January 8, 2014

why people hesitate in shopping online?


Are online sales slower than expected? Possibly you’ve created an enticing offer, but your e-commerce metrics are less than desirable? If so, you could be alienating potential customers before the sales process even begins.

Whether your company website was developed to increase awareness, drive sales or generate more leads it’s essential to ensure you are doing your best to encourage online shopping and overcome buyer hesitation.”Conducting business online is considered status quo for many of us, however a large majority of consumers are still hesitant about making purchases online. According to recent online shopping data, “Online shopping has become increasingly popular over the past decade. In 2012, U.S. e-commerce sales amounted to 289 billion U.S. dollars, up from 256 billion U.S. dollars in 2011… A 2012 e-commerce market forecast projects online retail revenue in the United States reaching 361.9 billion U.S. dollars in 2016. Simultaneously, the number of U.S. digital shoppers [alone] is expected to grow from 137 million in 2010 to 175 million in 2016, according to e-Marketer estimates.”
Whether your company website was developed to increase awareness, drive sales or generate more leads it’s essential to ensure you are doing your best to encourage online shopping and overcome buyer hesitation. But first, you must examine online purchasing behavior, understand which factors influence customer hesitation, and take proactive steps to overcome it.
Here’s a look at six things your small business may be doing to fuel online shopping hesitation:

No visible telephone number or phone support.
Few companies can get away with not offering a toll-free phone support to customers; and those that do take extraordinary care (i.e., knowledge bases, social customer service, help desks, etc.) to compensate for reduced access and minimize guesswork.
However, there are cases where it is essential that customers can get a hold of your company via phone. For instance, are customers already hesitant about your industry? Do you own a local business where retail foot traffic is vital? Is your target audience more comfortable with phone communication? Do your products and services yield a long sales cycle? If so, it is in your best interest to offer a telephone number.
Consider that most customers feel more comfortable doing business with you if they know they can speak to a human being (even if they don’t need to). Otherwise, if your business model doesn’t lend itself to phone access then your company’s responsiveness, transparency and communication should break records.
Lack of trust marks or press logos.
Subconsciously, when a customer lands on your company website, they are looking for reasons to trust that your claims line up with your actual product or service. If you don’t offer visible trustmarks (i.e., a label or visual representation indicating that a product, process, or service conforms to specific quality assurance levels) or press logos, that indicate third-party validation, you are making it harder for people to justify doing business with you. From secure shopping logos (SSL) to Better Business Beaurea (BBB) accreditation, or press logos from your latest media hits, ensure that you are communicating that someone else (besides you) can vouch for your business.
No testimonials, reviews or customer feedback.
If you have customers, you should also have customer testimonials; and they should be visible. If you fail to share customer feedback then you are saying to a customer, “Take our word for it.” And unfortunately, in today’s digital world, your word alone won’t go far in attracting and retaining customers. Instead, ensure you are addressing key concerns through reviews and feedback that is well-rounded and fair, using direct customer quotes and experiences.
Lack of references.
If you own a service-based business, references are essential for drumming up new business. Word of mouth travels fast and with the right references, secured before you need them, “sealing the deal” becomes easier. In today’s time-crunched business environment not many people have time to take a gamble on whether or not you can truly deliver. Eliminate buyer hesitation and have a few solid customer references handy should a potential buyer request them.
Negative reviews.
Have you ever found a seemingly great company online, only to conduct more research and find a slew of negative reviews. As a rule of thumb, we know that people are more inclined to share negative experiences in lieu of positive ones. And if you’ve been in business for any length of time, you are going to miss the mark. However, if you don’t think a few negative reviews can hurt your business – think again.
E-consultancy suggests, “Between one and three bad online reviews would be enough to deter the majority (67%) of shoppers from purchasing a product or service, according to a Light speed Research study.” Meanwhile Social Media Today confirms that, “71% agree that consumer reviews make them more comfortable that they are buying the right product/service; [and] 70% of people consult reviews/ratings before purchasing.” Therefore, if negative reviews exist online — respond to them. If you messed up, own it. If the review is unfair and biased state your case, professionally. Communicate early and often.

Poor initial customer experiences.
Many times a prospective customer will contact your offices simply to put their hesitation at bay. Make sure their initial conversation with a company representative or sales professional is a positive one. Often, inadequately trained staff or unpleasant interactions can kill a sale before it has even begun.
No social media presence.
If a customer cannot find adequate information about your company online, customer reviews, or standard company information they will likely seek out social media. If your company does not have a consistent social media presence you run the risk of alienating potential customers and losing sales.



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