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[Via: ZippyCart.com: The Best Ecommerce Software Reviewed]
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Over the course of 2010, there is one thing that visitors to ZippyCart.com keep asking us about, and this is which ecommerce software solutions have social commerce tools that they can use to better market their online store. At the beginning of 2010, the social commerce tools available to most merchants via their ecommerce solution provider were very limited, but now the top companies in the space are offering a good mix of social commerce tools. Ecommerce merchants are very concerned about marketing their online store, and they’re constantly on the lookout for the latest and greatest tools to keep them on the cutting edge. The best ecommerce software companies are aware of this desire, and this is why, over the course of this year, they have continued to introduce social commerce tools to meet the needs of their merchants. However there is still 4.5 months left in the year for these ecommerce companies to improve their tools so that they can be atop the pack in 2011 when merchants start to review if their current ecommerce platform is still the best choice to power their online store.
Why Social Commerce?
Social Commerce is a constantly evolving niche as new techniques and methods are being experimented with so merchants can figure out how to best way to expand the reach of their online store. Some of the ecommerce software companies leading the way right now are 3dcart, BigCommerce, Volusion, and CoreCommerce. These companies provide a variety of social commerce features, but two stand out from the crowd. First is the ability to include the addthis button on your site, so that people can quickly share your products on a variety of social bookmarking sites. Additionally they all provide merchants a way to setup some sort of ecommerce storefront on Facebook and other social networks, so that they can generate revenue from other marketing channels. The ability to sell directly on Facebook is different than just using a Facebook shopping cart app. Instead, all of a merchant’s Facebook sales directly integrate with their ecommerce platform, making it very easy to manage sales throughout channels.
Since the niche is so new, there is still a lot of room for innovation and improvement, and ecommerce software companies are all competiting to ensure that they provide the best social commerce tools possible so that their merchants can be successful. Two things that we see becoming key for merchants demanding social commerce tools, are more automation so that merchants can focus on other tasks, and more advanced ways to utilize Twitter. While it is great that ecommerce solution providers offer social commerce tools, merchants have little time to test out new strategies, and want things to be more automated so that they do not have to spend too much time managing multiple stores. Current Twitter tools from ecommerce software companies are a bit basic, and none that we know of have tools like Wishpot offers in their social commerce platform. They allow a merchant to sync up their product feed to Twitter, and define parameters around price drops, sales, and new items. After a merchant sets this up, they then can control the frequency of tweets, and the platform takes care of automatically tweeting products from the feed that match the criteria set by merchants.
The bottom line is that social commerce is now a must for most merchants, as they need to be able to engage with customers via a variety of mediums outside of pay-per-click search and SEO. As the holiday shopping season draws near, merchants should begin to examine how social commerce fits into their social media marketing strategy. If your ecommerce software does not have any social commerce tools, then you should request them now, and in the meantime review other 3rd party companies in the space to see what they have to offer.
About the Author: Nick Grant is the co-founder of ZippyCart.com, the Internet’s leading ecommerce software review website. Merchants in search of a shopping cart to power their online store turn to ZippyCart to read shopping cart reviews and compare the best ecommerce solutions in the industry and determine which option is best for their needs.
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The Cinese e-Business Research Centre released a report announcing that internet sales in China have increased 60% in the first half of 2010. Last year, total e-commerce sales equaled 3.6 trillion Yuan ($350 billion), while the first half of 2010 boasts a total of 2.25 trillion Yuan ($331.3 billion). Growth is set to keep rising as more people gain internet access, and thereby become e-commerce shoppers (about 1/3 of Chinese internet users).
Don’t think this has gone unnoticed.
The release of the report comes hand in hand with MasterCard’s announcement of acquiring DataCash for $520 million. MasterCard’s aim in the acquisition is to drive its e-commerce expansion into the Asia-Pacific area, Europe, and Australia. (not to mention rival Visa’s recent acquisition of CyberSource) DataCash serves as an all-encompassing interface for e-commerce merchants, giving them the ability to process payments across the globe. They develop and outsource electronic payments solutions, alternative payment choices, fraud alerts, and back-office reconciliation for merchants.
Moreover, it seems that MasterCard is making a big statement: while Visa’s acquisition of CyberSource was an attempt to take over US e-commerce (for $2 billion, a pretty penny) MasterCard has replied by saying, “Ha! Visa, we plan to take over the world…for a fraction of the cost.”
