- As the e-commerce sector expands online store owners need to adapt and continually seek out opportunities for growth
- A fast-loading ecommerce platform is crucial as 53 percent of mobile users will abandon a website if it takes more than three seconds to load
- It is crucial to plan and strategize scaling, as haphazard or poorly executed scaling efforts can have detrimental effects on your business
Ecommerce is a thriving industry, and as senior marketers, it’s essential to keep up with the latest trends. The industry has experienced significant growth in recent years, with global retail ecommerce sales reaching over $4.9 trillion in 2021. It’s amazing to see how ecommerce has been growing rapidly in recent years, and many businesses have been quick to take advantage of this trend of scaling their ecommerce brand by establishing and improving their online presence. Two years ago, only 17.8 percent of sales were made from online purchases. That number is expected to reach 20.8 percent in 2023, a 2 percentage point increase in e-commerce market share. Growth is expected to continue, reaching 23 percent by 2025, which translates to a 5.2 percentage point increase in just five years. If your business has not yet explored the possibilities of e-commerce, now is the perfect time to do so.
Why you should scale your ecommerce business
Scaling an ecommerce business is essential for its continued success and growth. Ecommerce scalability refers to the ability of the platform to adapt to the changing needs of the business. Sustainable scaling requires careful planning, knowledge, financing, and preparedness to address challenges. A fast-loading ecommerce platform is crucial as 53 percent of mobile users will abandon a website if it takes more than three seconds to load.
If the business is generating sufficient monthly sales to cover costs, it is advisable to focus on scaling up. However, if the business is experiencing high demand and facing stockouts or overbookings, scaling up is imperative to maintain early success and ensure long-term growth and sustainability.
Marketing strategies for scaling e-commerce brands in 2023
Scaling an ecommerce brand comes with its own set of challenges which requires developing effective strategies for better reach.
Let’s discuss some of the most effective marketing strategies for scaling e-commerce brands.
SEO and content marketing
Search engine optimization (SEO) and content marketing are powerful tools for scaling e-commerce brands. By optimizing your website for search engines and creating high-quality, informative content, you can attract more organic traffic to your site and establish yourself as an authority in your industry.
To optimize your website for search engines, you can conduct keyword research to identify and include relevant keywords in website content and meta tags, optimize website structure and navigation for search engines, create high-quality and informative blog posts, videos, and other types of content, and build backlinks from reputable sources to improve website authority and visibility.
Content marketing can also help you attract more traffic and establish yourself as an authority in your industry. By creating high-quality blog posts, videos, and other content, you can provide value to your customers and build trust with your audience. Consider conducting a website audit to identify areas for improvement, developing a content calendar to ensure regular content creation and publication, and actively seeking out opportunities for backlink building through partnerships and collaborations with relevant industry publications and influencers. Additionally, regularly monitor website traffic and engagement metrics for valuable insights into the effectiveness of your SEO and content marketing efforts. This will aid data-driven decisions for further optimization and growth.
Social media advertising
Social media advertising is another effective strategy for scaling e-commerce brands. By leveraging social media platforms like Facebook, Instagram, and Twitter, you can reach a large audience of potential customers and promote your products or services.
TikTok and Snapchat are known for their unique features, engaging content, and massive user base, which makes them valuable channels for e-commerce brands looking to reach and engage target audiences.
Meta is a very strong contributor at the top of the funnel, where media awareness drives high performance.
To get the most out of social media advertising, focus on creating high-quality ads that are visually appealing and relevant to your target audience. For example, product ads showcase your products and include images, descriptions and pricing. They can be used to promote specific products or to showcase a variety of products in a carousel format. Partnering with influencers can be a great way to reach new audiences and build trust with potential customers. These ads typically feature an influencer using or endorsing your product. You can also use retargeting ads to reach customers who have already interacted with your brand, increasing the likelihood that they will convert. Read more about using influencer marketing for your business in the next section.
Influencer marketing is another effective strategy for scaling e-commerce brands. By partnering with influencers in your industry, you can tap into their large and engaged audiences and promote your products or services to a wider audience.
Clothing company H&M frequently partners with fashion influencers and bloggers to promote their clothing lines. They have worked with a variety of influencers, from established celebrities to up-and-coming bloggers. Sephora, on the other hand, has worked with beauty influencers on YouTube and Instagram to promote their makeup and skincare products. They also have an influencer program called, ‘The Sephora Affiliate Program’ where the brand collaborates with content creators to create product reviews and tutorials.
When choosing influencers to work with, focus on finding those who have a large and engaged following in your target market. You should also ensure that their values and messaging align with your brand to ensure a successful partnership.
Email marketing is a powerful tool for scaling ecommerce brands, allowing you to nurture leads and keep your brand top-of-mind for potential customers. By building a high-quality email list and sending targeted, personalized emails, you can increase engagement and conversions.
To get the most out of email marketing, focus on building a high-quality email list through lead magnets and other incentives. You should also segment your email list based on customer behavior and interests, allowing you to send targeted and relevant emails that are more likely to resonate with your audience.
Best practices to scale up your e-commerce business in 2023
In order to successfully scale your ecommerce business, it is necessary to undertake a thorough preparatory process that involves anticipating and accommodating significant changes. It is crucial to plan and strategize carefully, as haphazard or poorly executed scaling efforts can have detrimental effects on your business.
To ensure that your ecommerce business is ready for scaling, it is recommended that you take the following steps:
As your business grows, you need to ensure that your operations are running efficiently. This includes managing inventory, fulfillment, shipping, and returns. Use software solutions to automate processes wherever possible, and regularly review and optimize your workflows to minimize costs and maximize efficiency.
Expand product offerings
One way to grow your business is to expand your product offerings. Conduct market research to identify products that align with your brand and appeal to your target audience. Start by adding complementary products to your existing catalog and gradually expand into new categories.
Invest in marketing
To scale your business, you need to attract new customers and retain existing ones. Invest in marketing channels that have proven to be effective, such as search engine optimization (SEO), pay-per-click (PPC) advertising, email marketing, and social media advertising. Test different strategies and tactics to identify the ones that generate the best results.
Optimize the customer experience
In ecommerce, the customer experience is critical to success. Make sure your website is user-friendly, responsive, and mobile-friendly. Provide detailed product descriptions, high-quality images, and customer reviews to help shoppers make informed purchasing decisions. Offer fast and reliable shipping, and provide excellent customer service to keep customers happy and coming back.
Build a strong team
Scaling an ecommerce business requires a team of skilled and dedicated professionals. Hire talented individuals who share your vision and values, and provide ongoing training and development to help them grow with your business. Delegate tasks to empower your team members and free up your own time to focus on strategic initiatives.
Scaling an e-commerce business is no easy feat, but with the right strategies and best practices, it is possible to achieve exponential growth. In this article, we’ve discussed some of the key challenges that e-commerce brands face when trying to scale in 2023, and the marketing strategies that can help overcome these obstacles.
As ecommerce continues to evolve and become increasingly competitive, it is more important than ever for businesses to stay up to date on the latest trends and best practices. By focusing on areas such as customer experience, brand building, and marketing, e-commerce brands can position themselves for long-term success.
In conclusion, scaling an e-commerce business requires hard work, dedication, and a willingness to adapt to changing market conditions. However, with the right strategies and a focus on providing value to customers, businesses can achieve sustainable growth and thrive in the years to come.
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