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Selling on the Internet is not as easy as it
is portrayed to be. In fact, making money online through e-commerce is a
tough challenge.
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If you are going to survive and be a long-term success in e-business,
then you need to be aware of the most common mistakes and pitfalls that can
ruin your best-laid plans. Whether you're new to e-commerce or have a
well-established site, learn how to avoid the ten common pitfalls of online
entrepreneurs
1.
Weak Site Design
Your ability to gain the trust of your visitors is the key to success on
the Web. As Ron Zemke and Tom Connellan in their book "E-Service: 24
Ways to Keep Your Customers - When the Competition is Just a Click
Away" advise, "Convincing the buyer that you are trustworthy is
the first and largest hurdle every e-commerce site faces to secure the first
and most crucial sale."
How can you win a customer's trust on the Web? The first barometer
customers use to judge your online business is your web site's design. All
the elements of your web site's design - navigational structure, product
presentation, copy and testimonials, proof of security - converge to give
your visitors an overall impression of your business. The look and feel of
your site allows your visitors to form their own judgment of
trustworthiness.
To be able to convince visitors to take out their credit cards and spend
on your site, you must design your site from a shopper's point of view. It
is essential to a have well-designed interface, with a professional looking,
marketing-oriented and easy-to-use page layout. You must make sure that
every graphics; text and technology used works to your advantage, rather
than losing sales opportunities.
You must make it easy for your visitors to find your products with a
clear navigational structure. A cluttered web page makes it difficult for
visitors to see what you have to offer or figure out how to place an order.
All links must work and lead to the right page. The content of your online
store must also be updated regularly, to give the impression that someone is
actively minding the store.
Think and constantly rethink your web site's design: any misstep can make
your customers suspicious or fearful, and you can kiss them goodbye.
2.
Inadequate Site Usability
"Web usability," a concept that has gained a lot of ground in
the past year, is all about making the right first impression. More than
having a good web site design, your site must be both useful and usable for
your audience. Your site must perform the function for which it was
designed, with the minimal amount of user frustration, time and effort.
Jakob Nielsen, author of "Homepage Usability: 50 Web Sites
Deconstructed" emphasizes four points to increase the usability of your
web site:
a. Make the site's purpose clear. This entails clearly explaining what
your site is all about. If you are selling home furnishing items from the
Middle East or pashmina shawls from Nepal, include a one-line tagline that
would summarize what your company or web site does. This will immediately
tell first-time visitors what they can expect and buy from your site. Also
be sure to provide additional corporate information should your visitors
want to know more about your business and who you are.
b. Help users find what they need. This involves making everything
obvious, ensuring that every vital link and tool is accessible on every
page. Your visitors should be able to go to their shopping cart, shopping
categories, search field, and customer service easily from any page of your
site. You also need to anticipate how your customers will use your site, and
be prepared to offer them the search technology that they need. They may
want to search your site by price to allow them to select only those
products that they can afford, or you may want to present them with
suggested gifts for different occasions.
c. Reveal site content. Your customers should be able to see your best
offerings immediately. In your homepage, present pictures of some of your
best-selling or most recent products. If you are running a special
promotion, such as free shipping for orders $100 and above, display it
prominently on your homepage and create a link where the customer can read
more about it.
d. Use visual design to enhance, not define, interaction design. You may
think that online bells and whistles such as Flash homepage, interactive
text that blinks or spins may sound exciting, but everyday users are staying
away in frustration. If you wanted to buy something from a site, I'm sure
you wouldn't want to go through countless animations and slow to load pages
to make a purchase. Use meaningful graphics that will not compromise your
site's loading time.
The key is to get feedback and outside perspective from other people -
whether family, friends, or customers - to help you evaluate your site's
development and performance.
3.
Obstacles to Shopping
Your customer can leave your site in a blink of an eye. Confuse them with
your navigational structure, and they leave. Ask too much personal
information for them as soon as they arrive at your site, and they click
their mouse to a different site. Make it difficult for them to order, and
they may not bother coming back.
Customers buy online because it is supposedly faster, at times cheaper,
and more convenient than driving to the store. They come to your site
primarily to look for products that fit their needs quickly and easily. Put
an obstacle early on, and you may not get them to order anything in your
site.
What are some obstacles to shopping? The main factors that negatively
affect the growth of online shopping include credit card fears; failure to
trust online vendors; fear of misdirected merchandise or receiving the wrong
items; or having to return merchandise. Note that these are common consumer
fears that affect all e-commerce sites.
Consumers also quickly abandon sites whose pictures take forever to
download. Zona Research estimates that more than $4 billion annually, or
$362 million per month, are lost due to unacceptable download speeds.
Buyers are also irked when the information they need is not immediately
presented to them. You must put upfront a price with every product, and not
make them drill down to the product description to know the price. Also,
don't wait until the checkout process to tell them the shipping and handling
costs. Many customers abandon their shopping carts because they are required
to put in their credit cards before they even know the shipping costs of the
products.
4.
Lack of a Comprehensive Marketing Plan
There is no truth to the "if you build it, they will come"
notion on the Web. There are millions of web sites on the Web, and you need
to create a reason and way for customers to come and visit your site. More
than just customer "eyeballs," you need to be able to convert
their visit to actual sales.
Similar to starting a traditional business, you need to have a
comprehensive plan to help you market your business on the Web. Your plan
should contain a detailed analysis of who your customers are, where can you
find them, what are their preferences, and how best to entice them to buy
from your site.
You then need to develop a package of strategies that will bring your
potential customers to your site. Some of these strategies may include
search engine optimization, pay-per-click search engines, affiliate and
pay-per-performance programs, banner advertising, offline advertising, press
releases and other promotional strategies. All the strategies that you use
should be carefully measured, to tell you which strategy gives the best
sales per capita so you can focus on them.
5.
Poor Customer Service
Not serving your customers well can have severe repercussions to your
online business. Treat your customers badly and you can be sure that they
will never visit your site again. Worse, these unhappy customers can share
their "bad experiences" with your business to a lot more potential
customers through emails, chat rooms, instant messages and discussion
forums. Studies have shown that dissatisfied online customers tell twice as
many people about their experience than do satisfied customers.
What constitutes poor customer service? Poor service may cover site
malfunctions, complaints and service disappointments. It could include not
answering emails promptly, totally ignoring customer complaints and
suggestions, unsecured and confusing order forms, convoluted return policy,
delayed shipment of goods, vague and misleading "Frequently Asked
Questions," among others. The perception that your business does not
provide the top quality service could hurt even your business, and would
render your most costly advertising and marketing programs ineffective.
Some of the ways you could improve on your customer service include:
-
Answer emails promptly, whether the customer is praising or your business,
or not.
- Promptly confirm orders when it is received and send out emails
when it is shipped. It is also very helpful if you could encourage your
customers to give you feedback on the products that they received.
-
Encourage customers to contact you by placing your phone number and email
address prominently on your site. There are a lot of customers who are still
not comfortable in giving out their credit card numbers online and would
rather call the business to place their orders. Some e-commerce sites go
even to the extent of installing some form of live support on their sites to
encourage interaction with customers.
- Read and re-read your FAQ section
to make sure that everything is clear and understandable.
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