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5 Challenges in Scaling Your Shopify Store and How to Overcome Them 5 Challenges in Scaling Your Shopify Store and How to Overcome Them

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5 Challenges in Scaling Your Shopify Store and How to Overcome Them

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5 Challenges in Scaling Your Shopify Store and How to Overcome Them

Growth is fundamental to the success of any business. However, growth without the proper infrastructure to handle it is a recipe for disaster. Many niche ecommerce businesses are finding this out the hard way, as they are unequipped to keep up with an influx of new customers. 

With this in mind, the following breakdown looks at 5 common challenges Shopify stores have when scaling their business and some common-sense solutions for how to overcome them. 

1. Finding Distribution Outlets Other Than Your Online Store

Finding Distribution Outlets Other Than Your Online Store

With over 3 million online stores, Shopify is undoubtedly the leader in building online retail platforms. However, while ecommerce is taking an increasingly large percentage of retail revenue each year, it is not the only way to facilitate trade. There may be times when clients want or need to find a local vendor or sales professional.

Solution: Invest in an advanced dealer locator app to add to your Shopify store. The best Shopify store locator will make it possible for Shopify store owners to add a “where to buy” section to their online store without the help of a professional web developer.

2. Handling Increases in Customer Support Requests

A growing business means an increase in customer care requests. Eventually, they will become more than you as the store owner can handle by yourself. 

While this can be looked at as a good problem to have, finding a solution to this issue can make or break your business. Inefficiently hiring additional customer support staff can quickly erase any profits your business makes. However, leaving customer concerns unfilled will cause your online ratings to plummet. In addition, statistics reveal that some 89% of customers will defect to a competitor due to a poor customer service experience.

Solution: Add cutting-edge customer service software as you expand. The best platforms will aggregate customer service requests from social media, email, and web chat into one manageable backend location. From there, you are in a better position to handle support requests via the customer’s preferred communication outlet and can add new staff and software to help address these concerns more efficiently. 

3. Keeping Up With Rising Advertising Expenses

It is typically not difficult to generate a positive return on ad spend (ROA) when your ecommerce business is small. However, it is extremely difficult to grow your business without increasing advertising expenditures, and there is likely to be a period when your revenue will not cover the target 3 to 5 times ROA for most ecommerce businesses. The trick is to keep this period of unprofitability as short as possible and get your revenue to overtake your increased spending on advertisement in short order. 

Solution: Decrease as much friction as possible during the checkout process. This will lead to fewer abandoned carts. A great way to do this is by allowing guest checkout. In addition, you will also want to optimize product pages so that customers are enticed to buy more items and improve the profitability of each shopping cart. 

4. Inventory and Order Fulfillment

Inventory and Order Fulfillment

It only stands to reason that as your Shopify business grows, you will sell more stuff. This is a good (great) thing–until you have no more stuff to sell. Not only does a stockout contribute to a lost sale, but it will likely result in a customer turning to a competitor to fulfill their need. This will create the additional expense of trying to win them back.

Solution: Many ecommerce stores are investing heavily in inventory management and logistics software to help handle the back end demands of order fulfillment. In some cases, businesses are also hiring third-party logistics companies to handle all aspects of packing, shipping, and storage.

5. Creating and Distributing Content

Most businesses focus exclusively on the promotions, advertisement, and sales aspects of drawing in new customers to help their business grow. And this type of marketing can lead to quick ROI when properly executed.

However, as a business grows, it is expected to become a thought leader and voice of reason within its specific industry. As such, it is critical that the business has a robust outlet for creating and distributing its own original content, usually in the form of authoritative blog posts or webinars. While this type of marketing may not generate the quick ROI that paid advertisement can, it can help the business achieve staying power by helping the company win internet searches. 

Solution: Use your marketing and sales team to help formulate an elite content creation strategy. By regularly posting fresh, unique, authoritative content that answers shoppers’ questions and provides solutions to common problems, your business can not only acquire new customers but become a cited source in your industry. 

Get Creative to Overcome These 5 Shopify Scaling Challenges

As your ecommerce business grows, it is critical that it be scaled to handle the influx of traffic. With this in mind, finding multiple distribution outlets, handling additional customer care requests, keeping up with rising advertising costs, inventory management, and creating business-owned content are 5 of the most pressing challenges for Shopify stores. Use the aforementioned advice to overcome them and seamlessly scale your ecommerce business!

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