Skip to main content

Top four benefits of cloud computing technology for eCommerce stores

(Image credit: Image source: Shutterstock/Maxx-Studio)

If you think cloud computing has no application or usefulness in eCommerce, think again. With Covid-19 accelerating the adoption of cloud across business verticals and boosting sales in the process, eCommerce is not far behind. Research by McKinsey states that 10 years of eCommerce adoption was compressed into three months. Additional research claims that the global eCommerce market has reached $26.7 trillion. Plus, data further indicates that for around 90 percent of respondents, cloud usage across enterprises has shot up in 2021.

From the eCommerce perspective, several factors are contributing to the skyrocketing growth of cloud adoption. There's a drastic change in consumer behavior, which includes changes in consumer demands, a greater need for convenience-based shopping, and widespread acceptance of technological solutions. But how does cloud computing fit into the eCommerce puzzle? Here's how:

eCommerce stores use cloud to house data across different devices.

Every device uses a different server, which may be located in diverse locations.

However, these series of devices are 'connected' and work as a singular unit--also known as the cloud.

With the right type of cloud computing technology, you can augment your eCommerce offering with additional features such as database support, impenetrable security, seamless payment processing, and so on.

In this blog, we will deep-dive to understand the primary advantages of using cloud technology for eCommerce stores. Let's jump right in.

1. Greater scalability

Customer expectations can shift drastically--even overnight. The pandemic has taught most businesses this vital piece of learning. With most consumers opting to leverage the digital cloud to shop, businesses have had a rude awakening: If they didn't find ways to go online, they risked losing out on customers to intense competition.

This is where scalable cloud computing comes in handy. With cloud hosting, you can build your eCommerce presence as swiftly as the business grows.

Here's how this would work in the context of eCommerce: An automated scalable cloud solution empowers eCommerce businesses to:

  • Sign up quickly and start using the IT solution within minutes
  • Add or remove resources as and when the demand increases or decreases
  • Personalize the services to meet the ever-evolving needs of the eCommerce store
  • Set predefined conditions, which when achieved, can automatically trigger an increase/decrease in space or computing power
  • Respond with greater agility as you don't need on-site IT infrastructure to get the operations running

2. Increased speed

Site speed is instrumental to eCommerce success and can double up as a competitive edge for an eCommerce business. As per data by Google, a mere one-second site speed improvement can boost mobile conversions by up to 27 percent. Believe it or not, but more than a decade ago, Amazon found that a page load slowdown of just one second could potentially cost them $1.6 billion in sales every year! So if your business is not laser-focusing on increasing--and maintaining--speed stability, you're bound to suffer losses of gigantic proportions. 

Needless to say, at the heart of effective, high-performing eCommerce performance lies unparalleled speed. And no on-site server can match up to the speed of cloud. Irrespective of the traffic the eCommerce store experiences, it should be able to provide a seamless, quick, and consistent user experience--all of which are the key specialties of cloud computing technology. So whether you're launching a new campaign or a new product, your website speed will not suffer if it is backed by the right kind of cloud hosting technology.

3. Reduced costs

One of the biggest advantages of using cloud technology is cost savings, particularly for smaller eCommerce businesses that have shoestring IT budgets to begin with. Generally speaking, cloud partners will offer eCommerce stores with a pay-as-you-go model so that the latter only ends up paying for what they need. As you can imagine, this reduces cost wastage--a primary concern for 61 percent of organizations according to research.

Considering that eCommerce businesses only end up paying for the resources and storage consumed, this leads to savings in hardware and in-house equipment as these are provided by the vendor. Moreover, cloud technology does not consume gigantic amounts of energy (as opposed to data centers), leading to lowered power costs and savings in space storage. Finally, it leads to savings in maintenance and labor costs as your IT assets can focus on boosting eCommerce development and strategizing on useful eCommerce strategies to boost sales, user happiness, and growth, instead of wasting time on routine tasks such as maintenance. 

4. Improved security

There's no doubt that eCommerce stores house mountains worth of sensitive customer information such as payment details, personal information, among other things. If your eCommerce store is not secure and does not offer rock-solid privacy, your customers will go elsewhere. 

Furthermore, data indicates that in 2021 alone, the volume of monthly bot attacks on retail websites rose by 13 percent. This poses increasing concerns about security among consumers. This is why eCommerce stores need to invest in the right set of cloud security tools to prevent data breaches and fraud. 

Here's why cloud storage is relatively safe than on-premise storage facilities:

  • One, the cloud data centers are monitored by professionals.
  • Two, cloud adheres to stringent security-related policies and regulatory compliances that are specifically formulated for IT environments.
  • Three, typically, third-party auditors certify cloud solutions, leading to higher trust and performance guarantee.
  • Four, cloud solutions leverage firewalls to boost security and maintain system integrity.

The takeaway

If an eCommerce business is not agile, it might as well shut shop--such is the competitiveness that drives the eCommerce landscape today. This is where cloud technology can augment your eCommerce services and bring about an increased level of flexibility, convenience, and profitability. 

To wrap up, here are the top four benefits of leveraging cloud computing technology to advance your eCommerce business' goals:

  • Increased scalability to pivot as a customer and/or market needs change
  • Improved speed and performance, leading to happier and more satisfied customers
  • Greater costs savings due to reduced infrastructural costs
  • Advanced security and better privacy measures

Long story short, if used correctly, cloud technology can transform your eCommerce business and make it more productive, profitable, and people-oriented. What do you think?

Srushti Vachhrajani, Middleware

Srushti Shah is an ambitious, passionate and out of the box thinking woman having vast exposure in Digital Marketing at Middleware ( Her key focus is to serve her clients with the latest innovation in her field leading to fast and effective results. Working beyond expectations and delivering the best possible results is her professional motto. Other than work, she loves traveling, exploring new things and spending quality time with family. Reach out to Srushti Shah on Twitter or LinkedIn