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How international brands can sell their products on Amazon India and other Online Marketplaces

October 12, 2018 No comments
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India is a growing market with an upwardly mobile population. The number of young graduates is higher today than ever before. And with the recent entry into the mobile cellular services market by Reliance Jio, the number of consumers accessing the internet on their mobile has increased manifold.

A recent trip to the rural markets and the interiors of India was thought provoking. Households with a monthly income of less than US$ 300 per month are also shopping online. Such households are highly aware of pricing and availability of products on various online marketplaces. And the need for consumers to be served starts here.

International brands that want to enter India and sell on online marketplaces can appoint and importer cum seller of record on such marketplaces. Goods can be exported to India and kept with the Importer who can list all the products on various online marketplaces and sell these.

The international brand can also do deals with the marketplaces like Amazon, Flipkart and others. An exclusive deal will enable the brand to run special promotions that would enable the international brand to quickly establish itself in the market.

The international brand needs to do the following

  1. Register its brand in India. The process includes providing documentation related to the brand owner, the product, the brand mark and international ownership if any of the brand name.
  2. Get product certification for its products in India. Not all products require certification and approvals. Cosmetics, Food and Consumption items, Electronics and Appliances are generally the ones that require certification like BIS, WPC and others.
  3. Establish the product pricing that will be applicable for India. Consider various factors including the import duties, iGST, GST, Distribution costs, marketplace and intermediary fees, product returns, warranty and replacement, customer service, marketing, promotions and special packaging costs. Indian regulations require the printing of the MRP (Maximum Retail Price) on all products and this cannot be changed once the product has been sent into the distribution system for sale to end consumers.
  4. Decide on the place – distribution channels. If selling only online, one needs to consider various factors including the warehousing and fulfillment process.
  5. Decide on packaging. If you are selling your products online then the packaging may be done in a way that suits online sales and fulfillment processes.
  6. Promotions – Amazon and other marketplaces have various options for promoting your product and brand. Investment in marketing also requires close monitoring of results and fine tuning of campaigns, sometimes on a daily basis. You can choose from a wide range of options for promoting your products on Amazon and other marketplaces, This would include sponsored listing, banner advertising, deal of the day participation, being a sponsor on various special programs run by the marketplaces, giving lightening deal offers, providing coupons for discounts and more.
  7. Provide customer service and warranty for products. This includes local help lines and processes to enable consumers to get their grievances resolved. You can setup a Toll Free 1-800 number and an email for consumers to be able to reach you or the importer of your products.
  8. Ongoing supply and management of inventories. As an international brand, you would need to work closely with your importer in India to ensure that there is adequate supply of your products as your product demand grows and the brand starts selling on various online marketplaces.

To know more about how your brand can enter India and sell on multiple online marketplaces in India you can contact the leader in branded ecommerce in India – ND Commerce.

ND Commerce is a Mumbai (India) headquartered company that enables international brands to sell their products on multiple online marketplaces in India. To know more about the company visit www.ndcommerce.in or write to mukund@ndcommerce.in or call +91 9324 808080.

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8 Indian Startup News That You Don’t Want To Miss This Week

May 25, 2018 No comments
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We bring to you the weekly dose of important Indian startup news of the week.

Once again, Paytm was the biggest newsmaker in the Indian startup ecosystem. This week, the Indian startup made three announcements. The company announced that its QR feature now allows offline merchants to accept unlimited payments directly to their bank accounts at 0% charge. The company is gearing up to invest $77.75 Mn (INR 500 Cr) over the next 12 months to conduct merchant training and awareness initiatives.

It also introduced ‘Paytm Loyalty Points’ that can be accumulated by its users and can be used in all platforms and the offline merchant base of Paytm. Furthermore, the digital payments giant is gearing up to add more features to its loyalty programme in the coming few days.

The last development was mainly pertaining to the founder and CEO of Paytm, Vijay Shekhar Sharma. He pledged about 5% of his personal holding in Paytm Mall for the ESOP pool. This move would add about $50 Mn worth of stocks to the ESOP corpus, which will then become almost 10% of the overall company. As per regulatory filings for the financial year, 2017, with the Registrar of Companies, Sharma who had over 19% stake in Paytm Mall now owns about 14% stake.

