What after online store
Selling online is costlier than offline
Retail
Selling online is costlier than offline
Pandemic forced small businesses to go online. Easy plug and play features of e-commerce keeps the entry barrier low. Small businesses are struggling with higher demand and bigger markets.
Costs to sell goods nationally and internationally are higher than inshore sales. Logistics differ the most. Shipping costs, online transaction charges, new packaging for shipping, advertisement costs (search engine and social media ads) add up. It affects the margins. Market grows, but profits dip. Businesses can not pass on the additional charges to customers. Customers also tend to support small and local businesses over big businesses.
As per The Globe And Mail: Consumers have responded to the shift, says Ms. Mach. Canada Post’s latest consumer research found 60 per cent of Canadians say they make a conscious effort to purchase from a Canadian-based retailer and 44 per cent say they make a conscious effort to support small and independent online businesses.
Going forward brick and mortar businesses will sell online as well as in-store. For example local fresh brew pubs prioritise in-store customers. During the weekend they sell online to satisfy other customers. Which Indian breweries adopted the same online-offline tactics during the pandemic?