Making ecommerce work

What are successful online merchants doing right that others aren't? What do I have to do to be successful in online commerce?

Online merchants who recognise the special needs and requirements of online buyers in virtual shopping and who consistently adapt both their business activities and online stores towards them have excellent chances for long-term and lasting success with their business models.

User-friendliness, user interaction and design
Many online merchants believe that the price in ecommerce is the most important thing in a purchasing decision. Studies show that the price is indeed important, but user-friendliness and ease-of-use of the online store are really the decisive factors. Due to these two, customers primarily decide for or against a certain site before they have even seen the price of a product.

You should therefore make it as simple and pleasant as possible for your customers to access information in your store, to find and order products. The following are key requirements to succeed at this step:

• Build your shop with an attractive and sales-promoting design
• Content is king. Ensure you have up-to-date and useful content
• Quick product search and clear navigation
• Clear ordering process and basket
• Make it possible to make changes to the basket
• Provide information about total costs early on
• Customer data: require no more than necessary
• Ask yourself "Would I buy on this site?"

Trust and security
Trust continues to be the most important basis for successful ongoing business relationships. This applies to a further degree to doing business on the internet, because personal, human contact is missing.

If you observe a couple of simple, rules you can create trust on the part of prospective customers and thus build up long-term and profitable customer relationships. It is considerably easier and cheaper to sell to regular customers than it is to acquire new ones.

Again some basic rules need to be considered:

• Make transparent information and security top priorities
• Offer "all-round protection" from store certification such as SSL or Safebuy
• Offer a guarantee and warranty in plain English
• Offer a wide range of secure payment methods
• Be sociable and show yourself
• Make feedback an integral part of the buying process

Marketing and sales
The best, most secure and clearly laid out store with the most appealing product offerings and prices has little chance if it cannot be found by customers. This is why the effective marketing of your online store is one of the major factors for success.

The following section describes how best to promote your store with a relatively limited marketing budget and how you'll be able to integrate it seamlessly into the worldwide web so that prospective customers can find your site quickly.

The general question is: How do I acquire new customers and generate long-term customer loyalty for my store?

Here are a few notes on what you need to do:

• Research your prospective customers
• Don't underestimate the power of the domain and store name
• Use search engine marketing; the fastest and most direct path to your customer base
• Use eBay, Kelkoo, Pangora and Froogle; sell where the customer goes first to build an initial customer base
• Cross and up-sell, using product recommendations
• Use newsletter, coupons and email marketing
• Don't forget that the most important thing in ecommerce is long-term customer relationships
• Employ discounts and special offers
• Think about constant control over your activities

Customer experience
A customer decides on a product in your store and buys it. This is an important step towards success in ecommerce. The next step that decides whether a one-time customer becomes a loyal patron is how you deliver on your promise. Unfortunately, many online merchants overlook customer care and the provision of after-sales services, and lose many customers because of this. At the same time, it is very easy to keep customers satisfied after a purchase and keep them coming back to your store. How?

• Offer prompt order confirmation and transparent tracking
• Ensure fast and complete delivery
• Accommodate guarantee and active complaints management
• Conduct periodic customer surveys
• Offer additional after-sales services

It's now up to you as the shopkeeper and online merchant where you take your business online. There is no patented formula for success despite what people will tell you. But if you place the customer and his wishes and needs at the centre of your planning, actions and decisions, you are on the right path.