E-Commerce industry has been growing constantly. The latest technological advancement have certainly accelerated its growth and on its way. The e-commerce industry has been expressively influenced by the rise in mobile internet usage, IoT and big data. Big data can be used for efficient trailing of transactions, sales analysis and for forecast demand and supply. There are various ways an e-commerce business can value from the use of big data. Following are the few ways big data has allowed sellers to increase the ROI:
Personalized Customer Experience:
Customer satisfaction is the foremost priority of the sellers as customers are the king of the market and there is also a cutthroat competition in the e-commerce industries. That's why delivering a personalized shopping experience can be hugely helpful. Analysis of big data can provide the understanding on demographics and customer behaviour, which leads to deliver a personalized experience. Data collected from the customers can further be used to draft buyer- specific emails for promotional campaigns.
Supports Dynamic Prices:
One of the key factors of e-commerce to get success is pricing, as customers incline to buy from websites that offer the best prices. As there is tough competition in the market, so it is necessary for sellers to price impartially. Dynamic pricing is the perfect approach, it responds to external factors such as competitor's prices and demand of the consumer. So, big data analytics is only the tool that can aid e-commerce sellers with dynamic pricing.
Enhance Business Performance:
With the integration through big data technology the e-commerce companies can boost their business performance. E-Bay or Amazon market research tool helps the sellers in understanding the demand of a product, price expectation and estimated profit margin. There are many more tools that help in tracking the customer's behaviour that why they are not completing their transactions and sellers can take the necessary steps to address the issue.
Smart Inventory Management:
Thanks to analytics, it can be only possible that an e-commerce business view an improvement in inventory management. One of the major challenges that e-commerce sellers faces is that they should have right stock of the inventory and there should always a stage of balance.
Again, through eBay and Amazon market research tool can aid e-commerce companies in maintaining the optimal levels of inventory.
Thus, big data plays a very prominent role in improving the ROI of an e-commerce business.