Before learning about the differences between Retail Business Vs Online Business. First let us learn about both the topics individually and after that make comparison.
What is a Retail Business?
Retail Business is selling of final products or services from a single point to its end user in small quantities. In this process, a retailer or a seller is involved and the consumer or end user. The retail business is carried out over multiple channels in order to make profit and fulfill the needs of consumers.
Retail Business is one of the fastest growing business segments of India’s economy. In retail business, the entrepreneurs risk a capital over its venture. In addition to this, invest their time and make their living by providing the products to the customers.
What is Online Business?
Online Business or E-Business is carried out over the Internet. However, it is similar to Retail Business but the buying and selling of products and services is carried through the Internet. Apart from Buying and Selling, Customer Services, Payment Process, Manage Production Control, Recruiting, Collaboration with Business Partners, can also be managed.
The Online Business has grown rapidly in recent decades. It has generated great new business opportunities to all the new and experienced business seekers. However, as the e-commerce business has escalated, the companies opted for strong data security along with protocols and tools.
Advantages of Retail Business
- Retail Business involves personal interaction with each customer and increases the level of customer satisfaction.
- These type of businesses are easier to control, manage, and modify things as per the situation and customer preferences.
- Retail Business doesn’t require to follow the single method to attract and convince the customer to purchase the product.
- Retail Business save your expenses. As a result, it doesn’t require extra expenses over shipment delivery at your door-steps.
- Retail Business represents a healthy competitive environment between retails. It results into, benefit to the customers.
Disadvantages of Retail Business
- Competition in market causes difficult to sell products to customers.
- Market Competition lowers the profit margins of retailers.
- Retail Business is very hectic and inconvenient to work with. As a result, it causes busy lifestyle and an unpredictable working hours.
- Retail business sale is very dicey, so looking for a long time job is quite risky. As, your job duration depends on how the market is going.
Advantages of Online Business
- Online Business opportunities represent the business more professional and attentive towards customers.
- It always put the business at a global platform for 24 hours and 7 days a week.
- Online Business minimize the wastage of paper.
- Through Online Business a single retailer can manage a lot of customers simultaneously, however it is not possible in Retail Business.
- Online Business are easy to introduce in market with minimum expense and can build a great return business in a short span of time.
- Online Businesses are automated and makes your shop available to all. As well as, Virtual Assistant can assist customer at anytime of the day.
Disadvantages of Online Business
- Almost every product is available Online, but the only disadvantage is that, you cannot test or try any product physically before purchase.
- Achieving customer faith through Online Business is arduous. As, there is huge competition and same product is available in market of different quality.
- Security of customer personal details and payment related details are prone to risk zone.
Future of Retail Business
- Shoping is a social affair, which we usually do with our family and friends. Therefore, there is no chance anyone can predict that the Retail Business future is going towards its end.
- The Retail Business is evolving rapidly as it is going automatic and avoiding the long waiting of customer for billing.
- Top Class Employee and Customer Service and satisfaction. Along with customer, now the employees satisfaction are also taken care into retail business.
- Being in the competition with Online Business, still the retail business is expanding after each financial year.
Future of Online Business
- The Online Business is going to transform with the introduction of new technologies and improve the operational efficiency.
- Artificial Intelligence (AI) based Machine Learning technology facilitates online business with face recognition and emotions simulations will be used in robotics industries.
- Online Business delivery system will get quick and accurate service with the help of Artificial Intelligence. It makes Drones to deliver products in few hours only.
- Advanced use of Augmented Reality will provide a real yet virtual view and eases the product selection with a great experience.
- Internet of Thing (IoT) facilitates communication between device and system. As a result, this Inventory management will go automatic beyond Point of Sales (PoS) system.
With the growing technologies both Retail and Online Business are growing and enhancing their working. As a result, to facilitate more and more customers, is the sole aim of both the sectors.