MasterCard’s acquisition is bolstered by the numbers from the Chinese e-commerce report, indicating the wide expanse of opportunity available to MasterCard now…and challenging Visa to see what they can come up with next.
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Unfortunately most credit card processing rate quotes cannot be trusted, which is why we created TransFS, where all the offers are full-disclosure and fully accurate.
Here is an example of how a merchant account provider has advertised false rates.
On Friday, eBay launched its rewards program called eBay Bucks which incentivizes shoppers to use PayPal by giving them back money which can only be used on eBay. Shoppers accumulate the bucks over a three month period, at the end of which eBay issues a certificate to spend the bucks over a 30 day period.
eBay Bucks’ pilot program has been going on for about a year, and results show that shoppers spend five times more on eBay with the rewards system in place. Wow! TechCrunch speculates that the rewards program is meant to augment sales after reports that international expansion is increasing faster than domestic expansion.
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Guest post by Nick Grant, co-founder of ZippyCart
Rough economic conditions over the past couple years have resulted in more people wanting to start an online business to create an additional source of income. However many people do not know how to get started with the process of creating an e-commerce store, nor do they completely know what they want out of an e-commerce software solution. There are so many things to consider when looking for the right e-commerce solution, that it can often be very difficult and frustrating. Therefore it is best to take a step back and determine the exact vision of your online store, so that you can better understand what you truly need with regards to e-commerce software. For instance, if you want to sell a variety of products and expect a large audience, you should consider using a hosted shopping cart that can handle your inventory and traffic. Most hosted shopping carts don’t require any knowledge of code, which is one reason why they are so popular among merchants. If you plan on selling a small number of products, or maybe you are experienced with PHP, you may consider using one of the many free shopping carts available. Just know that many free carts require an in-depth knowledge of PHP and other development languages to get them off the ground.
Development Knowledge: One of the most critical things that you need to ascertain before choosing an e-commerce solution, is your level of development knowledge. Many small e-commerce sites are one or two person companies, and if one person is not a developer, then the company needs to outsource or choose an e-commerce solution where programming is not necessary. It is vital for a merchant to do this, so they can figure out which shopping cart software options are viable contenders for creating an online store. If your development knowledge is limited, consider an e-commerce solution that has easy design tools and a WYSIWYG editor (WYSIWYG = What You See is What You Get). If you do have development knowledge, then look for a solution that lets you access the raw HTML, CSS, and PHP code so that you can use your e-commerce tools to their full potential.
Great Pricing: There are a lot of e-commerce software companies competing for your business, which is beneficial as it has created an abundance of solutions with very affordable price points. Pricing models are very different from each solution provider, so it is best to compare them against each other so you can get a better idea of how they stack up. One of the first things to note on pricing, is whether you want to pay for your e-commerce software outright with a one time license fee or pick a monthly hosted package. If you choose to pay for a license you will have to invest a bit more money up front, but can save in the long run if you have a solid web host and do not foresee needing much support. Licensed solutions typically have the same set of features as monthly hosted packages, but merchants are on their own for the most part to figure out everything about the e-commerce software and generally need some knowledge of PHP to move forward. Monthly hosted solutions require less upfront investment, and most include almost everything you need to run your online business. Plus it is easier for the solution to scale with you and support you as your online business grows. This option is great for someone who does not have extensive programming knowledge and wants to have the luxury to get free support when needed.
Additionally you should review all the other fees that the e-commerce software company may charge, plus any extra costs you will incur from features or services not included by your solution provider. Some fees to watch out for include bandwidth overages and transaction fees. For the most part, a hosted solution will charge either bandwidth fees or transaction fees and rarely both. Consider the amount of traffic you are expecting to your site. If it is quite a lot, then you might want to choose a solution that has a minimal transaction fee with unlimited bandwidth. If you plan on having under 10,000 customers, then you will probably find an affordable hosted solution with limited monthly bandwidth. As long as you stay around 10,000 visitors, you won’t get charged for bandwidth overages or transaction fees.
