Technology is changing its face drastically, and e-commerce, being the most advanced sector, is experiencing a high level of enhancement. Consumers are purchasing things with the touch of a button and are getting their products as fast as possible. But this is not enough!
Consumer expectations are increasing with cultural enhancement and technological innovations; they are willing to acquire the product instantly whenever they require it. Thus, merchants and retailers are considering creative methods to shorten delivery times in order to boost their revenue and conversion rates.
What Are Drones?
Drones are referred to as unmanned aerial vehicles (UAVs) or unmanned aircraft systems. A drone is essentially a flying robot that can be remotely controlled or fly on its own using flight plans that are controlled by software, onboard sensors and a global positioning system (GPS).
UAVs were frequently linked to the military. They were first employed as platforms for weaponry, which was more contentious; anti-aircraft target practice; and information collection. Today, drones are employed in a variety of civilian capacities, such as search and rescue, surveillance, firefighting, monitoring traffic, tracking weather, photography, videography, agriculture, delivery, and others.
Drones in E-commerce
Drones for delivery can propel the e-commerce sector to new heights. The use of delivery drones can not only help businesses save time and money on the last mile but can also satisfy the urgent demands of their clients. Thus, retailers are considering using drones to shorten delivery times in order to boost their revenue and conversion rates.
The market for delivery drones is expanding as a result of rising demand for quicker deliveries, drone technology breakthroughs, and the growing desire to cut carbon emissions. They are becoming more and more prevalent in contemporary logistical operations than the traditional delivery routes. Thus, by 2028, the market for delivery drones is anticipated to reach a value of $1.29 billion, growing at a CAGR of 40% from 2021 to 2028.
Stakeholders of the Drone Delivery Ecosystem
National Aviation Administration (primary stakeholder for any aircraft traffic management operation)
International Civil Aviation Organization
The company that owns drones
Drone pilots (who fly drones)
The ground support team (manages drone launch pads and the loading and unloading of packages)
System for registering UAS (including capabilities for registration, operator and pilot information)
Aerial vehicle traffic control (UAS and operator identification; UAS traffic flow management; airspace management; flight operation management; metrological, spatial, and obstacle info management, etc.)
Businesses that produce drones (UAV/drone makers)
Technology companies that offer a range of services, including mission planning and altitude permission, drone flight planning, and real-time drone flying)
Early Adoption by Retail and Logistics Industries
Drone technology is a tool that the retail and logistics sectors use to build innovative and scalable delivery strategies. Drone delivery services have already been made available on the platforms of major industry players like Amazon, UPS, DHL, Walmart, and others. Specialized drone delivery companies and technology suppliers like Wing, Zipline, and Matternet also help the sector.
The Benefits of Drones in E-commerce
Improves customer experience
With faster and hassle-free delivery, drones would elevate customer service to a whole new level. Since merchants would own and manage the drones, there would be no need to rely on outside carriers to deliver goods. Customers will receive their purchases at their doorsteps more quickly as a result, which will enhance the customer experience.
Reduces carbon footprint
The traditional delivery system involves the transportation of goods from the warehouse to the consumer, which not only requires a lot of time but also the consumption of fossil fuels, causing an increase in pollution, traffic and unnecessary hassle. With drone delivery in use, the use of fuel for delivering items will be reduced.
Enhances the supply chain
An enhancement and up-gradation will be required in supply chain procedures if drones start making deliveries. In most situations, drones will take the role of carriers, necessitating the development of new systems to match items with drones and load goods onto the aircraft before they take off for various consumer locations. To operate these drones in accordance with aviation regulations and the company’s service standards, personnel will need to be educated.
Caters delivery challenge
There are many places where delivery of products is not possible by traditional methods due to challenging conditions or lack of road facilities. Drones make it simpler to get through these areas, whether it’s tough terrain like hills, mountains, or rainforests.
Drone delivery has many other applications and will continue to expand in the years to come. To fully achieve this potential, businesses will need to continue to engage in drone delivery initiatives and technological advancements. Laws are constantly changing due to their widespread. So, drone pilots and companies must review the rules of their nation and the area in which they are using the equipment.
How Can ANS Commerce Help?
ANS Commerce is a full-stack e-commerce enabler that provides highly curated services to brands to extend their reach and enhance their sales. We believe that it is just hard for businesses to connect due to a lack of resources on the technological, product, and operational fronts. Thus, we provide in-depth assistance with brandstore, performance marketing, marketplace management, and warehouse and fulfilment. Our curated services are highly customized to help you acquire the kind of assistance you are looking for and get commercial benefits without any hassle. Request your DEMO now.
Technological innovations have brought great variation in the shopping experience of people. From offline to online, further different browsing options at various sites have made it easy for people to make purchases just by sitting at their place. However, the sensory experience was still a big challenge, which made replace and return more prominent.
Well, with Augmented Reality in the queue, things are no longer the same. With this technological advent, people can actually sense their products. It allows customers to experience the services or preview their items and acquire in-depth and comprehensive information about their items of choice—from the comfort of their homes.
According to the report, the augmented reality industry is expanding and is worth $30.7 billion, with roughly 810 million active smartphone users.
What is Augmented Reality?
AR (Augmented Reality) is a technology that overlays a computer-generated image over the user’s real-world perspective to give them a more accurate representation of reality. This entails incorporating digital data (sounds, pictures, and text) into the user’s current surroundings.
The idea is to blend the virtual and real worlds and offer the user a sense of seamless integration. These virtual assets might be in the form of 2D or 3D images, music, films, and so on.
“I do think that a significant portion of the population of developed countries, and eventually all countries, will have AR experiences every day, almost like eating three meals a day. It will become that much a part of you.”
— Tim Cook
Virtual Reality and Augmented Reality: What Is the Difference?
Augmented reality and virtual reality are two concepts that are sometimes used interchangeably since they have many similarities but also some variances. Virtual reality (or VR) requires the user to wear a headset with earbuds that totally replaces the actual environment with the virtual world. Virtual reality aims to remove the user from the current world as much as possible.
Quick Tip: Although virtual reality has business uses in product creation, teaching, architecture, and retail, the bulk of VR applications are now centred on leisure, particularly gaming.
Augmented reality, on the other hand, combines the virtual and real worlds. Most apps use the screen of a smartphone or tablet to do this, with users directing the phone’s camera towards an area of interest and the screen displaying a live video of that scene. The display is then filled with helpful data, such as servicing instructions, navigation data, or diagnostic data.
Quick Tip: AR is more commonly used in entertainment applications, but now it is also being used for providing expert assistance, transforming shopping experiences and predictive maintenance.
Augmented Reality in E-commerce
AR has piqued the curiosity of investors, businesses, and the general public in recent years, particularly when Mark Zuckerberg purchased Oculus. Many web companies, such as Sony, Samsung, and Google, are now investing heavily in augmented reality.
