Challenges Faced In An E-commerce Business

Nirmal Raj
4 min readAug 5, 2022

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Day by day, the eCommerce market is expanding at a heavy rate as people are more interested in ordering online, as it is more convenient than convenience stores and hypermarkets, talk about the waiting time for billing the items! Uffff! Though eCommerce websites and online stores simplify the life of people. But that’s not the case with eCommerce and online marketplace stores, with an increase in the demand for these online marketplaces, the challenge they face also keeps increasing. Below are some of the most challenging aspects eCommerce stores face and solutions to them.

  • Product Return and Refund Policies: According to ComScore, more than 60% of online shoppers research a retailer’s return policy before making a purchase. When an eCommerce site states “no returns or refunds,” a buyer becomes concerned and less likely to trust the retailer. Customers who shop online desire the freedom to make mistakes that do not cost them money.
  • Solution: The most crucial factor for any retailer is customer satisfaction. As a result, having a flexible return and refund policy not only improves customer happiness but also allows customers to make purchases without being concerned.
  • Logistics: Every year, companies all over the world are plagued by supply chain challenges, and because it is a tiered process, issues and errors occur at various stages, resulting in additional costs and delays.
  • Solution: Gain visibility into your whole supply chain. Supply Chain Visibility allows you to accurately track your inventory while also establishing a clear communication system that can assist you in staying up to date with various stages of the supply chain process. This is one of those eCommerce issues that take time and effort to complete but is also incredibly important.
  • Cyber Data and Security: One of the most difficult difficulties in eCommerce is security breaches. When dealing with eCommerce, there is a lot of information/data involved, and a technical issue with data can cause severe damage to the retailer’s everyday operations as well as brand image.
  • Solution: Exercise caution and always back up your data. Following that, you can add security plugins to your website to keep it from being hacked. There are numerous plugins available; choose the one that works best for your eCommerce website.
  • Sustainability: Due to rising global attention on sustainability as a result of customer demand, retailers are now being motivated to market their goods and delivery services as having a low environmental impact. Almost 60% of consumers are willing to change their purchasing habits in order to reduce their environmental effects.
  • Solution: Improve the efficiency of your supply chains and identify key areas where you may lower your carbon footprint for a greater environmental effect.
  • Converting Shoppers into Paying Customers: Converting visitors into paying clients is one of the most difficult eCommerce issues. An eCommerce website may have a lot of traffic, clicks, and impressions, but it isn’t producing the sales it should. What can they do to increase their sales?
  • Solution: The first and most important step is to figure out why your customers aren’t converting — are you targeting the right people? Is your mobile website running smoothly? Do your online platforms experience technological difficulties on a regular basis? Do your customers have faith in you? Do you tailor your website to your customers? Always consider the customer’s point of view and whether you are doing all possible to convert them into paying clients.
  • Shipping & Pricing: We’ve all heard of customers who prefer to buy things from stores that provide free shipping. Customers rarely go elsewhere since eCommerce behemoths like Amazon offer such enticing shipping deals. How does one reduce shipping costs?
  • Solution: While no eCommerce site can totally eliminate shipping costs, you should constantly explore methods that work for your consumer base. Would a membership lower delivery costs? Would a specific time of month result in decreased delivery costs? Is there a carrier that is dependable but has a lower rate? Make sure to do your homework and find the finest answer for your customers.

But since there are challenges, it doesn’t mean we are doomed to fail. Everything has a solution and an alternative. That’s how big marketplace giants learned how to face all the challenges, and opted for many convenient features based on people’s needs and feedback, they turned setbacks and challenges to prove themselves by opting for potential solutions. Many people are continuously investing in online marketplaces, as they have a great future in the upcoming years. To launch your own online multivendor marketplaces like Etsy or Amazon, check out PazerPlus, the best Etsy clone. Contact BSEtec for more details and a free live demo.

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Nirmal Raj

Bsetec is a Digital Solution Provider Company. Our team of experts deliver next-generation solutions to perk up the business productivity.