How to Start an eCommerce Business?

Do you have a great product or service that you want to sell online? Maybe you already have a physical business that you want to expand to the online sphere? If you’ve been dreaming of starting an eCommerce business, you are in the right place. We’ll share what skills you need to start an eCommerce business, considerations to make and how to establish your business for success.

The eCommerce sector is booming. With the dawn of the digital age providing everyone with the opportunity to sell their products and services online, the sky really is the limits for potential sales and success. Having an eCommerce business offers a whole host of advantages, from lower running costs than traditional bricks and mortar stores to increased selling flexibility and international sale growth potential.

What Is an eCommerce Business?

For those who have never heard of the term eCommerce before, the first question that comes to mind may be, what is eCommerce?

eCommerce is an umbrella term that covers everything there is to do with buying or selling online. The most popular example of eCommerce is online shopping, which is defined as the buying and selling of goods via the internet on any device. However, eCommerce can also encompass services like internet banking, online ticketing and auctions.

The two main types of eCommerce business models are:

• A B2B (Business To Business) model focuses on providing products from one business to another.
• A B2C (Business To Consumer) model is the traditional structure most people think of. It is a business that sells its products to individuals.

How to Start an eCommerce Business?

Knowing where to start with launching your eCommerce business can feel incredibly daunting. Here is our helpful checklist to help you get started:

• Know what the products or services are that you wish to sell.
• Do your market research, including investigating who your possible competitors are.
• Write down a business plan to outline the costs and the sales targets for your future website.
• Understand the logistics of being able to provide your products or services to your customers.
• Create a name for your business.

How to Choose a Selling Platform?

Unless you are a coding whizz and are confident that you can build a website from scratch, the next step is to choose a platform service that will host and help you design your website. But platform service is right for your business?

The truth is, there isn’t a one-size-fits-all answer.

The best eCommerce platform for you will depend on factors such as your business goals, your technical skills and the size of your ambitions. If you’re creating an online store simply to sell products and make money, then using a marketplace as your eCommerce platform will be the best option.

• Amazon Marketplace - whilst there are plenty of marketplace options out there, out there the largest by far is Amazon Marketplace – third-party sellers are thought to be responsible for over 50% of the 12 million items listed on the site.

But if you want to build a brand, creating an online store will be a better option than Amazon and other marketplaces. There are plenty of eCommerce platforms to help you do this.

• Shopify - if you want the benefits of having your own online store, without the technical hassle of setting up and running it, Shopify will be the best option.
• WooCommerce - you should choose WooCommerce if you’re familiar with WordPress and have the technical skills to create an online store. It’s a plug-in built by the people behind WordPress.com and uses the same, familiar interface as the Content Management System. Its ease of use means that it now underpins over 800,000 online stores globally.
• Magento - probably the most powerful and flexible option around, Magento is the best choice if you want to run a large business with thousands of SKUs and orders per month. Already the platform of choice for global companies such as Ford, Nestle Nespresso and Christian Louboutin.

How to Register a Domain?

Aside from figuring out what to sell, another challenging decision is determining your business or brand name and choosing an appropriate and available domain name. A domain name is the address of your website that people type in the browser URL bar to visit your website. You can buy domain name rights from one of the many domain name registrars, or the website hosting platform you choose will include a domain name in their service.

Ready to Start Your eCommerce Business?

If you are ready to create your eCommerce blog business, it’s time to form your company. You have a couple of options for an eCommerce business — either register a limited company or go the sole trader route. Deciding and completing your company formation can be the most challenging part of starting a business, but it’s crucial to your success. At Mint Formations, we help you form your limited company or self-employed business and take away all the stress that comes with starting a business.

Are you ready to start an eCommerce business? We’ll secure your business name and get your company registered fast so you can start doing what you love.

Download Free e-book – Roadmap to Business Success