Understanding the factors of Starting Ecommerce Business for Small Businesses
Last Updated on April 15, 2018 by Chuks Amobi
Starting Ecommerce business gives you the flexibility of a lifestyle full of passions, hassle free work-flow, spend less and earn more algorithm, adventurous with understanding what customer needs as long as you follow the right approach.
Nothing is basically simple. It takes a little strength to carefully eat a burger even when someone bought it for you. That’s a typical example of setting up an Ecommerce store.
But in a honest view of it, setting up an ecommerce store is simple. The challenges now fall on building it. A lot of people have won in their journeys as ecommerce store owners and at the same time, many has also lost on the long run.
I just want to bring that to your mind so that you don’t have a one centered mindset about managing eCommerce business. The success of any online business depends on it manages its ideas and customer services.
Starting Ecommerce Business requires
- A clear business plan
- A sound customer support
A visionary ecommerce business plans could be good product ideas, evaluating the product ideas, logistics for product delivery to your customers, storefront branding, the technicality on store maintenance, getting customers to your store through SEO, SEM or Facebook Advertising and more.
On the other hand, customer service or support plays the most vital part for any online business. As an ecommerce owner, you should focus primarily on satisfying what the customer needs.
Customer relation and support is a tough challenge to most online business owners. Some of them are not always sensitive on what happens with the satisfaction of their products or services to their customers. And they lose customers as a result of poor customer services or negative feedbacks.
There’s a common saying that “One good turn deserves another”. Although some customers can be annoying but we should not capitalize on it. If a customers says that “This is not what I expected from your store. I need a refund”. It is a simple and clear demand from them.
There’s always a privacy and return policy that protects products and return requests. If you don’t have it on your store, find a sample and include it on your store which is usually at the footer.
If a customer is not satisfied with what they received and they are still protected from your business return policy then do the needy. Don’t force them to use what they don’t like. It will ignite a bad experience to the customer, your payment method (PayPal) and to you.
I have seen store owners set their goals. They all want to make a $5000 hits per day without taking in consideration the reactions from their customers when the need come. If you sell other people’s products then you should be ready for your customers. If you products are drop shipped, then there’s a wider chance of customer reactions either on the product or delivery.
Now, after deciding to starting eCommerce business, there are two things to put into consideration;
- Are you going to be selling your own products or other people’s products.
- Are you going to be drop shipping.
Selling your own products could be on a limited space for a small business owner. It could also be from your local store or reselling someone else products. The words limited space means that your area of coverage is bound to be limited to one’s environment. One may not need to include international shipping as a starter.
Please read the complete article on selling your own products as a small business owner.
For drop shipping business model, it means that you list products from some supplier’s website, you set up an online store at your own custom price markup and advertise them for people to buy from you. Now, when they eventually buy from you, you quickly buy them from suppliers with the details they used on your store and place the orders using their own address.
Now, your suppliers take the responsibility to ship the items to your different customers while you relate with your customer.
There is a common problem ecommerce owners under drop ship model make. Immediately they order products for their customers, they hang up on them with expectancy that their suppliers will ship their products to them.
But some suppliers may not ship the item within 48 hours depending on the location of the buyers and the item price (especially if they are critically less than $10).
In order to maintain the existence of your online business and as well as retain your customers as a return buyer, just interact with them, feed them back with the current status of their item delivery and never forget to contact your supplier for delivery updates.
To read the complete article on how to effectively build an Ecommerce business through drop shipping, click here.
Now that you have found the two most important factors to starting ecommerce business as business plans and good customer support, you can apply them in your business if you are yet to. Then defining your own purpose as either own product seller or a drop shipper will help narrow your ecommerce journey.
CEO & Founder at Freightya. He loves sharing useful information for small business on importation. He is unbiased in his thoughts. For importation, mentorship, feel free to reach out to Chuks.