Myths and realities of a successful eCommerce business

By Neeraj Singh | Updated: Mar 13, 2018
e-commerce myths are common and exists across all business functions and startups online. Myths are to be busted in order to start a successful e-commerce venture. Avoid myths, do reality check and plan your online strategy to maximise the chances of success.
There are multiple examples of entrepreneurs that have made millions through e-commerce and built a successful business on the web. online store is becoming a convenient way of transacting for shoppers. At the same time, many entrepreneurs enters in online store business hurriedly and unprepared and suffer great business losses and damage of reputation.
The entry to online shopping is more complicated for those entrepreneurs who are particularly not technology saavy and may face difficult times achieving their online business objectives.

Do not fall into any of the following e-commerce myths.

Myth 1: Setting up a business on the web is easy and inexpensive

With the widespread presence of website and online store framework like WooCommerce, KartRocket, Majento etc. it in widely believed that setting up an online store is an easy and inexpensive option. In reality, this may be good for businesses with very few transactions and non reputed entities. But building a valuable e-commerce enterpize with the focus of expanding market is not an easy one. There would be many back end processes involved like collecting product images, content writing, categorization and uploading of these information. The setting up and integration of payment gateways, shipment, taxation are the other ones. More comes in the likes of billing, return of goods, customer care and refunds etc.

Myth 2: Making money on the web is easy

Making money on the web is easy is far from reality. Someone claiming to earn INR 100,000 monthly by selling some kind of products to few desperate customers is either concocted or designed to make money by illegal or unethical means. There are many companies who have invested time, knowledge and money to build a viable system which can generate revenue by offering online products. They have done it by implementing careful online marketing strategies and promotion. They have a very good CRM and customer care behind the operations and have a mechanism to develop trust in their customers.

Myth 3: Customer Privacy and Protection is not an important issues on the web

Shoppers at your e-commerce portal will more likely to convert if they feel that their data is safe and secure on using your websites. The sales on the web stores with no such protection guarantee or without SSL are less likely to convert than on sites with SSL. In digital marketing, SSL websites are preferred over non SSL websites. You shall be very clear that how you will utilize the data collected from your customers on your website.

Myth 4: Technology is most important thing is e-commerce business

Apparently, when we talk about setting up an e-commerce business, it look like it is more of technology than that of setting up bricks and mortar business. Unfortunately, this is not a reality. Yes, technology is required to setup your store but a sound online business and marketing strategy will unfold the potential of your online store. You need to have a crafted plan of action for your online business the way you have for your offline ones.

Myth 5: People will automatically come to your store once tour store goes live and above all will start trusting you.

There are millions of online store on the web. Therefore, you will have to face a cut throat competition on selling your products. Customers now a days have more choices that they had. So understand that people will automatically discover you and be your shopper is a big myth and nowhere close to reality. Being a store owner, to drive customers to your store and help them buy from your store, you need work on multiple fronts. Few of them are like –
  • Providing smooth and easy navigation
  • Proper SEO implementation on all major search engines: this will help direct customers towards your store
  • Efficient search box: your search box is like a sales person of your store, who brings items of customer’s choice as quick as possible. Customer tends to be in no-wait mood. If search is not appropriate and quick, he will try next shop where he finds his choice easily.
  • Customer Care: one of most important department you need to consider before you plan to setup an online store. This will build customer confidence and trust

Myth 6: Implementing an e-Commerce setup is a panacea for your e-commerce success

Setting up a working e-commerce portal is just a beginning. All the hard work starts from here and this is the reality and must be recognized. You need planned and coordinated efforts to succeed. For an example, if your store is lacking on providing post sales customer service, you will find very few returning customer to your store. Not only that, they may influence others not to shop with you. Everything that happens in brick and mortar model happened in e-commerce also. There is no shortcut. To succeed, you need to invest substantial amount of effort in making your online store business a success.

Myth 7: Once the site is up, everything will fall in place

Again this is not true and not the real picture of how e-commerce business succeeds. You will require a well thought out strategy for online marketing (with timelines) using all possible tools and means. Those means include email newsletters, promotional campaign, social media campaign, SEO marketing, field promotion and any other means that is suitable to motivate your potential buyers. These campaigns shall be well planned and relatively longer term.

Myth 8: Good product lines can make your business a success

Although it is true that good product line is the key for business growth but again – to sell those products you will need to have a solid online marketing strategy, resources and a robust transactional system in place.

Myth 9: Revenue is the most important factor in your e-commerce success

There is a cut throat competition in online retail businesses. Today, market need to bring new ideas frequently to attract customers toward your store. They also need to innovate more and more in the way products are delivered these days. If you are not investing enough to stay in trend of the market, you will sooner than later start losing revenue also.