Which one to choose for e-commerce?

Determining the breadth of the product catalog in e-commerce is one of the problems that one has to face when opening an online store. Choosing more or fewer products in an eCommerce catalog is not a side issue. This will affect many aspects of our website homepage configuration or marketing policy, in addition to the varying amount of work involved in maintaining one or the other.

At first glance, logic would seem to suggest that the greater the variety in our eCommerce product catalog, the greater the opportunity for sales. Since we don’t have space restrictions like a regular store, why not make a very large catalog?

But not everything is as simple as it might seem at first glance. For the catalog to be perfect, it is best to contact real specialists https://dinarys.com/ecommerce-catalog-management-services.

Product catalog in large e-commerce

Arguments for a wide catalog

  • A greater variety of products increases sales opportunities.
  • This allows us to segment our offering much better to cover different customer profiles (targets) from the same eCommerce store.
  • This helps us with SEO (if we do it well) as it multiplies the keywords we can position ourselves for in a long-tail strategy.
  • This allows you to negotiate with logistics operators on more favorable prices per unit of goods since the volume of shipments will be greater.
  • Diversify risk. The wider the e-commerce product catalog, the more likely one or more of them will be a sales success.
  • This allows for increased product rotation and continuous introduction of new products.

Arguments against a wide catalog

  • Significantly increases costs as it requires more time for maintenance and upgrades
  • This significantly complicates logistics, both from the point of view of suppliers and with the preparation and shipment to customers.
  • This greatly increases the need for storage and handling space.
  • This requires more effort and investment in marketing.
  • Increases the complexity of financial management. A very large e-commerce product catalog means more administrative tasks, higher bank management costs, and additional staffing requirements.
  • This complicates the main page. It is very easy for a customer to opt-out if they cannot easily find what they are looking for, which requires advanced product search tools.

A small catalog of goods in e-commerce

Arguments for a small directory

  • It is easier to handle, and the administrative and logistical costs are lower.
  • Less physical storage and processing space are required.
  • This allows you to focus your marketing efforts on a small number of products, maximizing the results of your advertising investment.
  • This greatly simplifies the design of the web home page. The client quickly gets access to what he is looking for.
  • It is a more specialized image. Increases knowledge of each product and simplifies customer service. In addition, this allows you to focus much better on the needs of a particular target, which will feel more identified with our online store.
  • This reduces costs with suppliers because, concentrating sales volume on a few products, it allows you to negotiate better prices.

Arguments against a small directory

  • This increases the risks as we work with fewer products. This forces us to be very confident in what we are selling and do more thorough market research.
  • Reduce the number of leads by focusing on smaller targets. Therefore, it is necessary to increase marketing efforts to achieve these goals.
  • This makes you much more dependent on multiple providers and they are no doubt aware of this.
  • This makes it harder to manage promotions and offers due to less variety in the fields.
  • This makes you more vulnerable to competition, especially if you are not producing or adding value to the product.

As you can see, creating the perfect catalog is not as easy as it might seem at first glance. This requires a serious approach and a lot of knowledge. The number of sales and conversions depends on the catalog. Therefore, if you want it to be perfect, then contact ecommerce development services.

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