- Protect Your Business From Pandemic: use a digital agency
- Stay at home stay in the market by digital transformation of your business
- New Future brings you new chances and responsibilities
- Symptoms: Client loss, less income, less traffic…
- Prevention & Vaccine: Stay Digital! a new website, effective running SOCIAL media accounts and a digital-future well planned business plan
- The pandemic has touched all areas of life: health, family, lifestyle and, in a significant way, business
- COVID-19 has had a ‘severe impact’ on every one of two-small business
Why is Ecommerce on the rise globally?
More people have access to internet than ever before and when it comes to smartphones it’s omnipresent. For example, in China 80% users of internet are smartphone only users. Other factors that are enabling increasing internet usage are increased availability, ever-decreasing costs, and better bandwidth.
Disintermediation, lower overhead and lower taxes have all played roles in driving down prices online. And when you are an online only store then your overheads are even lower. Also there is availability of secondary market (peer to peer) which allows people to buy new and used goods at lower prices in a marketplace-like environment.
One of the biggest factors driving growth is the convenience. The costs to customers of shopping in a traditional retail store are significant, these include time away from home or work, transportation costs, including fuel for your car or public transportation costs. Compare this to shop online which costs almost nothing and only takes a few seconds to purchase a product.
The very nature of virtual store allows them to have a large assortment of products although that may not be the case always. For a retail store its very capital and labor intensive to sell wide range of products in physical stores. It involves procurement, physical possession of products, getting them to each store and continuous management of inventory. More over Ecommerce players have the advantage of drop shipping and centrally located warehouses. Ultimately all this translates into better.
Closer offline tie ups
While we have discussed the advantages of Ecommerce there are many disadvantages too. Primary one being inability to see and try the product and shipping. This is where the Ecommerce players with physical stores have some advantage over Ecommerce only vendors. This acts as a beautiful tool to bridge the gap between virtual and real world while also helping on many other fronts like returns.