It isn’t a new trend but what is Ecommerce? Ecommerce history dates back to the 1960s, when people could conduct electronic transactions via primitive computer networks.
But rather than using the internet, the techies of the time could use Electronic Data Interchange (EDI) to share business documents among themselves. This was followed by the military creating ARPAnet, which they used to disseminate key information whenever an attack happened.
These two innovations laid the foundation of what e-commerce would eventually become. Come 1991 and the internet was opened for commercial purposes, making ecommerce a likely possibility.
What is Ecommerce?
Ecommerce stands for electronic commerce.
It refers to the process of buying and selling your products and services online, of course, without the restriction of distance and time.
That’s the basic definition. But there’s no denying that e-commerce has advanced a great deal. It’s grown to refer to a much bigger concept than the simple act of buying and selling items online.
So what is ecommerce? – The Difference Between E-commerce and E-business
People tend to confuse eCommerce and eBusiness, even when it’s pretty clear the two terms stand for two entirely different things.
Ecommerce only refers to the process of buying and selling products and services online, while e-business refers to the whole enchilada of activities – advertising, raising awareness, dissemination of information on emerging trends, and a long list of other e-commerce related topics that people search online.
E-business is an all-encompassing term for the whole process of managing your business online.
Weaved into e-business are the following activities:
· Inbound marketing
· Stock control
· Sales promotions
· Email marketing, and so forth.
Suffice it to say, e-business is a much broader concept of which e-commerce is a part of.
What is ecommerce? – Benefits of Ecommerce
More Clients: With ecommerce, your clients aren’t restricted to a particular geographical location. If anything, distance is not an issue in this case unless you’re dealing with perishable goods, or your products and services require physical contact.
With ecommerce, there’s always the beauty of transacting with people from other parts of the world or a different locality other than where you’re stationed.
No Schedule: Your ecommerce store is perpetually open. There are no restrictions as to what time to open or close your shop.
Unless you decide not to, your e-commerce website will always be open, 24/7, to take in new orders and process payments without necessarily requiring you to be online.
Less Costly: Setting up a physical, brick-and-mortar business is costly compared to the cost of setting up an ecommerce store on, say, Shopify or BigCommerce.
It also comes with the reduced cost of running it. You don’t have to employ a salesperson or bring someone else on board to help you manage your store.
It can complement your Physical Retail Business: Ecommerce offers you a chance to expand your physical retail business and target people who are far off from you.
You don’t have to restrict your customers to a particular region or location. If you’re looking for a way to scale and expand your reach, look no further than ecommerce.
Bigger Profit Margin: Market extension and cost reduction all mean that you’ll be making more money as opposed to someone operating a traditional store.
With the right marketing, you’ll also be selling more products, thus making more money in the process.
A chance to Scale: Ecommerce is easy to scale. All you have to do is figure out how to reach more people.
Come to think about it: you have no limit as to the number of people you can sell to. It’s your choice to make.
The only limitation you have is figuring out how to attract more customers to your ecommerce website.
What is ecommerce? – Ecommerce has a few Challenges too
It’s not all rosy with ecommerce. There are concerns and challenges to be addressed or faced head-on as you embark on your ecommerce journey.
These challenges include:
== Lack of trust: online customers have limited knowledge of your business with almost zero collateral on whether you’ll deliver on your promise.
You have to work on inspiring trust among customers that interact with your brand or business. In other words, you need more earned content – reviews, comments, and recommendations.
Secondly, make sure you have installed an SSL security certificate on your e-commerce website. If not for anything else, you have to do this to avoid giving your customers another reason not to trust you.
== Results don’t show Immediately: Starting an ecommerce store is not a walk-in-the-park. There’s so much involved in the whole process.
Unlike a physical store where you can open your store today and start making sales as early as the next five minutes, ecommerce demands that you exercise patience.
You have to allow time for your marketing to kick in and give your website more time to gain visibility before sales start trickling in.
Key Ecommerce Trends in 2020
Ecommerce has been steadily growing over the years, and 2020 comes with its share of contribution to what the future holds for it.
Here are a few e-commerce trends to watch in 2020:
== Mobile Shopping: It’s been estimated that more than half of all e-commerce shopping happens via mobile.
The same studies go on to reveal that Singaporeans spend more than 4 hours a day checking their mobile phones. As a serious marketer looking to scale your business, that’s a market segment you do not want to take for granted.
So, what should you be doing?
When it comes to web design for e-commerce, make sure both your app and website is optimized for mobile. You want to provide the best online experience to users who interact with your business via mobile.
Voice Commerce: Voice assistants, such as Siri, Google Assistant, and Amazon’s Alexa, have never been this popular, and this could be the year when they finally make it mainstream.
It’s even predicted that by 2023 there will be more than 8 billion devices with voice assistants. The same study also goes on to estimate that voice shopping would, by then, have grown to $40 billion (SOURCE: https://www.prnewswire.com/news-releases/voice-shopping-set-to-jump-to-40-billion-by-2022-rising-from-2-billion-today-300605596.html).
Headless e-commerce: Headless e-commerce is the new craze in the world of e-business. Essentially, this concept allows you to decouple the presentation layer of your website from the e-commerce functionality. This occurs in the technical backend of your website.
The result is a more customized online experience for your customers, laced with richer content.
2020 could be the year when more and more e-commerce stores adopt this simple but useful concept.
So here you have it.
The all you need to know about “What is ecommerce.”
If there’s one thing we promise you , it’s that you’ll have our full attention as we listen to you and help you come up with solutions to your ecommerce problems.
Feel free to contact Blazing Conversions today.