Important Indian Startup Stories Of The Week

Government To Bear MDR Charges On Payments Up To INR 2000

In order to encourage small shops to accept digital payments, the government has decided to bear the charges merchants pay to banks i.e-the merchant discount rate (MDR), on purchases of up to $31(INR 2,000) using a debit card, BHIM or Aadhaar. While the charges for debit cards have been waived, payments by credit card will continue to attract MDR.

UIDAI Temporarily Bans Airtel From For Flouting Aadhaar Rules
Bharti Airtel and Airtel Payments Bank, the country’s first payments bank, has been temporarily banned from conducting eKYC of customers using Aadhaar. The stringent action was taken by the Unique Identification Authority of India (UIDAI) on the basis of allegations that the telecom major was using Aadhaar-based SIM verification of customers to open payments bank accounts without their “informed consent”

Amazon To Launch Private Smartphone Brand Tenor
The Indian arm of global ecommerce behemoth Amazon is gearing up to launch a private smartphone brand, Tenor, in January 2018. The development comes just over a month after Flipkart announced its entry into the country’s smartphone market with Billion Capture+. Amazon India had previously launched two smartphone models, Tenor E and G, in India back in September.

RELATED STORIES:
Paytm Introduces Loyalty Scheme To Encourage Users To Transact Digitally
Digital Payments Giant Paytm Set To Launch Incubator For Startups
Digital Payments Startup Benow Acquires Finmo In Cash And Stock Deal

The company also announced that its popular membership programme, Amazon Prime has grown to encompass over 11 Mn Prime eligible products across categories in India this year, compared to the 2 Mn products it offered in 2016. The programme saw customers from over 350 cities across the country signing up in 2017.

Alibaba Cloud To Set Up Its India Data Centre
Alibaba Cloud, the cloud computing arm of Chinese ecommerce giant Alibaba, is all set to open its India data centre in January 2018. As part of its announcement earlier today, the company has invited clients to sign up for services to be delivered by the new data centre.
Situated in Mumbai, the India data centre will help meet the surging demand for cloud computing services among the fast-increasing number of small and medium-sized businesses in the region.

Government Imposes Regulations On Ecommerce Firms
Starting from January 1, 2018, all ecommerce firms in the country will have to display the exact MRP (as in Maximum Retail Price) of packaged products, including electronic gadgets, smartphones as well as consumer durables and non-durable goods. As per a government mandate released recently, the price details will have to be clearly mentioned both on the online platform and on the products themselves. Additionally, ecommerce companies have been ordered to display the name of the country that the products were manufactured or assembled in.

Mohandas Pai Expresses Concerns Over Angel Tax
Investor and ex-CFO at Infosys Mohandas Pai raised the startups’ angel tax dilemma, addressing the Finance Minister Arun Jaitley; PM Narendra Modi; Minister of Law and Justice and IT, Ravi Shankar Prasad and Niti Aayog CEO Amitabh Kant. In a recent tweet, Pai said, “Sir, startups are getting harassed by Income tax officials for raising capital, threatening to consider it as income! Very bad scene and many are angry and upset, may shift overseas. Appeal process broken, takes 15 years. Pls intervene.”

Flipkart Bets On AI Development In India
The Indian startup is taking big steps to make headway in the area of artificial intelligence by creating an internal unit called AIforIndia, in order to put machine learning and AI at the core of its business. The ecommerce player will invest “hundreds of millions of dollars” in the AI initiative over the next few years.Flipkart has already begun recruiting AI experts, building infrastructure, striking hardware partnerships and working with top educational institutions, including IITs in this direction.

Other Indian Startup Stories Of The Week

Paynear Rebrands Itself To Payswiff

After acquiring Singapore-based Goswiff Pte Ltd, Indian omni-channel payment solutions startup Paynear Solutions has rebranded itself to Payswiff Solutions Pvt. Ltd. The rebranding and renaming were undertaken to reflect the strong cultures and values of both the companies, reinforce the business synergies and leverage the strong brand equity of both Paynear and GoSwiff, post-acquisition.

