Common Mistakes E-Commerce Business Make: Are You Guilty of Making Them?

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Common Mistakes E-Commerce Business Make: Are You Guilty of Making Them?

If you haven’t noticed, online shopping has quickly become what is the “new norm” of retail shopping as well as commerce business. True enough, online shoppers enjoy having a much wider selection of items to shop for, but the biggest perk of shopping online is the convenience of being able to do it from the comfort of their own home or while they’re on the go. And the convenience of it absolutely trumps the experience of exploring brick-and-mortar stores.

To be fair, there are still lots of people who enjoy going from store to store within malls and shopping centers, especially around the holidays. But with just a click, tap, or swipe, online shoppers can have what they just purchased from their bed, delivered to their doorstep.

However, while there are e-commerce businesses flourishing from the outpour of online shoppers wanting to buy their products, there are also e-commerce businesses struggling to keep their business “in business.”


Well, there could be a number of reasons why an e-commerce business fails, and some of the mistakes can cause an e-commerce business to fail as quickly as though it were a brick-and-mortar business. Take a look at where e-commerce businesses go wrong.

Common Mistakes E-Commerce Businesses Make

Selling in a Niche That’s Too Broad

In running a business, you want your products to be in front of a wide audience, right? So in hopes of reaching a broad audience, they try to sell their products in a broad niche. In theory, the idea works, but you also have to realize that big niches have big competition as well.

By choosing to sell in a niche that’s too wide, you’re not giving your business a fair shot because there will always be a business that’s bigger and better than yours. Instead, conduct market research to identify gaps in the market that your business can fill. Start small, and then branch out.

Poor Customer Service

E-commerce business owners tend to think that because their business is online that they can’t really show customer service, as though customer service is only meant for brick-and-mortar stores only… That’s not the case at all. The biggest complaint among online shoppers with online businesses is that they don’t do a good job taking care of the customer.

Some typical complaints from online shoppers include lack of response to inquiries, customer service reps having bad attitudes, and not being able to get refunds for poor shopping experiences. According to the FTC, the biggest customer service complaint among consumers is not being able to get an actual person on the phone. The good news is that these complaints are very easy to fix.

Everything from proper training of employees and making guidelines accessible to employees and customers to having live agents on the phone and simply doing what’s right and what’s fair for your customers, a lot of customer complaints can be rectified with the right systems in place.

Failure to Get Business Insurance

Neglecting to get business insurance is one of the biggest mistakes e-commerce business owners make. They think that because their business is based online that they don’t need formal insurance, and that’s just not the case at all. Accidents happen all the time and it doesn’t require you running a brick-and-mortar business.

Everything from product defects to personal and advertising injury, your business can be impacted by those liabilities and risk potentially getting sued. Skipping on business insurance might be saving your business money right now but the moment your business gets involved in some type of lawsuit, you’ll be wishing you had proper coverage.

It’s much cheaper to go on and get a general liability policy started than to potentially pay thousands of dollars for a lawsuit.

Not securing Site:

It is a peril way to leave a site on HTTP instead of HTTPS. With the rising cybercrime, it is essential to have a strong website security like SSL certificate on your site. If you do not have a website security then, you are doing a serious mistake. Choosing a type of SSL certificate is now easy for example, if your site is running on multiple subdomains, then a cheap wildcard SSL certificate is enough for the site. 

Failing to Properly Invest in Marketing

Of all the mistakes, failure to invest in marketing is probably the biggest simply because it’s the very thing that drives your business and brings brand awareness. Just think about it, your goal as a business owner is to gain customers, right? But how will they know your business even exists without proper marketing?

In your marketing efforts, you’re going to not only make your presence known but you’re also going to have to make sure your brand projects a clear and prominent “why” people should buy your products.

But you’re not going to be able to properly do that without allotting a proper percentage of your budget to marketing. This is especially important if you have no clue how to devise an effective marketing strategy. Social media alone won’t cut it.