Weighing the Differences Between eCommerce and Traditional Commerce

Due to the increased popularity and availability of Internet access many traditional small business are considering eCommerce as a valid and profitable sales channel. However, eCommerce and traditional commerce are very different, and it’s important to weight carefully the differences between eCommerce and traditional commerce in order to decide if it would be a good fit for your business or just a costly mistake.

Direct Interaction

Traditional commerce is often based around face to face interaction. The customer has a chance to ask questions and the sales staff can work with them to ensure a satisfactory transaction. Often this gives sales staff an opportunity for upselling, or encourage the client to buy a more expensive item or related items, increasing the shop profits. On the other hand, eCommerce doesn’t offer this benefit unless features such as related items or live chats are implemented.

Lower Costs

eCommerce is usually much cheaper than maintaining a physical store in an equally popular location. Compared with costs such as commercial space rent, opening an online store can be done at a fraction of the price for less than $50 per month. This can prove invaluable for small business owners who don’t have the startup capital to rent prime retail space and staff it to be able to sell their goods.

Reach

With an online shop you can do business with anybody living on a country you are able and willing to send mail to, unlike traditional commerce where you are restricted to people who actually come to your shop. This also opens the door to many other forms of marketing that can be done entirely online, which often results in a much larger volume of sales and even foot traffic to the store. An online store has no capability limits, and you can have as many clients as your stock can serve.

Returns Rate

In a traditional store, the customer will be purchasing the product in person, which has some benefits for both the him and the store. The customer will be able to touch and check the items, to make sure they are suitable, and even try them on, which reduces the number of returned items or complaints due to an item not being as advertised on a catalogue. or promotional leaflet. Expect a significantly higher rate of returns if you start trading online, as many will just order and try the items at home, and won’t hesitate to return them as they can do it by post without having to talk with anybody in person.

Credit Card Fraud

The remote nature of ECommerce makes much more difficult to detect fraud, which means stores can lose money due to fraud. While traditional commerce is not totally secure, it’s easier for a sales attendant to verify that the person buying something is actually the owner of the credit card, by asking for photographic ID. However, the fight against card fraud is well underway and banks and responsible eCommerce owners work together to verify that all card use is legitimate.

What Is an Ecommerce Website and How Does It Work?

Ecommerce derived from the word electronic commerce, is the method of selling or marketing goods and services while transferring funds or money online through electronic communication or networks. Ecommerce is also known as website ecommerce, eBusiness, eTailing, online commerce, ecom or EC.

A typical business websites do not have the same traits or features of an ecommerce site. In order for you to effectively distribute goods or market services online, the features of a website ecommerce can make it easier for you and your consumers. The features are from shopping carts, online product catalog, automated inventory database, statistics tracking, ability to use credit cards, and other non-computer related tasks such as product warehousing and shipment.

Opening a business on the internet or a website ecommerce shop can give several benefits to both merchants and customers. One of the best benefits of conducting an online business is it cost a cheaper upfront for a merchant, as it is easy to build an ecommerce website. If you have an existing site, you can easily turn it into an ecommerce website in minutes by just getting a hosting website ecommerce hosting services. The ecommerce hosting provider will give you a step by step guide on how to turn your normal website into a money generating site, and they also offer tips on how you can improve your sales and get more out of your investment.

The availability of online shopping greatly contributed in attracting people. Customers can easily browse and shop any time of the day or any day of the year. Shopping on an ecommerce site can easily be done from the comfort of your own home or anywhere that has internet availability. This also benefits the seller, as they can easily add products displayed anytime of the day making standard business hours irrelevant.

If you have a variety of products to sell, you won’t need to worry because an ecommerce site can make it easier for you. You can put them all in your website but you should also consider placing them in the right product category, and providing detailed description for each item to inform more costumers on what you are selling. Design is also important whenever you opt to place products in your website, as it can greatly affect your consumer’s impression about your website’s credibility and affect your sales as well.

Ecommerce websites are built with secured payment methods to benefit you and your consumers. Once the customer is done shopping and purchased from the ecommerce store, a series of PHP scripts gather all the important information about the consumer’s billing and shipping address, payment information, and other relevant data about the purchase. While another separate PHP script goes through the customer’s payment info and make a format appropriate for the credit card network to process the payment. Depending on the response from the costumer’s credit card network, additional PHP scripts will then make a receipt about the purchase records. If the transaction was approved, a final PHP script will send an email to the ecommerce site owner telling them that the order has been placed.

Tax advantages are one of the best reasons why you should consider building an ecommerce website, which you can’t get from a brick-and-mortar selling. An ecommerce site will qualify you for tax deductions and save more from taxes compares in selling from a physical storefront. Traditional business will oblige you to pay taxes from utilities, rent, and mortgage bills as a cost of doing business, while online merchants can avoid all those extra expense and still make a very good business.

Like in any other business the most important part is your customer’s satisfaction. You should always make your consumers feel comfortable and safe from your website, for you to become more successful and benefit from your ecommerce site.

Ecommerce Hosting Reviews

With the turn of the century, ecommerce hosting markets have become highly competitive. Many ecommerce hosting companies offer website hosting with similar features and at similar prices. The potential customer can choose from a variety of ecommerce providers. The customer may be influenced to sign an agreement with the ecommerce hosting company solely based on the presentation and advertising strategy used without evaluating the reliability and quality of the firm. For this reason, a large number of experts, critics, and users provide ecommerce reviews. A review refers to the critical evaluation of product information, performance, and price. Ecommerce hosting reviews reexamine the salient features of various ecommerce hosts offered by companies and provide the buyer with a systematic guide for choosing which host is best for him.

Ecommerce hosting reviews compare the service offered by various companies for sale. Important aspects such as facilities offered, affordability and features that differentiate one company from another are covered. Reviews also provide information related to the service they offer to clients for technical support and website maintenance. Ecommerce hosting reviews also cover important aspects such as security, space, speed, uptime, and email services provided by the hosting service. Quality reviews may also provide readers with additional information such as control panel navigation, software availability, FTP services, and access to server logs and errors. Some reviews may also provide a rating for a select few ecommerce hosting providers to indicate their relative merit. The ratings when compared allow the customer to make the right choice and finally approach the company for service. Ecommerce hosting reviews only evaluate the performance of authorized and licensed hosting companies. The reviews also offer details of contact information of the hosting provider along with the pricing of different packages offered by them.

Ecommerce hosting reviews are easily available online on websites and in related magazines and journals. Reviews are not always reliable. Some ecommerce hosting reviews are biased and offer one-sided evaluations of the service.