Converted into purchases. Isn’t that surprising? However, low convertibility is just one of the many challenges faced by online businesses today.
Before we talk more about the challenges, it is important to acknowledge that online businesses also benefit from several advantages that are not given to offline stores and shops such as low retail costs, low employee costs, wider retail area amongst many others. The shift in consumer behavior is encouraging more and more businesses to move online or if not transition completely, at least have an alternative online presence. In the US, about 40% of males between ages 18 and 34 responded in a survey that if they had a choice, they would purchase every item online.
With traffic becoming a hurdle to offline shopping, lack of affordable space for offline outlets, and now, the pandemic, it is only inevitable that the exponential growth in the online business space will continue. However, that also poses a number of hurdles for such businesses, which are important to recognize in order to resolve and overcome.
In an online space, physical interaction is non-existent which poses a chance to build customer loyalty. However, why is building customer loyalty even important? It is estimated that even a 5% increase in customer loyalty can increase profits by 25% to 95%!.
Having said that, online spaces also allow businesses to build customer loyalty but it requires a strategic approach beyond just customer interaction. A few ways in which a customer may show trust in you is by you being as transparent on your website as possible such as by mentioning your address and contact number, publishing blogs on your website to impart knowledge, and even sending a weekly or monthly newsletter to interact with your customers.
The online space is an ever-growing space for businesses. While it has loads of benefits, it also comes with its own challenges that one needs to overcome to maximize its potential. At YNG Media, a digital marketing company in Delhi, we ensure that your online space is dedicated to your business and that you are able to overcome each of the above-mentioned challenges along with several others through a chronological, guided and strategic approach.