Ecommerce a path to progress for SMEs in Bangladesh

In general, e-commerce is the exchange of goods and services, and the transmission of funds and data over internet. It is governed by technology and digital platforms, including websites, mobile apps and social media, which make buying and selling more feasible.

Nowadays ecommerce has become a pathfinder for businesses worldwide, including small enterprises in Bangladesh. As Bangladesh evolves technologically, it's critical for small businesses to adapt ecommerce for sustainable growth and progress.

Traditional brick-and-mortar enterprises are restricted by geographical limitations, but ecommerce allows these businesses to reach customers across the country and even globally. This increased reach converts into more prospective customers and higher sales.

In addition, setting up and preserving an online store is often more economical than running a physical store. Overheads such as rent, utilities, and staff wages are significantly condensed. Moreover, digital marketing is generally more affordable and target-oriented than traditional marketing approaches.

In today's world, buyers value convenience over many other concerns. Ecommerce offers access to shop anytime and anywhere, making it stress-free for customers. This convenience can always lead to improved customer loyalty and repeat business.

Ecommerce platforms provide valuable insights about customer behaviour, preferences, and trends through data analytics. This data can help entrepreneurs make seamless decisions, tailor offerings, and improve customer satisfaction.

As businesses grow, scaling up an online store is easier than expanding a physical store. With ecommerce, we can add new products, move into new markets, and handle higher volumes of transactions with minimal capital expenditure.

Interestingly, the ecommerce industry has a significant dependency on logistical support, and this support plays a critical role in ensuring customer satisfaction and business competence. Logistical services include transportation from manufacturer to warehouse, warehousing and order fulfilment, and delivery to end customers.

Customers anticipate fast and dependable delivery services. A true smart logistics system optimises delivery routes and manages inventory competently avoiding over-stocking, offers real-time tracking and timely updates, and ensures products reach customers on time and hassle-free returns.

Smart logistics also leverage technology to reduce transportation and storage costs. By using data analytics, enterprises can optimise inventory levels, reduce wastage, and simplify operations. By optimising routes and merging shipments, smart logistics reduce carbon footprints and help us align with Sustainable Development Goals.

An efficient smart logistics system is flexible to changes in demand and can scale up operations during peak times. This adaptability ensures we handle growth and fluctuations without compromising service quality.

Building a balanced ecosystem between ecommerce and smart logistics is essential for exploiting the benefits of both. First, adopting accurate technology is the foundation of a successful ecommerce and logistics strategy.

Entrepreneurs should invest in a robust ecommerce platform that integrates with a user-friendly smart logistics management system. This combination ensures seamless operations from order placement to delivery. Ecommerce should also focus on partnering with local logistics providers who understand the regional market and can offer tailored solutions.

The business operation team should have the necessary skills and knowledge to manage ecommerce and logistics operations. Regular training on new technologies, customer service, and logistics management can enhance overall performance. Continuously monitoring the ecommerce and logistics processes is the key to success. Performance indicators to measure success and identify areas for improvement should be ongoing.

For the sake of small businesses, embracing ecommerce with smart logistics is not just a choice but a necessity for sustainable growth. An effective synergy between ecommerce and smart logistics can pave the way for stable, scalable, and prosperous business ventures in the digital age.

The author is a banker.