E-commerce is expected to take a huge leap with this technology as augmented reality can bridge the gap between conventional brick-and-mortar retailers and current e-commerce companies. Customers may see the product as they would see it in person using augmented reality. It’s a breakthrough that gives online shopping a more genuine feel while also increasing e-commerce sales by enhancing the shopping experience.
This [Retail] is a sector where AR is revolutionising the way we shop by bridging the gap between digital and physical worlds. A radical store re-invention will offer retailers new ways to increase convenience and personalisation, and consumers the opportunity to experience re-envisioned shops.
The Benefits of Augmented Reality
Here’s why augmented reality is more important—and how they’re already helping early adopters.
AR allows customers to see how items appear on them. They show what sizes might fit them, or illustrate the real size of a product in their area, as well as other features that address the issues with online shopping. Instead of seeing mannequins wearing the items in an online store, buyers can view themselves in all of the ensembles to evaluate which ones would look best on them.
Reduced Return Rate
AR offers consumers the unique option to test before they purchase since it provides an immersive experience with 3D visualizations, virtual try-on, and product demos. As a result, augmented reality technology aids in the battle against high return rates by allowing customers to make an informed purchase, resulting in a decrease in return rates.
Improved Customer Satisfaction
AR’s immersive experience allows e-commerce firms to not only interact with new customers but also to create a long-term and trusted relationship with them. This technology helps boost consumer interaction with e-commerce firms, leading to increased sales.
High Conversion Rate
It is one of the most notable advantages of augmented reality in e-commerce. If users have a clearer picture of the product they are going to buy, they are more likely to convert. Augmented reality in e-commerce allows store owners to provide a more immersive and engaging product experience, which leads to higher conversion rates.
Those who browse sites that use augmented reality (AR) technology are more likely to make a purchase. So, bring it to your store and leave the rest to us.
Role of ANS Commerce
At ANS Commerce, we assist businesses in enhancing their brand’s position through higher sales. We assist organisations in focusing on their core competencies while also delivering other services such as performance marketing, marketplace management, warehousing, and fulfilment. We give e-commerce consultancy for the brandstore through technology interventions so that they are aware of the present gap and may use the best industrial practise to optimise the funnel.
We also assist businesses with our core product, Kartify, which provides the foundation for establishing an online presence without any hassle. You can request a DEMO now.
Cryptocurrency, also known as “virtual currency” is drastically making its way into the market. There are lots of investments taking place every day showing people’s interest in cryptocurrency worldwide. According to a report, the worldwide cryptocurrency industry is expected to increase at a CAGR of 12.8 percent, from $1.49 billion in 2020 to $4.94 billion in 2030.
“The Blockchain Technology could change our world more than people imagine”
– Jack Ma, Co-founder of Alibaba
With all of the hoopla around cryptocurrencies and blockchain, it has become essential to understand what cryptocurrencies are and how they can be utilised for online transactions.
What is Cryptocurrency?
Cryptocurrency is a digital currency that works by encrypting data. It is not regulated by the government or any bank, instead, it employs a decentralized system to log and verify transactions. You can also say that all the transactions are handled peer-to-peer.
Every transaction is validated by network users, and in most cases, such transactions become public records to prevent the same user from spending the currency several times. Understanding that each coin is unique and that certain currencies offer greater safety and privacy than others is crucial to adopting cryptocurrency.
Top Cryptocurrencies in Use
Bitcoin is the original cryptocurrency developed by Satoshi Nakamoto. Through a digital transaction system, Nakamoto sought to decentralise the financial industry and return authority to the people.
“Every informed person needs to know about Bitcoin because it might be one of the world’s most important developments.”
– Leon Luow
Ethereum is a currency that was established as a result of the development of bitcoin, however, it is more energy-efficient. Vitalik Buterin, the project’s inventor, intended to create a platform that would completely revolutionise the internet.
Dogecoin was started as a joke, a Doge meme by software programmers Billy Markus and Jackson Palmer. However, with time it has grown from a humorous take on cryptocurrency to a viable investment option, beyond its creators’ expectations.
XRP, commonly known as Ripple, was created to let users transmit money digitally without the high transaction costs and conversion periods associated with bitcoin. It is a decentralized digital asset that is operated by a network of peer-to-peer computers.
How can Cryptocurrency be Used in E-Commerce?
E-commerce and cryptocurrencies complement each other well, according to the technologically informed customer. With the growing demand for digital payments among internet customers, it is an alternative method for individuals searching for a quick and easy method to pay for products and services.
There is no need to travel to a bank, withdraw money, or even input credit card information before completing payment at checkout when using bitcoin. Digital payments are being driven by the same need that has fueled online shopping, and if done correctly, might be a terrific complement to your present offerings.
Benefits of Cryptocurrency in an E-commerce Industry
Large Market Base
The number of people who own and utilise cryptocurrencies is steadily increasing throughout the world. Allowing consumers to pay using their crypto wallet on your site might broaden your target demographic and attract new client traffic. Early acceptance of crypto payments may provide you with an advantage over your competition and allow you to win the loyalty of this customer base before your competitors.
Quick Transactional Service
Unlike credit card systems, which take a few days to batch out and process, Bitcoin is handled instantly, allowing you to access payments much faster. Fast transactions can help your company’s cash flow run more smoothly.
Low Transactional Charge
Blockchain transactions are significantly less expensive than regular e-commerce transactions. When brands use Razorpay or Paypal to handle transactions, they pay an average of 3-5 percent per transaction, compared to roughly 1% for bitcoin transactions. The costs will vary depending on whether you accept cryptocurrencies into your personal wallet or through a third-party source like Coinbase, but they will almost certainly be cheaper than those charged by PayPal or credit card companies.
Anonymous Transactional Ease
By employing encrypted wallet addresses, cryptocurrency enables anonymous purchases – it’s essentially the same as using unmarked cash. This lets your consumers purchase things without revealing their personal information, and it allows you to conduct business without fear of violating any privacy laws.
Unless you have the merchant’s permission, it’s tough to reverse a bitcoin transaction once it’s been completed. This gives shops additional protection against E-commerce fraud since there is no middleman, such as a bank, who may remove cash from your account without your permission.
Stores Accepting Cryptocurrency
A number of well-known companies, markets, and payment processors have already begun to accept Cryptocurrency as payment.
eGifter- eGifter, a prominent participant in the field of gift card exchanges, was one of the first to take bitcoin in 2014. The company’s leadership has long believed in bitcoin’s ability to revolutionise payments. It is expanding its digital currency payment options by adding dogecoin and litecoin to the mix.
Overstock- Overstock was the first big online retailer to adopt bitcoin in early 2014 by taking crypto payments in the United States.
PayPal- In March 2021, PayPal introduced “Checkout with Crypto,” a tool that lets PayPal’s US clients pay online businesses with their cryptocurrency. All cryptocurrencies may be held in the PayPal digital wallet and converted to fiat cash with no additional transaction fees at checkout.
