The Untold Factors Behind E-Commerce Business Failures

March 17, 2016

In the eyes of a successful e-commerce business owner, a failing economy would not stop him or her to profit online. However, it may contribute as one factor to hinder the e-commerce business to grow, but it is not the sole reason other e-commerce business owners fail. As of now, the internet has an abundant number of users. In the recent Plunkett’s Research, there are more or less 1.5 billion users on the internet worldwide. Even if the United States economy is running low, some customers all around the world that e-commerce businesses can transact with are there.

It is unfortunate that common e-commerce businesses start to fail just after two years of establishment. There are many factors why it is inevitable for an e-commerce business to fail. Examples are not getting a cheap webhosting provider, ignoring customers, and lack of website updates. However, if a businessperson knows what factors are hindering e-commerce business to flourish, they are sure to be bound with success. Therefore, here are a few common reasons why an e-commerce business will fail.

Lack of Knowledge about Their Target Market

E-commerce business owners do this big mistake repeatedly. Not knowing what your market wants will definitely make you fail in the e-commerce industry. In addition, thinking that your customer will just buy any product you show them is a big no. You must know what your customer wants. You must know what your product can solve and why they need it. In addition, knowing the demographic makeup of your customers will surely help.

E-commerce Website

Getting a very expensive webhosting service will surely reduce your profit. It is recommended that e-commerce business owners get the cheapest domain registration available. In addition, using a very long and hard to remember website name is wrong. It is best to make your e-commerce website’s name short, meaningful, concise, and easy to remember.

Customer Service

A business’ success does not always rely on your product and advertising. Providing a customer with the extra mile in customer service will provide you with loyal customers. Ignoring their requests and problems will just give you tons of detractors that may harm your reputation. Always remember that every customer is important and you must always provide him the best customer service experience.

Outdated Website Contents

Not updating your website contents may let customers think that your website is not working anymore. In addition, stale contents will make the regular visitors discouraged to visit your websites often. This is because customers always want new information about your products and services. This will highly affect your traffic and your marketing.

Knowing and avoiding those factors will largely lower the chances of getting an e-commerce business to fail. Providing good customer service, getting a cheap webhosting provider, frequent updates on the website, and knowing your customers will not only help you on avoiding failure, following those things will also raise your chances to be one of the best e-commerce websites out there on the internet. If you already have an e-commerce website, you must start now on fixing the things that is hindering you to get more out of your business.

Components of E-Commerce

March 17, 2016

E-commerce is rapidly developing trend of business nowadays. Given its low cost and profitability potential, extensive amount of entrants start to venture into e-commerce. However, not all of them are competent to do so. There are few key components needed to establish an e-commerce business.

The first one is websites. This is also known as web store where the buy and sell transaction will took place. If it is professionally built and have genuine look, more potential customer will be attracted to it. However if the web store is poorly design it would retract the clients from the web store. Therefore it is essential that the website is designed exclusively with utmost importance given to the design and pattern of the web site designs.

Getting a merchant account is also important for e-commerce. A merchant account is the one where the cash transaction activities will take place. It is therefore vital for e-commerce to get a merchant account before starting their business. Failure to get a merchant account would result in a failure to initiate an e-commerce business as the cash transaction process could not take place.

The e-commerce software is also considered as a critical component where it will be the platform for the e-commerce business activities to take place. The software records the orders, the processing of the order and the cash transaction mechanisms. It is therefore important that the software is professionally built integrating the entire essential requirements of e-commerce to carry out a feasible and reliable e-commerce trade mechanism.

The internet sever also plays a critical role for e-commerce. It is important that the e-commerce sites are affiliated with well known servers to ensure security and avoid listing links to servers that might direct unsafe material and traffic to the site. The assigned server is a critical component and its legitimacy helps to propel the e-commerce business.

Shopping carts also considered as important e-commerce mechanism. These are specially design software that allows online viewers to buy and purchase products on a website. If this component is carefully designed then it helps in to bring more business to the e-commerce business. The shopping carts should provide a user friendly interface which enable online customers to buy products without much difficulty.

Security protocols and digital signatures are also critical components for e-commerce. These are encryption techniques to secure the e-commerce websites from hackers and virus attacks. Security protocols should be developed using the latest programming techniques to ensure maximum security.

Log on to to find out more about the components of e-commerce in details. Learn from the expert of e-commerce and generate your own idea for an e-commerce breakthrough.

M-Commerce – A Way To E-Commerce

March 17, 2016

When he was seven months old, my son picked up my iPhone, which he’d seen me use many times since he was born, and started jabbing at the screen. To him the device wasn’t so much a phone, but more something you touched and prodded and, unbeknownst to him, enjoyed.

