Wrong Impressions Business Owners Have about E-commerce

These days, if you want to conquer retail, then e-commerce is the name of the game. Winning it, however, takes not only an excellent brand strategy but also correct market data. Here are four things many business owners get wrong about e-commerce in the UK.

1. E-Commerce Is the Leader in Retail Sales in the UK

In the UK (and elsewhere), people still prefer to shop the old-fashioned way. Statista revealed that it accounted for only 16% in 2017. That doesn’t mean it isn’t growing. Reports suggested that overall retail sales in the UK declined mainly due to Brexit concerns.

E-commerce, though, took a different track. It grew by nearly 11% in 2019 and comprised over 22% of the total retail sales for the year. That’s about £106 billion.

2. Most People Buy Items through Their Mobile Devices

A lot of Brits prefer to shop using their mobile phones. A report by Worldpay suggests that mobile commerce sales will grow by a whopping almost £2 trillion in 2022. It will also outpace desktop sales by 5%.

You should learn to read between the lines, though. The report itself cites how laptop and PC sales continue to play a role in e-commerce. Other reports even point out how PC commerce generates more revenue than mobile.

For any business owner, this is an essential data and highlights the importance of working with a web app development team in London. It allows you to cover all your bases.

3. A Mobile App and Web App Are the Same

Many people use the terms “mobile app” and “web app” interchangeably even if they don’t have the same meaning. For example, they differ in platforms.

  • A mobile app is a program that runs only on mobile devices. It should be compatible with the device’s operating system and platform. Currently, the most common options are iOS (Apple) and Android.
  • A web app is a program that works similarly as a website, only this one is more dynamic. It is feature-rich. Unlike mobile apps, users can still access a web app regardless of the device or operating system they have.  

It’s possible to have either or both of them. It depends on the needs of your business.

4. Cart Abandonment in the UK Is High Because of Change of Mind

True, cart abandonment is notorious in the UK. A report by Barclay Cards said that in 2018, at least 40% of the Brits abandoned their carts. They were also more likely to leave an online store than walk away from a physical retail shop.

Ecommerce

It’s the reason that a lot tend to get wrong. In a chart by Statista, only 25% of UK shoppers leave their carts because they changed their minds. More did it because the store didn’t have the items they wanted in stock. Most, though, abandoned their carts because they were just browsing (37%) or found the delivery charges expensive (39%).

Meanwhile, a 2017 report by ReadyCloud revealed that an overwhelming 75% of shoppers discontinued their purchase because the web app or the website was slow. Poor site or app performance also decreased loyalty by 50%.

The future of retail is e-commerce—most reports will tell you that. Not everyone is going to make it, though. By weeding out the facts from the myths, you give your business a much better chance of doing well.