Expedia- Expedia has begun accepting payments for over 700,000 hotels and lodgings using (more than 30) cryptocurrencies, thanks to a collaboration with crypto-friendly travel booking site Travala.
eBay- eBay revealed earlier this year that they are considering adopting cryptocurrencies as a means of payment in the future.
Many E-commerce stores have also started accepting Cryptocurriencies as payments such as Shopify, WooCommerce, BigCommerce and Magento.
How to Accept Cryptocurrencies in E-commerce Store?
Accepting cryptocurrencies in your eCommerce business can be done in two ways:
Personal wallet- You’ll need a virtual wallet if you want to accept cryptocurrencies through your personal wallet. You can purchase a hardware wallet or download most wallets fast to your phone or PC. A hardware wallet is a physical safe that keeps bitcoin on a specific hard drive within the device. It’s actually the only safe hardware device for storing a user’s private key.
Third-party payment processor- Third-party payment processors like Coinbase or BitPay, manage the full payment process, much like credit card payment processors.
One advantage of using a third-party payment processor rather than a personal wallet is that they may convert cryptocurrencies into cash instantaneously, avoiding price fluctuations.
Role of ANS Commerce
We are a full-stack brand E-commerce enabler that helps businesses with curated solutions like brandstore, performance marketing, marketplace management and fulfillment. We provide high-level customized service to our clients and customers and help them dominate the industry with seamless integrations. Our experts skilled in taking care of all your demand will work professionally as your extended team and will help you increase your ROI with zero hassle.
NFTs or you can say the Non-fungible tokens are changing the functioning of the digital world at a very high pace. According to Statista, the sales volume of NFTs is increasing progressively in different segments worldwide. Its high capabilities and benefits have made every company curious and e-commerce being the most blooming is stated to have a big impact in near future.
Want to know how? First, you must understand what NFTs are.
What are NFTs?
NFTs are Non-fungible Tokens. The term “non-fungible” refers to an item that cannot be exchanged for another of equivalent worth. For example, a $20 bill can be traded for two $10 bills, or one bar of gold can be exchanged for another bar of the same size, which are some instances of fungible items. Whereas NFT is one-of-a-kind, that is a non-replaceable digital item. However they can be copies, like the painting of Monet can be copied, but the original remains the same.
Any digital item, from images and graphics to films and music, can become an NFT with the sole ownership rights. When you purchase an NFT, you are purchasing a token rather than the actual asset. Your purchase includes the rights to the item or information within it, as well as a publicly verifiable certificate of ownership on the blockchain.
Why should E-commerce integrate NFTs?
Corporations, trade groups, sports teams, and venture investors are all showing an excessive amount of interest in NFTs. As e-commerce is a highly promising sector merchants are also ready to come up with more strategies for integrating NFTs in e-commerce. Designing multi-sensory items, upselling value-added packages, and delivering the instant pleasure of a virtual equivalent of a real purchase via NFT can ensure a company’s long-term viability.
“When a business utilizes resources wisely, it becomes better able to widen the margins between revenues and expenses.”
― Hendrith Vanlon Smith Jr
Advantages of NFTs in E-commerce
Several e-commerce businesses are willing to build NFT integration solutions keeping in mind the advantages it provides. Let’s see a few –
As it functions in a centralised environment, it removes the participation of third parties and large commission distribution.
It provides excellent revenue generation possibilities for various business models
You get a permanent record of ownership and transactions in the public domain
As the system is programmable, creators could earn new forms of royalties
The digital economy can be reshaped and expanded to different segments of the market
The brands can trace the provenance of fine products
Instant ownership of gaming, sport and art can be attained
A more transparent economic ecosystem can be created
An easy possession and transfer of augmented reality can be seen
Examples of NFTs
Many digital areas have reaped the benefits of the exceptional adaptability of NFTs. Let’s explore a few newsworthy NFTs to completely comprehend this new form of the digital product.
Beeple’s “First 5000 Days,” marked the most remarkable NFT sale of $69.3 million at Christie’s
CryptoKitties, a breedable collection of lovely digital kitties, generated approximately $7 million in just 24 hours in September 2021
However, not all NFTs produce millions. E-commerce NFTs with less spectacular examples are also noteworthy.
Fred Segal’s Los Angeles-based shop, Artcade offers a dynamic retail experience with an NFT gallery for physical and digital products for sale
Royal, founded by 3LAU, a music producer and Justin Blau, a DJ, is an NFT platform for artists to collaborate with their fans so that they can co-create and co-own music. Fans can sell music rights and receive royalties using NFTs
RTFKT, recently acquired by Nike, sells cryptocurrency in the form of NFT-based shoes. They were able to sell 600 pairs/NFTs in less than six minutes, netting $3.1 million
Shopify allows its merchants to mine and sells NFTs directly on the platform. The function was first used by the Chicago Bulls in July 2021
Neuno, an Australian startup, has created a platform that allows consumers to purchase NFTs using credit cards
Potential of NFTs in E-commerce
NFTs have the potential to boost online commerce, which is predicted to dramatically develop in the coming years.
Pre-launching – NFT Tokens can be used to pre-launch physical things generating publicity and excitement before the launch of a new product, allowing you to build a loyal following of early adopters.
Branding – Integrating NFTs with real-world items can help brands appeal to both early adopters and traditional clients. For example, Nike’s NFT-based sneakers provide buyers additional opportunities to interact with digital purchases.
Trailing – The NFT technology can speed digital sales and provide lifetime product data tracking, previously unavailable in e-commerce.
Value Adding – Hybridised product variety of NFTs and physical objects in E-commerce businesses, can bridge the experiential gap due to the time taken in delivery.
Authentic Verification – Due to blockchain-based verification methods, clothing that uses NFTs for both personal signature and deed of ownership will have a higher perceived value.
Loyalty Program – Supplying NFT-based collectables to the customers can add value to the loyalty programme as it can allow consumers to use their hard-earned points in several ways.
ANS Commerce & its Services
Businesses need to maintain their identity and direct relationship with the customers, especially when the new models are emerging now and then. We at ANS Commerce provide end-to-end service to the businesses for performance marketing, marketplace management and warehousing & filfillment so that you can maximise your reach without undergoing any hassle. You can effectively work on your core services and different business models while we take the responsibility for enhancing the visibility of your business online. So, request your DEMO now!
The digital transformation has paved new ways for E-commerce businesses to boost sales with Social media platforms. With a genuine feeling of community and connection, it has integrated purchasing and selling opportunities to help executives generate revenue.
“Communication is at the heart of e-commerce and community”
– Meg Whitman, Hewlett-Packard CEO
What better way to communicate with your customers than Social media platforms? All you need to do is understand what Social Commerce is and how your business can get benefitted?
What is Social Commerce?
The purchasing and selling of products or services directly within a social media platform is known as social commerce. It includes everything from product discovery to the checkout process- your entire shopping experience.
According to The State of Social Media Investment Report, 77% of customers are likely to pick a business that has a great social media experience. Furthermore, executives largely believe that social commerce is driving a growing share of their company’s marketing-driven income. So, don’t let your company get left behind in the next digital transformation wave.
