05 Apr Guide To E-Commerce Marketing
Long gone are the days when a short walk down the block would have all of your grocery, clothing, toy, and furniture needs. Online shopping has opened up a whole new world of products available to consumers at their fingertips, without even leaving the couch. Not only are items shipped to your door, but it has become so easy for consumers to price compare online to find the best deals. Consumers have had the upper hand in e-commerce because they have access to every competitor online, giving them the ability to shop around (without physically going to twenty different stores) which can drive down prices.
However, shopping online allows retailers and websites to track consumer activity and buying habits, giving e-commerce businesses an astounding amount of insight. Big e-commerce companies like Amazon have the data of millions of users to draw on, and this information can be used to analyze buying patterns, make predictions, and calculate the most profitable price points. They also use your online shopping habits to make product suggestions based on price, showing similarly priced items to what you have already viewed.
E-commerce is an essential tool in a world where over 75% of Americans shop online. Even if you have a brick and mortar store, adding an online option can expand your market immensely. However, selling online can come with a few challenges that can be hard to navigate at first. On top of factoring in the cost of your product, there are additional shipping, website, and transaction fees to consider. Finding the right balance with e-commerce can be tricky, but there are a few guidelines for optimizing your business online.
Before even putting your product up for sale online, you need to make sure your website is ready to use. The appearance and functionality of your website are actually very important for potential sales because a poorly-designed website can make consumers think less of your product, or even not trust your website to make a safe purchase. Luckily, platforms like WordPress and Squarespace make designing a beautiful website possible even for beginners. Simplicity and usability are the two basics to remember when creating a webpage. If you need direction for design or branding, Mad Mind Studios offers web design services.
The price of your product is the most important thing to consider when running a business. Too high and you won’t make enough sales, too low and you won’t make a profit. First, factor in all costs of production, storage, shipping, etc. It’s tempting to lower your prices to stand out from competition but in the long-run, this isn’t sustainable for your business. If it makes sense for your product, try to offer free shipping (and build it into the price instead) because that is more appealing to consumers. Ending your price in ‘.99’ or ‘.95’ is also a smart pricing strategy that subconsciously attracts buyers, rather than rounding up a price to the whole number. If you are selling luxury items, the ‘.99’ strategy might actually hurt sales because higher-end buyers are not looking for a cheap deal.
Email marketing is an important tool for retailers, and especially those who sell products online. Sending a link to your online store along with enticing specials or new products is a very effective way to drive traffic to your site. Utilizing your list of interested subscribers is a direct channel to potential/repeat customers, and reminding them of your product from time to time increases brand loyalty and sales.
Sales & Specials
Many e-commerce retailers offer sales, promotions, and coupon codes to attract consumers. This is a way to stay competitive in a huge market with thousands of option for consumers. Even promoting a very small price difference makes the product more attractive to consumers who are shopping online for a deal. Shipping costs can be a big deterrent for shoppers, so offering a free shipping special can convert interested browsers into actual sales.
Strategically marketing your online store is essential for connecting with customers and boosting sales. Contact Mad Mind Studios for help designing your website or marketing your brand.