How to Start an E-commerce Business?

How to Start an E-Commerce Business? E-commerce sales have been widely increasing globally of which India is the fastest-growing e-commerce market. Online shopping has gained so much popularity and has become the favorite way to shop for people among others.

This has not only helped sellers and buyers but has opened a lot of opportunities for electronic commerce operators like Uber, Ola, swiggy, etc. So here’s a detailed guide on “How to start an E-commerce Business?”.

Step1 – Select your product

The very First step on how to start an e-commerce business is to decide on which product are you going to sell online? Your product could be any service or good which may go good online in any particular industry. A variety of products can be chosen like clothing, electronics, cosmetics, food, music CDs, etc. or a combination thereof.

Step 2 – Create and Secure Domain name and website

The domain name through which people can reach you should be created.  Keeping your business name as a domain name will help you to gain a wider reach. Your domain name should also contain keywords that people generally use to search for the product.

Step 3 – Create a great web-design

A great user access friendly design with good base colors and themes matching your business idea will definitely gear your business, for e.g. – Having a feedback or review option in your webpage through which customers can post their reviews or highlighting your best products or discounts with catchy colors – all this as part of the web page will help you build your business.

Step 4 – Build your online store

You can choose templates for your e-commerce business through various websites and app builders which helps to set up your site and marketability e.g. Shopify me. You can also use free trials before any purchase to see if it suits your requirements.

Step 5 – Select your business structure and register your business

The legal status of your business should be decided i.e. you can either be sole proprietor, or firm, or Company. The size of liability and the number of people involved in the business may affect the business structure. For example – Sole proprietor assumes all the liability whereas company shareholders have limited liability.

Once you have decided upon how to start your e-commerce business, you can proceed with the registration of business either by incorporation of the company or forming a partnership deed.

Step 6 – Apply for Business Licenses and tax

E-Commerce business is no excuse from getting various licenses, you need to compulsorily register for GST if you are an electronic commerce operator, and other local licenses with regards to the respective city should be obtained.

Step 7 – Gather Inventory

Inventories should be made ready before proceeding with sales, overstocking is no suggestion but there should be enough to meet orders placed. Suppliers should be chosen whose products are going to be traded and goods thereof must be properly inspected.

Step 8 – Use Social Media for promoting your business

By using Instagram marketing and Facebook marketing one can reach and gain wide access to the market. This will easily help users to find you and give you much wider coverage.

Step 9 – Set up payment modes

Set up with payment gateways where orders can be passed and payments can be processed by such gateways and credited to the bank. Cash on delivery can also be used as payment methods. Various modes like debit cards, credit cards, net banking, cash on delivery should be used to catch various customers.

Step 10 – Set up delivery modes and logistics

Setting up with logistics, recruiting delivery staff, appointing such staff in various localities, setting up delivery channels, and regularly controlling and monitoring them is important to send a product in good condition to customers with proper records and details.