Will eCommerce Overtake Traditional Retail?
With the technology showing us the way, the traditional mechanism of business is changing and e-commerce is becoming more and more popular. Commonly known as electronic commerce or internet commerce and refers to the trade of goods or services using advanced and digital channels.
The digital transformation had an impact on various industries, including the retail industry. People these days are more inclined towards making a purchase over Amazon, AliExpress, or similar sites, rather than in a traditional store.
Although eCommerce and established commerce have similar purposes and goals, there also tends to be a huge difference between them. We’re going to cover a couple in this article.
What’s Traditional Commerce and eCommerce?
Commerce is an industry from the beginning of the world. It is an important and common factor of almost every other industry. Simply put, the world cannot function without it.
So, traditional commerce is when you interact face-to-face with your potential buyer. Usually in stores, or on the markets.
Whereas eCommerce refers to buying and selling on the internet — through websites, social media, or some other platforms.
This type of commerce is developed to create new opportunities and simplify the buying process. Customers don’t have to leave their space, or more importantly, wait in the long queues. All the process is completed through the digital channels, including the payment.
Similarities Between Traditional Commerce and eCommerce
Well, both of them have the same objective. That’s buying and selling goods and services. Also, one of the aspects of their success is the customer. No business can grow without customers. So, for starters, you need to attract customers and then retain them.
Differences Between Traditional Commerce and eCommerce
Now when you are clear on what traditional commerce and e-commerce look like, it’s time to point out what differentiates them. It’s mandatory to know both sides of the story to be able to understand the process or, in this case, to manage it smoothly.
The biggest difference between the two approaches is accessibility. For example, if you’re looking to buy something at the store, you have to visit it during their working hours, even a minute late won’t be acceptable. And, to do that, you have to first leave the house. If you’re tight with time, things may go cross.
Unlike conventional businesses, eCommerce is available 24/7. No matter if it’s a holiday or working day, you can purchase whatever you want, whenever you want. Moreover, your potential audience is no more just regional, it becomes national or maybe beyond the boundaries.
For example: After the popularity of online ordering systems, restaurants are no more confined to in-store selling. They receive orders from customers even after the roads go silent. According to the stats, the restaurants that have online ordering systems installed receive almost double the number of orders.
Besides accessibility, the difference is in staff and the customers’ ability to see and touch the product which by the way can never be eliminated by eCommerce. In a physical store, you can always check your item on the spot or ask the crew to help you out. The most important, as soon as you make a purchase, you get hold of it immediately, without waiting for it to be shipped.
It is crystal clear that both types have their merits and demerits. However, with the development in the tech industry and the advanced world we live in, it makes more sense to start an eCommerce rather than traditional commerce, depending on your product and target audience.