The Next Frontier for E-Commerce
According to the report, nearly 73% of the 87 online retailers surveyed are already sending merchandise abroad from their home country's distribution center, with an additional 17% having an established foreign warehouse in place. Retailers who ship abroad see about 5% of their revenue generated from foreign orders.
However the big hurdle still remains in establishing and testing e-commerce logistics or e-commerce payment solutions to service these international customers. For example, when it comes to processing international returns, 37% of retailers currently require customers who want to return an item use a returns center in the retailer's country of origin, while 12% have an international returns center located in their own country to handle foreign returns.
Beyond just international e-commerce expansion, the report also offered a picture of some of the gains online retailers are beginning to see resulting from online retail site improvements, especially as the industry gears up for the critical holiday shopping period: 54% of online retailers say they've increased conversion rates over 2009 levels, 27% have seen gains in units per transaction, 47% say the value of average orders has gone up, and 31% say they've seen a decline in shopping cart abandonment rates, a key measure of customer satisfaction.
I’d love to hear whether these gains are in line with what you are seeing across your e-commerce sites?
Copyright 2010, Official Blog of Blueport Commerce
RoomStore Re-launches Its B2C E-Commerce Site with Blueport Commerce
We’re thrilled to share with you the new site for RoomStore, a long-time customer and one of the largest furniture retailers in the country with more than $325 million a year in sales. We launched the first RoomStore site more than five years ago and, since then, we’ve continued to evaluate and make changes to the site on a regular basis.
But with this major re-launch, we have leveraged our unique B2B e-commerce solutions to improve the online customer experience to drive cross-channel sales. Among the new features:
- Precision Localization: The site automatically adjusts based on a user’s location, dynamically providing inventory, pricing, promotions, delivery details and more create a seamless cross-channel shopping experience.
- Live Chat/Click-to-Call: Shoppers can now choose how they want to communicate with customer service representatives -- via online chat or phone. Dynamic icons reflect real-time availability of customer service reps including when they’re able to chat, connect via phone or request a call-back.
- Collaboration Bar: Social media and other enhancements are available via a single tool on product pages, giving customers the additional resources they need for big-ticket purchases, like sharing an item with a friend, live chat or printing a store-ready page.
- Shoppable Images: Interactive information tags are displayed on room settings, allowing shoppers to get information on the items in the room and add them directly to their shopping carts from the image. This feature allows customers to be as few clicks from purchasing the items they want as possible.
That is just a taste of what the new RoomStore.com offers. To learn about all of the innovative features, check out the press release.
Copyright 2010, Official Blog of Blueport Commerce
IBM Invests in E-Commerce
This week IBM announced its plans to acquire Sterling Commerce, an e-commerce company and provider of cross-channel fulfillment solutions, for $1.4 billion. While IBM already participates in e-commerce with its WebSphere division, the integration of Sterling Commerce will add collaboration, communication and integration solutions for fulfillment, as well as a stellar client list with more than 18,000 customers worldwide, including 80% of the Fortune 500 list.
From a technology standpoint Craig Hayman, general manager of IBM's WebSphere division noted that the cloud computing model which Sterling employs is attractive to IBM. He also noted that many of IBM’s current customers are looking for easy-to-scale solutions, which make them great candidates for migration into the cloud.
From an industry perspective, it’s great to see giants like IBM expanding their reach into e-commerce as it further validates our fast-growing industry. The move will help IBM to better position itself against the likes of tech giants HP, Cisco, and SAP. It also represents a greater business goal of the company, which is to grow through acquisition. IBM has said that the company plans to spend $20 billion on acquisitions by 2015 and its purchase of Sterling Commerce is certainly a good start.
Copyright 2010, Official Blog of Blueport Commerce
Offering Your Customers Multiple Ecommerce Payment Solutions
Be it credit/debit cards, PayPal, gift cards or loyalty points, providing a multitude of ecommerce payment solutions is the final component of a successful ecommerce shopping experience that drives conversion and minimizes cart abandonment.
But integrating multiple ecommerce payment solutions and checkout options into your site can be a daunting and time consuming task. Finding an ecommerce platform that supports these multiple payment options can be even more difficult.
That's why at Blueport, we make integrating multiple ecommerce payments solutions a one step process for our clients. All of the payment and checkout tools that you need are readily integrated into the Blueport ecommerce platform.