NASSCOM Partners With China’s Dalian Municipal For IoT Collaboration
The National Association of Software and Services Companies (NASSCOM) signed a MoU with Dalian Municipal People’s government in China to launch a collaborative platform. Dubbed as the Sino-Indian Digital Collaboration Plaza (SIDCOP), the platform will be powered by AI and IoT, so as to enable technology exchange between the startup ecosystems of both the countries. The dedicated IT Plaza will serve as an exclusive place for interested IT providers of all sizes to begin operations and avail benefits provided by Dalian BEST City administration. The platform will work on online as well as offline modes.

Aditya Birla Finance Limited Partners With MoneyTap
The subsidiary of Aditya Birla Capital Limited announced a strategic partnership with credit line-based Indian startup MoneyTap in its effort to ease consumer lending. The partnership will allow MoneyTap users to avail credit from ABFL and is targeted at the middle-income consumer segment in 20 cities across India. The new partnership enables ABFL to leverage MoneyTap’s technology and data platform to evaluate and issue credit to the customers and provide the best customer experience

APT Online Starts BHIM Payments Through Benow’s UPI Solution
Mumbai-based digital payment startup Benow has enabled APT Online’s 4800+ Consumer Service Centers to accept digital payments through BHIM and other UPI apps from its citizens. This partnership has resulted in Benow acquiring more than 10,000 merchants across Maharashtra and Andhra Pradesh within eight months of launching the BHIM Enablement Services. Other than APT Online, well-known brands such as Mad Over Donuts, ISCKON, Wellness Forever, Rediff, etc. are already using Benow’s solution.

Swiggy Partners With Sodexo Meal Card

The foodtech startup has announced its partnership with Sodexo, which will enable 3 Mn Sodexo users across India to order from Swiggy. This partnership offers the maximum benefit to those who use their Sodexo Meal Cards only to purchase food and non-alcoholic drinks both at work and home.

Xiaomi Integrates Google Tez As Its Payment Option On Its Platforms
The Chinese handset maker has integrated Google’s UPI-based digital payment service Tez as a payment option on its ecommerce platform Mi.com and Mi Store app. With this, users will be able to use Google Tez to pay for any purchases directly from their bank account. After establishing itself in the P2P payments space, Google Tez is looking to enter into merchant payments sector.

Ola Launches The Ola Lite App
In order to facilitate its users who have low internet speeds, the ANI Technologies owned cab aggregator launched the Lite app, which has features like offline booking and has a size of less than 1 megabyte. The app has a variety of hyperlocal offerings of Ola and also has an interactive, easy to use interface.

ND Commerce Plans To Expand Its Cross-Border Offerings
The Indian ecommerce company announced that it has created a cross-border ecommerce capability in terms of overseas sellers and international exporters and logistics providers to enable cross -order ecommerce into India Under this unique offering, ND Commerce has enrolled several international sellers with over 1 Million SKUS. Such overseas sellers can now offer their products to India consumers through online marketplaces through the ND Commerce Shop-No-Borders Initiative.

Co-Working Space ‘THE MOSAIC’ Opens Doors In Mumbai
The co-working space, designed for those with a discerning lifestyle and an inclination towards health and wellbeing, launched its first centre in Mumbai. THE MOSAIC redefines the concept of co-working space by offering a holistic lifestyle that incorporates aspects of wellness in all its offerings, and also offers knowledge sessions on topics like crypto-assets, sector analysis, etc. In the next few months, it plans to expand its footprint to five more metro cities.

Hike Wallet Crossed 10M Transactions In Nov 2017
Indian startup Hike Messenger announced that it has crossed 10 Mn transactions per month on its Wallet, Hike Wallet has seen exponential growth over the last two months. Of the 10 Mn transactions, 70% were on recharge and the remaining 30% on P2P.

Stay tuned for next edition of News Roundup: Indian startup news of the week!

