Tuesday, June 4, 2013

Why trust online stores in the country

It’s quite hard to trust any online stores nowadays. With the rate of online frauds and scams that happen every now and then, it’s only logical for only logical to be cautious. It also doesn’t help that online shopping is still new in the Philippines. Although online shopping has been around dating back to the early 2000’s on other countries, Philippines is one of the countries that adapted late. I think having low market at that time has some influence on why online shopping really never took off in the country. Another thing to consider on why it never panned out is due to the fact that majority of the population are non-credit cardholders. What makes it even worse is that for the minorities of the population who do have credit cards are not even open to using their credit cards for online purchases due to the risk of exposing their confidential credit card details online. Another thing that makes them avoid online purchasing is the possibility of not getting their orders, which happens sometime to people who buy from unreliable online stores.

Good thing that we now have online malls like Lazada Philippines. It’s one of the biggest online stores in the country that offers huge selections ranging from electronics to fashion. They are one of the key players that made a huge splash in the local Ecommerce industry. Before they arrived in the country, local online users are not even accustomed to online shopping. The closest online mall we had then where local classified ads. But technically, it’s not even an online mall, rather a platform were people meet online to buy and sell. The good thing about Lazada is what they offer to their customers is not just to bring an online store venue in the country. Their primary goal is to make sure the local online users in the Philippines will enjoy the best online shopping experience that one has to offer. They first introduced Cash on Delivery alternative payment method. C.O.D. is already widely used in the country even before the early 2000s. Fast Food chains mostly offer them as a way of payment for their delivery service.

So local online users in the country are quite familiar already with this. But what makes it remarkable is that it was the first time offered by an online store. Up until now, only few online stores can offer this kind of alternative payment method since the risk from a business perspective is way higher. The risk for margin of loss is really a possibility. Conventionally, online stores require customers to pay upfront via their credit card before they process an order and shipped it to the customer’s address. By allowing this payment method as an option the local online market, anyone can now become customers since no credit card is required and they don’t need to pay right away. They only need to pay cash once they get their actual order right at their doorsteps.

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