The Internet is full of opportunity. If you’re an existing business owner, establishing an online presence for your company is almost a requirement in our modern age. Without one, you’ll miss out on a huge number of potential clients looking for your services. If you’re looking to start a business, e-commerce lets you make that dream a reality without having to make a huge initial investment. Let’s look at four interesting facts about running an online business you may not have known.
Revenue This Year Will Top $3.5 Trillion
The global volume of online sales across all platforms is expected to reach a staggering $3.5 trillion in 2019, and it is still growing. As more people discover the convenience of doing all their shopping from the comfort of their own home, and even more people go online across the world, this number is expected to continue rising exponentially. Online sales are expected to grow to almost $5 trillion by 2021!
You do not want to miss a piece of this burgeoning market.
E-Commerce Stores Need to Pay State Sales Tax
Until last year, e-merchants were exempt from having to collect state sales tax for states other than the one where they were located. In 2018, however, the U.S. Supreme Court passed a ruling on South Dakota vs. Wayfair, Inc., effectively allowing states to enforce their sales tax schemes across state lines as long as merchants met certain volume requirements. In fact, almost 30 states have adopted economic nexus laws already. Because of this, e-commerce sites have been forced to retrofit their point of sale systems to ensure that they can properly account for each state’s tax laws.
Descriptions Matter
According to a survey conducted by CPC Strategy, 88% of online shoppers revealed that a detailed product description was crucial before they were willing on part with their money over the Internet. For consumers, the fear of online fraud can be very real. The more product or service details an e-commerce business provides, the safer and more comfortable a potential customer will feel.
Most Customers Want Free Shipping
Free shipping makes customers think they’re saving money, even when they’re not. Most customers now expect free shipping, and will often consider whether a merchant offers it as a determining factor before even heading to the checkout page. It’s all about the perception of saving money though, so a savvy e-merchant can always incorporate shipping into the cost of their products, ensuring a customer will click “Buy”.
With so much of today’s shopping happening on the Internet, it’s important for you to have an online presence for your store or business. If you haven’t already, consider starting a website today. It’s the only way most modern customers will ever be able to find your awesome company.