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Why large corporations should consider creating internet only brands

May 21, 2018 No comments
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There are two evolving worlds of commerce – the physical world and the internet ecommerce world

The 5 Ps of marketing – Product, Price, Place, Promotion and Packaging too could be different for these two worlds of commerce

While brands may talk about Omni-Channel, it is only a way to get better conversion rates from offline and online advertising. In an Omni-channel world, the product, price and packaging could still the same, whether bought online or offline. Only the promotion and place are the variables that change.

As the CEO of a large successful company, you will be faced with a huge set of challenges posed by the world of ecommerce

You have to manage two different channels without creating conflict. You also have to sit side by side with a huge number of competitors who may not have the muscle to get shelf space in the physical world, but easily sit next to you in an online marketplace. And compete with you on product and price with nimbleness that cannot be matched by a large company.

Large companies can consider a strategic move to create internet only brands

Such brands can be created using the vast expertise that the large company has in product creation, marketing and supply chain. Such internet only brands can be focused on making themselves relevant for ecommerce and can be customized for different markets based on consumer needs in that market.

What will it take for a large company to create and internet only brand?

  1. Buy-in of the concept and creation of an Internet Only Brand strategy. The CEO and leadership team have to be enthusiastic about the idea and it has to be a part of the company strategic plan

  2. Creation of a separate business unit with a nimble team that has the freedom to create and execute

  3. Leveraging of existing capabilities in the areas of product development, marketing and sales, finance and supply chain. This will give the internet only brand a base level of strength and support to assist in its success

  4. Strong deal making with online platforms to get the internet only brand to be created, sold and delivered to the end consumer

  5. Partnership with an ecommerce sales and distribution specialist like ND Commerce (Ndcommerce.in) who will be able to enable the entire online selling process

  6. Partnership with a good sourcing and cross border commerce company like Tiger Pug (Tigerpug.com) who can help with product sourcing and global fulfillment

Summary
Large companies can seriously evaluate the opportunity to create internet only brands. They will not only gain from sales but can have value creation for shareholders. It will also help the large company be more nimble and able to leverage the vast opportunities presented by the world of internet and ecommerce

To know more and to get assistance in creating an internet only brand please write to the author

Ajay Miglani
Wechat tigerpug
Whatsapp +8618813228742
Email  ajay@tigerpug.com

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Why advertising agencies need to get ecommerce skills into their system

April 11, 2018 No comments
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The traditional world of marketing has 5 Ps – Product, Price, Place, Promotions, Packaging

By the way, the new world of ecommerce also has the same 5 Ps. Except that the nature of 5 Ps of ecommerce is very different from the 5 Ps of traditional distribution

A few years ago, both, clients and agencies were still evaluating this new world. While agencies looked at online business more as ‘Digital Marketing’ many clients went ahead and developed ecommerce teams to start tackling one or more of the new 5 Ps

Today a large number of clients have ecommerce divisions and these divisions are a new sales channel that will further evolve into independent profit centers

So now it is the turn of agencies to also build such teams to be able to serve clients who have ecommerce as an important future sales channel

Here are some ways on how agencies can go about building their ecommerce capabilities

    1. Create their own ecommerce division and be able to operate ecommerce businesses for their clients. This involves a lot of processes and transactions that an advertising or communications company is not geared to doing. It also involves matters such as consumer payments, taxation, transfer of title of goods, product fulfillment and customer service

    2. Buyan existing service partner that is already in this business. While this will obviate the need to develop a team and business, the inherent nature of ecommerce being a transaction based business will be something that the agency needs to accept and adapt to

    3. Partner with a specialist like ND Commerce , a leading Brand eCommerce Service provider with expertise in brand online store set up and management, marketplace sales, Omni channel, cross border ecommerce and direct to consumer business

If you are working for an advertising agency or communications company and want to play a role in the ecommerce business of your clients, you can engage with ND Commerce and work together to provide these services to your clients. Call Mukund on +91 9324 808080 or email mukund@ndcommerce.in today!

Visit www.ndcommerce.in

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Selling Apparel to Indian Consumers using Cross Border eCommerce

December 26, 2017 No comments
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There are several examples of international brands trying to make an India Entry. Many of them may find it difficult to succeed giving the complexity of selling to the Indian consumer

Any apparel brand that wants to make inroads into the mass consumer market in India should keep in view that selling products at 40 US$ Plus limits the potential consumer based and also needs huge investment in prime retail space, staff, inventory, management, marketing and more…. and if volumes don’t kick in then it will simply be a matter of time that they will need to relook at their strategy.

