What Are the Major Causes for Small Businesses Failure?

New-age digital trends and technological advancements have indeed widened the concept of eCommerce solutions for small businesses. Today, those businesses that fail to survive are usually those who opt for conventional marketing methods and strategies.

Another major reason why businesses fail to succeed is their inability to update their business according to the latest digital marketing trends. Both local and international business organizations are spending a considerable part of their marketing expenditure on staff augmentation services by outsourcing top-notch advertisers for creating interactive marketing campaigns for their brand. Whether it is something as simple as a pair of socks or as expensive as a laptop with backlit keyboard, without an effective market strategy, businesses cannot reach out to potential clients and customers.

In this article, we will discuss some primary reasons why small businesses fail to generate profit and what marketing strategies can help them become successful in today’s competitive market.

Organic Traffic and Performance Tracking

Today, one of the major challenges for small businesses remains the lack of adequate resources for performance tracking.

Businesses who are unable to measure the effectiveness of their digital marketing campaigns remain unsure about the reach and visibility of their advertising among the targeted audience.

Despite having a good marketing strategy and budget, PPC campaigns remain one of the most effective methods for tracking online visitors in online advertising.

Use of AI, ML and VR Technologies

AI technology can help businesses offer a more personalized experience to their customers. Today, clients want to experience more personalized service from their preferred brands. With the help of AI bots, businesses can offer more relevant and responsive customer service to their clients.

Similarly, VR technology is also helping small businesses provide better service to their customers. Considering the current situation regarding COVID 19, more and more customers are opting to shop online for various goods and services. Therefore, with the help of VR and AR technology, businesses can help their customers try out different products and services through their apps that are backed by VR technology.

Use of Smart Devices and Mobile Apps to Place Orders

Apart from VR, AR, and AI technology, smart devices can improve your quality of service and attract more customers. Various smartphones and tablets come with touch screens. The use of these smart devices has become common for performing day to day tasks and operations. Whether it is a restaurant or a small business like a coffee shop, customers can place their orders directly through the cafe’s customized apps that show up on the touch screen devices offered by the staff.

Flexibility and Versatility of eCommerce Sites

Today, customized apps can be created for almost all types of digital and on-site businesses at the most economical market rates. In fact, if you run an eCommerce site, you can integrate your site with your brand’s mobile app to cater to a broader audience. It is estimated that more than 50% of internet users use their smartphones instead of laptops and PCs. Therefore, businesses must make their online services mobile-friendly for their clients. Thus, the trend of mobile applications has gained immense popularity in sales and marketing practices where an item is marketed to customers through mobile apps.

Lack of Adequate Funds

Despite the ongoing research and development in developing custom apps, small businesses still face lots of technical difficulties due to the lack of appropriate touchscreen devices and software.

Therefore, many new professional developers are now creating more economical applications to meet the needs and requirements of various digital marketing strategies for small businesses. Since it requires a lot of time and expertise to come up with customized applications, many entrepreneurs find it hard to make profits with their eCommerce businesses due to the excessive amount invested in the software.

QR Codes for Product Recognition

By adopting the latest technological trends, small businesses can improve their communication and interaction with the customers. QR Codes for product recognition is expected to transform the way retail stores operate. This means shoppers can expect shorter queues while checking out. More advanced applications can help customers to make purchases without relying on attendants or cashiers.

An upcoming product that has greatly increased its sales through a similar pattern is Tesla’s battery-powered Cybertruck. Customers from different parts of the world preordered their trucks online by visiting Tesla’s official showrooms. Moreover, instead of using traditional bar codes, QR codes can be used for product recognition.

In Conclusion

Conventional marketing practices offer affordability and convenience to the users. However, today businesses prefer maximum client engagement interaction through more advanced tools and technologies, such as AI along with effective digital marketing practices to meet their customer’s needs and attract new customers.