5 Golden Rules of Building a Profitable Ecommerce Business
April 1, 2020
The number of consumers buying online and browsing e-commerce stores is expected to reach $270 million by the end of the year. Online sales in the USA from e-commerce platforms are expected to grow $523 billion by 2020. Most of us are even shopping from our smartphones, because of better network connectivity and bigger mobile screen sizes.
People in Europe are increasingly looking for online ecommerce stores to shop online for easier customer experience. The e-commerce revenue in Europe is expected to grow to $145.1 billion in 2024.
With the e-commerce industry booming across Europe, there are now more opportunities than ever for small retail enterprises and bricks and mortar retailers to turn their business to the online retail store. However, for building a business, certain key considerations and strategies must be observed when launching a successful e-commerce business. Read on to discover the key steps to developing a profitable online e-commerce store.
1. Understanding Your Customer Wants
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The first step of building a successful ecommerce store is, all you have to guarantee is that you have a product or service that your customer wants. Or else you won’t make any profits coming in at all. By keeping products costs low and focusing on marketing a product or service that customers truly want and need are the basis for a profitable ecommerce business
By ensuring a stellar experience for your customers is the only way that you can earn loyal customers and simultaneously increase your customer base. It’s all about adding to the customer experience, which is possible by making your prospects feel special through offers, discounts, free coupons, responding to their queries, quick resolution of their issues, easy payment methods, etc.
The best support service is a live-chat or AI-enabled chatbot that works 24/7 for your customers. This way you can increase your sales conversion by 10% or more. If you can’t manage the live support resources, you should ensure some type of service to help your customers over the phone or email.
2. Creating an Engaging Website
Image Source: i-Verve
According to a Kissmetrics study, approx. 93% of buyers prefer visual appearance to be the most important factor when making a purchase through an ecommerce store. No matter if you have the best product to sell to your customers and the best customer service, but if your website design is weak, then your online business presence is dim.
To create an engaging online ecommerce store, you can either hire a web development service like Syncrasy Tech or you can just get a ready-made template and customize it to your needs. Fortunately, there are thousands of free ecommerce templates available on the web provided by sites like Colorlib, Websitebuilderexpert, TemplateMonster, TonyTemplates that have clean designs, intuitive layouts, and follow the latest web design trends.
Make sure your website design elements should captivate visitors, which can be possible by using full-width product images, AR/VR presentation of images, and avoiding distraction with minimal content on your website.
3. Choosing Ecommerce Platforms
Once you have a website in place, your next should be choosing the most appropriate ecommerce platform for your needs. The 7 best ecommerce platforms of 2020 are WooCommerce, Shopify, Wix, Bigcommerce, Squarespace, Weebly, and Volusion that allow you to manage your whole website from one control panel. You'll also need a good web hosting service in place.
You should also select an appropriate theme for your new online store. At this point design of your website, navigation, and customer needs all have a part to play. Talk to your web developer to strategize all this as you want your new and existing customers to take through the website.
Write your website content by conducting thorough research on relevant industry keywords to ensure your product descriptions, landing pages, and other web pages are optimized for launch. Don't forget to add strong calls to action links too.
About Us Page
Create a compelling “About Us” page. What you need to do is clearly state out what you do, your business line, establishment story, and what you offer to the clients. You can also add success stories, testimonials, achievements, and any kind of social proof.
Your contact information should be clear and easy to find on your “About Us” page and throughout your website as well. On the “Contact Us” page be sure to mention your:
- Contact email
- Contact numbers
- Full address
- Social media channels
Adding too much information on the “About Us” page can be overwhelming for site visitors.
4. Adding a PIM, DAM, CMS Solution
Image Source: Syncrasy Tech
As your business grows, conventional tools like CMS, ERP systems, and e-commerce platforms start managing product data and then you will start seeing weaknesses in the system. That’s why product information management or PIM solutions have become so important to e-commerce. PIM stands for Product Information Management, it works as central management of product information needed for multiple external and internal channels, such as online stores, product catalogs, ERP systems, and more.
The PIM providers offer comprehensive PIM solutions to support the complete process of creation, enrichment, planning, and the release of product information in all channels as needed.
Here is the list of 5 top PIM providers:
- Pimcore is an enterprise-ready, open-source PIM, DAM, CMS and MDM solution that you can avail without any license cost.
- Akeneo is also an open-source PIM solution for retailers and ecommerce brands looking for an efficient system to manage their multichannel needs.
- Salsify is a product information management and digital asset management platform that ensure complete digital experience management for your customers.
- Agility Multichannel PIM system combines all the facets of ecommerce into one centralized system that enables tracking, documentation, and process overviews of your ecommerce platform.
- InfoSphere MDM is all in one solution with operational capabilities to manage the master data in your organization.
A PIM solution works with most major ecommerce platforms such as Magento and Shopify for managing catalogs small to large. While it’s true that these ecommerce platforms offer some capability to manage product information, but workflow requirements and the syndication needed in ecommerce organizations are often unavailable, and this is where a PIM solution can help ecommerce businesses.
PIM solutions have many benefits for ecommerce businesses, here are two main benefits:
Empowering the Business
PIM solution can help deliver a digital experience that empowers ecommerce businesses to efficiently manage the creation of catalogs, enrichment of products, governance, data automation, multi-channel retailing, and syndication of product content.
Improving Customer Experience
Online ecommerce business professionals are increasingly looking to add compelling product content to their website for differentiation in the marketplace. A PIM solution allows ecommerce brands to leverage the power of product data to create more personalized experiences for online shoppers, and across channels.
5. Test Your Ecommerce Website
Before your ecommerce store officially goes live, you'll need to conduct extensive testing. You can take the help of your web development service provider, they can thoroughly test the website, using a range of different testing tools. The testing process should continue even after the site launches. You'll also need to make a plan for A/B testing as you move forward.
Here is a list of tools to test the performance and usability of your ecommerce website.
- Monitor.us: A tool to view your entire web and cloud system from a single dashboard.
- Browsera: A tool to tests cross-browser layout differences and scripting errors on your site.
- Cross Browser Testing: The tool to test your website on different browsers with instant results.
- Monitor.us: It views your entire web and cloud system, all from one dashboard.
- Google PageSpeed Insights: Analyzes the content of a web page, generates suggestions to make the web page faster.
By focusing on marketing your products or services that customers have said they truly want, you can build the foundation for a profitable ecommerce business. Learning how to build a profitable marketing strategy for your ecommerce business is also the most important lesson you can learn as an entrepreneur.
You'll need a solid digital marketing plan before your site launches. It's good for building awareness among your target customers. Once you have a plan in place then kick it up when your ecommerce site launches. You can consider paid search initially, but once your base is ready you should also simultaneously be working on a longer-term SEO plan, social media marketing, content marketing, and email marketing to drive relevant traffic to your site.
Ready to Start Your Online Ecommerce Business?
If you take the time to read the information above, you’ll save your time and you’ll get to know where you’re more likely to invest your efforts for a successful ecommerce store.
And I really hope you enjoyed reading this post. If I missed anything that you’d like to see covered, let me know in the comments. Or contact team Syncrasy Tech for more information on ecommerce development, PIM implementation, and web development services.