Top 10 challenges e-commerce owners face.

Running a successful e-commerce website can be a significant benefit for the business owner. An e-commerce website has the advantage of proximity. The benefits of an e-commerce website are numerous, but there are some challenges as well.

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Running a successful e-commerce website can be a significant benefit for the business owner. An e-commerce website has the advantage of proximity. The benefits of an e-commerce website are numerous, but there are some challenges as well.

Developing the business in e-commerce is the hard part. You must take care of everything, from website maintenance to customer service. Keeping up with the pace of consumer needs is an ongoing process of development. Challenges can limit the effectiveness of an e-commerce website; however, knowing what they are is the first step in also addressing them as opportunities for improvement.

Below are ten significant challenges that most of the e-commerce owners face:


  1. A problem of data security
























Trust will be the issue influencing whether or not consumers will purchase from your website. Make your website legitimate by writing your store’s physical address and telephone number.

Post a privacy policy on your website which defines what and with whom you share your user’s information. Also, provide a way for users to opt-out of sharing their personal information.

Protect your customers and yourself by regularly changing your passwords, finding out the critical vulnerabilities of your web and FTP server, etc.


  1. Website SEO

Most e-commerce websites don’t appear at the top of the Search Engine Results Page (SERP) because they only list their perfunctory products, services, and prices. You can use SEO to position your website at the top of the SERP by providing detailed product description with unique content.

Consider adding such description to your most popular products, including target and long-tail keywords in that description. To increase traffic to your website, post buyer guides that describe the features and benefits of your product category.


  1. Generating targeted traffic and capturing quality leads

Online retailers spend a significant amount of money driving traffic to their online store. They can no longer rely on one type of channel to drive traffic to their online store.

Retailers should craft the right message for the right audience to convert them into leads with hopes of turning them into customers.

Driving quality traffic and nurturing leads is vital, as at a certain point you need to convert those leads to pay for your marketing campaigns.

Retailers must continuously optimize their efforts in converting both email leads as well as website visitors into customers. Conversion optimization is a continuous process.


  1. Lack of authority in the industry

On the Internet e-commerce business meanings range from a large multinational corporation to a single workforce company. So it may be harder to sell a product or offer a service which is already provided by larger retailers who have much more significant authority.

Many online stores bulk buy products wholesale from manufacturers or distributors to sell that in retail from their online store. This is the primary business model for online stores.

Unfortunately, because of low e-commerce barrier to entry and other reasons, many product manufacturers and retailers start selling directly to customers. The same business that sells your products may also be your competitor.


  1. Financing issues



















It’s possible to set up your e-commerce store for reasonable costs, but for it to be adequately prepared in its marketing, product fulfillment and shipping efforts, you need a significant amount of capital actually to get the ball rolling.

To get the needed financial requirements for your business, you can try tapping into your savings, into your credit card balances, or approach traditional banks. Or you can go the digital way and get involved in using crowdfunding to raise resources for your e-commerce business.


  1. Lack of Online Identity Verification measures

When a customer visits an e-commerce website and signs up, the portal is unaware whether the person is genuine or not. This creates enormous revenue losses for a company when a customer makes a Cash-On-Delivery (COD) purchase, and the information entered like phone number, the address is invalid or fake. This challenge can be prevented by sending out a textual or/and email message to the customer to validate his/her identity.


  1. Maintaining customers` loyalty

It takes lots of efforts for companies to make a new customer and keep the same customer for a long time. It takes few transactions, time and plenty of efforts by the company to build the customer trust and loyalty.

Focus your customer retention marketing to your high-value customers, because they tend to be more loyal. Bringing new customers is more expensive than retaining the current ones you already have.


  1. Product return and refund

Before making a purchase consumers check the return policy, and they shop more with retailers that offer hassle-free returns. When the product is returned, the business suffers a massive loss of shipment and reputation. This cost of operation can be minimized with proper returns management with seamless interaction platform with logistic partners and vendors.


  1. Unnoticed customer issues

In this industry, customers can take their business elsewhere easily, so customer service is of utmost importance. E-commerce websites receive lots of inbound interaction with the majority being complaints or concerns. When these requests go unnoticed, it compromises the standard of the quality of your business and damages your brand image.


  1. Choosing the right technology and partners

Some online retailers face growth challenges because of their limiting technology or the wrong partners.

Retailers wanting to achieve growth must be built on an excellent technical foundation. Choose the right inventory management software, email software, analytics and so much more.

Besides, hiring the wrong partners to help you implement projects or oversee marketing campaigns may also limit your growth.  Online retailers must choose carefully who to work with.



An e-commerce business takes time, money and efforts for it to grow so that you can make the rewards over the long run. Surviving in the e-commerce competition requires the outstanding strategies. If you don’t want to struggle, then give extra efforts on your every aspect of the business. Be ready for the challenges and growth at every stage of your business, and ultimately it will have a better chance to bloom.

In this article, you were able to learn the most common challenges that you as an e-commerce store owner will face. Out of all these challenges, which one is the most applicable to your situation right now? Write in the comments below so newcomers can learn from your experiences.