Top 11 eCommerce Business Problems Facing SMBs + How to Crush Them
Vivek Bhatia

Vivek Bhatia

November 9, 2022   (15 Min Read)


  • “Ecommerce isn’t the cherry on the cake, it is the new cake!”

    -Jean-Paul, CEO of L’Oreal 

    We live in a digital era in which eCommerce has become the future of commerce. As a result of the covid pandemic, this industry saw rapid growth. 

    Global eCommerce sales will reach $5.7 trillion worldwide by the end of 2022.

    So, growing online businesses at such times is the most profitable thing to do. 


    Does having an online store in the current competitive market pay off? 

    Planning to launch a digital commerce website and practically doing it are two different things. An owner has to face countless eCommerce business problems while building a successful brand. 

    Here are some eCommerce challenges that you need to be aware of along with their solutions: 

    Problems faced by SMBs

    1: Cut-Throat Market Competition

    It is evident that the competition is very high in the digital commerce market. Giants like Amazon and Flipkart have taken over the market and have left very less room for other enterprises. 


    To keep up with them, small and medium enterprise owners must build a brand image. Providing personalized recommendations and the utmost satisfaction to their online consumers can do so.

    As Jeff Bezos, quotes:

    “If you’re competitor-focused, you have to wait until there is a competitor doing something. Being customer-focused allows you to be more pioneering.” 

    2: Poor Security

    The most common eCommerce business problem is poor data security and vulnerability. It can negatively impact a business.

    Running an online business involves retaining a large amount of confidential customer data.

    So, technical glitches or data breaches can severely damage its reputation and customer base. 


    Create a strong backup for your database and integrate powerful security plugins to prevent cyber attacks. A wide range of plugins in the market offers extra firewalls and two-factor authentication.

    To avoid online fraud, look for promising activities. Use sign-on, one-time password, AI, and other elements for online identity verification. 

    3: Negative User Experience 

    The rapid digital transformation has created high standards in the minds of online shoppers.

    Many online retail stores struggle to meet their expectations as they lack the skills to provide a seamless customer experience to buyers.

    Ultimately, resulting in poor customer loyalty and eCommerce sales. 


    The co-founder of Google, Larry Page, always believed in delivering more than expected which is the root of Google’s success. 

    Some proven methods to enhance customer experience are:

    • Building a user-centric platform 
    • Analyzing trends 
    • Offering personalized recommendations

    Is Your Website Having Poor User Experience?

    4: Low Visibility

    Low visibility acts as an obstacle to small and medium eCommerce enterprises.

    Not being able to market your eCommerce store on the internet will limit your business to reach potential clients. 


    eCommerce business owners must follow digital marketing best practices to enhance their visibility.

    It helps online retailers to promote their websites and generate more leads. These practices include: 

    5: No Room for Adaptability 

    Is your business keeping up with the latest industry trends?

    Are you able to adapt the latest features to offer unique customer interaction?

    In reality, most enterprises do not!

    The outmoded technological solutions are rigid. It hampers the ability of enterprises to meet dynamic industry demands. 


    To overcome this eCommerce business challenge, entrepreneurs must incorporate flexible technology. Agile solutions ease the process of incorporating internal and external changes quickly. 

    Want To Know More About Our Customized eCommerce Solutions?

    6: Absence of Omnichannel Strategy



    Source: https://sm4lg.com/

    According to statistics by v12data, a powerful omnichannel strategy can help online businesses to retain 83% of clients. Providing a unified shopping experience to buyers has many advantages:

    • It enhances brand image,
    • Builds Authenticity, and 
    • Increases customer satisfaction

    The inability to do so may put your business on a backseat in the eCommerce market.


    Omnichannel integration requires an advanced technological solution model.

    So, entrepreneurs must implement an effective omnichannel strategy by getting professional assistance. Building the best logistics and easy optimization can be beneficial. 

    An effective way to exceed customer expectations is: Integrating a one-step checkout facility, easy shipping, and refund process.

    7: Capitalization of Stored Data

    It is essential for eCommerce enterprises to manage KPIs and track data values across a myriad of channels.

    Integrating a setup that captures the stored data and helps to analyze the data will definitely improve eCommerce business management


    The eCommerce stores have now partnered with payment gateways and other platforms. So, the data should be synced at every customer touchpoint to form short-term and long-term strategies.

    An easy way of capitalizing the data is to use a POS system that tracks payments across all channels and helps in analysis.

    8: High Shopping Cart Abandonment Rate

    According to data collected by Baymard Institute, the eCommerce cart abandonment rate was recorded to be 69.99% in 2022. Eventually, eCommerce stores lose a lot of revenue. 

    Reasons of card abondonment and their distribution

    Source: https://www.drip.com/

    Customers may leave carts because of:

    • Hidden shipping costs.
    • Forceful account creation.
    • Payment security concerns, other reasons.

    Ultimately, it leads to stagnant business growth.


    Providing a one-step checkout process makes order placement easy. Highlighting shipping costs will help online shoppers to make quick decisions.

    Additionally, give your customers variable delivery options to reduce the cart abandonment rate.

    9: Attracting and Retaining Customers

    Is your eCommerce business attracting potential clients?

