How to Avoid Problems when Growing your Ecommerce Business

How to Avoid Problems when Growing your Ecommerce Business

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The goal of every business is the same – to make money. In order to make more money, a business has to grow by attracting more customers and increasing the amount of money they make. Ecommerce business is no different. Your ultimate goal is to increase the number of people buying from you and giving you money. And just like with every other business, an ecommerce business grows best when its growth is controlled and when the owner knows how to avoid the most common mistakes that follow the growth of an ecommerce store.

Too Much Traffic

In the early days, ecommerce business owners usually go for somewhat limited hosting options, simply because they know the visits will not be spectacular. Often times, they end up with long-term hosting plans that become insufficient once their ecommerce business starts to grow. All of a sudden, their website crashes as the hosting plan they chose months or years ago cannot handle the increased traffic.

Because this can mean ruin for an ecommerce website, it is essential that you either go for short-term plans that you can then upgrade later or that you go with a hosting company that allows for easy and cheap upgrades to larger plans or even a different kind of hosting.

Outgrowing Your Storage Solution

In the same way as your hosting solution, there is a serious chance that your storage solution will also become obsolete once your ecommerce business starts to bloom. As the number of customers increases, so will your warehouse needs and you might find yourself in quite a bit of trouble. As we all know, problems with shipping can easily lead to a drop in customer satisfaction and, subsequently their leaving for ecommerce stores with better delivery.

The best way to prevent this is to hire ecommerce 3PL logistics services where an outside partner will handle everything concerning your warehousing and shipping needs – from receiving, dispatching to managing your inventory and more. By hiring an experienced 3PL company, you will be getting all the experience and technology of someone who has been in the game for decades.

Compromising Your Customer Service

One of the most common problems for every growing business is that they often have to compromise customer service in order to be able to provide it to a growing number of people. It is the simple phenomenon where increased quantity leads to a drop in quality. In the ecommerce business, this can easily lead to huge problems and you need to ensure that your new increase in customer numbers does not lead to compromises in customer service.

You may need to hire additional employees to handle this increased volume of business, but it is essential you are able to provide the same level of ecommerce customer service as you did before your business started growing.

Hiring the Wrong People

Like we already mentioned, there is a definite chance that you will need to hire new people in order to handle the increased volume of business. When this happens, many ecommerce business owners hire indiscriminately, thinking that just about anyone will do.

Nothing could be further from the truth. The quality of the work your new employees put in will have a direct effect on how well your business will handle this increase in business. Hiring the right people for your ecommerce business can be a complicated task, but it must not be rushed.

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Categories: Business Management

About Author

Dan Radak

Dan Radak is a marketing professional with ten years of experience. He is currently working with a number of companies in the field of digital marketing, closely collaborating with a couple of e-commerce companies. He is also a coauthor on several technology websites and regular contributor to Technivorz.