Macy’s and Sears reported last week the closing of over 200 stores nationwide between the 2 companies. Both companies had a terrible performance this holiday season with plummeting sales numbers in their brick and mortar stores. Yet, online sales reported to have been over $91 billion this holiday season, about a 12% increase from last year, and a record high from previous years.
Even the bigs boys are having trouble moving from brick and mortar to online selling, but the 2016 holiday season has given us an eye opening kick in the shin that we have been expecting yet not paying attention to. E-commerce (online sale) is what we should be focusing on right now. We have known this for some time, but it is fascinating how we get comfortable and due to that comfort we forget to innovate and look for ways to improve our products or services in order to not get eaten by the competition.
We need to keep an eye on these trends and how our world is evolving. In the past couple decades we have revolutionized the way we communicate with help of the internet. So let’s exploit this tool and use it to our advantage. Only when we become experts and can manipulate this tool better than our competition, will we be able to succeed in this age.
What are the Benefits of E-commerce?
Owning an online shop gives you a countless number (depending on the number of products you sell) of articles to add to your website. Imagine it this way, for every product you advertise on your site, you have one extra page plus content that indexes your site higher during relevant searches. When you compete for keywords like “Shoes”, and have 50 different pairs of shoes with their own description, now you have 50 pages with relevant content ensuring a higher search engine ranking.
Increase Sales and Lower Cost
Now you’re on top of search engine rankings, driving massive traffic onto your site. Traffic will allow you to Increase sales and expand your inventory adding variety to your product lines. This makes your only expense, the shipping and handling of the shoes and cost of maintaining your site. Now, you will have more control over the number of employees needed based on sales, and with one strategically located base of operations, you can ship out packages from one sole location.
Flexibility in hours of operation
As an e-commerce business, you can set up your operating hours to be basic business hours (8-5) and not lose sales. Your website will be fully functional 24 hours 7 days a week! Therefore you will be maximizing sales while keeping your operating hours as conservative or accessible as you want. Granted, as your business grows and sales increase you might want to open up a customer service department that adjust to the new schedules, but when you get to that point, you will more than likely be substantially larger and your business model will be quite different.
No Reason Not To…
There is no reason to not set up an e-commerce or online shop for your business. Efforts put into your business from E-commerce interactions are guaranteed to be successful and increase revenues. Your potential reach will grow exponentially with the addition of all the content and SEO strategies will see greater results. Also, you will have the power to substantially decrease costs of operation and maximize profits. Finally, being able to beat the limitations of operating hours by allowing your site to do all the work for you so the next morning you only have to worry about the shipping and handling of your orders.
There is a reason the internet is revolutionizing our world, now it is in our best interest to educate ourselves on how to take advantage of it to improve our businesses.