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  1. #1
    Senior Member
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    Is E-commerce Profitable?

    Is E-commerce Profitable?

  2. #2
    Registered User
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    Feb 2014
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    delhi
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    To answer your question straight, its a No. This is given the circumstances under which e-commerce companies are operating and the amount being spent on advertising & deep discounts that are thrown to the customers.

  3. #3
    Registered User 24x7servermanag's Avatar
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    Jul 2017
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    India
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    It depends on which type of products seling online. E-commerce site is the good platform for profit, off-course! Just you have to be best seller quality wise. Your product should have all the features which wll compite the products of other seller. You should provide some offers during some seasons.

    You should use the secure payment gateways so details of customers will be safe and secure. You should use the digital marketing feature for advertising so you will get more traffic on your website.
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  4. #4
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    The Answer is big No as Ecommerce Companies are spending tremendous amount of money on MAD(Marketing, Advertising and Distribution. For industries to become profitable these cost needs to be decreased.

    In Ecommerce the customer acquisition cost is very high. They generally appoint brand ambassador and paying them huge bucks. So ROI here is very less. basically they are burning cash to increase the customer base.

  5. #5
    Senior Member
    Join Date
    May 2018
    Posts
    159
    It's the future of shopping. If you do not have an online presence, that will surely affect your sale chances. With the rise of voice search, people have not started treating their cell phone as a person or an assistant. If you stay away from that assistant's reach, it will really hurt your chances.

  6. #6
    Registered User
    Join Date
    May 2018
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    47
    I think it’s profitable now. E-commerce is emerging these years. It has become an inevitable trend. Because it’s an effective way to broaden business. Whether you do business for yourself or for a company, e-commerce is a good choice. The statistics indicates that Americans live in metropolitan areas spend 4.5 hours averagely on online shopping per week; and over 50% Americans prefer to shop online rather than visiting physical stores.

    A lot of suppliers choose to open an shop on e-commerce platforms. They operate there and make profits, and the platform can also make profits through their services. Platforms like Alibaba, Amazon, JumoreGlobal, EC 21, erc are good examples.

    This article pointed out that e-commerce profitability is an inevitability. and give some suggestions. This article talks about trend of B2B e-commerce in 2018. Hope they will be helpful to understand e-commerce.

    Loss making e-commerce firms can drive towards profitability by either

    1. pushing up gross margins or
    2. reducing costs.
    We need to learn more about e-commerce and the ways of operation.

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