So, when your online store launches, so does a robust and flexible payments and checkout process. It's really that simple.
Big Ticket E-commerce Playbook, Rule Four: Localize
E-commerce 1.0 = World Wide Web (only): Typical e-commerce does not accurately reflect how multi-channel chain retailing is done in-store. Just as “all politics is local,” all big ticket chain store retail is local, too. Through local selection, local prices and local promotions, stores battle local competitors for local customers. Most e-commerce solutions aren’t built for localization – one site offers the same thing to every visitor, regardless of where a customer resides. Retailers who adopt this approach for big ticket e-commerce hamper both their online efforts and their stores.
Big Ticket E-commerce = Localize! Remember that e-commerce supports your overall multichannel retail strategy and your websites should be as localized as your stores. Some big ticket retailers have hundreds of localized, micro-branded sites with content that resonates with local consumers. Others use IP mapping to localize prices, offers and product selection, directing customers to local stores with products on display. All have checkout processes that reflect that delivery times may be 48 hours in one area, two weeks in another. Make sure your e-commerce platform embraces the complexity of local e-commerce – when done correctly it’s a powerful sales tool online and in your stores.
Copyright 2010, Official Blog of Blueport Commerce
Ecommerce Software Packages: Which one is right for me?
The big-ticket retailer often finds their ecommerce shopping software choices to be even more complex. This is because their needs are inherently different. They go beyond setting up a basic online shop, to require more sophisticated merchandising capabilities and fulfillment, and an ability to understand their unique business models. Performing an ecommerce software comparison seems an impossible task.
So where do you start in your decision making process? Here are two initial points to consider:
1. Start by evaluating your current ecommerce shopping software or the retail systems you use to run your business. Many big-ticket retailers find their systems are not ecommerce ready, and that they may pose a barrier to going online. Make sure the ecommerce software packages you are considering are able to seamlessly integrate with your current systems. At its best, your online ecommerce solution should be able to extract the data found in your current systems, augment for e-commerce, then return completed ecommerce transactions to you that are indistinguishable from orders placed in your stores.
2. Make your ecommerce store an extension of your bricks and mortar store, not an island in itself. Look for an ecommerce software package that treats your SKUs, prices and your product information exactly like store orders from a fulfillment and service perspective. This is a fundamental difference between ecommerce shopping software for mass merchants, and that which is geared towards big-ticket retailers. The result is less work, higher customer satisfaction and a reduced need to develop separate staff or procedures for online sales. E-commerce becomes another store, seamlessly integrated with your strategy, operations and reporting.
Finding an ecommerce service provider that meets these inital criteria is the first step in setting up your ecommerce store and capitalizing on the advantages of e-commerce.
Big Ticket E-commerce Playbook, Rule One: Don’t be an E-commerce Island
The rules for big ticket e-commerce differ from first wave, ecommerce 1.0 practices. More often than not, big-ticket ecommerce problems occur when retailers apply first wave e-commerce solutions to second wave challenges.
E-commerce 1.0 = E-commerce Island: A common mistake occurs at the outset of many big ticket e-commerce efforts – big ticket retailers organize their e-commerce business as an ‘island’, isolated within a department or wholly outsourced. A departmentalized approach, isolated from a company’s overall retail operations, is typical of (and may work for) simple ”first wave” e-commerce categories, but the local, multichannel complexity of big ticket e-commerce makes this structure at best ineffective, and more likely detrimental to the chain.
Big Ticket E-commerce = Embedded E-commerce Strategy: Launch your e-commerce operation as a coordinated, multichannel commerce effort, ideally with the head of e-commerce having a seat at the management table. This structure allows e-commerce to become what it should be in big ticket categories– a force multiplier for chain-wide initiatives – and optimizes e-commerce results.
Copyright 2010, Official Blog of Blueport Commerce
Finding the Path to Easy Ecommerce
Whether this is the first time you are selling online or you are coming back to give it a second try, Blueport Commerce walks you through this transformation step-by-step to make ecommerce easy.
With more than a decade of experience in helping big-ticket retail make the leap into e-commerce, we not only understand your business and your market, but we also understand the hurdles you will face along the way. Our managed ecommerce solutions help retailers drive their multichannel strategy and make the transition to ecommerce easy, worry-free and profitable.
