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The Importance of Packaging in eCommerce

Category: Ecommerce

the-importance-of-packaging-in-e-commerce
Mohab Ecommerce 0

Packaging is an often neglected but still one of most important parts of a business operation. The importance of packaging is even more crucial in the case of E-commerce as products spend a long time in transit, going through difficult situations. Packaging also has ecological side to it as wasteful packaging is said to have immense negative impact on the environment. Further, it is also important to control the costs associated with packaging. Here are some of the ways E-commerce businesses can enhance the value added by the packaging.

Importance of Packaging:

Packaging is much more than just wrapping the goods and sending them to customers. You can create your own brand identity through packaging. You can opt for custom packaging where you can create packages in different shapes and sizes and personalize them to reflect the core values of your business. Further, packaging may also be customized according to the customer base of your business. Either way, you can ensure that your packaging strategy does a lot more than just protecting and transporting goods. While the main purpose of packaging is to safeguard the goods, it may very well be used for branding purpose. Due to these reasons, packaging is an important concept which requires thoughtful consideration on the part of businesses.

Optimize the Costs:

There are several types of costs associated with packaging. Some of the direct costs are in the form of money spent on buying boxes, wrapping papers and wages paid to packing workers while indirect costs are incurred in the form of spoilage and wastage. It is important that both these costs are optimized so that the bottom line of the business is enhanced. With proper packaging, you can ensure that the product reaches their destination in the best possible condition, thereby reducing the chances of return. This can help you minimize associated postage costs and loss of reputation. You should also try to incorporate innovative techniques such as the use of eco friendly packaging material. Further, the costs may also be optimized by reducing the packaging material used, without compromising the safety of the goods and customers.

Build Strong Rapport with Customers:

Packaging may be used for creating a better bond with your clients. The packaging of a product is the first instance of a customer’s interaction with your brand. Since first impression counts, it is important that you create a positive brand image in the eyes of your clients. The packaging should be secure but still should be easy to remove, without causing any undue hassle to the customers. Also your clients should be able to unpack the goods without leading to any damage to the goods. If a product is well packaged and is convenient to handle, then your customers will likely have better opinion of your business.

Promote Brand Value and Loyalty:

The value of packaging goes beyond protecting the goods. You can create brand value by paying attention to the way you package your product. You can create further value by customizing the packaging to meet the requirements of particular products. For example, if you deal with edibles and food products, you may have to opt for temperature controlled packaging so as to ensure the safe and secure arrival of your products. You can emblazon your brand name on the packaging to make a lasting impression on your customers. Another good practice is to add essential information pertaining to the product on the packaging itself.

Bring Innovation:

While it is important to create brand loyalty and brand image through the use of packaging, it is equally important to ensure that various costs associated with packaging are optimized. Apart from financial costs, the social cost of packaging also needs to be considered. It should be ensured that the packaging is able to keep the goods safe but should not be excessive at the same time. It is also important to put emphasis on recycling of packaging material. There is also increased focus on using eco friendly packaging material.

Packaging is generally overlooked as an important part of a marketing plan. This concept has strong potential to help a business achieve its revenue and profitability targets while delivering value to its customers.

Also Read: What are the key components of a custom payment gateway

5 years ago
what-are-the-key-components-of-a-custom-payment-gateway
Mohab Ecommerce 0

Choosing the right payment gateway is crucial for an online business as these gateways can complete online transactions quickly, safely and efficiently. A robust payment gateway not only provides efficiency but also maintains integrity of the operations. There are several ways to incorporate a payment gateway into your system. You can choose to deploy a third-party payment gateway for processing your transactions or go for a personalized payment processing system. Each system has its own unique features, but a custom payment gateway can provide you with flexibility and efficiency which is unparalleled. Here are some of the key components of a custom payment gateway you should know about, to make informed decisions.

