Because that’s where the customers are. Why people buy hasn’t changed, but where people buy has.
1. The Numbers
65% of Kiwis purchased a product or service online last year, and that number is only going up.
Kiwis are comfortable entering their credit card details online. 80% of Kiwis aged 25-34 report feeling safe making purchases online, closely followed by the 35-44 age bracket. Over 60% of Kiwis aged 75+ also reported feeling comfortable buying online. Read more on these stats here.
The amount of online shopping is growing. BNZ reported that online spending in 2017 was up 16% on previous year in NZ. Compared to brick-and-mortar spending which was only up 4.2%.
What does this mean?
The huge growth in online shopping has created the opportunity for individuals to translate their passions into specialty stores. It’s created an avenue for musicians to sell merchandise and music, for illustrators to sell artwork and graphic t-shirts, for passionate bakers to sell cakes. The options are endless and there’s a market for all of them.
Brick-and-mortar stores are now feeling the pressure to compete with local and international online businesses that don’t have the overheads of running a physical store. To capture potentially missed sales, brick-and-mortar stores must adapt to their customers. By creating an online store, you’re extending your reach, inviting the world to walk into your store regardless of your location or opening hours, you could literally be making money while you sleep.
Being successful offline doesn’t mean you shouldn’t have an online presence. A website is essential to any brick-and-mortar business’s credibility, an online presence promotes legitimacy. Your website can be a strong representation of your business. It also acts as a vehicle for delivering content, which promotes your brand, provides key product information and product reviews that drive sales.
Customers research online first, whether they intend to purchase online or in-store, having an online presence makes sure those potential customer will consider your products.
Almost any product or service you might want offline, is now available online. Take Amazon.com for example, a virtual shopping mall, almost any product is only a few clicks away. Groceries, music, toilet paper or even tonight’s dinner can be order and delivered to your front door.
Customers want the convenience of shopping online but they also want the instant gratification of purchasing in person. Amazon are now offering 2 day shipping on their “Prime” service. Amazon know that fast shipping will continually become even more of a deciding point for online shoppers.
An ecommerce system will provide analytics and data on your products and customers, which makes it easy to measure results. There’s transparency over where a customer came from, what they purchased, what they considered purchasing but didn’t, everything is trackable. An ecommerce system provides an in-depth insight into your online business.
The Short & Sweet
Kiwis are comfortable buying online and the amount of online shopping in NZ is continuing to grow. This growth has created an opportunity for enthusiasts and entrepreneurs to build online businesses, while brick-and-mortar business are having to go online to adapt to their customers needs and compete with local and international online stores.
An online presence gives your business credibility and acts as a vehicle to promote your products. Whether a customer purchases online or in-store, an online presence gives the increasingly-savvy-customer the opportunity to discover your products while researching.
An ecommerce platform will provide statistics which can be analysed to help you understand your customers and to grow your online business.