An ecommerce platform is a tool that allows businesses to purchase and sell goods and services to each other online. Businesses that operate fully online generally have no choice but to utilize some type of online platform for the exchange of goods; however, owners of some traditional brick-and-mortar businesses may hesitate to make use of these platforms. Here are six benefits of e-commerce platforms for both types of companies. 

1. Affordability

For many companies, one large expense involves promoting their products and advertising the business so that people know what it is and where it is located. This may involve putting up flyers and setting out brochures at local retail establishments, hiring a billboard company to put up a sign on the highway, or paying for a regular television advertisement. These expenses can add up quickly, especially if a company pays for the advertisement each week or month. Advertising to customers and other businesses online can be cheaper for a company, leaving them with more money to pay their employees or invest in other operations. 

2. Growth

Online platforms allow businesses to expand more quickly because they can reach other companies around the world who might need their products and services, rather than only local companies. For example, owners of a bar or club looking to begin hosting live music nights might have better luck browsing a music store ecommerce platform and seeing the selection of guitars, drums, and other items that musicians use compared to going to their local brick-and-mortar shop. The venue owners can then purchase items online through the platform. This can lead to growth as patrons of the bar or club notice the brand of music equipment and word spreads about that store’s selection of items.

3. Data Collection

When businesses interact with and sell items to other businesses via the internet, it is easier for them to collect data on businesses that show interest in their products. When managers of a company track things such as purchasing habits, trends, and customer demographics, they can better know what types of items to make more of, which items to consider discontinuing, and what types of new products to think about developing in the future. Furthermore, when a business can see things like click rates of advertisements, they can allot their advertising funds more wisely. 

4. Speed

When someone running a business needs a product or service, they often need it quickly. People operating other businesses have their own timelines, usually even more so than individual customers. Business owners do not want to spend their business hours running around trying to locate what they need to remain open and keep their own customers happy. An online platform speeds up the purchasing and selling processes because it eliminates the need to drive around looking for an item, freeing up business owners on both ends to do other tasks. 

5. Flexibility

One main benefit of an online retail platform is that people can access it any time of the day, any day of the week. This is a huge advantage if a business has customers who operate outside of normal business hours. For example, if a business sells medical equipment, the main purchaser of the equipment might be a staff member who works the night shift at a hospital. It is helpful for that staff member to be able to browse the equipment online during their shift and not have the wait for a retail location to open in the morning. 

6. Comparison

When shopping online, customers can more quickly and easily compare prices of the product they want than when they are going around to local retail stores. If a business owner has especially competitive prices, it is greatly to their benefit to have an online presence where people can easily see that they offer better deals than their competitors. This is one way that companies can gain the trust and respect of other companies, and then those companies may become customers for life.

There are many reasons for businesses to use ecommerce platforms when exchanging goods and services with other businesses. It can save both parties money and time, as well as cut down on the frustration that often arises when trying to locate a specific good or service.