Indian consumers like to buy apparel in the range of US$ 7 – 15. International Brands who want to enter India should consider Cross Border eCommerce as a strategy to test the market. www.ndcommerce.in works with brands on Cross Border eCommerce

Contact mukund@ndcommerce.in to know how to get your international brands sold in India using cross border eCommerce

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How to sell cosmetics in India

December 22, 2017 No comments
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International brands that want to sell cosmetics in India need to have their products tested by the regulatory bodies in India

This requires an application to be made along with samples of products

The application is made to the appropriate authorities who will consider the contents of the products and also test the same in their laboratories

Once an approval is received, the importer of record needs to present the certificates along with the shipping documents for clearing India customs

Any changes in future product formulations will need additional approvals

To sell your cosmetics in India a brand has two options

  1. Get all the certifications and import products as per certification. Such products can be sold using ecommerce and physical distribution
  1. Set up a cross border eCommerce site where the consumer buys from overseas and the product is purchased from overseas and delivered to India as an overseas purchase. This is how several consumers make purchases from overseas. The consumer is the importer and will need to respond to any customs request

As a responsible brand, the best way for you to sell your cosmetics in India is by getting approvals. Once you have your approvals and have your products imported into India through an importer of record you can then setup a brand online store and also sell on online marketplaces like Amazon, Flipkart ,Paytm and others with proper brand trade mark certificates and India product certifications

ND Commerce is a leading Brand Online Store Operator that works with Brands on India Entry using eCommerce. We can assist you by being the Importer of Record , getting regulatory compliance, warehousing your cosmetics in India and selling on your brand online store and online marketplaces.

To sell your cosmetics brands online in India you can use the services of ND Commerce. Visit www.ndcommerce.in or write to mukund@ndcommerce.in

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Visit to the NDCommerce Cross Border eCommerce Logistics Centre

December 11, 2017 No comments
Download PDFVisit to the NDCommerce Cross Border eCommerce Logistics Centre … great to see a fantastic and dedicated team working diligently for all our clients and principals.

Logistics is an essential part of eCommerce. More so for Cross Border eCommerce where brands from overseas need to have an importer of record in India and have their merchandise kept here.

ND Commerce provides international brands with an opportunity to enter the Indian market without having to invest heavily in the infrastructure and distribution set up.

ND Commerce has a full outsourced model whereby brands can outsource their entire ecommerce to ND Commerce, just like many international and domestic companies have been doing for many years.

To know more about this please write to mukund@ndcommerce.inread more

The need for local payments for Digital Downloads in India?

December 1, 2017 No comments
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Why do international software product, SAAS and digital services companies need to have a localized payment option for sale of products in India?

Two Reasons    

    1. Selling digital products to consumers in India without paying customs duty and without paying the local taxes is considered a tax violation
    2. Consumers share of wallet in favour of international valid credit and debit cards is fast declining as local payments, bank transfers, cash on delivery and local payment wallets are taking over the payments space
   

There are several thousands of companies selling software and SAAS products for use by consumers and small businesses. Box products have been phased out in preference for digital downloads. Monthly and annual software subscriptions are being provided by software companies with the aim to boost their ongoing revenue.

While downloading and paying for such digital downloads we, as consumers, seldom pause to think about where the seller is based. Unless of course we don’t have an internationally valid credit or debit card. In which case it is highly unlikely that we can buy software or subscribe to any international digital subscription or paid download.

Most mobile wallets and local payment networks do not allow international transactions as they are mainly for domestic use.

So what happens if you want to use your domestic bank transfer facility to pay for a download of software from a leading software company? The transaction will not go through. Because the merchant or seller of record is overseas. Probably in Ireland or some other low tax country.