Ecommerce will impact every aspect of your organization, each in different ways. From IT, to merchandising, to operations and even right down to your in-store staff:
Merchandising: Meticulously presenting your product to its best advantage, we introduce your customers to the breadth of your merchandise without their having to leave home.
Marketing: We understand the complexities of big-ticket retail marketing and will work to make e-commerce an integral, invaluable component of your marketing strategy.
Operations: We share retailers' passion for efficiency and service — in fact, we believe that e-commerce can't succeed in a category like big-ticket without it. We cut our teeth in furniture — arguably the most challenging of fulfillment problems. Our platform and processes are designed to make shipping a sofa — or your product — as easy as calling UPS.
Finance: Incremental e-commerce growth sounds good, but what will it cost? What are the risks? Our business model is designed to answer these questions, making e-commerce a positive ROI effort almost immediately.
Store: We understand that the biggest impact of ecommerce is in your stores and we have implemented technology and services to send you as many educated, easy-to-close customers as possible making e-commerce easy and a positive ROI effort almost immediately.
IT: In our ten years of experience in working with retail chains to deploy e-commerce systems, we've seen it all. We'll work with your existing infrastructure and processes and translate them into an effective e-commerce strategy.
Our goal? Use our infrastructure and experience to take what you've built online, as efficiently and robustly as possible
Ecommerce Hardware: The Benefits of Ecommerce Outsourcing
Most retailers looking to make the foray into ecommerce are quickly hit with the high capital investment required for ecommerce hardware, network equipment and hosting.
In addition to price, there are security regulations to consider. The impact of down time on your website and stores can be disastrous.
The entire process is complex, expensive and challenging to maintain. Its especially daunting to a retailer that is just stepping into the ecommerce arena and is already juggling with a multitude of factors to get their online store up and running.
Its easy to see the benefits of ecommerce outsourcing for ecommerce hardware and hosting. Not only does outsourcing of ecommerce hardware help drive down the operating costs for the retailer, but the right hosting solution will help ensure minimal down time.
Blueport's ecommerce platform is hosted by us. We buy everything that is required to keep your store live and make the process as easy for you as possible - the ecommerce hardware, operating systems, network equipment, bandwidth. Our scale drives down prices while the retailer gets worry-free (and cap-ex free) ecommerce hardware.
In addition, we provide ecommerce hardware maintenance, expansion and upgrades as well as operating system upgrades. We also provide 24x7 support, meaning no late night or weekend headaches for the retailer. Leaving you to focus on running the online store from the business side, not the technical one.
That's just one of the ways Blueport Commerce makes ecommerce easy.
Logistically speaking, Ecommerce Should Be Integrated
Many retailers believe that in order to implement successful online commerce solutions, they need to build them from the ground up, which can be a logistical nightmare. That’s not necessarily the case, as some solutions have the ability to easily integrate into your existing infrastructure, simplifying the entire process.
Blueport Commerce knows big-ticket businesses are, by definition, complex and unique. We strive to match our technology platform and services to your particular business model, rather than trying to fit it into a commodity-focused, inflexible platform that doesn't meet your needs. At Blueport, we aim to simplify ecommerce logistics and integrate your e-commerce with a complete multi-channel strategy.
Improving the Big-Ticket Ecommerce Online Shopping Experience
One of the biggest challenges in big-ticket retail is how to provide an ecommerce online shopping experience that approaches the feel of the in-store shopping experience. This is particularly true when you are selling an item like hardwood flooring online, as our client Flooring America knew all too well.
We were determined to improve the ecommerce online shopping experience for their web site, which features thousands of products all represented by a uniform square image of the flooring. We turned to our merchandising partner Allurent, whose goal is to create the most compelling online shopping experiences with their product Allurent on Demand.
The solution we came up with is the Flooring Explorer, a 5x3 grid of flooring squares that sits at the top of each category page. Simply mousing over each image gives you the details of each product, including price, and the ability to add the item to your cart. The ability to quickly look at a half dozen products without scrolling helps bring the store experience of dozens of physical swatches to the ecommerce online shopping experience.
Once live, the analytics around the online shopping widget proved its success. Visitors who used the Flooring Explorer view 8x as many products and added 2x as many to cart. This is an indicator of a successful ecommerce shopping experience.
