Business challenges can provide us with an opportunity to learn, think of it as ecommerce retailer lessons, and 2020 was a challenging year. The resulting economic downturn changed the way people conduct their day-to-day activities online and off.  Now that we have turned the page on our calendars we can look back and learn how we can make 2021 a better year.

Here are some lessons from 2020 that we can all carry forward to help us improve our business practices in 2021 and beyond:

Open Communication and Transparency Are More Important Than Speed

Because of the increase in online shopping and the growth of competitors, online customers have developed high standards and expect a best-in-class shopping experience. Successful retailers have met these expectations with excellent services including product availability, fast shipping, item customization, and customer-focused practices. However, in a crisis, it may not always be possible to make good on these promises. There may be shipping delays, supply chain issues, or technical troubles that may prevent you from meeting your customers’ expectations.

One thing 2020 demonstrated is that many customers can show patience and understanding when something goes wrong as long as the retailer keeps them informed and is honest about their order. This is another ecommerce lesson for retailers. Transparency throughout the entire shopper journey is important and most customers will understand a delay, but if a customer has to call to find out the status of their shipment, they will not be very happy. Proactively communicating via e-mail or text that the delivery date has changed will go a long way to keep the customer’s loyalty and have them come back to your site.

A Positive Customer Experience is a Big Differentiator in eCommerce

With lockdowns and stay at home orders, many consumers turned to their computers and smartphones to fulfill their retail therapy needs during 2020.  The customer experience became a big selling point for many successful online retailers. By offering valuable content, customized experiences, and opportunities for entertainment, many brands rose above their competitors and kept customers coming back for more.

Providing useful content like tutorials, live events, and educational webinars can help customers come to know your brand and make them more likely to come back even after the end of the lockdown. Establishing a customer relationship online means taking a customer from initial contact through the purchasing and post purchase experience seamlessly. As online shoppers learn to make their everyday purchases online instead of in person, you have an opportunity to keep customers loyal for years to come.

Monitoring Your Cost Structure Will Help You Withstand a Crisis

The businesses most likely to survive an economic slowdown like we saw in 2020 were those who had a variable cost structure and the ability to have flexibility in their operations. Online retailers traditionally have lower overhead costs and can scale down more quickly than brick and mortar stores, but what about other costs? Shipping, inventory, customer service, and labor costs can quickly erode your margins and make it harder to stay in business.

Keeping track of these costs and knowing how to control them is crucial. Actions like lowering customer service costs by reducing incoming calls or maintaining the right inventory levels based on seasonal sales can make a big difference in being able to withstand a sudden change in demand. And this is not just protection from a crisis, it will also help you make smarter decisions and grow your business when the economy improves. Another great ecommerce lesson to remember!

Choosing the Right Partner Can Make a Difference

Your strength as an organization is only as good as those you work with and those who work for you. Perhaps the biggest lesson from 2020 is to make sure you do business with strong partners. Choosing a partner that shares your values, responds to your needs, and has the experience to make you better will pay off in the long run.

WISMOlabs helps eCommerce retailers that want to drive more revenue through a great post-purchase experience. WISMOlabs can help let us know how.