Anyone who grew up in the 1960s, 1970s, 1980s or even the early 1990s would have been beguiled by the prospect of a personal communications device as pioneered in Star Trek (due in part to the lack of a budget to create realistic space craft interaction), and then used in every sci-fi movie ever since. And lo, using radio waves, such a device came to pass – the mobile phone was born.

Early adopters were ridiculed, and many commentators suggested that such a thing would never take off. It would be too expensive, too cumbersome and would never achieve the critical mass of users needed to make it practical.

Well, as we know now, that wasn’t the case. Mobile phones are everywhere, but as my young son – who is now 18 months old and can actually use, albeit rudimentarily, an iPhone – confirms, these devices are proving to be more than just phones. They have morphed in a very short period of time into computers in our pockets.

The modern handset is connected to the Internet, has processing power that outstrips by some margin that found in the Apollo spacecrafts that got humankind to the moon, has a full color screen, can handle multimedia, and is connected to everyone else with a phone. This has become a modern marvel and, to my mind, is one of the defining inventions of humankind.

But hyperbole aside, the mobile phone of today is a powerful beast – with a profile and ubiquity dominant enough to influence a small boy before he could walk or talk – and this makes it commercially interesting to us all.

But what is mobile commerce and how can it benefit you? Well, to most people m-commerce is simply an extension of online shopping – connecting these devices that people hold so dear and have with them all the time to the web and hence to online shops.

Online shopping took many years to get entrenched in the public mindset, but now it is a standard way of shopping. The mobile phone clearly offers an even more convenient way to do it than a computer, allowing people sitting in front of the TV to shop, without having to get up and turn on a PC or pick up a laptop.

This view of mobile commerce is indeed a vital part of the multibillion dollar m-commerce marketplace. But there is so much more to what mobile in commerce can deliver that, well.

M-commerce, of which mobile retailing is a subset, is everything from selling content and goods, to delivering vouchers and coupons, to engaging with and entertaining potential shoppers. The phone becomes a tool to drive those shoppers into brick-and-mortar stores; a channel to turn TV, print, billboard and online advertising into sales; a payment device; a way of letting consumers share and recommend retailers; and even a tool that allows them to call you if they really need to.

M-commerce even covers a range of services and offerings that make the consumer experience in an actual shop more informative and productive; and it delivers a whole host of services that retailers can use on the shop floor to improve the efficiency and customer service of their staff, cut checkout lines and allow for more up-selling and cross-selling opportunities.

And as such, mobile is something that anyone who is in the business of selling, or buying, anything – be it digital goods, real world goods, services, content or ideas – should be looking into.

To many people m-commerce is a natural extension of e-commerce: the selling of stuff on the web moving to the mobile channel. In many cases, m-commerce is simply the mobile version of e-commerce, only using the phone rather than a desk-bound PC or a laptop. (Which is another interesting point. Is shopping on a laptop or a tablet m-commerce? Indeed, is shopping on a digital kiosk while out and about m-commerce too?)

But this belies some inherent differences between online web services and those accessed via mobile. These differences are often subtle, but are hugely important, such as taking into account how the phone’s screen differs not only in size, but also in orientation and aspect ratio to a computer screen, the processing power of the phone, the ability – or not – of the phone to multitask, and the fact that the phone may be connected via a mobile network that will have variable – not to mention questionable – bandwidth.

But the subtleties of mobile go much deeper than these important technical considerations. Mobile commerce is also a psychological shift for the consumer. A person’s mobile phone is sacrosanct to him or her and incredibly personal. It is also (ironically, considering it’s a communication device) very private. This personal nature needs to be reflected in how a business uses the mobile channel to connect with a consumer.

Anyone looking to engage consumers in mobile commerce also needs to look at where and when the consumer is accessing a brand or a retailer’s website with his phone. Making sure that the consumer’s experience matches not only each device’s peculiarities, but also the peccadilloes and even time and location of its user, is a huge challenge; and this is what separates m-commerce from e-commerce to an even greater degree than what separates brick-and-mortar stores from their online renderings.

It will take you on a wild roller-coaster ride of thrills and spills, providing a brief history of e-commerce, the rise of the mobile phone and, more pertinently, the mobile web, as well as looking specifically at how mobile is playing out in the retail space.

With my young son set to be a consumer in his own right when I deem it time to start giving him pocket money, businesses like yours need to be ready for the fact that he and millions like him will not only be digital natives (that generation growing up now that has never not known the Internet), but they will be mobile digital natives. And they will want to do all manner of commerce using their mobiles. I would go so far as to say that computers as we know them will disappear, being viewed by my son’s generation as clunky, bulky and bedeviled by poor interface (unless we get more touchscreen and voice control). Everything will be done on mobile devices, with touchscreens. These will be everywhere, an integral part of life.

We have some way to go before we get to this, but as we stand at the start of the long road that is mobile commerce, any business – your business – needs to know what mobile offers now, what mobile commerce is doing globally, and where this is likely to go in the next couple of years.