The Internet is becoming crucial to one’s business life. Today, Internet has the capacity to catapult a small business onto another plateau altogether. By investing a small amount of money, companies of all sizes can now access probable customers across India, and the world, via the Internet and compete with big multinational players on a level-
playing field.
While traditional marketing channels have included trade shows, catalogues and trade associations, the Internet has brought new tools to bring trading partners together, using search engines, portals and online marketplaces.
E-commerce opens up various possibilities for businesses, from bringing global business opportunities right to one?s doorstep to reducing time and effort in executing business plans.
A common dilemma faced by Indian micro, small and medium enterprises (MSMEs) is the process of finding new business partners?the most extensive and most expensive stage of the sourcing cycle. However, the Internet offers ready information on products and suppliers from across the globe and one can drastically reduce the time required to locate probable business associates through e-commerce companies, such as the Alibaba.com, the world?s largest e-commerce company.
With data?like facts and figures about markets, research and analysis of trends, stock positions, contact information for buyers and suppliers, etc?readily available on the Internet, SMEs can now locate prospective customers in markets across the globe effortlessly.
E-commerce provides a very large database of capable buyers and suppliers because of its growing ability to penetrate geographically scattered customer bases. As procurement officers internationally are looking online to find potential business associates, SMEs in India too can now use the power of the Internet to find new customers.
With e-commerce connecting an enterprise to global business partners virtually, entrepreneurs and businessmen don?t need to step out of the comfort of their offices to conduct business. They may not even need an office! Along with this benefit, e-commerce also provides the upper hand for SMEs around the world to be with in reach round-the-clock.
Even though trade fairs and exhibitions are a great way to showcase one?s products and network with business associates, participation in these trade fairs can be expensive. You can use a standardised supplier storefront on an online marketplace and utilise e-commerce to promote your products online.
Traditional selling methods, especially, to international markets can be very costly. With the rise of e-commerce, you can reduce large costs on labour, phone calls and travelling as all the information and databases you need to build your customer base can be handled right from where you are based. You can also promote your products directly to potential buyers, cutting out middle-men.
E-commerce also offers better customer service as it is simpler and quicker to get in touch with customers directly to receive almost immediate feedback, thus improving customer service and after-sales opportunities.
With the Internet enabling instant connections with buyers and suppliers, you can form strategic alliances and establish trading relationships with organisations from across the world at a fraction of the cost of using traditional means of correspondence.
However, the most puzzling part of this is how can a business make a choice to best market their products and sustain business profitability? The answer lies in three simple rules: Simplicity, Scalability and Savings.