Cutting costs to improve eCommerce ROI
There are two common means of boosting return on investment (ROI). The first is by improving productivity and efficiency to maximize the amount of money earned. This strategy is the one that immediately comes to mind in most Western societies – they want to get bigger and better to generate more sales.
However, there is another angle that you can take to improve ROI and that is by cutting costs and finding value in processes, programs and equipment that are already in play. Many companies assume these programs are already operating efficiently, when in fact there can be a variety of means to earn more money through simple refinement of existing initiatives and the better use of tools by retailers.
Maximizing ROI from software
Research from Gartner suggests one of the top challenges that retailers face is improving the shopping experience for customers while also cutting expenses. The second approach to bolstering ROI – fine-tuning and streamlining existing processes – can be used to accomplish both of those goals in a single fell swoop.
For instance, many eCommerce retailers use software solutions to deal with different facets of their operations, ranging from shipping and order management to product selection and optimization. However, they don’t get the most out of these programs because they operate in silos – the data from the order management software isn’t always used in conjunction with product optimization, even though this information could influence the decisions made.
Gartner found that by consolidating data and eliminating technologies that do not add much value to eCommerce operations could significantly improve ROI. When every penny counts, retailers need to find ways to maximize the equipment they use to do their jobs.
Think of each piece of technology as a different employee. Employees who are redundant because they do the same thing as another can be let go because they don’t offer any additional value. At the same time, getting employees to work together is critical. For example, a customer service agent can answer questions and set up sales for the cashiers.
SalesWarp is one such solution that can help retailers extract more ROI from existing eCommerce programs and software. Merchants can use SalesWarp as a “control center” to consolidate information from various sources and take action on it more effectively.