HomeNewsTips5 Reasons why entrepreneurs lose money in e-commerce

5 Reasons why entrepreneurs lose money in e-commerce

Even with the advancement of e-commerce platforms and the increase in the number of connected consumers, many Brazilian entrepreneurs continue to face difficulties to make a profit in the digital environment.In 2023, the national e-commerce moved R$ 196.1 billion, according to the Ministry of Development, Industry, Commerce and Services (MDIC). Even so, the mortality rate of digital businesses remains high, it is estimated that 70% of virtual stores do not survive the second year of operation.

In the experts“ view, most of the failures could be avoided with quality information and strategic organization. ”Selling online is not just creating an online store and expecting results. It takes planning, technical knowledge and attention to the customer experience. many common mistakes end up compromising the entire operation”, explains Paulo Silva, CEO of Filtrify, First platform in the market focused on intelligence for digital marketing affiliates.

The experts list the five most frequent errors and guide them on how to avoid them:

1. Lack of financial planning: Separating personal from business accounts and having a structured cash flow is still a challenge for many small businesses. “Without clear financial planning, the entrepreneur gets lost between expenses and revenues, and this affects important strategic decisions, such as investment in marketing or stock replacement”, he warns Paul. Having a well-defined business plan with realistic goals and market analysis is essential for survival in e-commerce.

2. Poorly structured logistics: High freight costs, long terms and delivery problems are largely responsible for abandoned carts, which in Brazil reach a rate of 82%, according to the Radar e-commerce. “ The consumer wants practicality and speed. If the shipping is expensive or the delivery takes too long, he simply gives up on the purchase”, explains the specialist. Investing in efficient logistics partnerships and tracking systems can make all the difference.

3. Bad customer experience: Slow sites, poorly adapted to the cell phone, with incomplete descriptions and few payment options harm the consumer's journey. “Today, more than half of purchases are made via smartphone. If the site is not responsive or requires many steps until payment, the chance of conversion plummets”, highlights Paul. The tip is to simplify the purchase process and ensure that the consumer finds what he needs easily.

4. Disqualified traffic: Attracting many visits to the site does not mean selling more. “Many entrepreneurs invest in traffic, but do not analyze whether they are reaching the right audience. This generates waste of funds and a low conversion rate”, says the CEO of filterfy. The ideal is to work with data and segmentation to reach consumers who are really interested in what is being offered.

5. Lack of effective service: The absence of quick and humanized service, whether in the pre- or post-sales service, drives customers away and harms the brand's reputation. “ The consumer wants answers. Having clear contact channels and efficient support directly influences the loyalty and success of the virtual store”, he comments. Paul.

Despite the challenges, the expert points out that there are ways to reverse this scenario and improve the results in the e-commerce. “ The good news is that all these points can be adjusted with organization and access to reliable information. Educational content, support platforms and management tools can help the digital entrepreneur correct routes and achieve more sustainable results”, he concludes. Paulo Silva.

E-Commerce Uptate
E-Commerce Uptatehttps://www.ecommerceupdate.org
E-Commerce Update is a benchmark company in the Brazilian market, specializing in producing and disseminating high-quality content on the e-commerce sector.
RELATED MATTERS

LEAVE A REPLY

Please enter your comment!
Please enter your name here

RECENTS

MOST POPULAR

[elfsight_cookie_consent id="1"]