What distinguishes Social Commerce from E-commerce?
An online purchasing experience is referred to as e-commerce. However, social commerce allows customers to make purchases while interacting on social media. To create your sales prospect list, social selling entails establishing relationships on social media.
Today, mobile devices account for more than half of all the internet traffic and the researches show that mobile users leave carts at a considerably greater rate than desktop users. So, streamlining your checkout experience is critical as shoppers shift to tiny screens for routine transactions.
This is where the concept of social trade enters the picture. It eliminates the potential for abandoned transactions by eliminating drop-off places.
Importance of Social Commerce
Many people are unsure if social e-commerce would benefit their company. In fact, from growing revenue to improving customer interaction and website traffic, it offers a myriad of business advantages for your company. Let’s discuss a few-
Makes Purchase Frictionless
The customer journey is made easier by social media stores, which reduces friction in the process from discovery to purchase. Look at it, click on it and buy it.
At the end of the day, every mouse click is an opportunity for potential consumer to alter their mind. If consumers have to click from your ad to your website, add the product to their basket, and then enter their payment card information, that’s a lot of time for them to lose interest.
Remove the processes that aren’t essential and bring shopping to them.
Offers Shopping along with Socialization
Unlike a conventional e-commerce binge, shopping on social media is a far more participatory affair. Consumers can simply consult with their friends before making purchases; flaunt their new high-tops, drop comments, read remarks and get engaged with other consumers as well.
Social commerce is the next best thing for people who miss the social side of a day at the mall.
Refines Target Audience
With so much client data available on social media, you have a fantastic chance to fine-tune and focus your advertising. In a manner that traditional e-commerce and marketing cannot, social commerce allows you to bring particular, ready-to-buy items in front of the exact individuals who would adore them.
Your exquisite furniture can be promoted directly to the ones who are in search of them. Cool young parents may blast adorable baby-sized clothes straight to their feeds.
Boosts Reviews and Recommendations
If your company is new to selling online, your social media profiles are a great way to start building that all-important social proof. Your customers won’t be able to test or try on your merchandise if they shop online. Reviews can help you make an informed buying decision.
Using social media to manage your end-to-end customer experience provides a positive feedback loop that affects your bottom line, as it draws new followers into your funnel.
Enhances Authentic Engagement
One of the most important advantages of social commerce is increased engagement. People are encouraged to connect with businesses through two-way dialogue through social commerce. This not only allows consumers to interact with your company but also allows them to utilise social media as an effective customer care channel where problems may be resolved.
People that interact with a firm regularly are more inclined to suggest it.
Social Commerce Platforms
Facebook and Instagram are the two major platforms that have incorporated social commerce capabilities so far. Pinterest is also participating well, leading consumers to product-specific pages, while both Youtube and TikTok are experimenting with “shop now” buttons. Twitter is also experimenting with a new card style that includes a big “Shop” button.
Try exploring these platforms, if you want to stay ahead of the game.
Facebook’s social commerce offers a very low entrance barrier. Shops are completely free to create and are hosted on your Facebook business profile. To encourage organic brand discovery, the Facebook Shop tab on the platform’s mobile app displays goods based on user preferences.
You can immediately sync your whole inventory list in seconds if your e-commerce solution is enabled as a partner platform. If not, a spreadsheet can be used to upload product information.
Instagram Shopping is linked straight to your Facebook Shop. Users must link their Instagram business account to their Facebook business profile to create a shop. Users can then upload an existing product catalogue or build a new one after that.
Because of its visual character, Instagram provides additional opportunities for innovative social commerce marketing. Shoppable posts and Stories that link straight to in-app product pages can help brands generate attention. Purchases are made within the app or on your website, just like on Facebook.
How ANS Commerce can help?
We are a group of learned professionals with extensive expertise in a wide range of sectors. We understand the sort of help you need when you’re new to social media sites. Whether it’s to raise brand awareness, enhance return on investment, or retarget people based on their preferences. We look after the requirement of every brand to encourage purchases.
Performance Marketing, Marketplace Management, Warehouse & Fulfillment, and e-commerce consulting are some of the services we offer to assist you to ease your marketing burden. So, request a DEMO and start improving your online presence right now!
The new year is celebrated on January 1st, but solely for the purpose of setting resolutions or renewing previous vows. For the Indian government, many enterprises, investors, and taxpayers, the financial year begins on April 1st.
What is a Financial Year?
A financial year, also known as the Fiscal year is a 12-month period used by the government, corporation or organization to compute how much money is generated, spent, and so on. It is basically the period in which income is earned.
In India, the financial year runs from April 1 to March 31. The year from April 1, 2022, to March 31, 2023, is commonly referred to as FY 2022-23, or may alternatively be referred to as FY 2023 depending on the ending year.
On the 31st of March of each Indian financial year, companies learn about their financial health.
Note- The colonial British administration established the present fiscal year in 1867 to match India’s financial year with that of the British Empire. Other colonies like Hong Kong and Canada also follow the same.
Why did the Indian Government maintain British Authority after Independence?
There are several reasons why the Indian government maintained British authority after independence. Some of them are:
Because the start of the fiscal year coincided with the Hindu new year, known as Vaishakha, the government chose to keep the date the same.
Because most crops are harvested in February and March, the financial year was not modified in order to receive an accurate estimate of revenue from the agricultural sector.
The end of the year i.e., November and December are the seasons of the festival, and merchants and retailers are active with their sales at this time. As a result, they are unable to do accounting and file tax returns at the same time.
Why should you be concerned?
As a company, you can make new financial resolutions on January 1 and start investing right away, but the taxation on your investments will follow the April-March cycle. Your tax returns are filed for every financial year from April to March. The deadline for making tax-saving investments under Section 80C, such as PPF, ELSS, etc., falls on March 31. All tax-related changes announced in the Budget of any year are applicable for income earned from April 1 of the following year.
So, you need to remain on the edge!
Requirement ofFinancial Year
In terms of your financial model, you must meet specific conditions. Following are the requirements:
The length of your FY cannot exceed 371 days (53 weeks)
Form T1139 is used by sole proprietorships and most partnerships to change their fiscal year
Corporate fiscal periods are more difficult to amend in most situations, requiring them to file a letter seeking the adjustment to the relevant tax services office
As long as the chosen year fits the 371-day criteria, new firms can choose any tax year-end as long as it is their first tax year
Within 53 weeks after formation, new firms must pick a tax year-end
Consult a specialist before deciding on a fiscal term for your company due to the legal and financial implications.
Importance of Financial Year
The money earned in one accounting year (referred to as the preceding year) is taxed in the next accounting year (called assessment year) which most firms and commercial organizations follow for many reasons such as –
It is the time period during which the company assesses its revenue and expenditure
It is the time when the company puts forth its financial and economic objectives, as well as the methods to achieve them
It is the time when the company draws a financial statement to determine your business financial position over a specific period of time
It is the time when you can promote regularity and facilitate data comparability to study the virtues and faults
You can lead more investment by presenting the company’s income stream to the investors and assisting them to realize the worth of your firm
How can you Track your Financial Performance?
