The herd mentality of humans will always breed competition. A business idea is not yours for keeps. As soon as it enters the market, there will be an influx of imitators, who will then evolve into competitors. Competition gets even tougher in the online market since it is far easier to set up an online store than an offline one. As a result, there is a never ending slew of online stores flooding the internet daily. This means that many online markets are already saturated.
Thus, as an online retailer already in the market or one trying to get into the market, your goal is to seize and maintain a sizable portion of the market share. How do you achieve this? How do you stay afloat in a saturated online retail market?
1. Understand the Flexibility of Consumer Psychology
Successful online retailers know that consumer psychology is dynamic. You should expect a shift in consumer psychology from time to time depending on the economic climate. Understanding consumer psychology and its flexibility forms a bedrock to stay winning in the online retail space, and guides you on the method of persuasion to use per time.
If you are reading this article, it is likely that you are an average or new player in the online retail market. This means that using ethos as a mode of persuasion may not favor you. Ethos involves establishing your authority and credibility, and as a player in the middle or lower tier, this may be difficult to achieve. This is because humans are not usually comfortable with change, thus they stick with what or whom they know as long as they remain satisfied. And this means sticking with the household names.
So what do you do? Pathos and logos are better approaches for you to lure people into patronizing you. For example, the Covid-19 pandemic offers a perfect commercial climate to appeal to the emotions (pathos) or sense of logic (logos) of buyers. As panic ravages the world, a client would most likely buy from the vendor who shows that they are in touch with the client’s reality, or the one who offers a logical reason why their product is needed in these times.
2. Stay in a niche
The online retail market is a vast space, thus it is not surprising to see some online vendors trying to be everywhere at the same time. For them, it is an effective strategy for growing and maintaining their visibility. But what they don’t know is that this strategy is likely to backfire.
Buyers trust and patronize vendors who are committed to a niche. Spreading your tentacles across different niches labels you as indecisive, insecure and insatiable. This will affect your brand image. Allowing people to attach an identity to you is a sure way of being in the competition and winning.
Note: There is a difference between diversification and being an online handyman. Diversification, for example, means selling phones, then branching into selling tablets, airpods, headsets, etc. But an online handyman would sell phones, clothes, cars, anything and everything.
3. Leverage social media
It is not enough to have a web presence, you must also have a solid social media presence. Social media offers you the opportunity to expand your visibility. The developers of popular social media apps keep introducing updates that can be employed by online businesses to expand their visibility and enlarge their customer base.
For instance, with the highlight covers on Facebook and Instagram, online vendors can categorize their products using their Facebook and Instagram stories. It enables customers to, with just a click, go through a catalog of information and products.
4. Use storytelling and don’t run out of content
Storytelling is a veritable tool for the growth of every business. The greatest brands in the world all have a (brand) story. Marketing is all about persuasion. The goal of persuasion is to appeal to emotions. And stories evoke emotions. Social media provides a platform where you can tell short, powerful stories about your brand and your products.
You may have a blog section on your website, but the truth is that more people would read your Facebook posts, tweets, Instagram captions, and/or WhatsApp statuses more than your blog posts.
Always remember that on the internet space, content is king. So keep producing quality content frequently. This is how to create and maintain an impression in the minds of people. People may forget your logo or tagline, but they would never forget a story — content — that resonated with them. Content is not limited to (written) words alone; photos, videos, podcasts and (info)graphics can be used too.
5. Keep in touch with your customers through email marketing
One fascinating quality about James Clear, the bestselling author of Atomic Habits is that he never fails to send motivational nuggets to his thousands of email subscribers every week. James is not an online vendor. He has written just one book so far. Yet long after you’ve read his book, he still lives in your mind through the emails he shares consistently.
As a retail marketer, you can adopt this strategy to nestle in the minds of your (potential) customers. Use emails to send inspiring and motivating messages, or notify them of current market trends. This will show them that you care about them beyond their money. When they know this, they would easily patronize you when you offer a product.
6. Buying or exchanging an ecommerce business
The truth is starting and growing an ecommerce business from scratch requires a lot of hard work. However, if you have the finances, it is easier to buy a developed, successful and popular online store. By doing this, you skip the hassles of building a business from scratch. You could also exchange or sell your online store. This can provide you with the cash you need for other profitable ventures.
Exchange Marketplace offers you a platform to buy and sell ecommerce businesses. It is a large online store of ready-made stores spanning diverse niches. So visit the website now that offers you an opportunity of owning an online store without sweat.
The competition in the online retail market will not cease. This article has provided you with six key strategies that will make you a major competitor in the online retail space. Ensure you employ these strategies because only businesses with the right strategies will stay at the top of the food chain.
The post How to Remain Competitive in a Saturated Online Retail Market appeared first on Entrepreneurship Life.
Carson Derrow 2020-07-09 05:53:46
The post How to Remain Competitive in a Saturated Online Retail Market appeared first on Market World.