Robust Feature List: A great feature list is essential to all quality e-commerce solutions, and while you might not use 100% of the features available, you will still have them at your disposal to try out whenever you have time. Most merchants have a core set of features which they desire, and if multiple e-commerce software companies provide this, then a merchant should really look at who offers the most robust set of features for the best price. Some of the newest features that merchants are expecting to see in their e-commerce solution are social commerce tools. Social media has been a hot topic for the past few years, and merchants are continually trying to figure out how to generate a return on investment from the time they spend on sites like Facebook and Twitter. Look for an ecommerce solution that lets you sell directly on Facebook, as this is becoming a great venue for online sales and customer management.
Other features to consider include the following:
* Shipping tools like FedEx, UPS, and USPS integration, ability to set shipping rules, printable shipping labels, and drop shipping
* Marketing tools like upsell/cross sell tools, coupons and gift certificates, mobile commerce tools, email marketing, customer groups, and affiliate marketing
* SEO tools like the ability to edit URLs, meta tags, alt text, and static HTML
* View a full list of features to compare the best e-commerce software
Excellent Customer Service: In a perfect world, your e-commerce solution would be so easy to use that you would never get stuck and need the help of customer service. Unfortunately creating and running an online store is not a no-brainer, as it takes proper knowledge to know how to operate things correctly so that you have a strong chance to succeed. This is where excellent customer service can come in handy, as solution providers have the answers you need to help overcome the obstacles you may encounter in the creation or day to day operations of your online store. Make sure and review how much customer service the e-commerce solution provider gives merchants, and how often it is available. Some e-commerce software solutions have 24/7/365 phone or email service, whereas others just have a forum or only give you a fixed amount of time to use customer service.
Free Trial Options: Very few people run out and buy a new car without test driving it first, and paying for a new e-commerce solution should not be any different. Merchants should have an easy way to get into a free trial for the e-commerce software to review first hand what they have to offer. Ideally the shopping cart free trial should not require a credit card, as the company should make it easy to test out the software, so that merchants can see why their solution is the best.
Take the time to consider the factors above. Building an online store is a breeze with the right e-commerce solution, but it’s sometimes very hard to move solutions if you choose the wrong one initially. If you take the time to research your options and sign up for a few free trials, you will definitely make a confident decision on a solution that will bring you success for years to come!
About the Author: Nick Grant is the co-founder of ZippyCart.com, the Internet’s leading ecommerce software review website. Merchants in search of a shopping cart to power their online store turn to ZippyCart to compare the best ecommerce solutions in the industry and determine which option is best for their needs.
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In an effort to expand its ecommerce presence, Visa today announced the launch of Rightcliq, a social shopping platform.
Rightcliq boasts one cool feature that may be what helps it take off: the Wishspace–basically a wishlist of all products you’re interested in at the time. The Wishspace allows you to track these items and eventually purchase them. This is potentially really helpful since most people do have some kind of virtual wishlist which they track by inconvenient means such as bookmarking and written lists.
Chiming in on the social phenomenon, Visa’s product has a heavy social emphasis, giving shoppers the ability to share product information on various social networks.
A new study by Fortune shows that consumers don’t find it worthwhile to pay for items online unless they see a real benefit to their labors. Sites like Amazon and Apple are benefiting from this trend by making it the easiest for consumers to buy from vendors since their information is already entered.
This is terrible for merchants, since they end up paying 30% to Amazon instead of the 2-3% they would to a processor. Carriers like Boku and Zong are trying to make the process easier by enabling consumers to enter their mobile phone numbers and charges are tacked on to their phone bills.
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Paypal Increases Amex Rates
For those people who use PayPal as their payment processor, you may have noticed a little blurb at the top of your screen about a new Amex Card Acceptance Agreement.
PayPal will now charge the 3.5% fee to accept Amex payments, including it’s usually $0.30 per transaction fee (note this is for PayPal Website Payments Pro or Virtual Terminal).
Guest post by Nick Grant, co-founder of ZippyCart.com.
Starting an ecommerce business can be daunting, as there are so many facets to understand in order to help you be successful at running an online store. Throughout the process of learning more, it is imperative that you conduct comparative research so that you can ensure you are making the best decisions when choosing a new partner, service, tool, or technology. Comparative research is not a term commonly used with ecommerce merchants, as it is more often associated with the social sciences and comparisons made across different cultures or countries. However comparative research does apply to ecommerce, in that it is simply a way of looking at two or more things to determine key similarities and differences. Within the world of ecommerce, there are a number of areas in which comparative research is essential in order to succeed. The biggest areas which a merchant should focus their comparative research on are products and suppliers, payment processors, ecommerce solutions, and marketing techniques.
