In today’s competitive online marketplace, it can be difficult for new entrepreneurs to carve out a niche for themselves. E-commerce giants like Amazon and Walmart have taken over much of the marketplace, squeezing out smaller companies with their rock-bottom prices and low shipping costs. However, it is possible for new entrepreneurs to make a stand in the online environment. Candice Cunningham, an expert e-commerce consultant from Chicago, Illinois, offers ways that new e-commerce companies can set themselves apart from the crowd and provide the best possible service to their customers.
Offer Specialized Merchandise
For a new e-commerce firm, it is best to target a specific market. For example, you may wish to sell sporting equipment for children and adults. It is wise to do a market analysis and find out how big this market is, who your prospective customers are, and how the market is affected by ongoing conditions. It is a good idea to drill down and sell specific types of merchandise.
Selling a smaller number of items allows you to focus on each one, providing excellent customer information for each item. Having a smaller warehouse is also a good idea for an e-commerce company. As your business grows, you can add more products and more space in your warehouse.
Shipping
It can be very difficult for smaller e-commerce companies to compete with the big players when it comes to shipping. Smaller companies are often not able to provide free shipping since they cannot purchase shipping services at a low bulk rate. Companies may want to set their shipping prices as low as they can, accepting that they will not make money on shipping. They can build in profit based on the prices of items sold.
Website Design
As a small e-commerce company, it is especially important that your website is simple, sleek, easy to use, and completely compatible with PC-based browsers and all types of smartphones. If customers cannot access the website on their preferred platform, they will often leave and find a retailer with a format they want to use. This can cause even the most loyal customers to leave.
Graphic design is another facet of a great website. Have your graphics professionally designed, and make sure that they are attractive and communicate a clear idea of what your business sells.
Customer Experience
When competing with the online giants, it is smart to focus on customer service. The big companies can’t provide the same level of care as a small retailer. Be responsive to messages and requests for more information. If you cannot afford to have a full-time customer service representative online at all times, you may want to look into adding a chatbot to your site.
A chatbot is an AI program that can interact with customers and provide replies to relatively simple requests for information. Chatbot programs are surprisingly affordable, even for small companies. Combined with the services of a chatbot, a live customer service representative can answer more detailed inquiries.
Responsiveness
A small company has an advantage over a behemoth when it comes to adaptability. E-commerce firms can keep track of their most and least successful items and change their inventory to a more profitable configuration.
Small companies may have a more difficult time setting rock-bottom prices, but they can provide better and more responsive service to the customer. If a customer has a return or exchange request, this can be handled professionally and without going through the red tape required when dealing with a large e-commerce retailer. Companies can keep track of their customers’ requests and use this information to make better decisions for their business.
Promotions
A small e-commerce company should take advantage of all social media sites. This provides an opportunity for e-commerce companies to interact directly with their customers. Some customers may be reluctant to email or call a company, but they will have no trouble making a Facebook post or an at-mention on Twitter.
It is vital that companies keep up with their social media feeds, making posts regularly and keeping track of their requests for information. An inadequate social media response will leave your customers feeling as if you don’t care about their concerns. Use a variety of techniques, from polls and special giveaways to videos.
Success for Small E-commerce Companies
Candice V. Cunningham encourages all entrepreneurs to look into the rewards of operating a retail website. Even though the market is dominated by large players, there are niches available where small companies can thrive. Focusing on customer experience and service, new e-commerce companies are able to compete in the larger marketplace.
