Without a doubt, the rise of digital technology and continued enhancements has changed our world. Just a few short years ago, a mobile internet was a brand new concept. Now, we have smartphones and tablets that update and improve on a daily basis. Technology is advancing at faster and faster rates to keep up with growing demands; is it any wonder our shopping methods have changed along with it?
eCommerce is all about shopping online and the way we shop online; we want (and expect) to be able to find our desired products online and then make a purchase. How many times have you been in a brick-and-mortar store where they’ve offered to order something online for you because they didn’t have it in stock? And how often have you heard (or said), “I’ll just get it online,” when faced with being unable to find a product in-store?
As pervasive and integrated as eCommerce may be in our daily lives, there are still many common misconceptions surrounding it. On the business side of things, many companies have embraced eCommerce with open arms, while others are still a little wary; either way, we’re blowing away misconceptions on both sides.
1. It’s easy.
eCommerce can be easy. But, if you start the process thinking that it is, you may miss a lot of the details and initial planning that make all the difference. When you’re starting out with eCommerce, think about it as an initially complicated process to ensure you’re putting the effort in at the beginning to excel long term.
2. You can set it and forget it.
You can’t set it and forget it, not if you want to continue growing! Your eCommerce store is your business and your brand online. If you set up your store and never touch it again, you might bring some business in for a short time – but you won’t last much longer than that.
Aside from all the other issues that may come up with a website, like it going down or getting hacked, you need to make sure your platform, products, security, and any extensions stay updated. To continue growing, you need to do more than that. As Cher Wang, the CEO of HTC, says:
If we don’t, we can be sure some startup will be there to take our place.”
3. Products will sell themselves.
Unless your product is truly groundbreaking, the chances of it selling itself are slim. Without promotion and continued updates, you will reach a plateau, stop growing, and start declining. This will only happen faster when a startup that’s hungrier and more committed to success than you takes your place.
4. Sales tax is too hard.
Sales tax in eCommerce is complicated and difficult. Every state has multiple jurisdictions and each one has their own rates, standards, and filing deadlines. Sales tax is hard, but it doesn’t have to be. Avalara makes sales tax less taxing by staying up-to-date on ever-changing tax law and even takes care of filing, so you don’t have to.
5. It’s not worth it if you have a brick-and-mortar location.
You can bet your customers are online, and you should be where your customers are. In this case, an eCommerce store will only help expand your brand into digital sales, even if it’s only meant to supplement your physical location instead of being able to stand on its own.
It brings your tech-savvy customers closer to your brand and allows them to engage with you, both in real life and online. With how far eCommerce has penetrated the retail industry, you’re only hurting yourself by ignoring it for this reason.
6. You can’t have a brick-and-mortar location.
This one is completely untrue. Yes, if you have an eCommerce store, you don’t need to have a brick-and-mortar location to drive sales – that’s what your e-store is for. However, if a lot of your customers are centralized to one or a few locations, it makes sense for you to have a physical presence there (even if it’s only temporary and sporadic).
Plus, if a lot of your competitors have a brick-and-mortar location, you may want to think about it in order to stay competitive and progress further. For a brand that started with eCommerce first, taking your business to the next level might be opening a brick-and-mortar location to build that physical presence backed by the online brand.
7. You can’t host events without a physical location.
If this one is holding you back, I have a few, choice words for you: pop-up shops. A physical location may not be the right choice for every eCommerce business, but that doesn’t mean you can’t host an event offline to promote your brand and products.
Pop-up shops are popping up everywhere. As an eCommerce company, you might consider a pop-up shop to test new products, create come buzz, or just boost sales. You could also try some of these ways pop-up stores can benefit ecommerce. The location might become permanent or you could keep it temporary and transient, whichever fits your needs best.
Whether you’re an established business considering eCommerce, or just thinking of breaking into retail with an e-store, the best thing you can do is research. Know what’s out there, set realistic expectations, and don’t be afraid of misconceptions like these. Data-backed facts will help you dispel the myths to determine how eCommerce best fits into your business and the next steps necessary to grow.