  1. Great Customer Experience:

    A custom payment gateway should be designed in such a manner that it maximizes the customer experience. The payment process should ideally have minimal number of steps to follow. It should also be intuitive so that the transaction proceeds in a smooth manner. You can also enhance the consumer experience by using well-known logos for different processes. The process should also be transparent so as to foster a sense of security and reliability in the clients. You can also enhance user experience by offering a wide range of payment options. Such flexibility will allow your users to maximize their utility and create brand loyalty.

  1. Sufficient Security:

    While speed and simplicity are desirable qualities in a custom payment gateway, it is equally important to ensure the safety factor of the transactions There are several security certifications available which will be helpful in providing a sense of safety to your clients. Ideally, your system should be PCI compliant. Further, you should also constantly upgrade your technology to effectively counter new spam and cyber-attack threats. End to end encryption of the transactions will ensure that the data transmitted remains safe and secure. Additional precautions should be undertaken to further secure personally identifiable information such as social security number and date of birth.

  1. Freedom of Customization:

    One of the biggest features of a custom payment gateway is that you can design it the way you want. You can add features while taking out some of the other complexities which you do not require. If you have a mainly subscription based business, you can allow for recurring payments on select dates. This feature will take away the hassle of recurring billing and will make the process more efficient. If your business deals with overseas clients, then it will make sense for your payment system to accept a wide range of foreign currencies. You may also want to display your payment system in different languages for making it easy to follow for your clients.

  1. Sensible Fees and Charges:

    Most payment gateways are able to provide their services at affordable rates due to economies of scale. However, the various benefits provided by a custom designed payment system can justify its higher costs. If planned properly, you might be able to reduce these expenses on a custom payment gateway as well. You should carry out extended and informed deliberation with various financial service providers to ensure that you optimize various charges and fees. Further, you should also pass down some of the benefits to your clients so as to build a solid customer base.

  1. Modular Feature:

    Setting up a custom payment processing system can be a daunting task. There are several variables to be taken care of, including the number of processors to collaborate with. Ideally, you should work with multiple processors to minimize the possibility of outages. This setup will also provide you with leverage in terms of negotiation. If you are building a custom payment system, then you should pay adequate attention to security features as well. Further, a foolproof process should be set up for handling arbitration, chargebacks and disputes. The process should be such that your clients do not face unnecessary hurdles while getting their grievances addressed.

All in all, custom payment gateways can indeed help you optimize your business processes. You can also ensure that your clients have the smoothest possible experience by incorporating features specific to your business. The process should also be flexible so that it can handle any changes in your business model.

5 years ago
top-reasons-why-your-business-should-accept-payments-online
Mohab Ecommerce 0

For a business, one of the most important tasks and objectives is to maintain the profitability and liquidity of the organization. It is important to ensure that you are able to receive your dues in a prompt manner. This can be made easy by adopting the right online payment methods. If your business is able to accept online payments, then you can convert your receivables into cash with relative ease. Online shoppers also prefer to make payments through digital modes these days. Here are some of the advantages of online payment systems.

Collaboration with Expert Online Payment Providers: While you can set up your own online payment system, teaming up with specialized online payment processors has many benefits. There are certain points to keep in mind while choosing your online payment provider. They should possess state of the art infrastructure so as to offer efficiency and security to your clients. It is preferable that the system is also equipped with the latest anti-scam software to provide protection against cyber-attacks. Further, you should also pay thorough attention to their fee structure. There should be no element of surprise for you or your clients. A reputed gateway will disclose all fees and charges upfront. If the provider charges fee on volume basis, you should ensure that it is reasonable at all the levels. Such collaborations can provide you with specialized services, making your business more efficient.

            Also Read: 7 Tips for Safe Online Transactions

Easy Setup: The process of accepting online payments is not complicated at all. The setup takes only a short while and offers immense convenience. You can easily integrate this payment system with your website and online store. The integration process may differ from one online payment gateway to another but the fundamentals remain the same. The registration process is also simple and quick, requiring you to provide some essential information. There is generally minimal paperwork involved. Once the set up is integrated, you are only required to take up periodical maintenance sessions. Now, you are all set to accept online payments from your clients.

