E-commerce companies like Amazon, today accounts for 49.1% of all online retail spends in 2018. From worldwide e-commerce sales of USD 1.3 trillion in 2014 to an estimated USD 4.5 trillion in 2021, it has been a whirlwind journey for everyone.
The revolution of cloud communication contributed to the new wave of e-commerce and has been widely considered the third phase of the modern computing era. As we move from physical storage to ‘invisible’ cloud storage, it augurs well for e-commerce that has long battled for creative solutions.
Cloud communication in e-commerce solves the challenges of sporadic demand, large numbers, data security and complicated logistics. Behind the aesthetic graphics interface and API of your favorite app, lies a complex world of cloud computing that is making every user’s experience far richer than it has ever been.
Cloud communication companies have been working with several e-commerce brands, innovating with techniques that help them achieve their business objectives, while uplifting end-user experiences. In our experience, these are some of the most important ways that it has helped the industry.
Below are the key benefits that businesses have been derived from this new technology:
Scalability: With the flexibility to upscale and downscale service as per the demand, traffic and seasonal spurts, cloud communication provides great scalability to e-commerce. It handles peak season traffic with the ease of a medium rush day. This has been the biggest challenge for both, portals as well as end-users. Cloud communication tools have not just ironed out old problems, but have also made organizations the most efficient they’ve been.
Speed: In B2C platforms especially, the speed of the portal can make or break an e-commerce platform. A seemingly minuscule 100 milliseconds improvement in speed saw Amazon’s revenue spike up by 1%. With cloud communication, platforms can have more computational power, more storage and a greater bandwidth – everything that directly impacts the speed, and hence the efficiency, of the portal.
Data Mobility: Cloud communication enables data to be securely accessible to all authorized personnel throughout the world. No need to store in disks, hard drives, and run the risk of corrupt files anymore. With the huge quantum of data in e-commerce, this is a major shift in everyday operations.
Costs: Unlike hardware, cloud communication infrastructure doesn’t need significant investments for installation or upgrade. Once set, the maintenance and upgrade are easier than anything else we’ve ever had. Hence, it’s the most economical long-run investment for companies of all sizes.
Stable, reliable: Cloud communication has become robust over the past few years, making it extremely stable, quick, secure and reliable. When you have a business that runs entirely on the web, these are non-negotiables and cloud communication delivers a solid punch.
Redundant-proof: Cloud-based platforms often come with built-in redundancy, which saves companies from data loss and keeps all information regularly backed-up, accessible and does so with complete security.
Future-ready: Cloud computing is the future that is already here. Sooner or later, companies of all sizes would need to adapt to it. Just like we moved from the VCR to the DVD and now to online streaming, the shift to cloud computing is inevitable. Hence, those that have already made the shift, are more future-ready than others.
This article is written by Rajdip Kumar Gupta, MD and Group CEO at Route Mobile Limited.
