E-commerce growth and change

E-commerce sales world wide is expected to more than double it’s size in four years time. This eminent growth will off course serve the industry well. But, as always in times of rapid growth and change, some will thrive more than others.

The rapid growth of e-commerce will lead to tougher times for traditional, physical stores, which is expected to lose ground they say. But – how about the competition within the specific growing industry of e-commerce then? This topic is much less discussed and is therefore interesting to think about.

Growth will serve the industry well

The expected growth will, of course, serve the e-commerce industry very good as a whole. Many new e-shops will appear, do well and some of them will do it really well. Naturally, many established e-shops also will thrive under those circumstances.

Who will succeed best?

Some e-shops will for sure gain a lot more from this opportunity than others. So, which will be the biggest winners during these hay days and why? Here we will very shortly try to explain how we see it:

Times of expansion will naturally probably also lead to a lot of change. A booming industry will, like a magnet, attract not only capital but also new ideas, habits and new ways of solving things.

Methods are (and will) constantly be changing. Maybe also in an accelerating pace. Take a look at today’s many different methods of end-client delivery for example, which has increased sharply only in a short period of time. Some of the most frequently used and efficient methods today did not exist five years ago. Furthermore, some of today’s established marketing and payment tools barley existed not too long ago eighter.

This quickly brings us to the point of what we think that e-shop owners should be aware of and keep an eye on, in order to gain the most of a growing industry. Namely: technology and innovation.

There is no need to be first, but it is important to always be innovative and technically competitive at the right time. More exactly, that right time is when your clients start to demand such services and that can sometimes happen more or less over a night. So, one big key to success would probably be to have the technical knowledge, follow its trends and be ready when the right time comes.

Based on data from:
https://www.statista.com/statistics/379046/worldwide-retail-e-commerce-sales/

The most common e-commerce platforms right now

Thinking about starting an e-shop? Or maybe to expand, your existing one, and update your platform technology?

The usage of the different open source platforms has differed over time, with a rise and decline of different technologies. So, when having a look at what platform to build on (or update to) it can be good to take the present overall usage into consideration as one factor.

Size matters?

We are really not saying that only the big players should be considered as alternatives. There is really many niche solution out there and you can never say that one solution suit all e-shops. And, in fact, some of the most satisfied e-shops are using a local partner, often with great support and customization possibilities.

Diligently used technologies

But of course, there are also upsides of building your e-shop on diligently used technologies. For example, as many e-shops use a specific service, there will naturally also be a considerable community gathering around support and development queries.

The big platforms, in many cases also have an app marketplace, where you can add specific technology to your e-shop (both for free and at a cost). Therefore, a big number of fresh possibilities are often most common for the trending technologies.

Most used platforms right now

Okay, we guess you now would like to know what e-commerce platforms which are the most common ATM, so we won’t hold you anymore.

This list (gathered with https://www.similartech.com), summarize the most popular e-commerce platforms, worldwide, right now (Nov 2018). 📈

Prime Penguin supports this entire list of e-commerce platforms, for plug and play connectivity ⚡

Updating your platform technology?

Are you looking for a technology shift for your e-shop? Please let s know and we will tell how we could help you together with our suggested parters and experts within e-commerce platform technology.

It all starts with “hello”:

Our contribution to the climate

Prime Penguin enables local warehouses (3PL)
Current situation

More than 40 billion e-commerce transactions (and returns) are being made each year globally. This amount is expected to grow at a steady pace in the upcoming years and is obviously contributing to its fair share of greenhouse gas emissions globally. For e-commerce, most of the pollution comes from the delivery of goods.

How is that?

For e-shops, it’s common that they produce their products far from its main country. A typical Swedish e-shop, who produce their products in China, got their products shipped from a supplier in China to a warehouse in Sweden. Then when a customer in Asia is placing an order from the e-shop, the product is shipped back to Asia.

This inefficient way of transporting products back and forward is affecting not only the environment but also affects the entire shopping experience, where the customer must wait an unreasonably long time to receive their products (sometimes up to several weeks).

So it is not only a costly and time-consuming way of handling logistics, but it also has a huge negative impact on the environment, due to all emissions caused by the shipping.

This can be seen all over the world by millions of e-shops who are selling products in multiple countries.