Affordable: Thanks to consistent improvement in technology, online payment systems are becoming more affordable with time. Most online payment processors now offer accounts with zero setup fees. This feature adds on to the efficiency of your business. As more and more businesses are signing up for online payment processing systems, the transaction fees are also coming down, thus rationalizing the operational costs. In many cases, the online payment processor may also agree for a lumpsum payment, irrespective of the volume. This deal may be ideal for fast-growing businesses. With declining costs, the benefits of online payment systems outweigh the shortcomings. Businesses now get to boost their margins by using these cost-effective online payment solutions.

Widen Your Market: Online payment solutions allow you to increase your turnover and reach a wider market. With the help of these gateways, you can service overseas markets as well, since you can accept foreign currencies. Online payment solutions facilitate the use of international credit and debit cards, thus increasing the reach of your products and services. You can attract more customers with online payment facilities and gain a competitive edge over your peers. You can offer more payment options to your clients, allowing them to spend their money without hassle. Further, online payment systems are known to encourage impulse purchases. Such purchases can add significantly to your bottom line.

Better Customer Satisfaction: By introducing online payment facility, you can greatly enhance the shopping experience for your clients. They will have more choices when it comes to making payments for your goods and services. They will also be in a position to plan their budget better, as they can use their credit cards instead of making upfront cash payments. The faster delivery of goods is another benefit, since online payments are processed faster than offline payments. Online payment systems generally come with inbuilt security features, which increase the element of trust and safety.

To conclude, accepting online payments has become essential for all businesses, especially after the pandemic, as social distancing will continue for some time to come. And with easy set up and operations, this feature can help you boost your revenue and profit too.

5 years ago
Automated-Billing-System
Mohab Ecommerce 0

An automated billing system is an extremely important part of a business’s ecosystem. This is an elaborate system which consists of several parts and complicated procedures. In order to run a business in a smooth manner, it is essential to have a robust yet flexible billing system. Paying attention to your billing system ensures that your business stays liquid and does not face unnecessary cash flow issues. Here are some of the tips which can help you streamline your billing system and make it a smooth process so as to ensure optimal liquidity for your business.

  1. Set goals and standards: Before you roll out a new system, it is important that you define your expected outcomes first. The key is to set up your terms and conditions in an appropriate manner. You should clearly spell out your billing duration, which is whether you charge on an hourly basis, daily basis or on a project basis. Further, it should also be clarified whether you accept lump sum payments or staggered payments. If there is any escalation clause for the extension of the project, then it should also be mentioned right in the beginning. You should also ensure that the billing system is designed in such a manner so that it is adaptable to changes in the variables.

 

  1. Make it a team effort: Deployment of a new automated billing system should be a team effort, as in, it should involve different departments of your business. Apparently, the billing system may seem to be the responsibility of the sales and accounts department, but it requires input from other departments too, to make the system all encompassing. Incorporating requirements from different departments will ensure that the system does not lack in any regard. Also, the clients will be able to use this system in a more comprehensive manner. You may also take recommendations from your clients so as to increase the utility of your system.

 

  1. Focus on key deliverables: While a system is required to work in the best possible manner on all fronts, it is important to identify some key variables. For some businesses, the speed of the system may be of paramount importance, while for others, the robustness of the system may be a key factor. Before you start to change your billing system, you should identify critical areas for your business and then work around them to ensure that your new system is able to meet your requirements. Focus on key deliverables to make your billing system more cost-efficient as well, so that you do not end up spending a fortune on the features which are not vital for your business.

 

  1. Pay attention to backup and storage: While setting up an automated billing system, it is important that you pay proper attention to offering backups. Automated systems, irrespective of their robustness, are prone to occasional infrastructural failures. In such cases, it is important to have a backup system so that the business is carried out smoothly, without any hiccup. Breakdowns may occur due to intrinsic or extrinsic reasons. However, in both the cases, the existence of backup ensures that the impact of such breakdown is minimized. Further, it should also be ensured that all the records are stored properly so that there is no loss of vital information.

