Frequent e-commerce mistakes – in developing strategy

Do you manage an online shop? Or are you planning to start selling your services online? What are the challenges you may face as an online shop founder? What can go wrong, what are the biggest risks and what is worth bearing in mind?

Preparing a strategy is the first step in setting up e-commerce. Apart from the fact that it is possible to launch a shop in a few days, it is nevertheless worthwhile to plan this process properly and allocate more time to it. Especially when integrating multiple systems and processes is involved.

In this article, we take a look at the most common mistakes made in online sales focusing on strategy planning.

An online shop is not just a catalogue of products… i.e. mistakes in building e-commerce strategy.

Let’s find out what are the most common mistakes made when planning an e-commerce strategy?

1. Failure to define and segment the target group

Whatever products or services you offer your customers, there is bound to be a specific target group for each of them. If you do not find a potential buyer for your products – they become irrelevant, even if they are the best. As a rule, salespeople get to know their customers in an insufficient way. This is a big mistake because with a great deal of knowledge about your customers, you are able to optimize your offer and select the best communication channels, which ultimately improves your sales processes.

The most important criteria to consider are: geographical, socio-demographic, financial, or behavioral. And important factors are mainly age, gender, education, occupation, wealth, views, and hobbies.

Once the target group is precisely defined, it needs to be segmented in order to start applying effective marketing measures.

2. Lack of market research

Competitor analysis is an integral part of planning your go-to-market strategy with your products. It allows you to find out what the chances are of getting your offer online. You may also find that you come across a suitable niche in the e-commerce market – which can be a very big opportunity for success. 

Thorough market research will also allow you to estimate your potential risk and level of investment. In addition, it can help you identify your target audience and spot the mistakes your competitors are using so that you can avoid them later on in your shop. Focus on the size of the brands, the breadth of their offer, their promotions and also their price range.

Failure to carry out such an analysis may result in actions that are carried out somewhat blindly, at a later stage of the shop development.

3. Lack of planned promotional activities

Competition for online shops is now so fierce that a lack of marketing activities to promote your shop is theoretically impossible. An online presence requires solutions that will support sales and generate results.

This ranges from the idea, to an appropriate budget for promotional activities, to choosing the right tools. In e-commerce marketing, multi-channel is important, i.e. a 360* Marketing approach.  Running product campaigns in Google Ads, Facebook Ads, an appropriate email marketing strategy and active participation in Social Media are ways to win customers. It is also important to have a proper strategy and plan for such activities.

A lack of marketing activities for your shop can unfortunately result in virtually zero sales.

4. Excessive focus on visual aspects

An online shop can be put up in a few days, but also months. The digital transformation is often prolonged even further due to an excessive focus on creating graphic elements.

Of course, the visual aspect is important. However, there is a tendency to overestimate the graphic qualities. The mechanisms that take care of the correct transaction are often overlooked by the buyer and often happen on the back of the business. In essence, it is worth relying on proven UX standards and fundamentally modern design.

Higher quality means more sales… What is the biggest mistake when creating e-commerce?

Immediately after the planning stage of your online shop strategy, several elements are extremely important during the actual construction of your shop. From choosing the right e-commerce platform to the quality of the published product images. An incorrect approach to a number of factors can result in low conversions for your shop.

Summary

Many of these mistakes seem trivial and obvious. However, applying them to the planning of your online shop strategy can lead to greater or lesser consequences. They can affect your sales and even involve legal consequences. That is why it is worth taking the smallest nuances into account, as they can weigh on the success of your e-commerce.

24.03.2023

Weronika Worsztynowicz

Project Manager

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