If a seller of software or SAAS and other digital services wants to truly tap the India market they need to localize their invoicing and payments. The benefits of this are :

    1. The seller can offer a vast range of payment options to the consumer, thereby increasing the conversion rate
    2. The seller becomes tax compliant as they collect GST from the Indian consumer and deposit this with the Indian Government
    3. The consumer gets as wider choice of payment options and also gets a valid receipt with GST included (this can be taken as an input for the business while computing the net GST payable)
 

If you are an international software company or a SAAS company or a Digital Services provider you should consider getting an Indian Importer of Record and Seller of Record.

The Importer of Record and Seller of Record will be an Indian entity which can offer local payment options to consumers as well as collect and deposit taxes (GST and India Customs Duty) and make the whole transaction compliant with Indian laws

To know more about how to get your company compliant with Indian laws and to provide consumers with local payments please contact www.ndcommerce.in and write to mukund@ndcommerce.in

Author : Ajay Miglani

Linkedin : http://in.linkedin.com/in/mig928

Whatsapp +86 188 1322 8742

Wechat  : tigerpug

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Why Brands Need a Strategic Plan to Compete in the Ecommerce Era

November 28, 2017 No comments
Download PDFWith the increasing focus and potential future dominance of eChannels and mChannels of conducting commerce, it has never been a more challenging time for brands

Traditional distribution channels are faced with new giant competitors who operate from offices and warehouses and not from the shop next to them. Many of them are at wits end about how to deal with such competition – one that is works 24X7, changes prices several times a day, offers deals, has the backing of brand promotions, provides high levels of customer service, multiple payment options and more

Where does this turmoil leave brands?

Online marketplaces have their own objectives and game plan. Brands play an important role of providing a spread of merchandise that consumers are looking to buy. Promoting brands initially serves the purpose of the online marketplace. But in its own evolution the marketplace realises that it is helping build brands and therefore needs to charge for this service. Therefore in a very short span of the time, the brand will need to start investing heavily in discounts, promotions, paid ads, preferred listing, special packaging, bundles, investment in reviews and key opinion leaders and much much more.. all the costs a ton of money and is only going to get more expensive as we have seen on search engines whose bidding system has made getting ordinary search words more and more expensive . In the process, brands will find themselves in a situation where they cannot get off the roller coaster for fear of losing market share, yet they will need to keep ignoring their ecommerce profitability in the hope that one day the ecommerce bet will pay off. Simply listing products on online marketplaces will not guarantee any sales

If the going is so tough for brands, imagine what it is like for non branded goods. Millions of SKUs of toys, jewelry, kitchen items, accessories, garments impulse items and dust collectors. All flooding the online marketplaces with little chance of selling without great prices and online marketplace promotions.

Brands have another challenge – marketing managers with little or no experience in ecommerce are thrust onto this new medium that promises to deliver on digital marketing while essentially being a sales channel. On the other hand, sales managers whose targets are being met by online marketplaces are perhaps prioritising it over traditional channels

Very few managers are talking about profitability of ecommerce. Or about what the online marketplaces can deliver to the brand apart from sales (that too discounted sales with lots of promotions thrown in)

In all this chaos, brands are in a very difficult position. Control is shifting to the online marketplaces and there is little that the brand can do about it.

For brands to have a territory that they can call their own, they need to be able to carve out their space and plant a brand flag in the ecommerce world

Brands need to work on creating an ecommerce framework and strategy that will enable them to leverage the ecommerce boom, and not get lost in the it

To learn more and to get a free guide to ‘Creating a Framework for Brands to Succeed in The Ecommerce World’ write to ajay@ndcommerce.in or whatsapp +86 188 1322 8742read more

How to increase your ecommerce conversion rate – the ultimate guide

November 17, 2017 No comments
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If your business is managing an ecommerce market then it is highly likely that boosting conversion rates is your top priority. Conversions are affected by many variables which is why a ceteris paribus comparison is next to impossible. A good conversion rate is that which remains consistent or improves over time but never dwindles. Whether its advertising agencies or food companies in USA, slouching conversion rates are dreaded in the ecommerce market and here’s what you can do to improve them:

  1. Good Quality Product Images
It is no hidden secret that customers prefer to see the product that they are interested in before officially purchasing it. Visual appeal of the product is perhaps the most important factor that can contribute to better conversion rates. Images are considered a conversion optimizing elixir by experts in the trade who claim that nothing sells a product faster than its image. Thus, in order to dramatically boost your sales, use lots of high quality images alongside the product you are trying to sell. Try to ensure that these images are eye-catching and captivating. Also make sure to have multiple images for one product, showing the product from many different angles. Having a zoom option on your website is also a useful feature to consider; allowing users to pinch, zoom and rotate creates greater interactivity.