Finding the Right Products to Sell
Many merchants just starting out already have an idea of what they want to sell in their online store. For some merchants, they create the products at home and are hoping to earn extra cash with an online store, but most merchants prefer to sell products that they can get from suppliers instead. Determining which products to sell and who to use as your supplier, is an area where comparative research can be extremely helpful. Start by doing competitive research and find out who the top competitors are in your niche, and if possible learn who they use as their supplier. If you cannot find out who they use as their supplier, research suppliers in the space and compare who has the best offers. Doing all of this work upfront, can save you time and money in the long run as it will be less likely that you will have to worry about switching providers again.
Choosing a Payment Processor
Another area of concern for merchants who are trying to open or run an ecommerce store, is choosing the best payment processor. This can be a difficult journey for some merchants, as picking the wrong payment processing partner can end up costing a lot of money. Not all payment processors operate in the same way, so there can be cancellation fees or hidden fees that you should consider. Because of this, it is again best to do online comparative research regarding what the best payment processors offer to merchants, so that you can make an educated decision on which partner is right to use for your online business. Sites like TransFS.com make the process easy, by offering up a transparent auction marketplace for processors to get matched with merchants.
Finding the Right Ecommerce Software
Finding the best ecommerce software for your online store can be a tricky process, as there are so many software providers to choose from and variations in what they provide at different price points. Before you even begin to compare your options you should determine your budget and ascertain your level of programming knowledge. Budget is vital, as you do not want to get excited about an ecommerce solution, only to find out that it is too expensive. Understanding your knowledge of programming languages like HTML, CSS, PHP, and MYSQL is also crucial as it will dictate which solutions are tangible options. If you plan to outsource the design and development of your online store, you should still factor in your programming skill level since you will need to make future changes to the site on your own, unless you want to pay someone each time you need to make a major change. Once you have determined your programming skill level and budget, the next step is to begin your comparative research by reading shopping cart software reviews online so that you can start to get a sense of what the different solutions have to offer. Search for resources like comparison charts, which allow you to more easily compare and contrast the differences and similarities for multiple software solutions. There are a number of key elements to compare, but you should first determine if you want to try and use a free solution, paid monthly solution, or purchase a license to own the shopping cart software outright. Then you need to compare other factors like the feature set, pricing, PCI compliance, level of programming knowledge required, and customer service. Thorough comparative research will lead you to the right ecommerce solution, so that you can take the next steps required to start selling online.
Applying Marketing Techniques and Tools
One of the last areas for a merchant to do comparative research is around marketing, as most small ecommerce sites do not have brand recognition so they need to drive traffic via SEO and PPC marketing. When it comes to SEO and PPC, you want to make sure and understand what your competitors are doing and what seems to work well for them. If you see them bidding in Google for some of your top keywords, then you may want to do the same, but make sure your budget can handle a possible bidding war. To determine what keywords to bid on, use the Google Keyword tool, which provides keyword suggestions as well as average costs per click. When it comes to SEO, there are a variety of options to consider. Your ecommerce solution should include SEO as a basic feature in your toolbox, but relying on that alone is sometimes not enough. Because of this, you may consider comparing various SEO firms in your area. Search for an SEO expert that lives near you, because they will be able to meet face to face and provide you with a formal proposal while walking you through your online store. Unfortunately, the SEO industry isn’t regulated and, while there are many reputable search marketers out there, some novice SEO’s tend to consider themselves as experts and may over promise and under deliver. To protect yourself from this, get references from the SEO’s you are considering and up those references to verify that the SEO firm actually brought them success and traffic. Finding the right SEO firm is an in depth process and one that warrants more than a few words. To learn more about this aspect of comparative research for ecommerce success, review our post: Choosing an SEO Firm To Drive Traffic to Your Online Store
About the Author: Nick Grant is the co-founder of ZippyCart.com, the Internet’s leading ecommerce software review website. Merchants in search of a shopping cart to power their online store turn to ZippyCart to compare the best ecommerce solutions in the industry and determine which option is best for their needs.
