Why start E-Commerce?

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Start E-Commerce StoreWith the development of web technology, it has become much easier to do business on an international platform. According to recent surveys undertaken by Gartner, the trusted IT research service based in New York, small and medium businesses which have an online presence are able to generate 25 percent of their revenue through online sales, even when they have fewer employees. If this is not reason enough to go online, read on below for more.

Here are some more statistical figures. Presently over 500 million people use the internet   worldwide. So, you can imagine the potential of finding customers on the web. Also, there has been a major shift in the shopping patterns  and the tilt is towards online shopping. In the United States alone, people splurged more than $300 billion on online shopping by 2010. In the subsequent years, the numbers have increased further.

The major reasons why businesses tend to go online are low startup costs, greater global reach and easy management. Online businesses are very cost effective to begin because you do not need a showroom space and splurge on doing up its interiors. All you need is a good looking web portal, which can be done in fraction of the cost required for setting up a physical store. Secondly, you save money in terms of advertising. When you are online, there are so many ways in which you can increase the visibility of your business and direct potential clients back to your site. All these methods cumulatively cost much lower than land based advertising.

Thirdly, you save money because the operational expenses are very low when you go online. You donít have to spend  much on energy bills. Also, you do not require a lot of staff, which accounts to additional savings. Most of the successful ecommerce sites succeed because they can outsource lot of their work and save money in the process. You can outsource your marketing and publicity campaigns, lead generation requirements, content development, customer support, VoIP hosting services and almost every aspect associated with business. You reduce a lot of work load for yourself and the work is done with higher efficiency.

Unlike land based stores, an online store or an ecommerce site is not geographically confined. Every website has a global presence. So, you can reach a far wider range of customer base and see an increase in your sales. In addition, an ecommerce site is open 24 x 7 and all around the year. Be it night, day or holiday, your store works even when you donít.  An ecommerce store brings in money when you are sleeping as well. The overall profitability of your business increases drastically.

However, the biggest benefit of an e-store is that you have greater scope of branding your products. Your professionalism and efficiency is not subject to the way your store looks, unlike land based stores where the appearance of the store speaks volumes about a business. You can grow into a brand faster and with more profundity.

The functionality that online businesses enjoy is higher as well. Working hours are more flexible and you can access your store anytime and from anywhere. You can manage the business better since services and products can be updated on the store promptly.

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