10 Major Challenges Faced by eCommerce Sellers & How to Overcome Them

Running an eCommerce business could be a real pain if you’re not paying attention to consumer behavior, your sale trends, and feedbacks.

Managing all at once could be really difficult, and what’s more difficult is to process a solution to a problem amidst all the chaos.

eCommerce totally depends upon the customer interaction with the product and providing the product in customer’s hands.

If you have done these two jobs perfectly, then you’re going to get good feedbacks, reviews, and sales.

But it doesn’t really sound that easy.

There are some very common challenges that every eCommerce sellers face, let’s discuss what are they and how you can overcome them.

Major Challenges Faced by eCommerce Sellers

1. Underselling

While starting the Ecommerce, you prepare your site for large volumes of traffic and optimize it for better performance, but all these efforts are going to vain if you’re not able to receive the required amount of organic traffic.

In the initial period, you’re going to face this problem, where you could hardly manage to break even the investment, but this is the period you need to work more.

Advertise your eCommerce to a number of platforms, both online and offline, and tell people what you have to offer.

You could take help of big selling giants like Amazon and eBay and simultaneously manage both the channels. Underselling can be cured by making a constant effort in advertising your eCommerce platform.

2. Overselling

Overselling generally make lots of profits, but it affects the reputation of your Ecommerce store due to the fact that, maybe you’re not capable of processing such large feedbacks and complaints after selling large volumes of products.

This can lead to poor consumer handling, and they may permanently cut you off. Overselling causes problems only if you’re not ready for such large amount of consumer feedback, handling products and service calls. So predict your sale trend and be ready for the boom.

3. Low ratings and reviews

Most of the low ratings in feedback and review happen due to the improper detailing of the product, which usually makes a gap between the consumer’s expectations and sellers’ deliverance.

You can avoid that by giving proper detailing about every product and not even missing out one detail. The details include warranty periods, terms and conditions for warranty change, product usage guide and working of the product.

By giving proper details, you’re basically befriending your consumer before even they start buying stuff from your eCommerce. Other reasons for low ratings are improper interaction with the consumer and ignoring their complaints. There is no bigger marketing strategy than caring for your consumer.

4. Cost of processing

Suppose you have a good business running over, but it is not always about making a large profit, rather cutting the maximum cost as you can.

You can optimize your trips to the warehouse, delivery routes, and other product refills simply by finding the best way that makes the cost as minimum as possible. This will lead to high-profit margins even with stagnant sale trend.

You have to optimize everything because more you spend time on unorganized trips and things, it is going to cost you money, because, after all, time is money. The cost of processing can be decreased by having a good processing tool that takes records of every cost.

5. Selection of Products

Your store should consistently innovate and experiment with new products, but that doesn’t mean out of the blue products, it means products that are related to already in trend products.

This could increase your new products sale trend, because initially, you don’t have the statistics as to how the consumer is going to behave on seeing new products, so all you can do is predict by taking the related products’ sales trend.

Your 80% business comes from top 30% products, so you can increase that business by introducing related products to these top products.

6. Low organic traffic on website

Initially, multi-linked retailing only works on online selling platforms, because they have millions of registered users, that constantly analyze new products and sellers.

In that case, you need to work on your website. Make it search engine optimized so that web spiders can easily find the relevant things. Your website should be rich in content and products that can attract consumers.

You can further brand yourself on the invoices of your products that you’re selling on the selling platforms. This can convert the consumers into your regular web customers. The basic is simple; channelize your customers from selling the platform to your website.

7. Unorganized tasks

A business is hard to handle, and if you’re not doing it in an organized and efficient way, then you are going to increase your processing cost.

Before taking a step, think about the pros and cons, evaluate everything, see margins, costs and then finally take your decision.

Don’t do your research on paper as it is time-consuming and could have errors, instead purchase a tool that could print the invoice and do the work for you.

8. Optimize Costs

EBay and Amazon take up to 15% and 18% of the profit, which could be very heavy if you’re selling in certain categories, where the profit margin is low.

You should rather spend this amount on your own website, SEP, content and analyze tools to make it better, because, in the long run, your website is going to pay you more than these platforms.

A quality website is a better investment than just spending your profits on charges. To have a good website, one must remember, Content is the backbone of every website.

9. International selling

Selling international has more processing cost than domestic selling, but if you impress the consumer, you’re going to have benefits of exposure and popularity.

Make the process smooth as possible.

The only difference is the stamp and courier company; else everything is pretty much same.

You know the consumer is far, so initially, try to give best of products you have, which can avoid future problems as returning and other things are going to take time because it is international shipping.

Conclusion:

With proper guidance and planning, you can scale your business to whole another level with eCommerce.

Understanding these challenges and tips would give you the competitive advantage.