Thinking about upgrading, implementing, or enhancing your ecommerce platform?  A survey at last year’s internet retailer conference revealed the following top frustrations:

1.    Not sure what we really need
2.    Too many vendor options and not clear on how to evaluate them
3.    Not sure how much it should cost or what is affordable for me.

Translation: the market is confusing.

Let me try to add clarity to expectations.  If you picked up the Internet Retailer Guide to Ecommerce Technology, then you would having the following cost considerations for your ecommerce platform (based on FitforCommerce survey):
•    On average, a new ecommerce platform costs $50,00-$100,000 minimum.
•    Mid-sized e-retailers need to spend $150,000-300,000 to re-platform, especially if the project calls for a lot of integrations.
•    The top 200 retailers ($50 million+) might spend over $500,000 if they want a total custom solution with maximum flexibility.

Given these expectations and more than 30 pages of ecommerce platform vendors, I can understand the frustration.  However, I want to propose that market confusion is due to more than just a quantity of selection.   You have to factor in the rapid speed of innovation at all levels of the cost spectrum…and open source.

Open source ecommerce software like Magento is game-changing.  Just reread the cost ranges above and contemplate what it would have cost even 2 years ago to compete with your own sophisticated online store: $50k buy-in, minimum.  Now the cost is 70-80% less using Magento and customizing it to your business.

Drop us a note today here at Elias if you are interested in learning more.

Thinking about using email to market your new online store (using Magento’s eCommerce platform, of course). Here is your random stat for the week thanks to The Retail Email Blog:

The most popular day to send retail emails last week was Tuesday.

The economy is tight, which means less dollars are funneled into your online marketing budget. What do you do – toss in the towel? No! Check out how one marketing director for a plastic surgeon coped with a shrinking budget by getting creative in this Marketing Sherpa case study.

“But what does plastic surgery have to do with online stores and Magento eCommerce?” you might ask. I’ll spare the obvious analogy of how we are “web” surgeons and instead tweak 7 of the case study’s practical tips to help you make the most of your marketing spend:

Tip 1: Familiarize patients with available treatments

Cross promote other products throughout the shopping experience. The shopping cart, check-out, and even transactional email confirmation of purchase are great real estate to introducing site visitors to other offerings.

Tip 2: Test before you spend

Try testing a new marketing offer on a small sample of your customers before rolling it out across your whole site. Doing so will allow you to gauge the effectiveness of your strategy and fine-tune the offer before spending money on a keywords campaign or ad buys.

Tip 3: Create a comforting experience

Make your website experience as comfortable as possible. This includes quality and quantity of images, easy navigation, and maybe even video.

Tip 4: Encourage word of mouth

Request referrals. Period. As simple as this may sound, simply asking a customer to send more business your way might just be crazy enough to work. And what does it really cost you?

Tip 5: Reach out with direct (e)mail

When you have a limited budget, you need to get the most juice for the squeeze. Email has consistently delivered strong ROI for its cost ($45.65 for every dollar spent in 2008 according to the Direct Marketing Association). This kills the other marketing channels I can think of off of the top of my head.

Tip 6: Don’t discount prices

Yes, offering a discount is the quick and dirty way to get someone to buy; but then you erode your brand and have to sell more to make up margins. Instead, consider handing out a gift card to paying customers. Engage your high-value customers with a gift to get them back in your store again (and then refer to Tip 1!)

Tip 7: Outsource online marketing

The marketer for the surgeon in our case study uses an agency to handle search marketing, video posts, and other online marketing. Elias Interactive can help you craft a marketing strategy to incorporate into your Magneto eCommerce platform. Just fill out the forms below to request more information.

Now can somebody hand me a scalpel, please?