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If you go to Twitter or YouTube and search for a successful business idea, perhaps dropshipping would lead the way. Ecommerce has a major take in retail market and the growth of ecomm has only been fueled by Covid-19. US alone spent $1.7 trillion during the pandemic years (source). The growth prediction of ecomm is quite good too (source) but most of the platforms lacks serious sales process to grow. Most owners treat ecomm websites as if customers are still living in 2003 digital age.
Most ecomm businesses try to setup a website, follow some traditional steps and pray for a successful business to grow. But if you can identify their major problems and provide a solution with WebAR which can solve decades old problems while increasing sales & conversion, you can build a thriving business of specialized consultancy and solution.
Can you do it with WebAR? Yes, you can. Let's discuss it in today's newsletter.
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List of 5 greatest challenges for Ecomm and solution for them
🟧Too much of 360 photography for product SKUs. The cost for 360 photography or video can shoot up higher with quality – adding a huge cost burden to begin with. At the same time, too many of them slows down website performance, still not able to deliver the right product perception to customers and can end up as a baggage for ecomm sites.
🟩3D display can overcome the problem with much better clarity. WebAR experience typically can work as a 24/7 sales person for ecomm business, offering products in way more details.
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🟧Lack of virtual product try on – Try before buy virtually is becoming more of a common trend now a days. Be it clothing or furniture or eye apparel or makeup – missing the try-on option can seriously lead a lot of potential customers out of the website pretty soon.
🟩Try Before Buy – users love to get 100% perception before buying via 3D/AR. A must have feature for any retail based ecommerce stores.
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🟧User engagement with 2D images and videos is decreasing, especially in gen Z buyers, while opting for online shopping. Average dwell time on image/videos is between 5-15 seconds.
🟩WebAR yields avg. more than 85 sec of dwelling time. This is a huge leap on customer retention period on a website in a pre-buy state. The chance of conversion grows by 2x.
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🟧Challenge in acquiring new customers from all channels. We're living in a digital ocean where the number of new social media channel is increasing almost every month. Running dozens of customer acquisition funnels from them is complicated, apart from increasing cost and lowering profit margin.
🟩Create once, Use everywhere – fundamental of WebAR 3D experience. Engage users from both digital and print ads & campaigns and funnel them for better and faster conversion – a win-win for both sellers and buyers.
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🟧Product return costs a major headache for ecomm business. The average ecommerce return rate rests at around 20-30% (source). At the same time, 79% customers think returning products is an extra headache and thus often prefers not to buy from new ecomm stores. This fails in new customer acquisition and to somewhat churning existing customers too.
🟩3D product experience, along with try them virtually at home, can increase the confidence of the user to buy them online without bearing a high risk of returning them. Thus 3D/WebAR can decrease the return rate and help ecomm business run with more profitable range.
4 killer reasons to adopt WebAR in business
1. Emotional Connection
– immersive ads create certain emotional connection with customers
2. Money-Saving Advertising
– AR advertising is more affordable and immersive than conventional advertising
3. Boosting Sales
– Virtual try-ons pave ways for marketers and advertisers to scale sales by up to 5x
4. Improving Hyperlocal Advertising
– AR ads are extremely useful for business owners and can attract more customers
Solve Problems and Earn Trust
If you want to successfully build a business of $5k-$10k MRR using WebAR, you need to land bigger clients faster and efficiently. Remember that your service and solution can be close to your heart but it means nothing if it doesn't solve someone's problem.
Ecommerce has a golden opportunity to expand your business fast only when you can successfully solve few of the major challenges of the industry. Hopefully today's newsletter will shed some light in that direction and when you pitch it, customers can see the value propositions clearly and thus increasing your chance to close the deal and move forward.