Evaluating essential financial records in order to acquire a better understanding of how the organization is operating economically is known as financial statement analysis. While there are many various forms of financial documents that may be examined as part of the financial year process, the following are some of the most significant, particularly for managers:
Balance sheet: It is a financial statement that shows a company’s assets, liabilities, and equity at a certain point in time.
Income statement: It describes a company’s sales, costs, and profits over a period of time.
Cash Flow Statement: A statement that shows how actions from the balance sheet and income statement affect cash flow. It is divided into three categories: operating, investing, and financing.
Annual Report: A document that discusses a firm’s activities and financial situations. It often includes the papers stated above, as well as extra insights and narratives from important corporate officials.
Taking the right financial decision is a must to run a smooth business and grow successively. So, you must not let external stress hamper your internal work. We, at ANS Commerce, know how difficult it is to manage production along with sales. Therefore, we help companies make smart investments to broaden the range of services and diversify sales. Whether it is performance marketing or marketplace management or simple warehousing and fulfilment, we take care of all the hard work for the companies so they can smoothly carry out internal functions.
One of the major festivals of India, Holi is celebrated every year with the onset of spring to commemorate the triumph of good over evil. It is celebrated with full enthusiasm in various regions where people of any religion, creed, and caste greet each other and share their love with sweets (Gujiya). With great joy, people smear colors on each other, spray colorful water, and toss color-dipped water balloons.
It is the Happiest (H) Occasion (O) of Love (L) and Interaction (I) that not only brings the pleasure of natural colors to life but also some important lessons that can help you manage business better with the commencement of the new financial year.
Burn Old Attitude
Holi is a two-day festival, Holika-Dahan and Dhulhandi. On Holika-Dahan, people assemble around bonfires to commemorate the way Holika sat on fire with the mindset to deceive her nephew and didn’t give any second thought to her decision. Her unidirectional and self-centered step took her own life marking the defeat of evil.
Holika-Dahan is about letting go of outdated mindsets that have been ingrained in us for a long time. It is important to give a new angle to your business, talk about the changes that you can bring to enhance the culture and environment of your place so that you can take your business to the next level.
The festival of Holi brings all the shades of Gulaal together to celebrate the arrival of spring, hence fertility. Smearing and splashing all sorts of colors on each other is something that makes this festival more special. Holi won’t be the same if it would have been monotonous or a festival with no color!
Therefore, we should embrace diversity, whether it is regarding employees or products in your business so that you have a larger reach to bring assets. It can optimize the return and reduce the risk of failure.
Although, it might happen that you are not ready to introduce a new product or are unable to come up with a new idea. Look for different strategies to increase the awareness and value of the product that you are having.
People serve festival delicacies like Gujiya, phirnis, and Thandai to start the new season. This makes you feel good about yourself and the community you’re in. This also helps create a hopeful future by building an environment of love and trust.
Often while focusing on long-term goals, we forget to embrace small achievements that are stepping stones to success. You must consider its importance. Celebrating these small successes can help you share love, create bonds and generate new links that are hard to create.
Spend Time with Stakeholders
Festivals provide an opportunity for us to reconnect with family and friends and spend quality time with loved ones. It reconnects the bond and spreads good vibes that are essential in building a community and creating a positive environment.
It’s prudent to follow the same when it comes to your partners and investors so that you can connect with them, understand their strategies and come up with the ideas to enhance growth. It creates a bond of trust, mutual benefit, and long-term success.
The festival of Holi is all about celebrating a good time using natural colors. But some people may apply chemically strong colors, which can be difficult to remove for a while or sometimes create allergic reactions. Therefore, it is essential to enjoy the occasions with care.
The joy of success should not take you to the level where you begin taking harsh decisions in your business. All the love, connection, and bond you have made while building up your business can go in vain with your over-enthusiastic approach. You must remain conscious and think twice before making any decision.
How to Execute?
To build a successful business you need to create a healthy environment and for that, you need to invest the time in your core services. There are several things for which you need to remain available and make instant decisions. So, taking charge of everything on your shoulder can be burdensome. It is important to find reliable partners that can take care of your market presence and manage all your logistic needs.
ANS Commerce is a full-stack e-commerce solution that can help you build a strong online base and manage all your on-ground requirements without any hassle. Whether you need assistance for performance marketing, marketplace management, warehousing & fulfillment, or simply need an integration-ready proprietary brand store, we will instantly help you out.
Our technical experts will personally assist you and provide you with all the information that is important to plan new strategies, implement ideas, and leverage brand awareness. Our end-to-end service doesn’t function without your satisfaction; therefore our experts will always approach you for your confirmation. So, request your DEMO now!
The human brain always looks for patterns and familiar objects around them to make sense of whatever they touch and see. Whether it be the surrounding environment or digital items, it is easier for them to quickly learn if they can correlate the pattern with something they are familiar with. A designer before making a website, or app needs to understand this psychology to make a design that is easy for its users to explore. Understanding the psychology of users also helps designers control their decision-making ability. Thus, psychology plays a crucial role when it comes to the user experience (UX) design process.
A UX designer must design through the perspective of the consumer and address themes that combine cognitive psychology, social psychology, and human-computer interaction.
“Design is not just what it looks like and feels like. Design is how it works.”
— Steve Jobs
To help you understand users’ perspectives we have come up with some of the major principles but before that, we must understand Cognitive load.
Running too many apps at once on smartphones slows it down or even freezes it. Similar is the case with the human brain!
Cognitive load is defined as anything that forces users to pause and consider their next steps. And when a user thinks too much, the outcome is a befuddled user on the verge of ditching you. So, to operate your app if the user has to learn many things, you need to realize that you are on the wrong track. You must provide your users with the quickest and most direct route to their desired result.
Cognitive load is increased by any component of your UX that has a learning curve. So, we need to minimize the cognitive load.
Intrinsic cognitive load
It is referred to as an inherited difficulty associated with a certain instructional topic. How can users keep their attention on the task at hand while absorbing information?
An e-commerce checkout is a nice example. Designers should remove all navigation and just provide the content users need to complete a purchase. Thus, by lowering the intrinsic cognitive burden designers can increase the likelihood that a user will accomplish the activity at hand.
Extraneous cognitive load
It is how the brain deals with non-essential aspects of the activity, such as fonts, micro-interactions, and directions. Excessive unnecessary cognitive load in UX is exemplified by a user straining to read fonts or comprehend instructions.
Germane cognitive load
It is the type of cognitive load that is devoted to the processing and construction of schemas. While learning something new, the human brain looks for patterns in the content that can help form schemas.
Employing design patterns that users can distinguish from something they already know, makes it easier for them to recognize and learn.
