Perhaps the word e-commerce sounds like Chinese to you, but it may be that electronic commerce sounds more familiar to you. Do you know what it is?Its advantages? Its disadvantages? If you keep reading we will try to explain to you without many technicalities everything you need to know about electronic commerce.
What is electronic commerce or e-commerce?
It consists of the distribution, sale, purchase, marketing and supply of information of products or services through the Internet. For small businesses, it is a great market opportunity, since it allows you to extend your sales hours 24 hours a day and that any potential customer can access your store regardless of where you are in the world.
What are the advantages of electronic commerce?
- Disappearance of geographical and temporal limits.
Thanks to electronic commerce, your store can be anywhere!
- Sales hours 24 hours a day, 365 days a year.
Goodbye to the restrictions of opening hours. You will be 365 days a year, 24 hours a day, for your clients.
- Reduction of costs of production, administration and storage .
If you opt for a store 100% online you can save the costs of having an open physical store. Be it the expenses of the rent or of employees. If you opt for a mixed model, online store and physical.
- Obtaining a greater number of clients both online and offline thanks to the increase in visibility that the internet allows.
eye! The Internet is like a jungle. You’ll have to do well to stand out in the middle of all the stores that are hosted on the network and find your future customers.
- Direct contact with the client, without intermediaries.
The deal is direct, your store, your client and you. This equation would change if you choose to leave the controls of communication and online sales in the hands of a professional.
- Flexibility in payment methods.
Cash on delivery, with card, PayPal whatever the client prefers!
- Facility to offer a comparison between products, including features and prices.
What are the disadvantages of electronic commerce?
- Mistrust of the payment method and product quality.
The presence of electronic fraud does not help this type of trade because it creates certain insecurities.
The distance between the products and the customer for some is a big problem.The inability to touch and check quality often pulls back some customers.
- Distance between the client and the seller.
Sometimes the feeling of distance between the customer and the seller is an inconvenience to make purchases, especially if at the time of processing returns of products or complaints. It is very important to take care of the communication with our clients to try to forget the distance between the clients and us. If we resolve publicly the incidents in social networks generates trust among users.
- The shipping costs.
The shipping costs of your products can be inconvenient if the sales volume of your business is small.
- Promotion expenses.
To be able to promote an online store among all the brands that are already settled in the network will be an extra job.To achieve this, you will need to hire a professional to promote yourself and succeed beyond your physical store.