Don’t Get “Nickel-And-Dimed”
One of the biggest difficulties any business experiences during expansion is the rising costs of actually doing business. Consider this: solutions like the WooCommerce online store are integral in today’s marketplace.
Missing out on a piece of pie that big could really undermine your business. It could even damage you. Remember, transition is key to relevancy. You must always be developing into a more successful, profitable, sustainable business entity. That means you’re likely going to have to use e-commerce solutions.
Unfortunately, with many online digital transactions there is a processing fee involved. This means the bigger your operation, the more of such fees you pay. Initially, this cost may be minimal enough to ignore for a while; but as you grow larger, you end up leaving thousands of dollars on the table.
Some Cost Considerations
If you’ve got a processing fee for a digital transaction between businesses of only $1.00, a hundred transactions like that in a day cost you $100. That’s $36,500 a year. If you can cut that in half, then you save $18,250 annually. You see, by allowing your business to be “nickel-and-dimed”, you were losing nearly $20k a year at this level.
If you’re a larger business that has more transactions than that between other companies on a daily basis, you’ll be losing even more. So one thing you need to do when conducting an e-commerce campaign is ensure that you diminish associated costs as much as you can.
There are many powerful strategies when it comes to employing modern e-commerce solutions, but one thing you want to keep in mind is that: “Not all e-commerce platforms and merchant services are created equal. You’ll have to make sure you’re choosing the ones that provide the features you’ll need to get ahead.”
You can find certain merchant services which can actually cut processing fees in half, or down by a third. Even if you can even cut costs 25%, that’s still going to be thousands of dollars annually even for less affluent operations and startups.
Many costs silhouette any operation. Compliance issues, rental, permits, safety inspections, utilities, taxes, operational overhead, employee wages and benefits, marketing, legal protection, research and development—the list goes on. Thankfully, online tech innovations are making it so you can cut a lot of these costs.
This is why e-commerce is taking off as it has. Many businesses realize collateral expenses are conserved through online solutions. Additionally, the convenience of getting things taken care of with the click of a mouse that otherwise would have taken hours to finish has its own appeal.
From a competitive angle, you’ll be able to outpace other similar businesses if you can do what they’re doing in a way which costs you less than it does them. Cost-effective processing associated with e-commerce will definitely give you an edge.
Collateral funding that you save can be turned into expanding the effectiveness of your current e-commerce solution. Since this trend is increasing at incredible levels, the more secure you are within its expansive “net”, the more effective your e-commerce efforts will naturally be.
Spend The Same And See Expansion
A 25% to 66% cost reduction on processing fees produces savings that can be turned to optimizing your e-commerce platform—perhaps through a marketing platform, or something else similar. In this way, it keeps making you more money and you don’t have to spend any to see that benefit.
Do a cost-benefit analysis and see where these considerations fit in with your business to get a more tangible idea where you stand. In all likelihood, you can see some serious benefit from the right processing and e-commerce strategies.