The top Principles of UX design Psychology that you must not ignore are:
Serial Position Effect
Have you ever noticed that among any numerous displayed items, you only remember a few?
Users have the propensity to remember only the first and last thing in a series, known as the Serial Position Effect. Proposed by German psychologist, Hermann Ebbinghaus, the primacy effect and the recency effect are two memory recall biases that cause this effect.
It allows users to recall the items that are displayed at the beginning with greater accuracy than the ones followed.
It is the opposite of the primacy effect. The user remembers the information they see last with better clarity than information they have previously absorbed.
This is why, in today’s apps, the hamburger menu has been replaced with a bottom or top bar navigation, and the most critical user actions are placed to the right or left.
Quick Tip – A/B testing is the most effective technique to see if your initiatives and experiments are working with design.
When numerous comparable objects are present altogether, it becomes difficult to predict which one to go for. The one that stands out is most likely preferred. This is why all CTAs or call-to-action buttons on a website or application differ from the other action buttons!
The Von Restorff effect offers the most important ideas in UX design psychology aiding clarity and direction to the user. We want consumers to be able to tell the difference between a simple action button and a CTA so that they can comprehend and remember what the CTA performs while using the app or site.
Quick Tip – The Von Restorff effect is also a beneficial component of the user interface (UI) as the current page in navigation or the current step in a user flow can also be highlighted to increase the awareness of a user.
According to Hick’s law, the amount of time taken by a person to make a decision is determined by the number of options available to him or her.
As the number of options grows so does the cognitive load and exponentially the time to make decisions.
The biggest examples to consider are e-commerce websites. There are too many options for shoppers to begin, so they take a long time to select before they buy. So, a UX designer must constantly examine designs to ensure that users have the fewest possible options for completing a job or achieving a goal in time.
Quick Tip – A UX designer must consider Hick’s law for the checkout page. As more the steps or input required to complete the sale, more are the chances of users to abandon the cart.
We are well aware of the amount of input that any owner needs to put in to start and establish an online business. With instant products and diverse services, you also need to take care of the compelling design and accurate CTAs. Therefore, to ease your efforts and enhance your consumer’s experience we provide an integration-ready brand store platform- Kartify that has fully customizable UI/UX such as user flows, layout, menu, filter, etc. to give you high flexibility and functionality so that you can reach your customers and serve them better. So, you can rest assured and request your DEMO now!
Social sites today have changed how society functions; the interaction, the connection, even the behavior of people have changed. With the growing popularity of social platforms like Facebook, Twitter, and LinkedIn, businesses realized that these websites can influence customer behavior and took the opportunity to reach out to them with their products and services.
Many companies became successful with it as it allowed them to contact millions of people and spread the word about their product in a breeze. However, not all businesses achieve that success. Do you know why?
Social media is continuously growing! New platforms are emerging with different features, and the old ones are getting updated in order to keep their visitors engaged. So, no fixed strategy works. It needs to vary depending on which social networks your target audience uses. Before we discuss that, let’s understand what it is and what it can do for your business.
What is Social Media Marketing?
The process of building a community on social media platforms with the target audience to generate traffic to your business is known as Social Media Marketing (SMM). It is an overall method to communicate with existing consumers and reach out to new ones on the platforms where they socially interact.
Businesses use social media marketing to promote their brand, culture, mission, and even tone. There are a variety of methods on social media networks that allow marketers to advertise their products/services, connect with their users, and interact for the purchase.
Importance of Social Media Marketing
With social media playing such a crucial part at the top of the funnel, it is important to generate a fantastic marketing opportunity. And if you’re not making use of this lucrative source, you’re missing out on its great benefits.
Some benefits of Social Media Marketing are-
Increases Brand Visibility
Having a social media presence for your brand can undoubtedly increase your company’s visibility as it allows you to reach the same level where your customers are, and create a community where your users can interact. Social networking is the most stress-free and profitable digital marketing tool that can quickly generate a large following for your company and boost your brand recognition within a limited period of time.
Improves Brand Loyalty
Communicating with customers on a regular basis and creating a bond with them increases customer retention and loyalty that every business requires. When you have social media presence your customer can easily locate you and connect with you, moreover, you can also engage with your customers and keep them happy increasing brand loyalty.
Helps Remain Budget-Friendly
Social media marketing is perhaps the most cost-effective technique as almost all social networking sites provide free registration and account creation. However, if you decide to employ paid social media advertising, start modestly to have a sense of what to expect. Being cost-effective is critical since it helps you to maximize your return on investment and dedicate more money to other marketing and business needs.
Enhances Customer Satisfaction
When customers post comments on your page, they like to receive a customized answer rather than a generic statement. A firm that appreciates its clients and takes the time to craft a personalized statement is naturally regarded as positive. With the use of these platforms, you can give your company a voice that will help you build your brand image.
Boosts Web Traffic
Another advantage of social media is that it aids in the growth of your website’s traffic. If you post your content on social media, users will be more inclined to visit your website. The more high-quality content you share on social media, the more inbound traffic you’ll receive and the higher your conversion chances will be.
How to Create a Social Media Marketing Strategy?
Social Media Marketing Process includes simple steps:
It is important to clearly outline what you want to achieve from social media platforms. Whether you want to increase the followers or enhance sales of your company. Determine the purpose of your company’s social media presence in the first place. Without a clear goal in sight, you won’t be able to choose the best course of action.
Prefer using the S.M.A.R.T. goal framework to create your objectives
Specific- For your goal to be more effective, it is important to be specific. The more specific your goals are, the easier it will be to develop a strategy and set standards. If you want to raise brand recognition or gain followers every month, be explicit about how you’ll accomplish it.
Measurable- Specificity is a good start, but quantifying your objectives makes it easier to follow your progress and determine when you’ve arrived at your destination. You may enhance your results by tweaking your method if you are not able to achieve your goal.
Attainable- This is the moment in the process where you should do a serious self-evaluation. Companies might become too ambitious and establish unreasonable, unreachable objectives. Check to see if your aim is feasible given your resources.
Quick Tip – Reflect on whether your goal is something your team can fairly achieve or is certain to fail. Remember that your goal holds the efforts and the confidence of your whole team. If your goal fails, the confidence of your team also fails.
Relevant- Relevant goals are tightly tied with a company’s aims. This is when you must consider the larger picture. Why are you aiming for this particular goal? What influence will it have on your bottom line?
Time-bound- Set your deadlines! You and your team must discuss the time frame and agree on when a target has been met in order to accurately assess success. Discussing when the team should begin and execute can further make your goal more effective and memorable.
Set different goals for each social media platform you are using and keep a track of your progress to check the difference.
A target audience is a set of individuals who are most likely to be interested in your company. They’d have similar demographics and habits.
Remember, assumptions are bad for marketers! So don’t be afraid while researching your target audience. It will allow you to go deeper into the details and produce more relevant posts. Most of the information you need to shape your social media marketing plan is already available. It’s only a matter of knowing where to look.