 

  1. Test run and modify: Even the most elaborately planned automated billing systems may run into issues when deployed. Before you introduce your new system on a mass scale, it is important that you take it for a test run. A dry run is important to figure out if there are any loopholes or flaws in the system. Such shortcomings should be properly addressed before the system is formally deployed. You may also undertake beta testing of the system and invite some of the end users to try it. Their feedback may be used for incorporating changes and for fixing the flaws. You should undertake proper documentation at this stage so that all the loopholes are properly fixed.

An automated billing system can go a long way in making a business more efficient and productive. By following these simple guidelines, you can ensure that you have a robust billing system in place and the transition is handled in the smoothest possible manner.

5 years ago
PayTabs
Mohab Ecommerce 0

The-Psychology-of-an-Online-Shopper

In order to reap the full benefits of your online business venture, it is important to understand the psychology and the motivation behind the process of online shopping. Online shopping behaviorism is a relatively new yet a powerful concept. Understanding the psychology of your online customers is vital for boosting the traffic to your website and for controlling various metrics, such as the rate of cart abandonment and failed checkouts. There are several factors which drive a consumer to make purchasing decisions. While many of these factors are conscious, some of them may be unconscious as well. So, let’s take a look at how your business can benefit by understanding the psychology of an online shopper.

  • Create a sense of belongingness: Since online shopping lacks the tactile experience offered by offline shopping, it is imperative that you take extra steps to ensure that your customers are able to mimic their real-life shopping experience online as well. There are several initiatives you can take to ensure this kind of experience. If your catalog uses models, then ensure that you select your models in such a manner that your customers are able to relate to them. Some of the factors to keep in mind are age and gender. Make sure that your models are in line with the demographics of your target market.
  • Reciprocate the gesture: Online shopping is all about instant gratification. You can further boost this feeling by offering something in return to your customers. Apart from providing them with their desired goods and services, you can also offer discounts or free gifts on their purchase. With this strategy, you can provide value to your customers, which is over and above their requirements. This is also a foolproof method to encourage customer loyalty and ensure repeat business. You can also do so by making their shopping process easier and convenient. With the growing use of mobile phones, you should ensure that your website is optimized for smaller screens as well.
  • Spruce up your online store: Just like an offline store, the aesthetics of your online store may have a strong impact on your customers’ buying decisions. It is highly recommended that you choose an appropriate theme for your online store and then manage its overall presentation on the basis of that theme. The visual appearance of your online store is one of the most important factors that can impact the purchasing decision of your clients. You should pay special attention to the differentiating features of your target market and then design your store accordingly. Apart from the curation of items that are to be featured for shopping, the color schema of your store should also be pleasing.
  • Guide your clients: You can lead your clients to the right kind of products and services in your store by offering visual and psychological cues. You should make sure that your online store has a simple navigation process. It should also be intuitive in nature so that the entire journey feels natural to your clients. You can also integrate links and suggestions to direct your customers to certain sections and products. Online stores also follow quite a few guidelines which are applicable to offline stores. Like, you should place your high priced and high margin items in the line of sight of your clients so as to ensure that these items get the proper attention.
  • Be transparent: It is important that your customers are provided complete and accurate information. Such information is important for building trust. Unlike offline shopping, e-commerce lacks the personal touch and the ability to test goods beforehand. In such situations, it is vital that you provide extra incentive to your clients to ensure a sale. The importance of transparency cannot be overemphasized in such cases. All the expenses related to purchase, including taxes and shipping charges etc. should be explicitly stated, so as to minimize the chances of cart abandonment. Similarly, shoppers should also be made aware of the expected delivery time and possible issues.

The e-commerce has already gained widespread acceptance with the masses, and is growing at a fast pace. In order to fully optimize the benefits of this trend, you can keep these simple tips in mind and make your online business more user-friendly and efficient.

5 years ago