In June 2017, something incredible happened. For a few hours Jeff Bezos, founder of Amazon, passed Bill Gates to become the wealthiest man in the world. Yes, the rise in stock prices that put him there did eventually drop him back to the second spot. However, for those few hours, we saw the power of ecommerce in the modern world.
What exactly is ecommerce? Electronic commerce, or ecommerce, is the buying and selling of either goods or services electronically via the internet. As the success of Jeff Bezos shows, having an ecommerce website is critical for business. Here are 5 reasons why you need one.
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Growth in Sales
According to statistics given by global marketing firm AC Nielsen, consumers in Kenya spent more than 10 Billion shillings on online platforms in 2016. In 2014, that figure was at 2.4 Billion shillings.
Such dramatic leaps indicate that ecommerce websites are enjoying significant growth in sales as more and more consumers buy online. Consumers prefer the convenience of purchasing and receiving goods without having to leave the comfort of their homes.
And businesses are wising up to this. Your company should too.
Your business needs a viable ecommerce website to capitalize on online clients.
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24/7 Global Services
Ecommerce websites are virtual shops.
The great thing about virtual shops is that they do not need your constant presence. Hence, your products and services are still available to consumers at any time or day. In fact, online stores show significant sales occur during holiday periods such as on Christmas days when most shops have closed.
Previously you could only cater to the people who can physically access your shop. That meant a person in Uganda never knew if your products in Nairobi even existed.
Your online shop is accessible to everyone who can access the internet. And with the improvement in logistics happening, it is now cheaper to get your goods to people in remote parts of the world.
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Reduced Costs
A well designed online shop can be fully automated. Automation means that once setting up the ecommerce website is done, most of what remains is monitoring and ensuring delivery of purchases.
You only need to take action:
When you make a sale
When you are tweaking your site to be even more efficient by adding products or simplifying the buying process.
Some businesses don’t even need to rent offices or hire staff. Thus, you save both time and costs. Your expenses go down sharply, and in the process, your profit margin grows wider.
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Brand Growth
Your business brand plays a key role in how successful you are as an entrepreneur. The more recognizable it is, the higher the chances of clients trusting you. And the more reliable you appear to clients, the more sales you get.
Having your business online helps to market the business brand. It is easier for a client to give you a five-star rating on your online platform. Clients from your company also help to sell your services online by sharing their experience on social media.
New people visiting your site will be encouraged to buy based on such an evaluation. In the traditional brick and mortar setting, this review system was far weaker. New clients didn’t know what previous customers had experienced.
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Competitive Edge
The internet has disrupted many industries. But in the process, it has opened up many more opportunities. The number of competitors has increased, which means more companies are vying for the same amount of consumers.
In such a tough market, you need every advantage you can get. Safaricom, Kenya’s biggest telecommunications company, precently introduced an ecommerce website in Kenya called Masoko in 2018. This is despite the fact that they are still highly profitable.
The introduction of Masoko is to help Safaricom retain their edge in the market. Because companies that do not evolve and adapt, die. Just ask Kodak or Exxon Mobile.
Your business needs an ecommerce solution that ensures you are still competitive in the market. At East African Digital Marketers, we offer businesses custom made ecommerce websites in Kenya that help them retain their industry edge. Contact us today for ecommerce solutions.
