Setting up an E-commerce website is a great opportunity to earn a passive income. Consider that a fully online shop eliminates the need for paying rent and other operational costs incurred by owners of brick and mortar shops. The payoff is obviously better profit margins and an opportunity to increase the sales numbers. This is not forgetting that you can virtually open an online store and sell to anyone across the world.
However, the success of online business depends on a number of factors. Simply setting up your online store will not pay. Several things can go wrong when operating the E-commerce business.
In this page, we feature the top 10 mistakes made when beginning an e-commerce business. Therefore, you should try as much to avoid these costly mistakes. Keep reading to find out the costly mistakes you should never make when starting and running an e-commerce website.
#1 – Lack of Customer Support Solution
Many e-commerce starters assume that since the consumers buy online, they are not going to need a customer support desk. The customer support solution is an invaluable investment for an e-commerce website. Consider that good customer support stands for helping customers and it is the best choice.
Several advantages come with having a good customer support system for your online business. Consider that customer support builds trust and hence loyalty from your customers. Moreover, the customer support system like a chat platform brings in the humane aspect that is crucial in online transactions.
It is therefore important that you implement a chat based customer support system. The customer support solution can also serve as a marketing platform for your brand. Through the customer support desk, your customers can file complaints and ask questions if any.
#2 – Not Putting up Sufficient Product Images and Product Videos
An e-commerce website relies more on visual images rather than text descriptions to sell. The prospects want to see several images of the product and from multiple directions. A video review is also important to help customers make the purchase decision. If you cannot put up a video description, then at least attach several images to accompany the text description.
The product videos, in particular, have an incredible ability when it comes to lead generation and increasing conversions. The video helps customers to understand the products. This is through sharing as much information as possible. Statistics show that the chances of buying a product increase by 64-85% after a prospect has watched a video.
A product video will also help in website ranking since Google and other search engines love the use of videos. Existing customers can also share the video, generating you more leads. Just as they say, an image is worth more than 1000 words. Take this further using product video for your E-commerce website.
#3 – Choosing the Wrong Hosting
It is necessary to choose a good solution for your online shop. Consider that this compares to choosing a location for a brick and mortar store. It is obligatory that your website is loading faster than that of your competitors.
Ask yourself the following basic questions.
- What is the cost implication?
- Is the provider offering a scalable option?
- How about customer support available when needed?
- Consider the server performance and the limits
#4 – Ignoring the Power of Analytics tools
The analytics tools are powerful performance enhancers and you cannot afford to ignore them. These will give you data about your audience helping you to identify potential leads. The analytics tools help to boost e-commerce sales and in enhancing brand awareness. In other words, the analytics tools will help you to learn a wealth of information relating to your business and your customers.
When picking the web analytics tool for an e-commerce website, you can consider the free and the paid tools. You will have an option for free programs like the Google analytics tool that are offered free. For enhanced features, you can opt for the paid web analytics tools. Some important metrics to consider include”
- The number of visitors your website is registering hourly, daily, weekly monthly or semi-annually.
- The pages getting most views: this lets you know the most popular content
- Where your traffic comes from: giving you a good snapshot of where to advertise more
- Website bounce rate giving you insights into why people exit your pages
- Keyword and phrases helping you identify the keywords or phrases to rank for.
Therefore, start making use of web analytics tools for better performance. This helps you in making strategic decisions.
#5 – Not Simplifying the Check-out Procedures
To improve your Shopify website revenues, consider the optimization of the checkout process. This customer experience improvement matters for your website. You can tweak a few things in the checkout process to increase the site conversion rate. Some of the strategies for a faster checkout process include:
- Recognize a returning customer and allow progression to checkout
- Put a checkout progress bar to tell the customer what steps are remaining
- Ensure a seamless transition from the product page to the checkout page
- Align the checkout process to customer priorities
- Test the checkout process to identify potential tweaks
#6 – Mis-Targeting / Not Targeting the Right Audience
I am sure you have heard about targeting countless times. However, most e-commerce websites make this worst mistake right from the time of starting. In other words, they start a website without a clear definition of their target audience. This turns out to be the worst mistake an e-commerce website can make. If you are not selling to the right customers, your sales numbers will stagnate.
To make sure you are targeting the right customers, understand the product first. What problem does the product solve? Based on the data collected, design a buyer persona and target the clients.
#7 – Ignoring the Need for a Proper Marketing Plan
A marketing plan is not only necessary for the brick and mortar stores. Your online store also requires a good marketing plan. Coming up with a proper marketing plan is a daunting task for most online business owners. Several components need to take into your e-business marketing plan. All these components aim at increasing the sales of your eCommerce store. Each of the components considered in planning your marketing needs to have a measurable impact on your sales. Some of the marketing strategies for an online store include Pay-Per-Click advertising, Email marketing, content marketing, social media and link building.
However, for owners of the e-commerce store creating a marketing plan is a daunting task. You can consider hiring a company that provides marketing services. This allows you to concentrate on the things that matter most.
#8 – Not Adding the Customer Reviews Section
Today’s consumers rely on past buyer testimonials to make a purchase decision. The reviews syndrome has spread across the internet becoming powerful pieces of social proof to persuading buying products. A study has shown that more than 70% of online buyers rely on the ratings or reviews to make a purchase decision.
It is crucial to set up the reviews section on your website. The reviews offer real value for the customers with people depending on them. The benefit of reviews for your website is that they change how prospects perceive your brand. This helps in building trust and credibility, which are important ratings for online buyers.
To encourage customer’s reviews, send to them friendly emails after delivering the products. Moreover, remember the customer is returning you a favor and make the review process as simple. You can also encourage reviews through issuing discounts on next purchase or a coupon that used next time the customer makes an order.
#9 – Poor Website Navigation
This is more of a website design issue. Your online store visitors want to be able to navigate through the website easily. Make sure the website is mobile friendly and that the links are working correctly. Good website navigation will definitely get you high conversions helping in Shopify ranking. Simplify the menu structure so that it guides online visitors appropriately. The Call-to-Action buttons should be easily visible. This encourages the visitor to take the appropriate action and that is to buy. For your website menus, use a clear and stimulating language.
#10 – Inadequate Search Capability
Make sure the customers can search using different keywords and still be able to find the information they are looking for. Having a good search capability makes sure you will not miss the important customers. To achieve this, optimize the product descriptions and make sure you use keyword research tools.
Those are the worst mistakes most e-commerce owners are making. By avoiding those mistakes, you can increase the sales numbers. These will also help you to get a high number of conversions through better lead generation.