Economic Downturn Heralds A New Age Of E-commerce Development

By Author: Daljeet Sidhu
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E-commerce businesses have grown at an incredible rate in recent years. A good many e-commerce websites have leveraged on swift growth. The economic downturn is a litmus test that distinguishes astute e-commerce entrepreneurs from the shortsighted ones. The slower growth rate could bring a lot of online stores to their knees, bringing their tactics under the scanner.

E-commerce growth has slowed and is not going full throttle as in the past. This is noteworthy at a time many commercial enterprises are going down. E-commerce businesses should not think all is lost. Instead, they should focus on effective strategies to boost their e-commerce website.

Increasing market share of e-commerce businesses

E-commerce trends can be gleaned by analyzing the sales figures of e-commerce websites but a better indicator could be the trend in internet advertisement spend by businesses.

While online advertising did not do as well as the predictions for 2009-10, the close to even growth is still better than the sharp fall seen in traditional advertising on television, radio, magazines and newspapers. The Internet is ...
... gaining popularity across the globe and internet businesses are growing their customer base every day. Not only young adults but also the men in the 45-65 age group browse the Internet for many hours every day. And older women are catching up quickly.

The trends suggest some significant implications for e-commerce website design and development.

The time to launch an e-commerce website is NOW

E-commerce has managed to stay afloat in spite of the prolonged economic downturn. E-commerce websites have maintained their profit margins unlike retail stores. The present time is favorable for launching an e-commerce website as costs of designing and setting up a site are very competitive.

Readjust the budget for e-commerce development

In typical cases, businesses draw the new budget based on the previous year's budget after including needed increments or decrements. However, the market has changed drastically as a result of the recession. Conventional media is not as influential as up-and-coming media like the internet for marketing and advertising. New financial plans must honor these changes and distribute adequate funds to internet businesses to maximize on the Web to build brand name and visibility.

E-commerce website design should cater to all ages and genders

The internet is no longer a medium of entertainment alone. It is an instrument of business that breaks barriers of age, gender and society. E-commerce websites are visited by a wide range of internet users and site design should make them all at ease. The website should be user friendly, uncomplicated to use with information the audience can relate to.

Businesses that do not have an e-commerce website are losing out not just on revenue but also on establishing their brand. E-commerce websites increase the online presence of a business, boost revenue, and expand the customer base while saving costs on overheads. E-commerce websites are here to stay. The sooner businesses accept it, the better for them.
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