E-commerce Product Management – The more exciting era of eCommerce, where emotional products – the things people truly value – are the factor to focus on for Business growth.
Table of Contents
What is Product Management eCommerce?
Product management eCommerce differs from IT product management in several ways.
E-Commerce Product Management is the process of research & development of products, prototyping, testing, launching, marketing, pricing, positioning, and continuous improvement of the company’s products to achieve customer demands and business objectives.
An E-commerce Product Management often has to deal with inventory, logistics, fulfillment, customer service, product returns, data analysis, competition, pricing pressures, website analytics, conversion rate optimization, customer behaviour, etc. At the same time, IT product management may not have to deal with all these.
Overall, to meet the customers’ needs and to achieve business goals, both types of product management are responsible for defining and delivering a product.
Importance of Product Management eCommerce
● It helps to understand customer needs and try to fulfill them in the best possible way.
- Provides feedback on changing market conditions and customer demands.
- Helps to set product price
- Helps to deliver products and communicate value to the customer
- Helps to align product road map with customer’s requirement.
- Increase Sales
- Predict Product Demand
- Improve SEO and helps to increase your search engine traffic
Best Practices for E-commerce Product Management
It’s no secret that online Product Management in e-commerce has become one of the most important tasks for business owners and online entrepreneurs. Proper product management can help boost bottom lines, ensure customer satisfaction, and optimize efficiency in any business.
Here are a few best practices for E-commerce Product Management:
1) Cross-Sell and Up-Sell
Businesses need to have techniques in an area in a state-of-the-art marketplace to boom sales. One way to do that is through upselling and cross-promoting.
Cross-promoting is whilst a merchant sells merchandise which might be associated with the main product being bought. For example, if the primary product you’re selling is shades, you should purchase a case or a couple of shades. This manner, you could maintain clients from shopping for merchandise they do not need and ensure they’re getting the maximum value from their buy.
Upselling is while a merchant sells extra products to clients who already purchase a product from them.For example, if someone purchased a smartphone, then upsell them on a memory card or charger or the same model but with different colors or more memory storage, etc. By doing this, you can increase revenue by converting customers who might not have bought from you in the past into regular customers.
Following these cross-sell and upsell strategies can increase sales and drive more traffic to your online store.
As a store owner, you can also use Magento 2 pre order extension that allows customers to pre-order or backorder the products in advance that are not available or out of stock. Admin can also use this extension for the upcoming products that are about to launch soon.
2) Clean Website
First, it is important to have an effective e-commerce website that looks professional and easy to navigate. It is essential that your website offers convenient checkout processes, clear product information, and accurate shipping times.
3) Build a rigorous inventory management process
Do not start selling products until you have completed a thorough stock check to confirm that you have enough products to meet demand. Inventory shortages can lead to lost sales and lost profits. One of the most important aspects of running an e-commerce business is Product inventory. Customers may be unable to buy products quickly enough if there isn’t enough stock. It is important to keep track of inventory levels so that you can order new supplies as needed without affecting customer service.
4) Tightly regulate your pricing structure.
Consider local market conditions and ensure you set equitable prices to both yourself and your competitors. Pricing that is too low or too high can drive away potential customers and compromise customer satisfaction.
5) Utilize A/B testing
Measure the effect of various marketing strategies on retention rates and customer acquisition using A/B testing. This will allow you to fine-tune your marketing plans to maximize results.
6) Customer Service
It is critical to provide first-rate customer service to make certain the highest purchaser delight. Furthermore, preserving the song of sales trends and person behavior is essential to trade your advertising and marketing strategies accordingly.
Keep track of all customer interactions to ensure they are satisfied with the provided customer service. Strategies like this can help ensure long-term customer loyalty while minimizing the need for expensive customer service measures.
7) Product Labeling
You can also use an effective product labeling strategy as it represents the product’s features and highlights the products with eye-catching labels.
You can use the MageAnts Product Labels extension for Magento 2, allowing store owners to highlight the feature products, special offers, and on-sale items by placing labels/ images over the product image and easily drawing customers’ attention.
8) Use social media & email marketing
Partnering with social media platforms can help promote products through your website and/or email list subscribers. Email marketing tools like autoresponder services can also help automate sending out those alerts and promoting those deals directly to interested customers. By taking advantage of all available marketing channels, you’ll be able to broaden your reach while increasing sales and overall business success online!
Leveraging the capabilities of voice cloning opens up exciting new possibilities, enabling you to connect with customers through personalized and captivating audio content through social media. This state-of-the-art technology adds a distinctive element to your marketing endeavours, enriching customer engagement and fostering greater conversion rates.
ECommerce merchants can use many more eCommerce product management strategies to drive more traffic and increase sales. By following these tips, your eCommerce business can increase profits while staying competitive in today’s market landscape.
E-commerce Product Management Statistics
- 34.2%Fully optimized product management strategies can increase profits by
- 87% of shoppers surveyed say product information and pictures are important when deciding which brand or retailer to buy from.
- 98% of users have agreed that product information matters, and they have not completed the purchase because of a lack of product details.
- 40% of Millennials are more likely to be influenced by detailed and impressive product content they view on websites.
- 50% of users have returned a product because it didn’t match the product description.
The above statistics clearly state how eCommerce players can retain customers, can improve the customer experience, and promote products by a few tactics like showcasing relevant, upsell & cross-sell products, product discovery, and much more.
Final Words
For any eCommerce business, product management plays a critical role. However, many eCommerce businesses still don’t believe in this or may not have a clear-cut process for product management. This can lead to inconsistency and chaos in the products.
Merchants need to have a clear understanding of the various aspects of product development and also need to be able to assess customer requirements. After this, determine what products from your eCommerce store will meet those needs.
Follow key principles like simplicity, user-centricity, scalability, and iteration, as they can guide your approach to product management and help you produce high-quality products that users will love.
