From retail to e-commerce: how to make the transition

Your business loses customers daily if it doesn’t leverage the e-commerce industry. Offline retail has been around for ages, but it has geographical restrictions. Only people nearby can go to the stores to shop.

E-commerce in the United States reached an estimated $905 billion market cap in 2022, with projections to cross the trillion dollar mark soon.

That shows how much the world has switched from offline retail stores to online shopping. To that end, this article will help you transition from your traditional retail business.

Switching from retail to e-commerce is crucial to your business performance, including the financials. However, you should prioritise a few things when making this switch.

We will discuss these considerations and provide tips on making the transition seamless.

Difference between e-commerce and offline retail

Let’s briefly discuss the differences between e-commerce and offline retail. Firstly, e-commerce platforms dominate the digital realm via convenience.

For instance, online iGaming retailers like SlotsLV provide online casino games, where users can deposit funds through both fiat and cryptocurrency. The wide variety of payment options grant users more comfort, as they can process transactions from home – without visiting a bricks and mortar provider.

Secondly, e-commerce offers more convenience than retail through free shipping and other incentives. Consumers can order products and receive them from the comfort of their homes. As a result, it eliminates the need to go to physical stores for shopping.

Unlike walking down several aisles in a store, e-commerce brings products to PCs and smartphones.

A consumer can cover several sections with simple swipe motions, rather than walking through a physical store. Hence, speedy product identification and purchase become possible.

E-commerce is quickly replacing physical retail. This trend was particularly evident when UK physical store sales declined by 10% to £284.21 in 2020. Today, almost all major shopping brands have transitioned, even though they still retain their physical stores.

How to transition to e-commerce

Transitioning to e-commerce does not mean closing your physical store. You still need a location to manage logistics and other administrative duties.

With that in mind, here are the things you should do to make the switch:

Develop and Optimise Your E-commerce Store

Your e-commerce store goes beyond the official website of your business. It incorporates functions like payment methods, check-out pages, product listings, etc. that typical websites do not have. You can:

●      hire a new department to handle this aspect

●      outsource the development to another firm.

Having an in-house IT team work on your e-commerce store gives you more control. You can make quicker iterations and tailor the platform to your company’s vision. Yet, you must consider the cost in this regard.

Making the switch to online for many companies means some big changes, and they are often better handled by specialists who understand what you see and who your audience is. You can work with a company that builds what you need, like automotive website options or website builders for nail technicians. When it comes to viewing stock, making appointments, or even putting a deposit down, a professionally built website will give customers the experience they need and you the sales you want.

Optimising an e-commerce store can be cheaper if outsourced. An in-house development would mean investment in servers, cyber security, and other essential areas.

While optimising your e-commerce store, pay attention to speed. The success and reception of your platform will depend, among other things, on how the users feel about it.

Moreover, speedy swiping, loading, and product checkouts are paramount to a stellar customer experience.

Incorporate Payment Options and Security

Online payments can mar your credibility if they are not secure. It takes a certain level of trust for customers to enter their credit card details or make an online transfer, which is why you must approach this area with care.

Popular payment options you can use include Masterxard, PayPal, Paysafecard, Visa, Interac, etc. – so, pick the method that’s the most convenient for most of your customers.

Ensure that your platform’s security and encryption are handled by the best cybersecurity firm you can afford. That includes user data, funds, and payment information. One breach might put your business at a loss.

Establish Logistics Management

With physical stores, you only had to worry about getting the products to your location, with maybe a few home deliveries. E-commerce requires more robust logistics management.

There are two things to consider in e-commerce logistics:

●      Pickup locations

●      Home deliveries

Pickup locations are easier to manage, as they involve sending products to your warehouses.

However, you must have a system that sorts customer purchases and sends the right products to warehouses. It would be odd if a customer ordered from Chicago and your system sent it to London.

Logistics management will require establishing shipping lines and delivery trucks. You can leverage third-party shipping lines and the postal service if you have a small business. Still, you need a system to sort the orders from your online store.

Tips to ace your transition

Here are a few tips to help you switch from physical retail to e-commerce:

●      Adjust your pricing:

There might be a need to reduce prices in your online store. Most customers will not pay extra if they can get that product nearby at a more affordable rate.

●      Use “live chat” to enhance the customer experience

A live chat option allows your customers to interact with you as they would in a physical store. Investing in this feature can improve the customer experience.

Conclusion

E-commerce is here to stay and is touted as the future of shopping. Although we will not see a phase-out of physical stores, having an online store boosts your business reach. Transitioning to e-commerce is simple.

The process begins with building a secure online store and listing your products. Then, you need a robust logistics management system for customer orders.