If you want to have a successful e-commerce business, you'll need every edge you can get over the competition.
One strategic move you can make is integrating Software-as-a-Solution (SaaS) solutions for your e-commerce platform and taking advantage of the technological advancements made in recent years.
Let's dive into the role SaaS solutions play in e-commerce success, explore its benefits, address the challenges, and look at some real-world businesses that fully capitalize on it.
When e-commerce first emerged, it was simply a different way for people to shop. It essentially was the online version of traditional retail.
But as technology advanced, e-commerce has evolved right alongside it and transformed from regular shopping to a more complex digital ecosystem.
If a company wanted an online store, they'd have to do it on-premise. They'd have to purchase a server for storage space (and hope it was enough), develop the platform, pray it never breaks down, and foot the bill when it's time to upgrade.
Thanks to SaaS solutions, many of these issues are handled by a third party that specializes in managing the back-end and giving e-commerce businesses the support they need to thrive.
There are several SaaS solutions available today – from the big shots like SalesForce and Oracle to more niche, specialized companies that offer novel SaaS-based products and services.
Today, SaaS solutions are the go-to option for both companies and individuals because they combat the challenges of an on-premise setup, offer a wide range of benefits (which we'll discuss in the next section), and offer a streamlined bridge between the front-end and back-end of a business. According to a report, 80% of businesses use at least one SaaS application in their operations.
The plethora of benefits offered drives the SaaS landscape for e-commerce, each one completely transforming a business's efficacy and marketing strategies:
All of these benefits work together to empower businesses to give the edge they need to effectively compete in the e-commerce industry.
Now that you understand the benefits of SaaS solutions let's go over the steps you should take to successfully implement it for your own business.
The first step is to identify the goals and pain points of your e-commerce business. Do you struggle with inventory management? Are you looking for ways to bring in new customers? What areas of your business can benefit from automation? This step is vital because it will determine which SaaS solution is right for your business.
As mentioned above, there are a ton of SaaS solutions on the market. However, not every option will be right for your business. There are a lot of factors to consider. Are you B2B or B2C? How many employees do you have? What's your budget? Beyond that, you also need to research the provider to check their reputation, the features available, and security compliance to protect your business and customers.
Planning and preparation are vital for things to go off without a hitch. You need an integration plan that lays out the timetable, who's responsible for what, and a backup plan for any issues that might crop up.
When using a new system, your team needs to learn how to effectively use and understand the incoming SaaS tools. Their efficacy and capabilities with the new system will directly impact the success of your business.
Once the system is fully implemented, it's not a one-and-done deal. You need to continuously monitor its performance, get feedback from your team, and make adjustments as needed.
Yes, the benefits of SaaS solutions are numerous, but there are a few challenges you should keep in mind:
|
Challenge |
Description |
|
Data security and compliance |
You need to ensure your SaaS provider has a robust data security system in place and follows the rules and regulations of your region |
|
SaaS provider reliability |
You'll be completely reliant on the SaaS provider. If their servers crash or there's a data breach, your business may suffer. |
|
Managing costs |
Yes, SaaS services offer a cost-effective e-commerce solution, but you also need to make sure you get your ROI. If you have multiple subscriptions or integrations for different areas, properly plan your finances to make it worth it. |
Let's take a look at some big companies that have successfully used SaaS solutions to grow and scale their business.
Skullcandy is one of the largest players in the audio space, providing premium earbuds and headphones. However, it was successfully implementing SaaS solutions that got them where they are today.
They needed a platform that was adaptable, scalable, flexible, and took a digital-first approach. They partnered with BigCommerce and re-launched the Skullcandy website with high-quality curated content, a smooth checkout experience, personalized recommendations for customers, social media integrations, and more.
All of these SaaS-powered improvements doubled site visitors, boosted conversions by 80%, and increased sale orders by 120% – leading to more than 200% more revenue overall.
Natori is a world-class fashion brand that offers high-end lingerie and other apparel. And they also won big after turning to SaaS solutions to upgrade their eCommerce store. Working with a small team, Natori needed a site they could scale at will and had more out-of-the-box capabilities.
They took advantage of many advanced features such as email marketing automation, an inventory management system to efficiently manage 15 different product categories, and even added a feature where customers could donate to charities during checkout.
After using SaaS to streamline and improve their eCommerce shop, Natori saw a 140% increase in new customers, a more than 160% boost in orders, and revenue shot up over 160% too.
A leading provider of off-road mountain bikes, Yeti Cycles had a unique challenge – how do you merge a B2B and DTC platform? You need a site that looks good but can also handle bulk orders, offer different fulfillment options, and provide notifications when items are back in stock.
The answer? Using SaaS solutions to get the complete package. After working with an e-commerce SaaS provider, Yeti Cycles was able to successfully start selling merchandise DTC while improving the overall experience for established B2B customers.
With a new eCommerce site, they saw nearly a 50% boost in page views, an almost 20% increase in average time on page, and a brand new revenue stream to boot.
To wrap things up, SaaS solutions allow e-commerce businesses to transform their marketing strategies and streamline their business operations. From scalability and flexibility to cost-effectiveness and automation, SaaS solutions offer benefits that you just can't beat.