The eCommerce business is growing rapidly and many people want to transfer their local business to the digital network or open a new one that promises success. Even though many people are opening eCommerce businesses, the market is still open for small businesses who want to get a piece of the cake.
Over the last five years, the eCommerce industry has increased from $1.4 trillion to $4.1 which is why many entrepreneurs decide to tackle this market.
But is it possible to start an eCommerce business from scratch and still make money? – Of course, it is, and in this article, we will go through all the steps you need to take to succeed.
1. Find the Right Business Model
Just like any other local business, different eCommerce business models need to be researched thoroughly before making the final decision. Each business model operates differently when it comes to getting your products, defining your profit margin, and start-up investment.
Unfortunately, there isn’t a secret ingredient or a business model that works for everyone. Every market or niche is different which is why it needs a personalized approach.
If you want to start selling products without having physical contact with them, you can start a dropshipping business or print a demand business. That way you won’t have any inventory and every time someone orders from your store you just order the product from third-party vendors.
On the other hand, if you want full control over your products you should go for wholesaling and order all of your products in advance.
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2. Choose the Right Niche
The success of an eCommerce store has a lot to do with the type of niche you want to enter. Every time you want to start an eCommerce business you need to research and find the right market gap.
There are hundreds of thousands of categories that you can choose from and every category of products requires a different approach.
Unless you start with a massive budget, choosing a general store where you have many product categories isn’t a wise choice. That is why you need to find a specific category (niche) that can isn’t populated.
Avoid overly crowded niche and don’t go after anything that is dominated by major brands.
3. Find Your Target Audience and Choose the Right Products
Now since you have some idea of the niche you want to go after, it is time to determine the products you want to sell. In order to choose winning products that will perform well, you’ll need to know your target audience.
Knowing your target audience will help you choose the right products that they need. It is a good idea to make a persona for your ideal customer and go after the people with similar characteristics.
4. Choose Your Platform and Build Your Website
After you have a clear idea about your target audience and the type of products you want to sell, it is time to bring your ideas to life. Fortunately, there are many eCommerce platforms nowadays that can launch your store in minutes.
One of the most popular choices is Shopify. This eCommerce platform is very powerful and comes with thousands of apps like helpcenterapp.com that will take care of your customer support and also has a live chat software.
Shopify has pre-made store designs you can choose from and you can add your products in a matter of minutes.
When it comes to building your website, the best thing is that you don’t need to be an IT guru to start an eCommerce store. Most of the platforms like Shopify have a user-friendly interface and are very easy to use even for beginners.
You cannot expect that people will start flooding your store with views and purchases. As we mentioned before, the competition in the eCommerce industry is fierce in most niches, which is why you need to establish the right marketing strategy to attract customers to your store.
The best and cheapest way to advertise your products is on social media. The best thing about digital marketing is that nowadays platforms like Google or Facebook let you choose your ideal customer and target such people with your ad.
This will increase your conversion rate on your store since most of the traffic will be interested in the niche you offer.