Matebiz – Advantages And Disadvantages Of E-Commerce

With an exceptionally huge market of brick and mortar stores, the e-commerce market has its own significance. E-commerce market means buying and selling by using electronic media like mobile and internet. There is no physical store. All transactions are done online. The e-commerce market has expanded rapidly in the last decade gaining popularity and replacing the traditional market. With an increasing number of platforms and E-commerce websites, the scope of E-commerce is increasing day by day.

Advantages of E-commerce

• Worldwide Reach– Be it a small-medium enterprises or large scale business, every business wants to expand internationally. E-commerce has the biggest advantage of reaching worldwide. This means that you are not limited to your local market but a boundless market. This gives you a chance to discover your audience worldwide without incurring heavy costs.
• Lower financial cost– You do not need a store, with that your expenses of rent, electricity, employees, infrastructure and other related costs disappear. All these costs are a huge burden on an entrepreneur and also reduce the profit. With e-commerce, your profits are just yours except for some shipping cost which is much lower than the above costs.
• 24/7 presence– Is it possible for you to work 24/7 in your store? I am sure the answer is NO! It is just not feasible. But what if I say it is possible for your business to run 24*7 and you can earn income 24*7? A sound impossible but it’s not. E-commerce provides you with this opportunity. Having an online presence is what makes it accessible for worldwide customers to make a purchase anytime, anywhere.
• Retarget and Remarket the customers– B it online stores or traditional ones, some customers would just visit your store but won’t make a purchase, either they are confused or they were just up to window shopping. Whatever the case is e-commerce platforms can easily retarget and remarket the customers with Google AdWords which is definitely not possible in brick and mortar stores.

Disadvantages of E-commerce

• Site Crash can be a huge issue– Once an e-commerce site is crashed, no one can make any purchase. Since it is a technical problem, it is not always easy to resolve it. This immensely affects the business as the company’s sale and revenue will be affected adversely. One can reduce this problem by hosting its site on the right platform.
• No trial– This is a great disadvantage of E-commerce. Generally, people avoid buying online as they cannot try the product and thus this dilemma of whether it will suit them or not, people prefer to buy from the traditional market than e-commerce.
• Waiting time– In the traditional market, once you make a payment, you immediately get the product in exchange. While this is not the case with online marketing, you at least have to wait for 2-3 days after making payment. Therefore, online marketing cannot work when you have to make an immediate purchase or you need a product in urgency.
• Despite competitive E-commerce market, traditional marketing is still more popular– Based on facts and figures, it is evident that the online market is growing but the traditional market still owns most of the market share. The major reason lies in the fact that most of the people are still hesitant to make an online purchase without trial or without even seeing the quality of the product. There is no sense of trust in people when it comes to digital marketing.

Considering all the pros and cons, one then needs to decide whether to have an E-commerce business or not.

Matebiz is a leading Ecommerce web design Company in India for E-commerce. You can contact us with your requirements. With our experienced team, we will surely understand your needs and expectations.