CONSUMERS ON E-COMMERCE

What Consumers Want from E-Commerce Websites

 

Which e-commerce website elements are most important to consumers? What should brands focus time, energy, and budget on improving? To find out, we looked at a host of recent surveys, research reports, and academic papers. From that analysis, we found that people across all regions and verticals consistently value the same few core website features when shopping online.

E-commerce is the trading or facilitation of trading in products or services using computer networks, such as the Internet or online social networks. Electronic commerce draws on technologies such as mobile commerce, electronic funds transfer, supply chain management, Internet marketing, online transaction processing, electronic data interchange (EDI), inventory management systems, and automated data collection systems. Modern electronic commerce typically uses the World Wide Web for at least one part of the transaction’s life cycle although it may also use other technologies such as e-mail.

Choosing the right online store platform is very important for business owners. The two most popular choices for e-commerce are Magento and Shopify. While both offer many features and benefits, Magento runs 14 percent of the top one million shopping sites, and 10% of all ecommerce online.

The most important thing about the two platforms is how they are used. Magento runs very large websites such as Olympus, Ghiradelli and Nike. Shopify is used by the Los Angeles Lakers and Tesla but is usually the choice of smaller businesses.

Magento wins for SEO, generating much higher interest than Shopify. Another large difference is coding flexibility. Magento is an open-source application written in PHP. This means it can be easily modified for individual business needs.

Shopify’s code is proprietary, meaning it cannot be altered. This makes Magento a better choice for more complex stores that require extensive customization, such as seasonal templates, special URLs and meta descriptions.

Shopify is a hosted service that requires a monthly subscription fee. Magento is a self-hosted platform that is maintained by the business or a developer.The pricing scheme for Shopify starts at $29 per month and goes up to $179 per month. While the higher-priced Shopify tiers offer benefits like payment gateways and abandoned shopping cart recovery, the service also takes a percentage of each sale in transaction fees, which can quickly cut into a company’s bottom line. Magento’s community edition is free to download and host wherever the business wants to, according to need and budget.

Both platforms are very basic out of the box and require add-ons to build a store. Magento is the leader with over 5,000 add-ons, compared to 100 for Shopify. Magento also offers more upfront features for customers, including wishlists, coupons, related products, gift cards and a fast checkout.

One of the biggest challenges for an e-commerce presence is scaling as the business grows. Shopify is limited in its ability to scale, while Magento can be as large and flexible as a company needs, making it the right choice for future expansion. Magento is also 20 percent faster than Shopify, which provides a better user experience for visitors.

While both platforms include tools to build an online store, Magento makes it very easy for administrators to access reports, set up payment processors, organize products and manage customers. Easy management frees up time to expand the business and increase profits. Magento also has a strong community behind it that always available for help and advice.

When it comes to e-commerce platforms, the goals of the business and the budget at hand will decide whether Shopify or Magento is the better choice. For stores with a small number of products, Shopify is a good starting point. When a company wants unlimited growth and flexibility with a large inventory, Magento is the clear winner.

2017 will be another exciting year for eCommerce industry, but there are some major challenges for retailers. If you want to develop a winning e-commerce marketing strategy, you’ll need to start planning now. We live in the age of the digital buyer. Today’s customers are not average, they’re wise to the ways of marketing channels. If you really want to win a customer, you must be obsessed with him/her, understand their pain point or needs and provide a relevant solution.

Most of the people are spending their time online and prefer to shop products online. These days, 51% of Americans prefer to shop online rather than in stores—a figure that jumps to 67% for Millennials and 56% of Gen Xers. In 2016, total retail e-commerce sales across the globe reached $22.049 trillion. Sales will top $27 trillion in 2020, even as annual growth rates slow over the next few years. When it comes to e-commerce, men drive nearly as much spending online in the U.S. as women. Men are more likely to make purchases on mobile devices. 22% of men made a purchase on their smartphones last year, compared to 18% of women.

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