Prime Penguin solution

The plug and play technology and partner network of Prime Penguin has the potential of cutting down on the emissions occurred by transportation without causing any delay in the order delivery time. The long distance and the direct deliveries can be changed into shorter and more environmentally friendly deliveries, thanks to the network and smartness of Prime Penguin.

How does it work?

For example: instead of shipping a product back to Asia, Prime Penguin enable the e-shop to set up a satellite warehouse and get full-service logistics close to its customers. This way of using satellite warehouses will have a tremendous impact on the environment, since the products can be sent directly from the factory into the selected warehouse in Asia.

The high logistic quality is maintained due to a solid and careful selection process when Prime Penguin is adding new partners to the network. Prime Penguin is always working with the best, most reliable 3PL out there who consider the environment as important.

Our unique and user-friendly platform gives the e-shop full transparency and control over all warehouse activities, regardless of where the warehouses are located.

Also, based on where the customer and suppliers are located, the platform can calculate and suggest where to set up the next satellite warehouse. All beneficial for the climate.

This is just the start… and we won’t stop improving.

More ideas

Please share your ideas, for a better climate, with us and stay tuned at: primepenguin.com/environment 🌱

What prevents an e-shop from being born global?

What prevents an e-shop from being born global? Here we share some thoughts.

Let’s start with having a look at what “born global” means:

“Born global is a type of company that from the beginning of its activities pursues a vision of becoming global and globalizes rapidly without any preceding long-term domestic or internationalization period”. – Dictionary of International trade

What’re the biggest obstacles?

The most obvious obstacle, for an e-shop to be born global, is most probably the physical involvement which an e-commerce business needs to take care of. In contrast to companies such as Spotify (with an 100% intangible product), which does not have a considerable need of a physical presence, e-shops (in most cases) needs to deliver its products physically, in order to fulfill all commitments to its customers. This leads to the fact that there in most cases is a physical link between an e-shop and its clients. And this drags them down from being born global.

Also, a lack of presence in marketing and local market awareness do effect.

But, many e-shops easily offers to sell its products on a global scale. Isn’t that the same as being born global?

That is partly right of course. But it also depends on how you see it. If you define born global as just reaching out to potential buyers, then it is quite easy to become a “global player”.

This can today be done together with a global delivery partner, which there are several of. But, if you rather define to be born global as an ability to compete in all markets, on equal terms as the local players do. Then it becomes a bit more complicated.

But why?

There is a simple answer to this: Shipping. More exactly – the cost of shipping and the delivery time. Today’s e-commerce clients are picky when it comes to delivery time. Yes, you can even say that they are a bit “spoiled” these days and they have a good reason to be so. More and more competing e-shops, but also more freight alternatives available, has given the opportunity of 1-2 days in delivery time on most major markets. This more or less demands a physical presence not too long from where its clients live.

An in-house logistics set up on a global scale at an early stage is very rarely possible for an e-shop. The cost and complexity are basically too high.

So, how does an e-shop gets born global?

So, is there a possibility for an e-shop to become “born global”? Yes, we are pretty sure it is – If it can master it’s global supply chain and logistics.

One way of doing so is to outsource the logistics part to a local 3PL partner, for all logistics handling at the actual market. This can be the best and easiest way for global expansion at a rapid pace.

Sounds interesting? Prime Penguin simply brings you a network of selected 3PL companies with an easy integration to your e-shop.

Dear e-shop, we know you prefer it digital

Dear e-shop, – we know you prefer it digital. Therefore, we created an interface where you can visit your warehouse whenever you want. All from your favorite device.

Of course, we also help you to find a suitable logistics partner to handle, some or all, of your e-commerce logistics. Prime Penguin simply helps you to outsource your logistics with full control.

Sounds interesting? Please let us know and get started for free. We think you will enjoy it.

Sharing is caring

Oh yeah, some of the code and technology of Prime Penguin can be found on GitHub, as we surely believe opens source code benefits the community.

What does that mean?

GitHub is a platform, globally used by software developers for sharing and collaboration on projects. The idea is to bring software developers together to write code and manage projects in an efficient way. As all users have their own profile, this makes GitHub one of the most powerful networks out there for software developers.

Thanks to the idea and usage of GitHub, a mass of professionals can contribute to and advance a project forward. And yes, this is a much more efficient way to bring and get each other valuable feedback, compared to how it was done back in the days.

Photo from: https://education.github.com

Are you a developer, using GitHub? Hope to see you at: https://github.com/PrimePenguin