Running an ecommerce business is exciting, but it also comes with constant challenges. In his book Ecommerce Evolved, Tanner Larson shares 12 fundamental principles that have transformed how I approach and manage online stores. Here’s a practical summary:
- Your business is not unique: Even if you offer innovative products, the market is full of competition. What will set you apart is how you connect with your customers.
- Your business is marketing: You’re not just selling products; you’re selling experiences and solutions to your customers’ problems. Without marketing, there are no sales.
- Be brand-centric, not just product-centric: A strong brand builds trust and loyalty. In the long run, it’s more valuable than any individual product.
- Control the purchase process: Controlling the entire customer journey (from search to checkout) allows you to optimize the experience and reduce cart abandonment.
- Don’t compete on price alone: The race to the lowest price is unsustainable. Instead, compete on added value.
- Don’t be Walmart, specialize: Narrowing down your niche is key to standing out. It’s better to be number one in a small niche than just another player in a saturated market.
- There’s no such thing as free traffic: Whether in time or money, everything has a cost. Organic traffic requires constant effort but offers long-term returns.
- Business costs money: From advertising to optimization, smart investment is essential for growth.
- If you’re not mobile, you’re out: Most purchases are made on mobile devices today. If your store isn’t mobile-friendly, you’re missing out on opportunities.
- The one who can spend the most to acquire a customer wins: It’s not about having the biggest budget but being the most efficient with it.
- Sell in multiple channels: Diversifying your sales channels protects you from platform changes and helps you reach a broader audience.
- There are only three ways to grow:
a) Increase the number of customers,
b) Increase the average order value,
c) Increase purchase frequency.
These principles have helped me improve how I manage online stores for clients who need development and optimization services. I’m sure they’ll be useful to you as well if you implement even one of them in your business. I’m committed to applying these principles to my own checklist to help increase sales.
Which of these principles do you think will help you grow the most?
