For the last two decades eCommerce has grown immensely and today it is offering businesses a legitimate opportunity to expand and improve revenues. If you haven’t invested in eCommerce then you are missing out. However, it is not too late. According to recent statistics eCommerce sales will continue to rise for the best part of a decade and as such, there is still a lot of potential for new investors. Before you get started though, you need to understand certain aspects of eCommerce, how it works and of course how you can take advantage of it.
What is eCommerce?
eCommerce refers to a modern business concept that involves conducting business transactions electronically through the internet. For quite some years now, eCommerce has evolved and diversified into areas such as online shopping, B2B buying and selling, and so much more. Getting started with eCommerce is just as easy as having a good eCommerce website, an internet marketing strategy and the technical know how to run an online business.
Compelling Stats That Make eCommerce A Viable Investment
For the last two decades, growth in eCommerce has simply been monumental. Statistics compiled during this period and projections made for the future simply shows that eCommerce is the future of online shopping and as such, there are a lot of opportunities for you as an investor to make some very good returns. Here are some compelling stats that make eCommerce investment a very wise move:
- In the United States alone, online eCommerce sales will jump from $347 billion in 2015 to $491 billion by the end of 2018. In Europe, eCommerce sales will grow by a compound annual growth rate of 12% running until 2018.
- For the last five years, in the US, eCommerce sales have been growing by double digits rising from $167 billion in 2010 to $347 billion in 2015.
- Google also reports that web traffic towards eCommerce websites grew by 90% year on year. In 2013 alone, the number of visitors to eCommerce websites grew by 102% underpinning the growing popularity of online shopping.
- In the US today, the number of online shoppers stands at 191.1 million people which are more than 50% of the total population. A survey in 2012 indicated that 75% of the total population in Europe used the internet and 60% of them did do some shopping with it in the same year.
When you look at these compelling stats there is no doubt venturing in eCommerce really makes a lot of sense.
Reasons Why You Should Consider eCommerce
Other than the evident stats, there are also some other reasons that emphasise Why should we invest in eCommerce. Some of these reasons are listed here below:
- It’s a growing industry – the digital business space is a rapidly expanding industry and this means that opportunities for growth and investment can only get better. The value of eCommerce based companies will increase exponentially in the next decade especially when you consider that the volume of eCommerce sales is on the rise.
- It’s convenient and easy to start – launching an eCommerce website and making money from it is not as difficult as opening a brick and mortar store. Internet technology has simplified how we do business and as such, it very easy to get started with eCommerce. Besides, you don’t need commercial space or business premises.
- It’s a good way to stay competitive – if you already have a brick and mortar store, then you may want to compliment it with an eCommerce website as a way to remain competitive in your industry. In most cases, people would window shop on physical stores and then make the purchase online. Having an eCommerce site simply ensures that you are available on both ends.
- Marketing and branding is easier – running your business through eCommerce allows you to effectively and easily market your products. You can also leverage on internet platforms such as social media to build your brand and become nationally or globally recognised in the industry you are involved in.
No matter how you do the math, ultimately the idea of investing in eCommerce makes a lot of sense. The challenge for most people is to get started but even then, starting slowly and then making progress gradually is the best way to go. Once you establish a foothold in digital business, you will then start to see very good returns each and every year.