For many e-commerce business owners, it can be difficult to determine if expansion is already within your sights. Any type of business expansion comes with a certain level of risk, so how do you know if your business is ready for one?
Here are some signs you should look for:
1. Stocks are consistently selling out
If the delivery service business in Singapore handling your deliveries is already having a hard time keeping up because you have so many orders, it’s an obvious sign that your business needs to expand due to the extra demand. Selling out is a good thing, but if you are always out of stock, you will have to turn away potential customers on your website.
2. Your customers want more
Do your customers want more products, more options, and faster delivery, among many other demands? As a business owner, it’s important to listen to what your customers are saying. And if they want more from your brand, it’s a strong sign that expansion is a good idea for your business.
3. Competition is amping up
When you first entered the eCommerce industry, your brand may not have had any fierce competitors to deal with. But when you notice that other brands are besting yours, exploring new markets, upping your marketing game, and making new products are sometimes necessary to overtake the competition.
4. You are getting a lot of complaints
Now, this may seem counterintuitive, but if your business is receiving a lot of customer complaints, it’s crucial to see where you are going wrong. Are orders arriving too late or not at all? It may be time to get another carrier. Is customer service satisfaction low? Perhaps you should hire more customer service representatives.
5. Great opportunities arise
You won’t know when a great opportunity will come to you, but when it does, see how it will benefit your business in the long run. A great deal with a new carrier, a massive sale on source materials, a cheap real estate property for a new office–whatever opportunity falls on your lap, consider it as a chance to expand your business.
6. The workload is too much
As your business grows, so does the workload. Don’t wait until you and your staff are overwhelmed with work before you decide to hire new employees.
7. You have the means
Investing money back into your business instead of taking on more liability is an excellent business principle to live by. If you have the extra cash, why not use it to grow your business? Hire more people, invest in new products or equipment, or buy better packaging. There are endless ways you can put money back in your business; you just have to choose the best ones.
There is no golden standard of knowing when to expand your e-commerce business. As an entrepreneur, you must consider all the factors that will affect expansion before you find out if it’s the right time for you. Nevertheless, these are the signs that might mean it’s time to grow your business, whether through added resources, manpower, or network.