The growth of eCommerce volumes in India has piqued the interest of businesses from all over the world. According to Worldometers’ analysis of the most recent UN data, India’s current population will be 1,406,569,444 in 2022. Germany, the United Kingdom, France, Italy, the Netherlands, Belgium, and Greece combined have a population that is only one-fourth that of India! Despite its lower per capita spending power, India remains one of the most appealing emerging eCommerce markets. However, India is a long way from becoming an eCommerce haven.
The following are some of the difficulties that Indian startups face when running an online business.
Meeting the Increasing Expectations of Customers
Online startups are constantly striving to improve their reputation and brand image by promising a pleasant experience. It is difficult to meet client expectations in an era when experience is everything, and existing eCommerce behemoths take online purchasing to the proverbial ‘next level’ with anticipatory shipping methods. It is difficult for Indian startups to compete with these behemoths while meeting ever-changing client demands.
Startups should begin evaluating their eCommerce trends and focus on using this data to create individualised customer experiences in order to meet the desired customer expectations for a positive user experience. Customers must feel recognised and valued from the first time they use your service. Send an email, for example, to facilitate this customer connection.
Data security
Cybersecurity is critical for a startup with an online business because cyberattacks can result in financial, informational, and overall viability losses. When it comes to eCommerce, you must protect both your data and the data of your customers. A breach in your cybersecurity systems could result in the loss of your customers’ data, jeopardising the trust and reputation you’ve worked so hard to establish.
It is critical to implement a cybersecurity policy. A cybersecurity policy establishes ground rules for everyone in your company to follow, stating unequivocally that critical activities must not fall through the cracks. Second, if you’re looking for a new online platform, look into the various security features and options. Multitasking is one of these characteristics.
Client Retention
Even some of the most well-known companies in the eCommerce sector are having difficulty keeping their customers. Customer-centric eCommerce issues can be attributed to a variety of factors, such as changing consumer expectations, similar options, and a failure to provide a pleasant buying experience, and occasionally offers and discounts on other platforms are more substantial.
Customer loyalty is critical to a company’s success, and even a minor blunder by the merchant can derail the brand’s reputation. Many startups fail to recognise that keeping a user requires building a consistent and satisfying relationship with them over time and utilising every communication channel to cement this relationship. Building customer relationships takes time and effort, and businesses While striving to provide a better internet experience, organizations must nurture their customers with a personalized communication strategy.
Consumer loyalty stems from an emotional attachment to a brand, and every company’s marketing efforts should focus on strengthening that bond. A clever customer retention strategy can work wonders for an online startup by converting customers into brand supporters and expanding the brand’s reach.
While this article focuses on the challenges that startups face when operating online in India, which is an inherently one-sided topic, it is critical to recognise that eCommerce behemoths are increasingly drawn to the country. Cross-border eCommerce to India is growing, and many large foreign corporations are investing heavily in India.
(The author is Himanshu Chawla, Co-Founder and CEO, Bakingo, and the views expressed in this article are his own)
