E-commerce is quickly catching up to regular retail and shopping. In some sectors, e-commerce is surpassing traditional commerce. Websites like Amazon.com have millions of customers per month and tens of millions per year.
The e-commerce model is having a widespread influence on business models as conventional enterprises and firms change their models to incorporate online advertising and sales revenue. Some businesses have eschewed traditional formats altogether and taken their operations completely online.
In e-commerce, the most important factor is conversion . Conversion occurs when a visitor becomes a customer by actually making a purchase. The conversion rate is the percentage of visitors that become customers. Obviously the higher this rate is the more profitable the business will be.
A high conversion rate indicates the success of a confluence of factors, from advertising to website layout and ease of purchasing. The Internet and the convenience of shopping from home and having a product delivered to the customer’s door drive e-commerce.
Improving conversion rates depends on how the website is set-up. An ugly website or a site that is hard to navigate through will not generate a lot of conversions, no matter the quality of the product or service. Online vendors and sellers can take advantage of a product offered by the granddaddy of e-commerce, Amazon.com.
The product is called Checkout . Checkout can help e-commerce websites by simplifying the purchasing process. A customer that can easily make a purchase is more likely to make that purchase. Checkout thus has the potential to significantly increase the conversion rates of its customers.
– Importantly, Checkout allows customers to use their Amazon.com information without ever leaving the website. Checkout gives e-commerce websites access to the millions of people that already use Amazon.
– Additionally, Checkout makes customers feel more secure. A visitor to an e-commerce website will not feel as secure if the website uses a proprietary payment system or a system not as well known. People feel comfortable inputting their sensitive financial information to a system created by Amazon.com.
Regression Commission Structure
– Checkout by Amazon uses a regressive commission structure . The lower the dollar amount of transactions, the higher the commission percentage.
No Start up charges
– Checkout does not have any start-up charges, monthly fees or contracts. Everything is done on a per-transaction basis with no hidden variables.
Easy to set up
– Checkout is an efficient way to increase conversions without modifying the website in a major way. Checkout can be added to the website by simply inserting an HTML code block into a page on the website.
Calculates relevant taxes
– If configured properly, Checkout will allow Amazon to calculate all the relevant taxes, including sales taxes. Checkout will take e-commerce to the next level. E-commerce vendors will experience very positive results by using this innovative and streamlined product.
This is a guest post by Eric Wyatt, you can check out the guidelines to guest post here.
Image Credit: four star cashier nathan