Strategies for Business Growth and Expansion
Pre-pandemic, online shopping was performing well, but the Covid-19 pandemic skyrocketed its popularity. Online retailers were delighted with sales levels never seen before, as consumers of all ages abandoned conventional stores. Why the spike in sales? Convenience! Imagine browsing from your couch, ordering with a few clicks, and having items delivered to your door. There’s no line, no crowds, just an easy shopping experience.
The lion’s share goes to Businesses that constantly improve their performance, enhance service quality, and build trusting relationships with customers. So, how can you ensure you secure a portion of this soon-to-be-predicted trillion-dollar market and contribute to the continued growth of the online shopping market each year? Stay focused on continuous growth, optimize your operations, and prioritize building lasting relationships with your customers. This way, you will gain a bigger share of the growing online market.
In the current market of online growth every year, there is evident expansion in Ecommerce, affirming the persistence of this trend. The global Ecommerce market, in accordance with prior projections, is experiencing substantial growth as of this year. Recent observations highlight the sustained high growth rate of online shopping, and as anticipated from earlier analyses, it is projected to reach an impressive $58.74 trillion worldwide by 2028. This underscores the significance and enduring impact of Ecommerce on the world’s economy.
What Does Growth Mean For An Online Store?
“Growth” is more than just a buzzword, it’s the key to success, however, what does growth mean for an online store, and how can a Business owner gauge its progress? Growth is not solely about an increase in E-commerce sales. It also encompasses the expansion of reach, engagement with customers, and financial prosperity.
Let’s take a closer look at how Ecommerce Businesses can measure the effectiveness of their growth strategy:
1.Enhance Customer Acquisition and Retention
According to Annex Cloud, 65% of a Business’s customers are repeat customers, with repeat customers spending an average of 33% more on each order. This isn’t surprising, customers tend to buy more from a company they’ve been using for a while, especially one that provides an excellent user experience.
There are various approaches to address this, but they essentially boil down to three key factors:
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- Provide a high-quality product with quick, or competitive delivery times compared to other companies in your sector.
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- For customers facing issues, outstanding customer service is equally important. Regularly review customer feedback and address them with a diligent/professional approach.
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- Implement loyalty programs and incentives throughout the customer journey to encourage repeat purchases. Tailor these programs to target users at different stages of their shopping journeys.
2.Focus on Sustainability and Social Responsibility
Sustainability and social purpose are becoming increasingly important as we move forward. With Millennial and Gen Z consumers gaining more buying power, appealing to them requires ensuring that your brand has a positive impact on the environment and society.
Evaluate your packaging and practices to enhance sustainability efforts. Can you reduce packaging? Is it possible to transition to plastic-free alternatives? (Consider blending the trend of customized packaging with sustainability).
As you aim to be kinder to the planet, extend your focus to have a positive impact on society. Start with your own practices. Does your marketing content reflect these values? After confirming that your brand’s affairs are in order, consider how you can positively influence your local community.
There are numerous ways to make a positive impact, such as actively participating in a cause, or making an annual donation. By incorporating sustainability and social responsibility into your Business strategy, you not only align with current consumer trends, but also contribute to a better future for both your brand and the world.
3.Design (and Market) for Mobile Devices
Mobile commerce is experiencing a significant surge, especially among young consumers for whom mobile devices are an extension of themselves. Gen Zers, having grown up with the internet, have transformed their shopping habits, using mobile devices for product research, ordering, payment, and post-sales customer service.
Optimizing your site for mobile devices is no longer optional, but it’s imperative. Ensure your website runs smoothly across all devices, with adaptable layouts for various screen sizes. Pages should load quickly, and elements such as buttons and fonts need to be optimized for mobile usability.
In addition to designing mobile-friendly websites, consider tailoring your marketing campaigns for mobile platforms. SMS marketing, in particular a high open rate. While commonly used for enhancing the customer experience through delivery notifications and order updates, SMS marketing can also effectively convey time-sensitive messages, like flash sale promotions. Incorporating mobile optimization into both your website and marketing strategies is essential to staying relevant and effectively reaching your audience.
4.Optimize Onsite Interaction
It is important to design your website in such a way as to make it suitable for mobile devices, but there’s much more. User experience should be taken into account when designing, from your home page to the checkout page.
Understanding how website visitors interact with your website is the first step. For instance, is there a specific page where they usually stop to look at it? If so, does that mean there’s a reason?
The website layout should be intuitive. The choice of actions to be taken by all website visitors should make it easy for them to find the information they are looking for. You’ll improve the user experience if you correct these basic principles.
It is particularly important to ensure that your checkout process is optimized for user experience, while all pages are important. If it’s too complicated, potential customers might realize that they don’t really need the product.
It’s the same thing as shopping at a brick-and-mortar store, where you leave your products on the nearest shelf because queues are ridiculous.
5.Integration of Augmented Reality (AR)
Augmented reality (AR) is one such example that you can consider leveraging. In return, it will help increase conversions, engagement, and loyalty by creating a more immersive experience for your customers. Industries such as fashion and home decor have successfully utilized AR to give customers a better idea of the appearance of a particular product.
This is why AR has become such an important tool for online Businesses, bridging the gap between in-person and online commerce. Despite its convenience, online shopping lacks a key highlight and the ability to convey an accurate idea of item size, color, and quality. Augmented reality has the potential to address this and bring online retailers closer to the experience offered by brick-and-mortar shops.
6.Use Email Marketing
A number of other channels and technologies have been introduced since the inception of email, however, in the case of email, it’s not a matter of out with the old, in with the new. Email remains one of the most effective ways to communicate and market.
For instance, it can be applied to transactions, such as shipping notifications, or for more engaging content like weekly newsletters featuring the latest offers and products. Email is cost-effective, direct, and versatile. It continues to be a powerful tool for effective communication and marketing strategies.
7.Long-term SEO
Search engine optimization (SEO) remains relevant, much like email marketing. The expense and frequent disregard of paid advertising make it less appealing, while more brands are discovered through online search engines. Although other strategies may take time, SEO, in particular, demands patience as it is not a short-term solution.
Creating well-written content based on keyword research is a time-intensive process, and its effectiveness takes time to manifest. Ensure that your home page and product descriptions are optimized from the outset. If you don’t have one yet, consider starting a blog, or page on your website to provide educational resources for your customer base.
To summarize, forward planning is a strategic move in developing an effective Ecommerce growth strategy. It is important to formulate a growth strategy for the online retail sector. Some key tips discussed in this blog include integrating AR into your Business, testing virtual assistants, and investing in disruptive technologies. Furthermore, leveraging data for personalized experiences and enhancing site experience are fundamental components of a successful strategy.
