The Perfect Digital Marketing Strategy for an E-commerce Business.
E-commerce has completely revolutionized the way businesses are run. Companies like Amazon are ruling the industry, and have indeed paved a way for new careers in this digital era.
But what actually is e-commerce and how well do we know it?
E-commerce simply means purchase and sale of goods and services through electronic or digital platforms. Since the popularity of the internet began increasing, the e-commerce industry has also been progressing at a similar pace; many companies like Amazon, Alibaba are excelling in the industry and have accounted for more than 40% of the sales at the end of 2017. Researchers say that the number is likely to increase by the end of 2020.
It’s never too late for you to start your e-commerce store! However, it takes a lot of marketing efforts and strategies for you to survive in the industry. If you have already started running an e-commerce business, then your strategies need to be up to date. If you can implement an e-commerce marketing strategy perfectly, your road to a profitable business would be smooth.
If you’re facing difficulties in strategizing your marketing plans, then this guide might be of use to you.
Guide to excelling at your e-commerce store:
Analyze and Research.
While drafting a business strategy, it is important to take these questions into consideration and analyze the responses.
- How is your business running?
- Where are you winning and where are you losing?
- How much are you spending on resources?
- Which areas need to be improved?
- What are the costs and what is the margin between cost-price and selling-price?
- Are you getting the resources you are using at the best prices? If not, what are the alternatives?
- How much are you spending on marketing channels?
- What are your returns?
Similarly, analyzing your competitor’s efforts, both successful and unsuccessful, about how they are doing can teach you a lot and help you get strategic ideas about what has to be done and what has to be avoided.
Set KPIs (key performance indicators) for your business and keep evaluating them. Do not limit yourself to financial KPIs, profits and losses. You may also include:
- Response Rate or Click Through Rate (CTR).
- Conversion Rate/leads.
- Average order value.
- Customer Lifetime Value
- Total revenue you’re generating.
- Profits from the Total Revenue.
- Total Marketing costs.
- Marketing cost for each conversion.
- Profits gained on the costs spent for each product.
- Best selling items.
- Products with higher profit margins.
- Products with higher marketing costs or higher costs.
By analyzing the above mentioned KPIs, you can plan your marketing strategies perfectly and decide your costs accordingly, by selecting those items which are generating more profits.
An e-commerce store that doesn’t use social media is definitely not going to be as lucrative as the ones that use social media. Social media sites have become a part and parcel of our lifestyle these days, especially for the millennials who spend the majority of their time on social media. So when you know where you can reach out to your potential customers, you must ensure you have a presence there. Post content, create groups/pages, engage with them, listen to them (customers are your first priority); so that your e-commerce marketing venture is fruitful.
Create Useful Content:
Content is and will always remain extremely important in the marketing field. When you are strategizing marketing plans for your e-commerce store, content is your biggest asset for success. So when you create appealing and authentic content for your e-commerce store, you will definitely find success with your marketing plans.
Email marketing campaigns, in fact, have higher conversion rates when compared to social media sites. Sending customized emails to customers regularly about your products will prompt them to open your emails and will generate some leads.
Using circumstantial or customized marketing can boost your business in incredible ways. You need to take into consideration elements such as regional feelings, current events or situations and provide customizations according to it. Big players such as Amazon are sustaining in many regional countries because of this type of marketing.
Word-of-mouth marketing is usually the best marketing technique for certain business and will bring valuable leads to your business. But in order for this technique to work, you will have to gain customers’ trust. To win their trust, apart from quality products, you also need to offer loyalty programs/offers. This indeed is a good investment.
Voila! If you've come this far, you now know how to stand out from the crowd. Truth is, there isn't any so-called perfect plan. So, Strategize your business plan, do research every so often on your competitors and adapt technology advancements into your business.
Perseverance is important to the success of any business. Try to be modest. Here's wishing you all the best.