    Are you able to convert browsers into your customers?

    Generating valuable traffic and retaining buyers are crucial to building an eCommerce business. Yet, most business owners fail to target the right audience and keep them engaged. 


    attracting and retaining ecommerce customers

    Source: https://www.truppglobal.com/

    The simplest solution to attract potential clients is through good word of mouth. As highlighted by Jeff Bezos

    “If you do build a great experience, customers tell each other about that. Word of mouth is very powerful.” 

    Moreover, a business can increase its reach by: 

    • Optimizing the website according to relevant search terms.
    • Building a trendy mobile app.
    • Including FAQs, quizzes, and interactive games.

    10: Poor Customer Support

    We live in a century where human attention span and patience are gradually decreasing. As a result, offering sloppy customer service hampers business growth.

    Most online businesses are shifting to artificial chatbots to provide 24/7 service and amplify revenue. 


    Enabling an AI chatbot can help you to provide instant customer support.

    But not all customers like artificial intelligence support, so it is vital to: 

    • Offer a combination of artificial chatbot and person-oriented customer service
    • Get regular feedback on your service quality from the users.
    • Build a holistic approach towards assisting the client at every step touchpoint.

    Want To Integrate AI Chatbot In Your eCommerce Solution?

    11: Complex Payment and Refund Processes

    The most common eCommerce business problem is the complex checkout process.

    A long or hard payment and refund process may even force the client to leave in anger.

    It’s a hard truth that 28% of clients don’t place an order due to the time-consuming checkout process


    Being transparent in the process is the solution. It will make the buyers trust your website.

    Easy checkout and a flexible return policy will improve buyer satisfaction and amplify your sales. In other words, it will help you build authenticity and a good brand image.

    Bonus: Tips to Grow Your eCommerce Business

    Now that you know the major eCommerce business problems and their solutions, let us take a step ahead. 

    To empower your business strategy, here are some insights into the latest eCommerce trends that you should know: 

    1: Across Border Commerce

    What is cross border commerce

    Source: https://ecommerce-platforms.com/

    As the name suggests, the eCommerce industry is leading toward taking businesses worldwide.

    Small and medium eCommerce businesses must reach customers in all geographical areas. Only then they will be able to compete in the digital commerce market. 

    Accommodating diverse languages in digital platforms will allow budding enterprises to grow exponentially.

    2: New Innovative Technology

    Benefits of AR and VR in ecommerce

    Source: https://www.objectedge.com/


    It is no secret that Augmented Reality and Virtual Reality are the future of our digital world. These technological innovations will uncover a new era of endless possibilities. 

    They will enhance the online purchasing experience with visualization, personalization, and other features

    Thus, digital commerce owners need to adapt such features as they will transform how the eCommerce industry operates.

    Conclusion – eCommerce Business Problems

    Small and medium enterprise owners have to face several eCommerce business challenges. Entrepreneurs must overcome these challenges with the help of advanced eCommerce solutions. These solutions will help them to grow their businesses. 

    They must be far-sighted and incorporate the latest technology trends to stay ahead in the competitive market. If you are looking for the right partner to assist you in upgrading your eCommerce enterprise, then do not look any further. 

    Technocrats Horizons is a reputed name in eCommerce development solutions providers. Our team will help you with highly curated solutions and efficient assistance at every step of your journey.


    Do You Have A Project In Mind? Let's Discuss Now!!
    About The Author
    Mr. Vivek Bhatia is a skilled and seasoned sales professional and is currently positioned as the sales head of Technocrats Horizons Compusoft Pvt. Ltd. He is responsible for leading the sales team to success and driving growth for the organization. Mr. Vivek brings a wealth of strategic thinking, business acumen, and sales boosting skills to the table, inspiring his team to reach new heights and innovate in their approach to sales. He is committed to delivering exceptional sales metrics that make a measurable impact.

    Related Blogs

    November 23, 2022 eCommerce Development

    Latest eCommerce Technology Trends in 2023 Your Site MUST Adopt!

    Why eCommerce Technology Trends Are Important? Why is following eCommerce technology trends so important? The answer is fairly simple. Online retailers must keep up with developments in their sector if they want to remain competitive and enhancing the customer experience is a key component of this. How well your internet business serves its clients will ultimately determine its level of success. What... Read More
    February 24, 2022 eCommerce Development

    The Game-Changing Benefits of Having an eCommerce Website to Sell Products Online

    Why you should choose eCommerce over traditional commerce? Over the past decade, eCommerce has revolutionized traditional commerce by changing how companies sell and how customers shop. With online shopping gaining popularity, it's critical that you think about the advantages of eCommerce over traditional commerce. eCommerce has transformed the retail sector, giving businesses the chance to expand... Read More
    December 20, 2022 eCommerce Development

    What is eCommerce Experience and Why Does It Matter?

    What is Customer Experience? Image source: https://www.drift.com/ Customers judge a company's worth based on their encounters with it, whether those interactions take place in-person, online, or over the phone. In eCommerce, a company's ability to engage with and communicate with its customers has an impact on how they will behave going forward. The term "customer experience" refers to a wide... Read More
    Product Brochure Mockup