Now is an exciting time to start your first e-commerce business. Thanks to the pandemic forcing people to shop online, more consumers than ever understand the convenience of ordering online and having items delivered to their doorsteps.
What Is the First Step to Starting an E-Commerce Business?
Statista estimates global retail e-commerce sales will hit $7.4 billion by 2025, growing steadily year over year. However, some niches grow more rapidly than others. Your first step to deciding whether an online store is right for you is doing some research and analysis of the market and competition.
Here are some simple steps to take to start your first e-commerce business.
1. Choose a Category
Once you’ve done some preliminary research, you probably have some idea of what you’d like to sell. Dig deeper and get some analytics on who the big players are and how you can offer something unique.
Can you provide a custom option, for example? Look at everything other businesses similar to the one you want to start do. Check out their websites. Pay attention to their marketing and social media presence.
2. Choose and Protect Your Brand
Your next step is to choose a unique brand name and image. Create logos, choose a color palette and register everything you can. Protect your intellectual property so no one steals your unique ideas.
Understanding trademark and copyright law can be complex. Trademark legislation was first passed in 1266 in England. Since then, it’s changed and morphed to include the internet and modern business needs.
You may need to spend a little, but seeking the advice of an atto trney well versed in trademark and copyright law will help you avoid any errors.
3. Find Sources
Before you can open an e-commerce store, you need inventory. It’s vital to get the best prices you can so you can compete with some of the bigger platters, such as Amazon. At the same time, you aren’t a big corporation, so try to find unique items people can’t get at the big box retailers.
You’ll also want to build an e-commerce website. You can use third-party options or pay someone to build a site for you.
4. Set Logistics
Amazon and Walmart have both made consumers expect fast, free shipping. You might not be able to afford free shipping but you can ensure you use the best third-party delivery services available and get a lower rate.
Sites such as PirateShip and Parcel Monkey offer a group discount rate that helps you save money here and there. You can also compare shipping options for different package sizes and weights. See how long shipping takes based on the carrier you choose.
Utilize technology to track inventory and expedite shipping. Experts estimate around 152,000 new IoT devices will connect to the cloud every minute by 2025.
5. Promote Your New Biz
Once you’re ready to launch your online site, it’s time to promote it. Figure out what social media efforts you plan to make and what suits your brand best. Look for ways to get the word out inexpensively at first. You can also sell on 3rd party platforms such as Amazon, eBay, Walmart, Etsy, and many others. Here are some tips on how to start selling on those marketplaces.
If you have a marketing budget, you may want to boost some of your posts or pay for ads to drive initial traffic to your site. Don’t underestimate the value of word-of-mouth marketing. Make sure you tell everyone you know and ask them to share with others.
Learn as You Go
One of the most significant advantages of an e-commerce business is that you can start small on a shoestring budget. You then scale up as you learn about the business and see what works best for your brand.