Copyright 2010, Official Blog of Blueport Commerce
B2C E-Commerce Development: Why Retailers Should Not Take this On In-House
Many of these retailers have been considering the online marketplace for some time and are wondering how they can participate without overburdening their current staff and technology. Their big-ticket businesses are complex and a standard platform won't accomodate them, and the addition burden of taking on B2C e-commerce development in-house is a daunting and resource-intensive task that many retailers just can't handle. In developing their multi-channel strategy, using a hosted ecommerce software solution starts to look like the best option.
At Blueport Commerce we have one focus — helping customers exactly like these retailers. We focus on what makes their business unique, so they can focus on what matters most — growing their new ecommerce online store.
Whether they have products that are unbranded, have a higher price point or are highly customizable, Blueport Commerce helps retailers connect with buyers worldwide. Complex delivery requirements a problem? We can help and ensure that a retailer's customers receive the white glove treatment they deserve, and more importantly, expect.
We match e-commerce development and services to address every retailer's unique business needs, not squeeze them into a commodity-focused, inflexible platform that doesn't address the intricacies of their business.
At Blueport Commerce, we're a turnkey solution specialized for big ticket that ensures the transition to e-commerce is easy, worry-free and profitable. By combining the industry's most advanced technology platform for localized, big-ticket retail, dedicated integration services and personalized B2C e-commerece development, Blueport Commerce can port every retailer's unique business to a ready and willing online marketplace
Overcoming the Barriers to Big-Ticket Ecommerce
Big-ticket retail presents unique ecommerce barriers. It involves more expensive, less well-understood products — furniture, appliances, TVs, flooring, construction materials. Prices are higher and consumer confidence is lower. Inventory is bulky, expensive to move around the country and more expensive to return.
Because of this, big-ticket commerce is fundamentally local. Stores play a critical role. Ecommerce becomes a powerful tool to help stores compete in their local markets rather than a national channel that bypasses them. Online efforts serve to drive store traffic, generate leads and consummate online transactions, cost effectively and measurably.
For these reasons and more, big-ticket retailers often find their foray into the ecommerce space a daunting challenge. How do they successfully overcome these ecommerce barriers to manage the numerous components - merchandise, operations, and IT? Often, big-ticket retailers find that standard ecommerce platforms do not offer the tailored solutions that are required to successfully bring their products online.
At Blueport, our technology is specifically designed to help big-ticket retailers overcome these ecommerce barriers and develop success full online storefront that drive their sales.
We match our technology platform and services to address the unique business needs of big-ticket retailers, not squeeze them into a commodity-focused, inflexible platform that doesn't address the intricacies of your business. We focus on what makes these retailers' business unique, so they can focus on what matters most — growing their business online.
Blueport Commerce Is a Different Kind of E-commerce Company
At Blueport, we pride ourselves on being different from other e-commerce companies. We’re more than simply a back-end system that retailers can plug into. We believe that technology and integration only opens your online store. Expertise in managing that store is what drives results.
Blueport's e-commerce services team ensures you get the benefit of our ten years of experience in big-ticket retail when marketing, merchandising and operating your online store. We know the unique aspects of these considered purchases, from imaging to marketing to customer support, and we'll work with you to develop those programs for your e-commerce efforts.
Our mission is to help you capture the e-commerce opportunity as part of an integrated multi-channel strategy. At Blueport Commerce, we're a turnkey solution specialized for big ticket that ensures your transition to e-commerce is easy, worry-free and profitable. By combining the industry's most advanced technology platform for localized, big-ticket retail, dedicated integration services and personalized service packages, Blueport Commerce can port your unique business to a ready and willing online marketplace.
We like to think we’re the complete e-commerce package. Let's talk.
Why Localization is Important for Business Ecommerce Solutions
As ecommerce evolves from a commodity marketplace to one where consumers make considered, "big ticket" retail purchases online, there are unique challenges that must be addressed. Big ticket ecommerce involves more expensive, less well-understood products - furniture, appliances, TVs, flooring, construction materials, etc. Prices are higher and consumer confidence is lower. Inventory is bulky, expensive to move around the country and more expensive to return.
For these reasons, big ticket commerce is fundamentally local. Stores play a critical role. Ecommerce becomes a powerful tool to help stores compete in their local markets rather than a national channel that bypasses them. Online efforts serve to drive store traffic, generate leads and consummate online transactions, cost effectively and measurably.
Blueport Commerce has developed a business ecommerce solution that is architected around this need for multi-channel localization. Its services drive results through a deep understanding of how consumers research and complete big ticket purchases online and in stores.
