Wednesday 1 march 2023

For many consumers, 'buying online' is synonymous with 'cheaper', because 'you don't have to pay store rent or salespeople'.

We lift the veil on these false beliefs and tell you why:

1) Staff costs

Whether in a physical store or online, the staff is there. Behind the screen of an online store, a team advises you by email or chat, answers your questions by telephone, takes note of your orders, prepares the packages, verifies payments, checks the tracking of each order, puts the site up to date with the latest news. So really less work than in the store?

In addition to the 'sales' team, whether physical or online, other people are of course essential in both cases: accounting, communication, marketing and social networks, stock and supplier management, new products, partnerships and collaborations, etc.

2) Rents

Without a physical store, no rent? In the case of an online store, it is of course necessary to take into account the warehouse and offices which house the team which takes care of the process described above. The only difference that persists is the fact of not having to have a storefront.

3) Shipping costs

Shipping costs, the crux of the matter. Changing habits have meant that shipping costs are minimized and sometimes even offered (and not free!). This practice unfortunately undermines small structures, which are forced to cut back on their margins to offer this service. Indeed, a shipment is NEVER free, it must always be paid by one or the other party. With transport prices soaring, many e-shops also cover part of the shipping costs. So, is it still cheaper to run an online store?

4) Marketing costs

A physical store has a head start when it opens its doors, it is the passage and potential customers who pass in front of the store, without having to do anything, where the online store will have zero passage by putting its online site. Marketing costs are therefore proportionally higher for an online store.

5) Virtual and physical showcases

In terms of window displays and seasonal novelties, the work is important for both media, since on one side or the other, the goal is to attract the eye of the passer-by or the Internet user by showing them the new products. who have come in and push him to take a look and make the purchase.

A good example to show that no, an online store is not free and that yes, it also generates a lot of costs, unfortunately less easily perceived by the end consumer. But to learn is to evolve and become aware.

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