E-commerce: The 21st century revolution that every entrepreneur needs to know about

Hello, I'm Ruben Aguila, and if you've made it this far, it's because you want to know what the heck is e-commerce and, above all, why you should pay attention to it. Today, if you're not into the world of e-commerce, you're missing the boat at full speed.

But before you dive right in, let me clear something important up for you. When we talk about e-commerce we are talking, in simple terms, about e-commerce. It is the channel through which we buy and sell products or services over the Internet. There is no magic here, you don't need a physical store or face-to-face customer service. All you need is a good Internet connection, a computer or cell phone and, of course, the desire to sell!

The beginnings: Where did it all come from?

In the mid-1990s, when I was just beginning to understand how business was going, something revolutionary happened: Internet. In 1995, e-commerce saw its first big boost with initiatives from the most advanced countries such as the G7, which sought to propel SMEs into new global markets (something that seems simple today, but back then was like getting a ticket to Mars). Since then, it's been an unstoppable avalanche, with giants like Amazon, eBay and Alibaba leading the charge.

The types of e-commerce

There are several business models within e-commerce, and it is vital that you know them because, depending on your sector, one or the other may suit you better:

• B2C (Business to Consumer): This is the classic one. A company sells products directly to consumers. This is where Amazon or Zara comes in by selling you clothes. The key is that the whole process is digital (from purchase to payment), although logistics and delivery of physical products may vary.
• B2B (Business to Business): In this case, we're talking about companies selling to other companies. An example? Imagine a factory that sells components to another factory that assembles products.
• C2C (Consumer to Consumer): Have you ever sold something on MercadoLibre or eBay? Well, this is the famous C2C. One consumer sells to another, and the platform just facilitates the exchange and takes a commission.

Advantages you can't miss

This is where e-commerce takes off and where I, after several years, realized that the neighborhood store fell short. These are the reasons why e-commerce overtakes traditional commerce:

2. Lower operating costs: Forget about paying rent for premises, about hiring employees to attend physically. You can manage everything yourself, and from home! The only cost is the maintenance of your website.
3. Global access: Your customers are no longer just those in your neighborhood or those who pass by your street. Now you can sell to someone in China or the United States without leaving your couch.
5. Availability 24/7: What physical store can be open 24 hours a day, 7 days a week? With e-commerce, your online store never closes.

Disadvantages you should be aware of

Not everything is rosy, and I tell you this with complete sincerity. Throughout my career in electronic commerce, I ran into several obstacles that you should be aware of:

• Brutal competition: Getting into this world is easy, but standing out is another story. You are competing with big players who have a gigantic infrastructure.
• Lack of consumer confidence: Although it has improved, there are still many who are wary of buying online. Therefore, the security of your site must be at its highest.
• Logistical problems: Product delivery is still a big challenge, especially if you sell internationally.

Keys to stand out

You know the good and the bad, but if you really want to succeed in the e-commerce world, here are some tips that served me well over the years:

2. Optimize your website for mobile: Nowadays, most purchases are made from mobile. If your store is not adapted to these devices, you will lose sales.
4. Digital marketing: This is where the fun part comes. You need to position yourself well on Google and be present on social networks. Investing in SEO and paid advertising campaigns is essential to drive traffic to your store.
6. Offer multiple payment methods: Not everyone uses credit cards. Make sure you have options like PayPal or even cryptocurrency payments if you want to stay ahead of the curve.
8. Top-notch customer service: The difference between a successful online store and a failing one often comes down to how you treat your customer. If you can solve a problem quickly and efficiently, you'll win a customer for life.

The future of the e-retailer

If you think you've seen it all, you're wrong. The future of electronic commercial is full of surprises. Things like live commerce, where you can buy products while watching a live stream, are taking off in a big way in markets like China. Another interesting phenomenon is social commerce, which allows consumers to buy directly from platforms like Instagram or TikTok.

So, if you're thinking of getting into this world, I'd advise you to do it soon. E-commerce is not the future, it's the present, and if you don't adapt, you'll be left behind.