7 Research-Based Reasons For E-Commerce to Go Cloud-Based

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Cloud computing provides numerous benefits to online business owners, from increased productivity to better customer management, the possibilities are endless.

Businesses have reported drastic improvements in revenue after opting for cloud-based systems. 

But don’t take our word for it; here are 7 research-based reasons for online businesses to go cloud-based.


As an e-commerce owner, or simply a business owner for that matter, your main goal is to make a profit, or better yet, to constantly grow profit margins. 

However, this would only be possible with overall business growth and that’s where scalability comes in.

When you do business online, revenue and profits highly depend on the amount of traffic you’re attracting, and how much of that traffic your business can effectively engage with.

Take order placement and inventory management, for instance, they are perhaps the most time-consuming and tedious parts of running e-commerce. 

Well, this is one of the tasks that you can get easily done with cloud-computing tools.


Statistics show that 63% of businesses that go for a cloud-computing strategy improve their flexibility very quickly.

For eCommerce businesses, flexibility is expressed in several forms. The most integral is being able to access data from anywhere with an internet connection.

For example, you can enhance flexibility by opting for a cloud phone system. It provides a virtual control panel that businesses can use to connect remote staff members, integrate CRM solutions, store and analyze data, and connect with customers easily.


When e-commerce businesses adopt cloud computing solutions, they can reduce costs mainly in two areas.

On the other hand, it’s a proven fact that in a business environment, cloud computing tools are 40% more cost-effective than on-premises software. 

This is because with cloud computing, businesses usually pay a fixed monthly rate as opposed to purchasing software licenses, plus paying for installation fees and maintenance costs.

On the other hand, switching to cloud computing solutions allows businesses to cut down on labor costs since several tools are designed to automate and optimize daily operations.

Sales management software is a great example of how internet-based businesses reduce labor costs significantly.

They manage the entire sales process, from shopping carts to order fulfillment and order tracking.


As the global population becomes increasingly interested in how businesses interact with customers, customer support can make or break your business. 

Thus, a wide range of tools that enable business owners to improve user experience and overall customer support have surfaced.

A Customer Relationship Management (CRM) system is a must-have if your goal is to sky-rocket customer interaction. 

A CRM is essentially like a dashboard for all customer-related data and interactions. Most CRMs come with cutting-edge features like artificial intelligence, to identify user intent and recognize user emotion. This enables businesses to be more efficient when meeting specific customer needs.


Automating business operations is an integral part of growing your business. 

It can be achieved by automating sales processes in the first place, which in turn helps save time and money.

In a nutshell, a sales process converts warm leads to paying customers. 

However, several steps need to be taken along the way and these can turn into sales bottlenecks if they’re not performed swiftly and efficiently.

CRM sales applications are exactly what e-commerce businesses need to optimize their sales process and remove any hurdles in their sales funnel. 

In the end, ROI will improve significantly. It’s reported that CRM apps can boost sales by up to 29%.


Running an e-commerce store means that a large portion of your staff, if not your entire staff, works remotely. 

One of the greatest challenges that come with having a remote working environment is ensuring that productivity levels remain high.

In the US alone, 50% of online companies have improved productivity by utilizing productivity tools.

These tools are often incorporated into CRM systems and they promote productivity through time tracking, task management, and setting daily, weekly, and monthly deadlines.

Additionally, some productivity management tools allow you to streamline the hiring and onboarding processes.


Cloud computing reliability encompasses three attributes; flexibility, reliability, and security.

Research reveals, “cloud apps can aid companies’ collaborative tasks, file sharing, content sharing, and data security.” 

On average, employees utilize up to 36 cloud computing services in daily business operations. What’s more, they can access these services from anywhere, provided that they have internet access. This further highlights how cloud computing solutions enhance business flexibility.

In terms of security, a survey reported that 94% of participating businesses experienced major improvements in cyber security after adopting cloud computing systems. This is backed by factors that drive cloud security; they include complex encryption methods, geographic redundancy, and safe-sharing policies.


In a global business environment where customers are tech-savvy, traditional business solutions won’t cut it. 

To put that into perspective, most customers communicate through channels like email, telephone, and social media, and e-commerce businesses are required to have the necessary tools to keep track and keep up with all communications. 

That said, cloud computing solutions are no longer regarded as luxurious assets, instead, they’re considered to be part of any e-commerce “starter pack” for Starting online ecommerce business.

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Tirupati Gumpula

Tirupati Gumpula is an Internet geek, Work from Home dad, and founder of this website. He loves to share his experience in Business, Marketing, and personal finance topics. For more details Email: [email protected].

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