Common myths about e-commerce are so fundamental to business managers that they can lead to failure. Here are 7 common myths about e-commerce and the information you need to create the perfect business.
Myth 1. The seller’s passion for his product is his best tool.
This is the most common of the myths, and it is half true. You have opened a shop of mirrors, stairs and umbrellas, because these are your three favorite things in the world. This will be a huge advantage when it comes time to talk about what's good in them. But this can hold back trade. Knowing or believing in something does not mean that the rest of the audience is competent and needs it.
Speaking about your product, do not miss the key information that will help other people understand why you need to buy it.
Maintain product focus as a key ingredient, but add equal parts of your passion for business and your audience. The latter is especially important. The unique needs of the target audience will determine the decisions of the product line, which may not coincide with the choice of the seller.
Myth 2. Low prices are a competitive advantage.
The myth of “setting low prices” breaks down into three clear problems:
- It depreciates the work of the entire industry, causing customers frenzy overpriced. The client begins to understand how much these products should cost "in fact."
- This leads to extremely lazy marketing and differentiation because someone has mixed up pricing and marketing strategies.
- A wholesale supplier is playing on the field. Someone will always find a way to beat the previous price, which will make this business unsustainable.
Think about what really distinguishes the product, and then set a fair price. People want different things: long-lasting and high-quality, unique and artisanal, innovative and advanced things. Find what makes your products better and don't sell yourself cheaply.
Myth 3. You can repeat the past success in business.
This is really cool. Someone was a senior seller in the company, someone ran his first business from a dorm room. Someone else organized something that flourished 15 years ago. All the emotions and business qualities are still preserved, but this is a different business. E-commerce is a space that changes every day. E-business is supported by new, creative solutions.
Two parts of curiosity, one part of adaptability, and three parts of the “right” people. Keep up to date with trends, strategies and industry developments, and develop your thinking to meet the needs of a new audience. Remember: you do not need to be an expert in everything. You need to find experts and give them the opportunity to do what they know best.
Myth 4: Performance Evaluation Is All About Income
Revenue and profit may be the ultimate goal, but as a data they tell an incomplete story. For example, you can campaign effectively and see low conversion, but what does this really mean? It is impossible to find out without setting goals and indicators of the average level. If someone noticed the presence of the company on social networks and does not need a product today, he can remember the company tomorrow. Or in a year. Or recommend to a friend who needs a ladder. Brand recognition is worth its weight in gold.
Consider the ultimate goal of each strategy and find an appropriate way to measure it. High-sequencing strategies, such as PR, social media, and content strategies, should usually be measured by engagement metrics rather than revenue metrics.The job of a marketer is not to transform your audience. His task is to develop the network broadly and strategically. Measuring each channel according to the right indicators will help to make better decisions and give employees the freedom to do what they can do best.
Myth 5. Keep content on the page at least for optimal UX
No, probably you should not write a lot of words about the product on the product page itself. But many people tend to adhere to this principle. This is a common myth about websites that people ultimately do not want to read. Given the logistics of purchases on a mobile device, it is understandable. But books still exist, as have voluminous magazine articles and editorials, long Facebook posts, and blog posts. Therefore, the point is not that people do not want to read. They do not want to read the wrong content in the wrong places.
Good writing + good design = interesting content. It also helps to find a way for a hassle-free and unobtrusive way of demonstrating this content, and here designers work wonders. If the web page contains information that is useful to people, they will read it.
Myth 6. There is a logo and a color palette, which means there is a brand
Branding is an ephemeral concept that needs to be described. Therefore, you can use the most tangible components of branding. But design is not a brand. This is one of the brand’s communications tools. Having decided to wear only blue and green with yellow accents every day, can you expect this to tell the whole story about who you are? No, because people don’t understand why you are doing this and how it expresses your personality.
A few more ingredients are needed, including secret sauce. Mix it all together to convey the brand’s values, heart and soul. People do not become loyal to brands because of color. They become loyal because they share his spirit. Start by thinking about what your brand means. Use copying, design, customer service diagrams, partnerships, products, people reach and photos as tools.
Myth 7. Online business will be the only and sufficient source of income.
However, this is not the time to start a business. Many people consider starting a business an ideal time to finally fulfill their dreams. This is the logic. But, unfortunately, financial uncertainty may not create a situation leading to long-term success. It is too easy to make wrong decisions, use short cuts and strive for quick victories when you are desperate. On top of that, companies invest a lot of money in creation and development.
Set the task: “Get out of work” as one of the goals of your business and develop a plan. Work on the business as much as you can in your free time, but keep your daily work. This may take longer, but will be safe.