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Ecommerce, Retail & Inventory

Online shopping habits, How are they changing?

The face of the marketplace is rapidly changing, potentially more than you even imagine. Recent studies have shown over 80% of all consumers are making their purchases online. With the holiday season coming up, the trend is bound to have some impact on your online business, especially if you’re in the business of selling entertainment items such as laptops or video games. Is your business able to keep up with the upcoming demand?

Amazon, Online Retailer

Mega online retailer Amazon founded in 1994, created a shopping marketplace that was a push towards driving more traffic to the ecommerce store rather than fighting crowds at the local brick & mortar store.

Customers that are otherwise tied to shopping at a tangible storefront cite different reasons for doing so. Three of the highest ranking reasons are to avoid shipping costs, immediacy of purchase, and the ability to actually touch and feel the item they are buying. While the latter is impossible for an online store (with today’s technology, at least!), Amazon attacked the first two by severely cutting down shipping costs and getting the game to their customers the day it was released.

Amazon has been rather aggressive in the video game field, even beta testing a trade-in section for their site, going after brick & mortar store Gamestop’s business model. The ecommerce site is also planning to expand on its digital download games service. Amazon is clearly embracing grabbing as much of the new ecommerce shift as they can.

Have you considered ways for your business to jump ahead of this bandwagon? Can you offer big incentives like cheap shipping or fill a niche like offering a trade-in for your products?

Browse Digital, Shop in Retail Location

Some of the aforementioned stragglers clinging to buying items in the “real world” are consumers that enjoy browsing for products online, then going out to a store and purchasing the item there instead.

The top products that fall into this category are electronics, kitchen items, and furniture. It’s easy to see why some might prefer to manually grab and carry these items into their house; however, it’s your job to figure ways to stop those customers from being scared to ship them through the mail instead of hopping in the car!

Once again considering the upcoming holiday season, the incentive to not have to fight angry mobs of shoppers at the mall is definitely to your advantage. The season is enough of a headache inducer as it is, so give your customers as many reasons to stay at home and just click the “Order” button, even if it’s furniture.

Besides the shipping incentives mentioned above, consider bundling items together for ease of purchase. In fact, how about an option where the more the customer orders, the less they pay for shipping?

Also, don’t forget about coupons and sales – over 50% of those polled said a brick & mortar store offering online coupons made them switch to the ecommerce version of the business.

What are some ways your business could be more prepared for the upswing in ecommerce spending?

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Kabbage Team

The Kabbage Team is here to not only fund the small business loans you need, but to help you grow your business through free marketing tips, webinars, tools and more. Is there something you'd like us to cover or want to get your small business featured on our blog? Send us a note at content@kabbage.com.

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