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Local shop and online shop

Last but not least, business closures due to Corona have shown us all that it is a great advantage if you can also offer online trading in addition to local business. Those shops that had already expanded their online presence before Corona had a clear advantage.

But what exactly makes online trading so successful?

In the fast-paced society we live in today, time is literally money. Every day, each of us spends at least a third of the available 24 hours at work.

When we finish work in the evening, we all want to satisfy a very specific need first, namely our hunger. So before we buy clothes and other goods, we want to have enough food in the cupboard at home. This in turn means that after work we first go to buy groceries. This leaves even less time to simply stroll through the local shops and see what’s new.

In order to still fulfill our desire for new clothes and accessories, we simply sit down in front of the computer in the evening and shop online. The shops there are not only open from 8:00 a.m. to 6:30 p.m., but around the clock. It doesn’t matter whether we send off our order at 9:00 p.m. in the evening or at 5:00 a.m. in the morning, it will be delivered to our home in a few days without having to travel long distances. Even the delivery service has adapted to online business activities: those who do not deliver in a maximum of three days are perceived as slow.

It is possible to get information about a product very quickly online. This does not necessarily have to be on the website on which I am shopping, but forums can also help here. Last but not least, for every product you want to buy, you can obtain information directly from the manufacturer’s website, at the source, so to speak. Ratings of dealers and service providers are also a very important tool today to gain the trust of potential customers – all this is not possible in the shop around the corner.

From a geographical point of view, the online shop also has an enormous advantage: you can reach buyers worldwide, whereas with a local shop you are almost always limited to the local population.

A local shop usually means more administration and less convenience, but personal advice

Anyone who, despite the booming online trade, decides to run a local shop without running an online shop usually has to reckon with high expenses. In addition to the monthly salary payment for employees who serve customers on a daily basis, there are also high costs for renting sales and storage space.

Running an online shop does not mean closing your shop completely. Nowadays both can be combined well with each other. For example, you can also record the items offered in the store online and point out to the customers when they put them in the shopping cart that they can also buy this item from you or pick it up.

The pros and cons of a local physical store:

Advantages:

• Personal advice
• take the item with you
• No prepayment or credit card is required
• No long waiting periods

Disadvantages:

• High monthly expenses
• Wage payment for employees
• Requires sales and storage space
• Smaller audience

In addition to pure cost optimization, there are many other advantages of an online shop

Advantages:

• Better adaptation to the target group
• Lower expenses
• Greater range
• International sales
• No high expenses for rent and wage payments

 Disadvantages:

• Requires enormous knowledge – especially in online marketing
• It is not possible to try on the product before ordering
• No personal advice

What are the success factors for being successful with your online presence?

Quickly set up an online shop and sell worldwide – sounds good, but it won’t work as easily as it sounds. There are many things to keep in mind so that online sales don’t become a flop. Here are a few stumbling blocks.

Your own appearance on the web must be set up professionally from A to Z. Today it is no longer enough to just have a beautiful homepage, you also have to be represented on various social media, you have to create an online profile, collect reviews or create links on other sites with a lot of presence. This is the only way to be perceived as present by the search engines and ultimately found by potential buyers.

The online shop itself should, if possible, be integrated into your own homepage. This creates trust. All items must be well described and it must be possible to buy the item with just a few clicks. You should also make sure that you can buy without an account and registration. The payment options must cover today’s options.

The warehouse and deliveries are the backbone of the online shop. Under no circumstances should you save money here. You should set up a sufficiently large warehouse and the supply chain must be fast. If a product takes more than three days to deliver, you are perceived as slow. The packaging material is also important. If the packaging material is bad, you quickly receive complaints from customers, which are then immediately visible to everyone.

The daily “maintenance” of the online presence is of course also part of the online business. Comments must be answered quickly, and complaints must be dealt with quickly.

Advertising presence in online business is also very important. Above all, the advertising platform of Google must be under control as an online business. In addition to controlling the target group advertising, the optimization of the advertising budget is also extremely important, since you can quickly spend a lot of money on advertising measures that are not very useful.

Conclusion

With the large number of possibilities for operators of an online shop, it becomes apparent that the tried and tested principle of a local shop should be reconsidered sooner or later. It is becoming increasingly difficult for local shops to assert themselves against the digital competition. It’s time to let go of deadlocked methods and move with the times.

Above all, you can no longer “close yourself off” to the digital possibilities. It doesn’t have to be a complete conversion of the business to the digital sales channels, a combination of local business and digital business is easily possible. But with online business you have to make sure that you do it “right” – for many this will mean that they first have to invest a lot of time to get to know the different online sales channels. Because only those who know how to navigate in the digital business world will be successful. And you have to invest in the homepage, i.e. your own online presence, as well as in the online shop itself. Today there are a large number of providers who program websites and online shops – the initial investment costs should not be underestimated.

What is also needed in any case – whether in local business or online trading – is storage space. It goes without saying that this is the easiest part of building an online business. In a local shop, you usually have a warehouse in the basement or in the back of the shop. In online trading, the business warehouse is usually only suitable to a limited extent – the accessibility to the warehouse must be very good, you have to be able to store and retrieve the goods and send them very quickly. Here, a self-storage warehouse offers the ideal opportunity to cover your storage needs without having to sign a multi-year rental contract. Accessibility is mostly very good. You can also adapt the size of the storage room to your needs at any time, since you can change the storage room very quickly in self-storage. For example, you can compensate for seasonal factors and ultimately save money.

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