The article discusses the role of cloud technologies in e-commerce and how to use them effectively to maximize sales. The advantages of cloud solutions are analyzed: flexibility, data security and access to the necessary tools. The author highlights the importance of automating processes in online commerce and how cloud technologies can significantly simplify and optimize the activities of e-commerce companies. Practical tips on how to use cloud technologies to maximize sales and improve the competitiveness of online stores are discussed.
The global cloud technology market is growing at an average annual rate of 20.9%. CDI analysts forecast this market to reach $104.2 billion by 2029, growing at an average annual rate of 4.6% from 2022 to 2029. This growth is due to the active development of online commerce, which also increases the requirements for IT infrastructure. It must be flexible, reliable, cost-effective, and as secure as possible for consumers. These tasks can be effectively accomplished with the help of cloud technologies.
How cloud technology is used in e-commerce
Cloud technology is an effective tool that utilizes remote servers to store, manage and protect company data. When a retailer needs to provide customers with an extensive product catalog and ensure that the infrastructure is running optimally, virtual solutions become indispensable. Cloud e-commerce utilizes technology to manage and scale data storage, hosting, and applications such as virtual payments, inventory management, and product information control.
One of the software delivery models is SaaS (Software as a Service). In 2023, the global SaaS market will generate about $197 billion in revenue, which is about two-thirds of the total revenue of the public cloud services market. In this model, applications and data are hosted on remote servers and users access them through internet devices. For example, this is how messengers work. Using e-commerce services and platforms from SaaS vendors is ideal for retailers, allowing them to focus on sales rather than programming.
The importance of cloud technology in e-commerce
Cloud platforms provide the ability to scale resources virtually without limits, allowing you to adapt the amount of computing power in real time according to your current needs. Slow loading of an online portal due to a large number of pages and high load during peak times, can severely impact user experience and website performance. When visitors are faced with long wait times, especially during high demand periods such as sales or promotions, they may lose patience and close the page, leaving for competing resources. According to KissMetrics, 47% of consumers expected a site to load in 2 seconds or less, and 40% would close a page that takes more than 3 seconds to load. These numbers show that such delays not only create a negative impression, but can lead to a loss of customers, as well as negatively impact a site’s position in search engines.
High speed of page loading and the possibility of comfortable viewing of content by visitors also contribute to improving positions in search engines, which pay great attention to optimizing the speed of loading sites, so the effective operation of the resource can positively affect its ranking in search results. Thus, the use of cloud technology not only ensures smooth operation of the site and high speed, but also contributes to improving its position in search engines, which provides an increase in traffic and conversions. For companies that used to focus solely on offline sales, moving online is becoming a necessity in the face of stiffening competition and changing consumer needs. In order to compete successfully and increase business efficiency, it is important not only to launch online services quickly, but also to ensure their high quality and effective support in the context of a shortage of qualified IT specialists.
Active development of e-commerce projects requires significant investments in IT infrastructure, software development, marketing and staff training. Using cloud technologies allows businesses to speed up the process of launching new projects and services. With the ability to quickly create test environments and test hypotheses, firms can more effectively analyze the market and customer demands, and then quickly adapt their products to accommodate changes. Cloud resources are able to scale instantly based on need. This means that corporations can increase computing power and data storage capacity without the need for long-term planning or large investments. This flexible approach allows agencies to respond quickly to changes in the market and scale efficiently to meet the growing needs of customers.
One of the benefits of virtualized services is the ability to save resources on infrastructure deployment and administration. Businesses no longer need to spend a lot of effort on maintaining their own servers and computers, as well as purchasing and upgrading hardware. Cloud-based solutions provide an opportunity to focus on the development of their projects rather than the mundane processes of maintaining infrastructure, provide access to important tools and resources such as analytics, marketing platforms and order management systems. This helps to improve online store performance and increase competitiveness.They also act as an effective tool for automation.
Utilizing the cloud allows e-commerce companies to reduce the time and cost of software implementation and support, and expand functionality without having to invest in expensive hardware. Automation plays a key role in optimizing e-commerce processes. Order and payment management programs make it easier for customers to buy. Marketing systems help run targeted campaigns, and analytics automation helps collect and process data to make informed decisions.
Conclusion
The e-commerce market is growing rapidly. Cloud technology can help increase speed, website performance, increase website traffic and conversion, data security and easy access for businesses, all of which affects overall loyalty, customer trust and convenience for a consistent experience.
Sources:
Retail Cloud Market, CDI (www.contrivedatuminsights.com)
Why Move Your E-commerce Business to the Cloud?, EmerLine (emerline.com)
How Loading Time Affects Your Bottom Line, Neil Patel (https://blog.kissmetrics.com/)
Retail Cloud Market Report: Latest Trends & Analysis 2029, Global Retail Cloud Market Overview, (https://exactitudeconsultancy.com)