Is 2023 a Good Time to Launch an E-commerce Business?

As inflation impacts consumers and they have less disposable income is it too risky to launch an e-commerce business in 2023?

Consumer Spending Online

The cost of living rises have forced many consumers to consider their purchases, however, they are still spending online. Data from ACI Worldwide* revealed that from October to December 2022 online sales volume was up 21% on the previous year. They also identified a growth in shoppers using smartphones and mobile devices for online shopping, along with digital payment options.

The e-commerce market is forecast to continue growing through 2023, however, customers will be looking for value; products and brands which best fulfil their requirements for convenience, choice and customer experience.

E-commerce Success

Many factors are essential for e-commerce success and with margins likely to be tight, business decisions must be informed by data.

What are customers seeking when they visit your online shop and how did they discover that you offer it?
Which products are maximising your profits?
Where are the opportunities for upselling or cross-selling?

In addition, data reveals that consumers like the option of Buy Online Pick Up in Store, especially when strikes delay shipping. If you don’t have a physical shop, could a business partnership with an independent High Street retailer provide a solution?

Online security is also a concern, so work with providers with robust fraud management and prevention measures in place. This will better protect your business and your customers’ data.

Finally, ensure that your e-commerce packaging is both robust and sustainable. This will help to reduce damage in transit and returns, as well as winning favour with environmentally conscious shoppers.