Hey there! Welcome to CartHustle, the ecommerce newsletter that’s as good as the ‘cha-ching’ sound of a cash register.
Your order this week:
How much do eCommerce owners make?
Shein sued by Temu for ‘Gangster-Like’ tactics
Transforming your ecommerce business with tech [Use Case]
How to restrict coupon abuse
84% Increase in website visits for TEMU
How much will eCommerce owners make in 2024?
Are you curious about how much money ecommerce owners make?
According to a study, about 47% of ecommerce owners earn between $10,000 and $99,000 per year. However, the majority of them fall into the lower end of this range. Only 6% of ecommerce owners make more than $1 million annually.
The profitability of an ecommerce business depends on various factors. Niche selection is crucial, as it can determine the level of competition and potential customer demand. Successful ecommerce owners often choose a niche that they are passionate about and understand well.
Another factor that affects earnings is the type of ecommerce model. Selling physical products tends to be more profitable than drop-shipping, print-on-demand, or affiliate marketing.
Ecommerce owners with higher revenues also tend to have multiple revenue streams, such as:
selling on different platforms or marketplaces
offering subscriptions
or providing services in addition to products
It’s important to note that success in ecommerce does not come overnight. Most ecommerce owners have to put in significant effort and invest time and money into marketing and promotions. Additionally, building a strong brand and establishing customer trust are crucial for long-term success.
Shein sued by Temu for ‘Gangster-Like’ Tactics
Shein, the popular online fashion retailer, is facing a lawsuit filed by Temu. The lawsuit alleges that Shein copied the designs of Temu’s garments and sold them at a much lower price.
Temu, a company focused on sustainable fashion, claims that Shein’s actions not only harm their business but also go against their values of originality and ethical sourcing.
According to the lawsuit, Shein’s practices include:
copying specific design features
fabric patterns,
and even names of Temu’s products
This has led to customer confusion and negatively impacted Temu’s reputation in the market. The lawsuit also highlights how Shein’s high-speed production and low prices make it difficult for small brands like Temu to compete.
This case raises important questions about intellectual property rights, fair competition, and the need for stricter regulations in the fashion industry. As fast fashion continues to gain popularity, it’s crucial for consumers to be aware of the potential ethical implications and support brands that prioritize originality and sustainability.
The outcome of this lawsuit could have significant implications, not just for Shein and Temu, but for the fashion industry as a whole. It serves as a reminder for brands to uphold their values and respect the creativity and hard work of others.
eCommerce Tool of the Week
(not a sponsor just a tool we like)
BigCommerce (Nasdaq: BIGC) is a leading open software-as-a-service (SaaS) ecommerce platform that empowers merchants of all sizes to build, innovate and grow their businesses online.
Restricting coupon abuse
In the retail and e-commerce landscape, utilizing coupons to allure consumers is a core strategy, facilitated by advanced email automation platforms like Klaviyo and Listrak.
However, this practice invites the challenge of coupon abuse, exacerbated by automated browser extensions and collaborative efforts among shoppers.
To counteract this, businesses deploy various defensive strategies:
from creating one-time, person-specific coupons
implementing guardrails such as preventing coupon stacking
and imposing usage limits
Despite these efforts, persistent coupon misuse prompts a shift toward broader security measures, including solutions like Cloudflare’s “Web Application Firewall.”
Recognizing the impact of coupons on the shopping experience, some businesses are transitioning away from coupon-centric models, opting for automated, individualized discounts during the shopping process.
Merchants must grapple with critical considerations, anticipating universal promotion access and determining whether promotions should stack with other coupons.
In this delicate balance between attracting consumers and safeguarding business interests, continuous adaptation and strategic planning is a must have to survive.
How to transform your ecommerce business [Use Case]
Coldwater Creek, a popular clothing brand, has recently undergone a major transformation by partnering with BigCommerce, an ecommerce platform. This move is aimed at enhancing the brand’s online shopping experience for its customers. With BigCommerce’s extensive features and capabilities, Coldwater Creek is poised to better serve its customers throu47gh a more user-friendly and efficient website.
One of the key benefits of this partnership is the ability to offer personalized experiences to customers. Coldwater Creek can now provide tailored recommendations and content based on individual interests and preferences. This level of customization allows for a more seamless and enjoyable shopping journey.
Additionally, Coldwater Creek will be able to optimize its mobile shopping experience, catering to the increasing number of customers who prefer to browse and purchase products on their smartphones or tablets. This mobile-friendly approach ensures that customers can easily access the brand’s offerings from anywhere at any time.
Through this transformation, Coldwater Creek aims to stay competitive in the world of fashion ecommerce.
84% Increase in website visits for TEMU
Temu has emerged as a leader in online retail for holiday shopping. Temu has experienced a significant increase in web visits, indicating its popularity among customers. They have become the go-to destination for people looking for great deals during the festive season.
0Temu’s success can be attributed to its user-friendly website and wide range of products. Customers appreciate the convenience of shopping from the comfort of their homes. The company’s online platform offers a seamless experience, allowing shoppers to browse through different categories and find what they need with ease.
Furthermore, Temu stands out from its competitors because of its competitive pricing. Customers have noticed that the company consistently offers lower prices compared to other online retailers. This has undoubtedly contributed to the surge in web visits and sales.
Temu has established itself as a prominent player in the online retail industry, especially during the holiday season. Their easy-to-use website, extensive product selection, and attractive pricing have made them a top choice for shoppers this year.
eCommerce Book of the Week
E-Commerce Website Optimization: Why 95% of Your Website Visitors Don’t Buy, and What You Can Do About it
Conversion rate optimization (CRO) is about understanding people and behaviour, not simply website visits. This book is an all-encompassing guide to the how, the why and the tools and techniques.
Signing off,
The Merchant @CartHustle