The domestic e-commerce market has shown remarkable expansion – e-retailers can expect an annual growth rate of 20%. This alluring profitability has attracted many retail giants, such as Tesco, who otherwise do not focus on e-sales as a main profit driver.
First Steps are Simple (and Inexpensive, Too)
Currently, there are at least 6,800 online stores operating in Hungary, and this number increases every year. Thanks to several ready-made, out-of-the-box solutions for retailers, launching an online store is quite easy to do.. Applications like Shopify, Shoprenter, UNAS, and Woo-Commercebring webshop creation within an arm’s reach to the layman. These compact systems offer enough functionality to most market players and can fulfill their purpose for years.
Ready-made solutions have many features that attract retailers -, of these, cost-efficiency seems to be predominant. By subscribing to an out-of-the-box solution, an e-retailer receives a fully-operational system while paying a fraction of the price for end-to-end webshop development. With ready-made solutions, e-retailers simply upload their products and launch their sales straight away.
Bigger Online Stores Require Custom Development
The annual revenue of the domestic e-commerce market exceeded 1000 billion HUF in 2018. To you, this may seem to be a large figure – and indeed, it is. It should also be highlighted that 30-35% of that revenue was collected by the top ten largest domestic online stores Each top ten store was custom developed, with no exceptions.
An out-of-the-box online store might be enough to enter the e-commerce market or even become a leader in a niche market. To earn extraordinary revenues, however, you need custom development.
Why the Top Dogs Use Custom Development
Above a certain size and revenue, the simple operations allowed by out-of-the-box solutions become a limitation. In turn, retailers are compelled to adapt to the existing system and adjust to it with their operation. No matter how customized these boxed-webstores can be made, the processes running in the background follow the same – otherwise reconsidered – schemes which work on average, yet, these cannot be fully individual ones.
Just to come up with a vivid example, we buy a ready-made suit which happens to fit us with some luck, following some accidental adjustments. However, it will never fit us as much as if it had been custom-made by a tailor. Well, it can turn out to be even more unpleasant in case of e-commerce. Following the previous example, after a while, we might be forced to shorten our legs instead of the trousers!
Individual development does not necessarily mean building a webstore from scratch. Applying a specific webshop engine you can also customize it for the use of ready modules, microservices and their integration, saving time and costs this way.
Who needs custom developed webstores?
We offer it to those clients who are looking for a solution for considerate sales processes because they would not like to make a compromise in their operation just to fit into the functionality of the box-based system.
This is a huge technological leap, in many cases even bigger than shifting from physical sales into online. It only makes sense if the client can define his sales process accurately and is aware of the areas that need improvement.
Which could be these?
- integration with external systems
- client segmentation
Although some of these are also available in rented webstores, the individual development can take to a further stage both in terms of implementation speed and in quality. If you really want to make it, a box-based webstore can be put together with a boxed-newsletter and possibly an inventory manager, however, practice says that these solutions are not viable in the long turn.
Whoever has tried it, is absolutely aware of the problem, or who is just reading this article in agony, searching for a solution which is delivered by custom development.
Custom development – unlimited opportunities
The main advantage of the custom webstores lies in their versatility and complexity, as such kind of system does not only provide the direct sales interface. It offers unlimited opportunities for integration with corporate ERP systems, inventory planning, sales and loyalty campaigns. All these mean an indirect and competitive advantage in such market segment which keeps rising dynamically, however, not exactly in the same way as we used to see it before.
By now 91% of the adult Hungarian internet users already purchase online. So, if a webstore intends to boost its turnover, it can be achieved not by gaining new customers but by increasing the cart value and the frequency of the purchases.