Contributed by Hamza Raja
There’s a half-trillion-dollar pie up for grabs that is brimming with disruption and mass adoption. Yes, we’re talking about eCommerce.
A recent analysis of Commerce Department retail data has shown that online sales accounted for $700 billion worth of revenue for internet retailers — get this — in the U.S. alone.
Just as any sweet pie attracts flies, digital retail is getting swamped by new players and investors. That’s why we’re seeing more marketplaces springing up and established giants like Walmart funneling more resources into their online ventures.
Since you’re reading this article, you’ve likely already spotted the opportunity here. Online marketplaces are expanding their customer base aggressively in their war for market share. So by putting your products on multiple platforms, you can dramatically boost your sales and revenue.
That’s multichannel eCommerce in a nutshell. It’s the hottest driver of growth in online commerce today. But as with any other strategy, there are some pitfalls you need to watch out for.
The 3 Most Common Pitfalls of Scaling to Multichannel Ecommerce
#1 Inefficient Logistics
Most small to medium vendors have multitudes of inefficiencies in their shipping and storage processes. The problems typically revolve around two aspects. Either the cost of human resources is too high or the pace of processes is too slow because of a lack of workers.
In either case, the infrastructure isn’t there to support smooth operations in case of rapid growth.
Many of vendors get away with inefficient logistics as long as the volume of sales is low enough. With multichannel selling, however, that’s a deadly mistake.
As the business attracts new customers and records significant growth in sales, the inefficiencies in the logistics grow along with it — ultimately bringing the entire business down to a screeching halt.
So before you focus on growth, monitor and plan your logistics meticulously. Make sure you have the infrastructure in place to support the influx of new customers, both smoothly and profitably.
#2 Spreading Resources Thin
Many business owners mistake multichannel selling for selling anywhere and everywhere.
That’s why you’ll see some brands putting up the same photos, product descriptions, and other product content on every platform. But that’s a huge mistake.
Every channel serves different purposes and attracts different audiences. Take Amazon and Shopify as an example:
Buyers on Amazon typically value price and specs over brand loyalty. Whereas Shopify attracts people who care about the brand story and experience just as much as they care for the product.
There are always going to be exceptions. But the point is, you have to strategize your planning for each marketplace by keeping their typical audience in mind.
The only way to do that is by focusing on quality over quantity.
Research into the platforms that your target audience is most likely to hang around and start with those. You can then expand once your resources allow for it.
#3: Failing to Leverage Technology
Despite the record-breaking pace of technological innovations in 2020, many businesses continue to rely on outdated solutions. Some are still using a spreadsheet to manage inventory.
Now, a duct-tape solution like that might serve a small business across a single channel. But multichannel selling is an entirely different beast.
Once the sales volume kicks in with multichannel selling, DIY solutions break apart and leave management scrambling for a fix.
That’s why you should automate as much as of your inventory management and bookkeeping as possible. Not only will that save you time, but it will also help you avoid the costly yet inevitable consequences of human error.
If you’re using QuickBooks for your eCommerce accounting, then you’re already ahead of many businesses. But let’s be honest. Copying data between QuickBooks and all your different storefronts is far from easy or efficient. And we haven’t even talked about all the different solutions you might be using.
Wouldn’t it be great if you could connect all those channels into a unified dashboard that lets you manage everything in one place?
A third party integration tool such as Connex for QuickBooks is exactly what you’re looking for. With over 30 selling and shipping platform integrations, Connex can help you automate all that and a whole lot more.
Experience the power of automation for your accounting with a 14-day zero-obligation free trial today!
If You Are Not a Connex Customer Yet, Could Connex Be a Good Fit For You?
Most of our customers sell on multiple ecommerce channels, such as Woocommerce, Shopify, Magento, and Amazon, just to name a few.
Our customers want to grow their business, and they also value the peace of mind from knowing their books are always up to date and they can serve their customers.
Why Our Customers Chose Sync with Connex
–Developed specifically e-commerce business owners
-You can scale your business by automatically syncing sales & inventory from multiple e-commerce platforms to QuickBooks Desktop or Online.
-You don’t have to spend your resources manually entering sales, inventory, and customers into your website and QuickBooks accounts.
Recommended by Intuit itself, Connex for QuickBooks will give you peace of mind that your inventory will be updated, and you will be free of the frustration of oversells and missed items.
-When your inventory is up-to-date, you can achieve higher customer satisfaction, leading to more positive reviews, and increased sales.
-For phone orders, we can sync sales from QuickBooks to your shipping solution.
–If you sell on multiple channels, you can simplify by using our solution instead of multiple tools.
–Connex integrates QuickBooks with all major ecommerce platforms such as Woocommerce, Shopify, Magento, Amazon and ecommerce shipping solutions such as Shipworks, Ordoro and Shipping Easy.
How can you decide whether Connex is right for your business?
-Full functionality for 14 days
-Sync up to 500 sales to QuickBooks Desktop or Online
-Complimentary email/chat/phone support during your free trial
Are you unsure whether Connex is right for your business?