5 Common Problems with Online Merchants

Did you know that 57% of the world’s population has access to the internet? When a consumer wants something, the first place they look is the internet. That is great news for you, as a marketer and eCommerce store owner. But, as you will know, running an eCommerce store comes with its fair share of challenges.

The digital era has changed the way we function our daily lives and the way companies operate.

Challenges and problems arise, there are no two ways about it. It’s all part of the journey and your growth. But, being aware of them will help you better prepare for any challenge that comes your way.

So, here are five common challenges that online merchants often face and what you can do it about.

Finding The Right Product To Sell

Today, literally anyone can set up an online store and start selling products. The eCommerce world is swamped. Plus, let not forget the big players like Amazon and Aliexpress. While it is almost impossible to compete with them, it doesn’t mean you won’t get customers. This is because not all consumers shop the same, this is often something that many marketers overlook.

Solution

Be niche specific and offer a product or service that solves a problem for your consumer. Offer something they won’t get anywhere else. This will take a lot of research, trial and error and dedication but it will help you stand out in the long run.

Limited Financing Options

You may be selling a great product or service, but there is one problem, the customer cannot afford it.

Solution

Research has shown that businesses that offer financing options generate more conversions. Offering a point of sale (PoS) finance option, known as ‘buy now, pay later’ from companies like ChargeAfter.com will work wonders for your business. As a matter of fact, 58% of shoppers would use a finance option for purchase over $260 even if they could afford to pay full price upfront. The truth is, consumers love to buy goods on finance, therefore, having it as a payment option for your business is a must. 

Identity Verification

Having an eCommerce store is great, getting traffic is even better. But, how do you know that person is genuine? For all you know, they could be entering false information. This is terrible for your business and makes you an easy target for fraudsters.

Solution

Make sure you have an identification process in place. There is software that helps you identify fraudulent attempts and keep hackers away. This is a must for your business! Do not overlook this because if a consumer gets their identity stolen on your website it may take a while for your business to recover.

Maintain Customer Loyalty

Did you know that a new customer costs you 5 times more than an existing one?

Yes, that’s right. Maintaining customer loyalty is super important. If a customer enjoys the experience you give them, they are much more likely to buy from you again and again.

Solution

Provide excellent customer service. Design offers and incentives to keep them coming back for more, reward them for being a loyal customer. Show your customer that you genuinely care about them and not just their wallets. Not only will they stay loyal to you, but they will also tell their family and friends about you!

Refund Policies & Delivery Time

Research done by ComScore found that over 60% of customers look at a company’s refund policy before making a purchase. Not only that, but ComScore also found that half of online shoppers didn’t want to wait more than 5 days for delivery.

Solution

Be transparent and never be dishonest about your refund policy. In fact, you should make it easily accessible on your website. Consumers appreciate honesty. After all, you wouldn’t want to waste your hard-earned money with a dishonest company, so why would they? The more honest you are, the more it will work in your favour.

The Bottom Line

The problems mentioned above are some of the challenges eCommerce store owners face. You may have even encountered a few of them already. But, now you have the solutions for them too!

The internet is continuously growing and online shopping isn’t going to slow down anytime soon. When you are aware of the issues you can resolve them quickly and prevent them from happening again. In return, you get more time to focus on your business and it’s growth!