We all are familiar with brick-and-mortar stores. These businesses line the streets and occupy the mall, and people flock there to purchase goods and services daily. While this is how business has typically been done, the digital era has ushered in a newer, more convenient way to shop. This is e-commerce.
Do you have a storefront that is losing market share? Maybe you are considering starting a business and only want it running online. Regardless of the reasons, operating a company on the web is relevant in the present and the future, so you must occupy that space to be successful.
Not sure how to get started? Here is how to run an e-commerce business.
1. Deciding Your Selling Method
You may have a great idea for a product or want to sell something popular in the marketplace. There is no shortage of goods that people want to buy, but before you start building your inventory, you must decide how you want to sell and to whom.
There are several different models to choose from, and you can do more than one. These include:
B2C
Business to the consumer is your company selling directly to the consumer. You can also sell other companies’ brands.
C2C
With consumer-to-consumer, you use online marketplaces to sell and exchange goods and service
C2B
A customer-to-business model works by individuals selling their products and service to a business
B2B
Business to business is like wholesaling, where another company buys your products and, in turn, markets them.
Then you have various product delivery methods, including:
D2C
Direct-to-consumer is when you sell your wares directly to the consumer without a retailer or wholesaler.
Wholesaling
This has you purchasing products from a manufacturer and selling them on your site
White Label
You can buy generic products from a distributor and put your name and logo on them to sell
Subscription
A subscription model has customers buying products delivered regularly.
Dropshipping With drop shipping, you sell from your e-commerce site, and it is sourced from a supplier that handles inventory, packaging and shipping.
Private Label A private label is a product you manufacture and sell exclusively.
2. E-commerce Fulfillment Services
Running an e-commerce business is not for the faint of heart. It takes lots of hard work with long hours, and you can easily be stretched too thin. On top of that, you need space to house inventory and have a team for taking orders, packaging goods and getting them shipped. Then there is the potential for damaged goods and returns. This can be more than you can handle.
Instead, use an ecommerce fulfillment service to take care of distribution. They have the facilities to automate the entire transaction, including:
- Ordering inventory
- Stocking inventory
- Taking orders
- Order notification
- Packaging
- Shipping
- Customer returns
This way, you can focus on what you do best, like product creation and sales. Let the experts at an e-commerce fulfillment company handle everything else.
3. Find Your Niche and Target Them
Now that you know your method of selling, it’s time to pick the right product to market. It is best to focus on a specific niche and build from there as you find success. You will have a target audience in mind and must position yourself to meet their needs. When your products are unique and focused on your desired customer base, they will be more loyal and likely to purchase, along with repeat business.
4. Have a Great Ecommerce Website
Your e-commerce site needs to be dynamic and inviting so people will stay and make a purchase. You want to have the following:
- Featured products
- Informative articles
- Clear pictures of your products
- Video demonstrating your goods
- Easy access to checkout
- Different pages for categories and products
- Updated blog
- Social media element
Make sure your brand is upfront and centre on all pages so you can build customer recognition and constantly update your site.
5. Build Your Brand On Social Media
Even though you have a brand and a focused niche, you still need to attract customers to your e-commerce site. There is lots of competition out there, and to get noticed and stay relevant, you must meet people where they frequent.
Build your brand on as many social media platforms as you can. Start with the big ones like Twitter, Facebook and Instagram, and then create videos on TikTok and YouTube to enhance your exposure. Make sure all these media posts direct traffic back to your e-commerce site. Get into the conversation, inform, educate and entertain your audience so they think of you first when they are ready to purchase the things your sell.
This is how to run an e-commerce business. How you communicate with your target audience is as important as what you sell them, so be active online and do whatever it takes to drive traffic to your site. Then you can enjoy the sweet fruits of your labour and continue to build your digital empire.