With the right technologies, marketers can quickly research their target demographic. There’s no need for professional market research or data science expertise.
We already discussed the increasing periphery of social media and distinct features that the platforms own. You can’t just incorporate every social media network in your approach because there are hundreds of them. It’s critical to perform some research before deciding on the best platforms for your marketing plan. Approach the ones that are most relevant for your brand and help you reach a large audience.
You also need to understand that a distinct collection of users interact in distinct ways on different platforms. So, you cannot post the same material across all platforms as your audience won’t like it.
Here are some pointers on how to pick the best social media platform:
Facebook- Facebook has almost 2.7 billion users that love to develop relationships and stay in touch with old friends. As a result, Facebook is an excellent medium for increasing client loyalty but for attracting a new audience it has an enormous user base, and you might need to go for ads to make your posts reach a large number of people.
Consider your company goals when you evaluate Facebook as a possible platform.
Twitter- Twitter is a wonderful tool for increasing brand recognition. A hashtag is a tool used by Twitter to arrange conversations around a word or phrase. You may discover what others are talking about by Googling hashtags and tailoring your tweets to join in on the topic.
Many companies mix Twitter with offline interaction, such as events, because Twitter is frequently used to offer real-time information to an audience.
LinkedIn- LinkedIn has the distinction of being the most popular platform among citizens between the ages of 30 and 49. LinkedIn is also distinct in that it has a specific emphasis on educated users. LinkedIn is used to look for employment and network professionally. As a result, the platform is beneficial for generating B2B leads, general networking, and personnel recruitment.
LinkedIn serves as a hub for in-depth, industry-specific material that is more niche than what you’ll find on Facebook or Twitter.
Pinterest- Pinterest is a social media platform for “scrapbooking,” or preserving material by “pinning” photographs or videos to a virtual bulletin board. The Pinterest demographic is dominated by women. Recipes, styling suggestions, breathtaking images, and DIY projects are among the most popular pins. You’ll need good images to captivate consumers on Pinterest because it’s a visual site. Strong retail sales have been connected to successful company usage of Pinterest.
Instagram- Instagram is one of the most popular social media networks, especially among millennials and Gen Z. Instagram, like Pinterest, depends on photographs or videos to generate interaction. As a result, this platform is ideal for enterprises that are visual in nature, such as art, cuisine, retail, and beauty. There is less noise than on Facebook because it is a growing platform. As your reach is broader, the platform is excellent for generating leads.
It is no surprise that we are already aware of the importance of content. Content is the core of any social media marketing plan. Based on your goals, audience, and brand identity, you should have a very clear sense of what to post at which stage.
Here are some suggestions and ideas to get you started-
Conduct keyword research- While keyword research and analysis are essential for advertising success, doing keyword research on social media may substantially boost your exposure.
Post in the form of Stories- Stories aren’t going away anytime soon. Story-style content is both participatory and can’t-miss. An appealing story can help your brand’s account “jump the line” and stay in the mind of your followers.
Engage with conversation- Ask questions, give answers! Drop the statements that can initiate conversation. Show more of your human side as people love interacting rather than getting instructions.
Quick Tip – You can conduct a competitive analysis to check what your competitors are up to.
It’s difficult to get your work seen on the internet, especially on social media, where nearly half of all information is shared with no one.
Post your content on the right platform at the right time to reach your target audience. Customers are not available on all platforms at all times. You need to check the density of the visitors on the specific platform and post the content during that same time so that it reaches maximum viewers.
Moreover, follow the 80/20 rule to get the most out of your social media: “spend 20% of your effort developing content and the balance (80%) advertising it.”
Your social media marketing plan is crucial to your overall marketing strategy. It’s difficult to get everything properly the first time.
As you begin to implement your plan and track results, you may discover that some of your approaches aren’t as effective as you had hoped. Keep a track of your performance and compare it to entail your top-performing material.
Adjust your Approach
By this point, you should have a clear vision of your social media approach. However, you must be able to change your plan as the year progresses. There’s no doubt that a lot of social media is a learning process. Real-time monitoring can help you to make incremental adjustments to your social media marketing plan.
ANS Commerce Enabled Services
We are a team of experts that have years of experience in a variety of industries and brands with varied sizes and complexity. We are well aware of the kind of assistance you require when landing on social media platforms. Whether it is to increase brand visibility, ROAS, or retarget users based on their interests. We take care of every platform from start till the end and influence customer behavior to make impulse purchases.
Our services include Performance Marketing, Marketplace Management, Warehouse & Fulfillment, and e-commerce advice to help you get relieved of your marketing stress. We handle everything social media marketing- tools and target. So, get a DEMO and improve your internet presence now!
Every day, the e-commerce industry is evolving, gaining greater clout and increasing profits. Without a doubt, it has become the most important aspect of the economy for businessmen who are looking to grow and generate revenue.
However, this growth has come with the opportunity for scammers as well. E-commerce fraud today has become a major problem all over the world.
According to Juniper Research analysis, the value of losses due to e-commerce fraud has climbed from $17.5 billion in 2020 to over $20 billion in 2021, resulting in an 18% increase in a single year. The cybercriminals and fraudsters are targeting customers as well as merchants that are inexperienced and unprepared for the market’s ongoing fraud concerns.
Therefore, consumers and merchants both must learn about the frauds and the protection methods, in order to avoid big losses.
What do you mean by E-commerce Fraud?
E-commerce fraud is known by many names, online fraud, payment fraud or you can also call purchase fraud. It is when a criminal or fraudster uses stolen payment information to conduct online transactions without the account owner’s knowledge on an E-commerce platform. It is accomplished through the use of fraudulent identity, stolen credit cards, false personal card information, among other methods.
Fraud protection is a top priority for any organization as it affects the bottom line of the merchant and produces enormous negative effects.
Negative Influence of Fraudulent Activity on your Business
When it comes to e-commerce fraud, your company suffers more than just revenue losses. You must also deal with the loss of client trust as well as the harm to your company’s reputation.
Each of these negative consequences – financial losses, a tarnished reputation, and a lack of trust – threatens your company’s long-term viability. The threat of e-commerce fraud is serious, regardless of the size of your business.
You need to understand the reasons for the prevailing e-commerce fraud in order to detect and prevent your business from it.
Reasons Behind Increasing E-commerce Frauds
Needless to say, there are a plethora of reasons for fraud to occur in e-commerce stores. Some of them are:
Improved Technology: Fraudsters are growing more intelligent, devising new methods, and becoming more sophisticated with each passing year as everything becomes digital and AI is used. It is simple to steal data and buy information with today’s modern technologies.
Increased Distance: The scammers aren’t required to enter a store, speak to anyone, or risk being caught on store cameras. All they need is a computer and access to the Internet. With the use of online aliases and less physical presence, it has become difficult to identify and apprehend the perpetrator.