  1. Lose the Shipping Costs
Successful ecommerce sites such as Amazon frequently offer free shipping if the price range of one’s cart exceeds a certain value. More than 50% ecommerce sites, whether they are advertising companies or technology sellers in Japan, are known to offer conditional or unconditional free shipping. Recent studies reveal that the variable of free shipping is often the number one deciding factor for shoppers to make their final choice of purchase. High shipping costs are also one of the main reasons for cart abandonment and businesses are strongly advised to either reduce or do away with them altogether. However, if it is impossible for your company to reduce shipping cost and you still decide to charge customers, the best alternative route would be to display these costs overtly and charge a flat fee so that shoppers don’t abandon the cart during checkout which is a conversion killer. An E-tailing Group study has revealed that unconditional free shipping is essential for high conversion rates since it is the deciding variable of purchase. According to this study 47% of customers indicated that they would likely abandon a purchase if they are surprised with a shipping cost during checkout.

  1. Product Reviews and Description
product-reviews-and-description Today’s age of fast internet and smartphones has made is fairly easy for consumers to compare products when shopping online. According to a study by GE Capital Retail Bank, 61% consumers prefer to read reviews before making a purchase. Therefore, showcasing user reviews of your products can prove very beneficial. This can be done through communication with the shoppers or via built in review plugins or widgets. Most importantly, it is highly advised that you don’t delete negative reviews since it grants your site credibility and leads to equally effective conversion rates as positive reviews. Product descriptions are also a very important component of site information since they provide valuable information and can also drive more traffic if infused with smart SEO optimization tools. Make sure your text captures the essence of the product at display and is easy to read as well as engaging.

  1. Address Cart Abandonment
address-cart-abandonment Cart abandonment is something every business has to face inevitably due to a number of reasons which may include shipping costs, comparison shopping, forced registration, doubt or site speeds. It is always a good idea to collect email addresses during the checkout process since it allows you to follow up orders via email notifications and remind potential customers of what lies in their carts so that they may revisit the idea of purchasing them. You lose if your customer decides to buy your competitor’s product. Perhaps you can offer a discount to convince people to finalize the purchase which will improve your competitiveness in the market. Even by recapturing about 30% of the abandoned carts, you can increase your conversion rate emphatically.

  1. Persistent shopping cart
shopping-cart One of the basic behaviors of human nature is procrastination. People add the products they want to buy to the shopping cart but tend to delay the buying process. Customers usually have a thinking of buying later on after they have selected a product that suits their requirements. When a week later they log in back to the site, they find the product disappeared from their cart, and trust me, nobody wants to do the hassle of searching the product on the site again. To prevent this from happening, it is advisable to have a persistent shopping cart. A persistent shopping cart would ensure that contents of the shopping cart do not get expired even after a day, week or a month, so that customers can return later and find the product they chose for shopping. Save the cart An alternative method suggested is the option to save the shopping cart content so that customer can recover it later after they have window shopped similar product and done the comparison. Giving the option to send the cart contents to email (later retrievable through a link) is a smart way of staying on the shopper’s mind.

  1. More choice requires better filters
Have you ever had an experience of having to choose between two products while shopping? How hectic does it becomes when you have a wide variety of choices? In a similar manner the more choice you offer to your clients, the harder it is to choose. One of the ways to narrow down customer’s selection and help them choose what they really want is by filters. Greater the number of choices, the better filters you need to provide.

The benefit of being online is you can have great filters. Filters increase the feasibility of search.

Author: Junaid Ali Qureshi

is a digital marketing specialist who has helped several businesses gain traffic, outperform competition and generate profitable leads.read more