The idea of buying and selling everything from digital products to groceries, seemed like a too-good-to-be-true concept until the first online transaction in 1994 turned retail consumerism into a mammoth $500 billion (and growing) enterprise according to Statista.com. The dawn of e-commerce transformed the way the world does business and launched dot com giants like
Amazon and eBay into the mainstream, while simultaneously nudging a host of brick and mortar retailers into economic obscurity.
E-commerce – Commercial transactions conducted electronically on the internet Ecommerce exists for a multitude of reasons. It’s convenient, it’s fast, and it’s the easiest way to reach millions of consumers worldwide. Gone are the days of driving to a store and being limited to stock on hand when nearly every national chain retailer has an online marketplace that not only offers an expanded inventory, but has the ability for shoppers to compare prices, use coupon codes, or skip the shipping and pick up their orders in-store. Whether it’s paying a parking ticket online, taking a web-based course or making travel plans, e-commerce is the high speed, drive-thru business model marketing to the masses one click at a time.
The Building Blocks of Creating Ecommerce Success
Longevity = equity. Similar to owning a home, the more established the business is and the more you invest in terms of content and strategic advertising, the more you’ll boost “curb” appeal and increase the likelihood of attracting a buyer. Building a successful e-commerce website is no simple task (considering the number of cyber competitors out there), but there are a few tips to make your business stand out in a crowd.
- Exceptional Customer Service – Attracting repeat customers or potential investors means creating a website that’s user-friendly, easy on the eyes, and offers a variety of customer support options.
- Get Socially Involved- Social media platforms like Facebook, Instagram and Linked- In are a sure-fire way to get your information out into the ether (quickly). Marketing through social channels is how modern-day businesses are reaching a broader population thus optimizing their reputability.
- Stand Behind Your Brand – Don’t just say you have the most successful e-commerce business, make it known why you believe your business is of high value and worth investing in. Get to know your target audience and research the kind of content you know will keep them coming back.
Why it’s a good idea to invest in e-commerce
Whether you’re looking for a side hustle or pursuing entrepreneurial prosperity, buying an
e-c ommerce business can be a lucrative career move. Investing in internet real estate is exciting and fits in with how modern society prefers to do business. One perk to becoming your own online boss is the ability to grow your company faster than if you were to purchase a building, hire staff, and face the extra overhead expenses that come with owning a traditional standalone company. While e-commerce can send you onto the business expressway, doing your due diligence to conduct careful research and deciding whether to start from scratch or take on an existing website can clear up any red tape standing between you and a profitable business venture.
Tips on becoming a savvy buyer
- Consider whether the business has staying power or if it’s based on a potentially passing trend. Looking at long-standing e-commerce giants like PayPal established in 1998 and Apple, the demand for these reputable companies is unlikely to die down anytime soon.
- Research sales and traffic trends and ask the seller why it’s being sold. A company whose seller provides transparent details in terms of financial records and is also willing to teach you the tricks of the trade is a good indicator of whether the business will continue to be profitable or if you’re looking at reviving a financial drain.
- Hire a broker well versed in negotiating with sellers, reading the fine print, and helping you navigate the nitty-gritty, (often overlooked) details included in the buying process.
- Deciding to buy an established e-commerce company gives you the opportunity to take over and expand your creativity, make improvements, and achieve the goal of boosting revenue and web traffic.
Ready to make an offer?
From making charitable donations to paying taxes, e-commerce is so more than just online shopping. Most transactions whether they’re government, education or banking are managed exclusively online. As a business owner, delving into the e-commerce arena offers a plethora of benefits from capitalizing on your favorite niche to taking a mediocre web business and taking it to new financial heights. Just like any other major purchase, doing your homework before signing the dotted line will ensure your new endeavor is rewarding and yields steady financial gain for years to come.
Duncan, E. (n.d.). Topic: E-commerce in the United States. Retrieved from https://www.statista.com/topics/2443/us-ecommerce/