Localization for B2B Ecommerce Solutions
Running this kind of multi channel business is becoming more and more crucial to ecommerce success. The ability to understand and accommodate the complexities of each business and deliver a localized solution that meets a retailer’s needs is at the core of a successful B2B ecommerce solution.
For B2B ecommerce solution providers, the impact of localization likely means displaying local sales contacts, showing local inventory levels, delivery times, availability and pricing based on the customer's location.
Not just for B2C anymore, localization is an important point for B2B ecommerce that should not be overlooked.
Operations is where the rubber hits the road.
We know that operations is where the rubber hits the road. Fulfillment and customer service are your passion, and unlike some retailers, you don't have the luxury of just dropping a product in a UPS box. We suspect marketing and merchandising efforts, like ecommerce, often mean headaches for you.
That's why we're different than any other ecommerce software solution. Blueport Commerce's Custom System Integration is designed to make e-commerce a closed loop that begins and ends with your existing systems. Our platform extracts your SKUs from your system, and returns orders to your system in a format identical to an order written in your stores. We've done this with any number of systems, from home grown to major commercial packages, with the end result being ecommerce orders that are no different to fulfill than store orders.
We share your passion for efficiency and service — in fact, we believe that ecommerce can't succeed in a category like yours without it. We cut our teeth in furniture — arguably the most challenging of fulfillment problems. Our platform and processes are designed to make shipping a sofa — or your product — as easy as calling UPS.
A Multichannel Retailer's Review of Outsourced E-Commerce Solutions
We earned their renewal because we are confident that our e-commerce solution is the only one that meets the needs of big-ticket multichannel retailers. Blueport Commerce has the technology, knowledge and expertise to capture the strategic opportunity for your business online.
We know the complexities of big-ticket retail and we have the answers to make it work for you. We know how this transformation impacts each aspect of your business and we'll guide your team through the process step by step.
The number of B2C e-commerce applications starting to play in the big ticket retail category continues to grow. But, since your goods are larger dollar value purchases, they are typically more complex to move around the country and generally don't fit in the standard e-commerce package or platform built for commodity items. The Blueport Commerce solution was built for retailers like you, and that's why it works.
We've made other folks lives easy — let us do the same for you.
Copyright 2010, Official Blog of Blueport Commerce
Welcome to the Blueport Big-Ticket Blog
Seeing as this is our first blog entry, it’s fitting to look back at Blueport’s evolution and our track record of ecommerce ‘firsts’. I led the creation of Blueport Commerce with the management team at Furniture.com, which started as one of the first web portals selling furniture and evolved to become the furniture industry's leading ecommerce solution.
Seeing first hand our clients' success online, we firmly believe that big-ticket ecommerce represents the next wave in ecommerce and that we are in a unique position to apply our decade of knowledge, technology and expertise to helping retailers in other markets take advantage of these opportunities. In addition to furniture, we now work with multi channel retailers and manufacturers in other burgeoning online markets such as appliances, flooring, lighting and carpet, to name a few.
Just as we recognized the opportunity for an ecommerce solution for retailers with complex ecommerce needs, we now see the need for a thought-provoking and insightful discussion on this next wave of ecommerce. The goal of this blog is to provide a resource for multi channel retailers in this category and to offer a forum for those interested in learning more about this space.
Our discussions will focus on current industry issues and trends with a strong emphasis on innovation and looking towards ‘what’s next’ for big-ticket online. Most importantly, we look forward to your feedback, comments and contributions – the two way dialogue that leads to new ideas and solutions.
Copyright 2010, Official Blog of Blueport Commerce
Best Practices for Big-Ticket Ecommerce CRM
In big-ticket retail, purchase decisions take longer for a variety of reasons: products tend to have higher price tags, customization is part of the process, and often the input of another party is sought before making a final decision.
Retailers in this space need ecommerce CRM and email marketing tools to help them actively persuade customers during the decision-making process, by finding the combination of personalized content and offers that drive a customer to buy. These same tools assist retailers in making sure a first-time customer becomes a customer for life.
With a robust ecommerce CRM database solution retailers can capture customers' online shopping behaviors, account information and satisfaction scores. Store information can be cross-referenced for a complete picture of a customer's online and offline activity, which is key for big-ticket ecommerce.
