Nowadays, E-Commerce Industry is growing at a very fast pace. It’s one of the best ways so that most of the people can shop anything through the e-commerce store by sitting under one roof.
If we look behind, An E-Commerce Retail Sales amounted to over $340 billion in 2015. The total sales are projected to be double that amount in this last year (2019). It means more people are getting to know about this industry and some are still trying by carve a niche for themselves by opening up online retail stores. The newcomer is bound to face some challenges in this e-commerce industry so he or she should get free assistance on e-commerce first before opening up an online retail store.
There are usually four major challenges faced by a newcomer in the E-Commerce Industry.
1) Direct Competition with Other Big Brands: When you enter this e-commerce industry you have to face direct competition with other big brands like Amazon, eBay, and other online retail stores. Amazon is going to establish its own identity as every year passes in both popularity and sales. Amazon, eBay, and other online retail stores are giant stores. So, the solution to this problem is to avoid direct competition with the giant stores and advised you to choose a less competitive niche and grow your business step by step.
2) Manage Shipping, Delivery, and Returns: If we talk about the shipping, delivery, and Returns then it’s very difficult for a newcomer who recently comes in this industry. Many of the online shoppers also complain about the quality of the product after delivery and payment of that product so, companies will go out of their way to provide their customers with the best services to stay tuned in the business.
3) Expensive Marketing and Advertisement: Digital Marketing and advertisement is getting expensive every day with the increasing competition. Most of the newcomers made a similar mistake to spend their entire budget on web development in the starting and ignore the other aspect of the marketing. All your company expenses should be documented and properly verified to ensure their requirements. To save your budget you can start with free e-commerce platforms. You should also do other activities along with digital marketing activities like rewarding customers with points that can be redeemed and use on your company and discount is also one of the best ways so that your customers coming back at your website.
4) Staying Up to Date: You have to stay up to date with the new creative ideas as Amazon, eBay and other online stores do. One of the best ways to tackle this challenge is to team up with the latest technologically advance partners who share the same vision for your new start company and will work equally hard to keep you up to date.
Conclusion: All of us agree with this thing that newcomers along with other giant online retail stores confront the challenges in this e-commerce industry. But how you manage to overcome these challenges, tell a lot about your competency and readiness to take on and run a business that its profit runs in millions.