start working on SEO 

You can have your e-commerce business rank higher in search engines so that your prospective customers find you.

And this is where SEO comes into play. Using SEO for your eCommerce helps you improve your site’s visibility and credibility. For better SEO results, you can hire an SEO agency or SEO specialist.

• Collect social proof

When a customer is perplexed about whether to buy buying products from a business or not, then they look for previous customers’ reviews and testimonials. These reviews and testimonials act as social proof; these proofs strengthen customer engagement and boost your business’s credibility. So, businesses can upload the testimonials on their homepage or product page as social proof.

Wrapping Up

Having an eCommerce site for your business is definitely advantageous. Hopefully, this blog on guide to eCommerce helped you. Moreover, you can look for eCommerce trends to stay relevant in your niche.