Great Ease: Before the Internet, thieves had to physically take credit cards and use them to make transactions. Breaking into people’s houses and automobiles, as well as robbing individuals on the street for credit cards, was a dangerous profession in and of itself. However, things are a lot simpler now. The dark web, in particular, has made it incredibly easy for them to acquire credit cards.
Large Evasion: In comparison to other crimes, cyber-crimes are time-consuming as well as cost-effective. Moreover, cross-border invasion makes it more difficult for police to obtain evidence and prosecute criminals.
Most Prevalent E-commerce Frauds
It’s when an imposter acquires and utilizes another person’s personal and financial information without permission. Consumers are not the only ones who are affected by this scam; the merchant is also affected since customers might request a refund.
Customers who believe their personal and financial information is at risk and cannot be shared on e-commerce websites or webshops are less likely to complete a transaction. A store’s reputation may suffer as a result of this.
This may be accomplished through a variety of techniques, including acquiring and hacking personal information such as passwords and security codes, phishing tactics, and so on.
Chargeback or Friendly Fraud
Chargeback fraud happens when a shopper uses their credit card to make a purchase, receives the goods or services, and then seeks a refund from the credit card company, which is routed through the issuing bank saying it was unapproved or fraudulent. In this sort of fraud, the payment processor demands that the store repay the transaction amount to the issuing bank. The online merchant is accountable for refunding the transaction when a bank requests a chargeback.
Affiliate fraud is any illicit conduct aimed at generating commissions for affiliates. Online businesses pay affiliates a commission for sales referred to by affiliates in affiliate marketing. Affiliates are provided with a unique, trackable web link that directs customers to the merchant’s store pages. When a consumer makes a purchase after clicking on one of these links, the retailer pays the affiliate a commission for the recommendation.
In affiliate fraud, criminals use the system to defraud online merchants by creating phony activity in order to collect commissions or boost commission amounts.
Phishing or Account Takeover Fraud
When a person uses stolen credentials to gain access to a customer’s account, this is known as account takeover fraud. A fraudster can drain monetary cash or loyalty points, steal client data, or purchase products or services once they gain access. Account takeover fraud hurts brand reputations and can permanently destroy the confidence of excellent consumers, in addition to lost money.
The dark web’s desire for stolen email addresses, passwords, and other confidential personal information has led to an increase in this sort of non-financial credentials fraud. When a fraudster figures out the proper username and password combination, they can get access to and exploit legitimate consumer accounts.
When unscrupulous actors create false internet storefronts to offer things at lower costs, this is known as triangulation fraud. The goal of the phoney store is to steal credit card information. After obtaining a consumer’s credit card information, the fraudster sends the legal transaction to the legitimate retailer. Chargebacks occur when the legitimate merchant charges the customer a second time. If the customer is unaware that their credit card information has been stolen, the fraudster may keep the stolen data and use it to make transactions elsewhere.
Fraudsters attempt to intercept a customer’s order and get products for resale through interception fraud. The fraudster will accomplish this by contacting a vendor’s customer care partner and requesting that the order’s delivery address be changed to their own. The fraudster may even contact the shipping company directly and request that a package be rerouted to a different address so that they can intercept it. To get purchase and delivery data, intercept fraud needs to take over a customer’s account.
Ways to Detect E-commerce Frauds
Businesses must stay informed about current fraud trends and work with their partners and service providers to establish plans that address specific dangers as they emerge. Neglecting key procedures might increase your company’s risk of e-commerce fraud. Criminals are more likely to attack businesses and their consumers if this vital monitoring is not in place.
In order to combat fraud, you must utilize a high-quality fraud detection and management system and integrate innovative methods into your organization such as:
· Check the source of your website traffic
· Check customers who are shopping for a large number of items, that too for the first time
· Check customers who opt for quick shipment, that too in a strange area
· Be vigilant for several cards used from a single IP address
· Track sales and chargebacks
· Track customer fraud complaints
· Watch for changes in current customers’ buying behaviors
· Watch the discrepancy between the mailing address and the IP address
Preventive Measures Against E-commerce Frauds
If the merchandise is sold to a fraudster, there is only a slim chance that the merchant would receive it back. It results in a drop in income as well as the loss of a customer.
As a result, e-commerce companies must take precautions to safeguard themselves and their consumers against fraud.
Here are some strategies for preventing fraud in the E-commerce industry.
Monitor your Site
Keep a regular eye on the functioning of your website to notice any suspicious activity like inconsistencies in billing and shipping information, as well as your customers’ actual whereabouts. Use technologies that track client IP addresses and alert you to any addresses from nations that are known to be a fraudster’s hotspot.
Custom Address Verification Service (AVS)
You can use the Address Verification Services that are often offered by credit card processors and issuing banks to detect suspect credit card transactions in real-time and prevent credit card fraud. The Address Verification Service compares the card user’s (customer’s) billing address to the cardholder’s billing address on file with the issuing bank. This check is performed as part of the merchant’s request to the payment processor for credit card transaction authorization. When the addresses don’t match, the system either rejects the transaction for further inquiry.
Include Card Verification Value (CVV) for Purchases
Make CVV compulsive for every transaction to confirm that consumers have the physical credit card in their hands. This keeps you protected and helps to avoid fraud.
Prefer Hypertext Transfer Protocol Secure (HTTPS)
To safeguard sensitive information including client names, addresses, and credit card details, use HTTPS which is a secure version that encrypts the data. Using HTTPS protects your online store’s transactions from being broadcast in a way that hackers, thieves, and fraudsters can readily see. By purchasing an SSL certificate, you can easily use HTTPS.
Reduce the Extent of Purchases
Set restrictions for the number of purchases and total cash value you’ll accept from one account in a single day based on your order and revenue patterns. This reduces your exposure to a bare minimum in the event of fraud.
Use Anti-fraud solutions
Depending on your goals and budget, there is a range of software solutions available to identify and prevent online fraud. Furthermore, the tools you choose may differ significantly in terms of the amount of effort required for installation and continuing administration. Some people prefer a more hands-on approach, while others prefer to leave it to the professionals.
Check IP Address and Credit Card Address
Every order placed on your website originates from a distinct public IP address. The location or area of the world where the purchaser is making the transaction can typically be deduced from the IP address. If the city or area does not match the address on the credit card being used, then you need to be alert.
When cyberthieves discover new weaknesses to exploit, it will be critical to adopt these strategies into your e-commerce platform to safeguard it from forthcoming expensive attacks.
What can we do to help you?
Unsure how to protect the information of your customers? We’ve got you covered since the security of your data and systems is a top priority for us. With the exclusive features of our leading storefront platform Kartify, we will address all of your security issues. Our handcrafted product delivers an exceptional e-commerce experience to those who are new to the digital world and also the ones unaware of the increasing technological innovations.
Our expertise will instantly assist you with security audits using VA/PT on a regular basis; ISO / IEC 27001:2013 (WIP) and allow you access control for development and deployment, Cloud Armor, as well as frequent backups and version control.
So, what are you waiting for? Now is the time to request your free DEMO.