What is E-Commerce? A Beginners Guide

The world of e-commerce is growing at a rapid pace. The digital era has brought with it new ways to shop and sell products in the marketplace. In order to capitalize on these changes and take advantage of the opportunities that come along with them, you need to know about the trends, terminology, and solutions that are relevant. E-commerce is basically an umbrella term for businesses that sell their products through online marketplaces like Amazon, eBay or Boxed Returns. These marketplaces act as a storefront for vendors to showcase their wares to potential buyers. The benefits of operating an e-commerce business are innumerable. For one thing, you get access to a huge customer base from all over the world without having to deal with local merchant restrictions or unnecessary bureaucracy. Furthermore, automation software solutions like e-commerce software have made running your own e-commerce store much easier than before. Even small retailers can easily set up their own website and start offering customers access to their products in just a few minutes' time.



What is E-Commerce?

E-Commerce is an umbrella term for businesses that sell their products through online marketplaces like Amazon or eBay. These marketplaces act as a storefront for vendors to showcase their wares to potential buyers.


Why Use E-Commerce?

With e-commerce, you get access to a huge customer base from all over the world without having to deal with local merchant restrictions or unnecessary bureaucracy. This makes it a lot more accessible for consumers to find great products at a lower cost. E-commerce platforms like Shopify, WooCommerce, and Amazon Fulfillment Services let you set up your own store and sell products without having to store inventory, hire staff, or deal with the overheads associated with brick-and-mortar stores like rent or utilities, maintenance, and insurance. Besides getting around unnecessary overhead costs, time is your most valuable resource as a business owner. E-commerce platforms automate much of the business process for you so you can spend less time on administrative work and more time on strategic decisions and growth.


Best Practices for Using E-Commerce Platforms

Build a brand identity. You need to build a unique brand identity for your e-commerce store if you want to make it successful. Customers often judge a product by the brand it carries so you need to make sure the name of your store conveys the same message that your products do. Additionally, be sure to create an E-Commerce Strategy. Before you choose an e-commerce platform, you need to figure out your e-commerce strategy. What products will you sell? How will you promote them? What shipping options will you offer? Are you also selling other products? What channel are you using? These questions will help you create your e-commerce strategy. All marketing methods are not created equal. While some marketing methods might work great for certain products, they won't work for yours. That's why you need to use marketing methods that work for your e-commerce business. We've all seen businesses that are successful in online selling stumble and fall. Don't make the same mistakes as others have made. Take heed of the e-commerce best practices outlined above so you can avoid the common pitfalls seen in the industry.


Key Takeaways

E-Commerce is basically an umbrella term for businesses that sell their products through online marketplaces like Amazon or eBay. E-commerce platforms like Shopify, WooCommerce, and Amazon Fulfillment Services let you set up your own store and sell products without having to store inventory, hire staff, or deal with the overheads associated with brick-and-mortar stores like rent or utilities, maintenance, and insurance.  Besides getting around unnecessary overhead costs, time is your most valuable resource as a business owner. E-commerce platforms automate much of the business process for you so you can spend less time on administrative work and more time on strategic decisions and growth. You need to build a unique brand identity for your e-commerce store if you want to make it successful. Customers often judge a product by the brand it carries so you need to make sure the name of your store conveys the same message that your products do. Before you choose an e-commerce platform, you need to figure out your e-commerce strategy. What products will you sell? How will you promote them? What shipping options will you offer? Are you also selling other products? What channel are you using? These questions will help you create your e-commerce strategy. All marketing methods are not created equal. While some marketing methods might work great for certain products, they won't work for yours. That's why you need to use marketing methods that work for your e-commerce business. Be sure to check out premium e-commerce websites such as Boxed Returns or Amazon.