Meta Description: In the technology driven world we live in, businesses are constantly adopting new types of this technology-driven world, businesses constantly adopt new strategies and approaches to attract and retain their customers. Learn what types of eCcommerce platforms you can use and which of them will fit your needs best.
Global eCommerce sales have grown exponentially over the past few years thanks to its convenience and ease. And as technology continues to evolve and develop, different industries have found new ways to market their products and reach out to new audiences.
While some believe that online businesses are easier to manage, there are still many challenges that you may face ahead. Among these can include choosing the right types of eCommerce platforms that allow you to meet your needs and goals.
In this particular scenario, this guide will focus on the similarities and differences between eCommerce and social commerce.
What is the Difference between eCommerce and Social Commerce?
Also known as electronic commerce, eCommerce typically refers to the shopping experience you get from browsing a website or app. It also relates to the money and data transfers done during these transactions. Different brands often establish an online storefront on an existing domain. But it is also not unlikely for others to already have a website.
Social commerce, on the other hand, refers to the purchases made within social media platforms such as Instagram and Facebook. Visitors to the app typically discover your products through suggestions or paid advertisements. Once they visit the post, they are granted the ability to purchase the product or service directly from the app.
The Advantages of eCommerce
Greater opportunity to make sales
eCommerce stores allow you to gain profit 24/7 since there is no need to close down the physical front each night. Your customers can visit your platform at any time from anywhere and place an order.
Compared to setting up a physical store, eCommerce platforms have a lower startup cost. Depending on what type of store you want to run, you can limit expenses to just employees and a limited amount of inventory.
No shelf space limits
Since all your products are presented on a screen, there is no need to worry about physical displays or space. It allows you to showcase as many top sellers and recommendations as possible.
Gain more insights through tracking and analytics
eCommerce platforms make collecting data from previous sales easier, which you can track and analyze later. It can help you determine which products sell the best, what strategies work, and what other approaches you can fix.
The Disadvantages of eCommerce
eCommerce is a highly competitive market, so you must rely on your marketing strategies to stand out. However, paid ads, creating new visuals, and hiring an eCommerce enabler for your website can be costly factors that you must consider carefully.
System downtime harms your progress
In a site crash, your customers have no access to buy your products. It can temporarily halt your revenue until you find better ways to maintain your platform and manage its traffic.
While financial institutions and big data companies typically face the most cybersecurity threats, your business can also be a victim. Hackers can infiltrate your platform if your website is not properly secured, risking your operations and clients.
The Advantages of Social Commerce
Better opportunities to gain customer feedback
Social media makes it more convenient for customers to share their thoughts and opinions about your brand. It can allow you to make swift changes to your strategies to better cater to your audience’s demand.
Increased customer loyalty and retention
Using social commerce can give your brand better chances of retaining customers because you are promoting yourself on a platform that is a big part of the lives of your audience. It is especially true for younger generations, who rely more on social media apps.
Social media acts as a gateway channel between you and your customers. You gain better means of promoting your brand and give your audience a chance to relate to it.
The Disadvantages of Social Commerce
More chances of receiving negative feedback
Since anyone with an account can leave a review on your page, it can also spark more people to make negative comments from an immediate experience. It can harm your reputation and cause others to reassess their decision to interact with you.
Must have a strong and concise marketing plan
Presenting yourself on social media means keeping your brand consistent with the message you give. And with many other competitors fighting for the spotlight, you will constantly need to find new marketing strategies and trends to maintain your visibility.
Leveraging Your Business through Modern Strategies
Compared to traditional business, shifting your business online can benefit you more. It is easier to hire employees while scaling your brand. It also grants you a more flexible means of making a profit. However, this is only the case if you have the right strategies and tools to maintain your brand.