How To Choose A Shopping Cart Vendor For Your E-Commerce Site
E-commerce has exploded on the internet and many successful
businesses exist solely on the web. And why not? With a virtual
storefront, the overhead costs of running a business are greatly
reduced. Therefore, with effective marketing, these businesses
can hang on during the difficult early stages of a new business
and are less dominated by cash flow while trying to stay afloat.
One of the major reasons for the surge in online purchasing has
been the convenience and security of the shopping cart feature
on e-commerce sites. The virtual interface of putting things
into a 'cart' has, at once, a comfortable familiarity and
whimsy. It really is an elegant system that has won the
confidence of the online shopper through its proven security.
There are many different vendors of shopping cart services. So
how does one go about choosing the right one for their
e-commerce site?
The very first thing you have to do is to decide exactly what,
and how much product you are going to be selling. Are you
selling 1 item? A line of similar items? A catalog full of many
different products, and if so, then how will your site present
this catalog?
What will be your volume of sales this year? Next year? In five
years? Some shopping cart services are great for lower volume
sales with less product variety and no catalog. Other shopping
cart services allow for complex, high volume sales and catalog
features.
In terms of cost of the cart service, you need to find the
shopping cart option that matches your selling volume.
PayPal offers a fantastic, free-to-set-up shopping cart that is
great for lower volume sales. Your fees to them are a percentage
of each of your sales. In addition, you can automatically take
major credit card payments without setting up credit card
merchant services. This saves you $300-$400 right off the bat.
For high volume sales you may pay less going with a shopping
cart vendor that charges you a monthly fee rather than a
percentage of your sales.
You also need to look at the purchase process the shopping cart
service offers. Potential customers abandoning the purchase
because they weren't shown the shipping costs before they were
required to give their credit card information, for example, can
be devastating to sales. The simpler, clearer and shorter the
process from cart to sale, the better. At no point should the
potential ciustomer feel that there is a surprise ahead.
Finally, the look of the shopping cart needs to fit the visual
theme of your site. Most shopping cart services have several
variations on a basic look. Make sure one of those variations
works.
Basic services will range anywhere from $10 to $30 per month.
Remember to add in the cost of credit card merchant services if
you want to accept credit card customers. And this is highly
recommended. The downside of online purchases is that the
customer must wait for the item to be shipped. Having to wait
even longer for a money order to be received, or worse, a check
to clear, on top of shipping time reduces the convenience of
online shopping to the point where sales could be lost.