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Traditional on-site management of IT resources can be costly, difficult to scale, and time-consuming for enterprises. More companies are now making the switch to cloud computing, which provides instant off-site access to important computing processes such as servers, databases, and analytics via the internet (the “cloud”).
Cloud computing is fast, cost-effective, and able to scale accordingly to the needs of its users – making it ideal for sectors such as e-commerce that deal with periods of high activity volume and require low latency with minimal downtime. With cloud computing, e-commerce businesses can enhance operational efficiency by automating processes including ordering, merchandising, inventory management, and shipping. This can create a faster and more efficient experience for both business owners and customers, leading to a shorter turnaround time on orders and greater customer satisfaction.
Application programming interfaces (APIs) along with real-time data processing also allow carriers and third-party logistics providers such as DHL to seamlessly integrate and scale logistics solutions accordingly using cloud-based platforms.
One major advantage of cloud computing for e-commerce businesses is its cost-effectiveness and reduced overhead costs. Everything can now be digitalised into the virtual world including showrooms as well as the physical space previously required to house servers or other in-house IT mechanisms. For small or independent e-commerce businesses in particular, cloud computing can help improve business efficiency by eliminating the need for costly capital investments, maintenance, or storage fees that traditional brick-and-mortar businesses face.
Another benefit cloud computing poses for e-commerce businesses is scalability, allowing businesses of all sizes to grow or shrink operations according to demand and supply. E-commerce businesses can respond to sudden spikes in demand that might traditionally overwhelm a physical business, by automating processes such as calculating inventory, sending alerts to customers for out of stock items, or automatically notifying customers of sudden changes in inventory and availability.
In light of global supply chain disruptions such as the COVID-19 pandemic, cloud computing also makes it viable for small e-commerce businesses to adapt their business models on-the-fly without needing to account for costly overheads. Multiple networks or systems can also be consolidated into a single integrated website, cutting down on operational bloat and improving overall operational efficiency for an enterprise of any size.
Finally, a significant advantage of cloud computing compared to traditional on-site IT resource management is its ability to provide a smoother, more enjoyable user experience for consumers. Consumers are now expecting their online shopping experience to be more customer-centric, with every step of the online shopping process (from browsing to checking out to delivery) tailored to be personalised and free of pain points. E-commerce brands that have managed to make this switch, from small independent businesses to multinational corporations, have seen it pay off in brand loyalty and higher rates of returning customers.
Cloud computing also allows you to minimise errors or oversights at any point in the supply chain thanks to instant feedback from digital sensors. Modular cloud logistics platforms allow logistics providers, carriers, and shippers such as DHL Express to better determine cost-effective options for ordering, billing, and tracking – overall creating a fuss-free online shopping experience for your customers.
Cloud computing poses several benefits for e-commerce business, ranging from improving operational efficiency to heightening customer satisfaction. DHL Express is working closely to identify new opportunities in the e-commerce space while building a global cloud network through standardisation of APIs. Find out how DHL Express can help your e-commerce business succeed today.