E-commerce is growing in popularity. There are around 2.2 billion online shoppers. This means that around 27% of people are digital shoppers. It is predicted that by the end of 2023, e-commerce retail sales will account for around 20.8% of all retail transactions.
The number of online stores is growing and the level of competition is increasing accordingly. It is quite difficult for a new entrepreneur to immediately stand out from other online business players. Many newcomers make mistakes, lose money and abandon the idea of developing their business. The specialists at Arabesco SideralUnipessoal will tell you what steps you need to take to make your e-commerce business a success.
Research your business idea
Before you start an online shop, you need to research your business idea thoroughly, which will help you make important decisions more effectively. There are several ways in which retailers decide what products to sell or create.
Find a pain point or a problem that people have that needs to be solved. Ask yourself: "Who feels this pain the most? Who would be most enthusiastic about solving this problem?"
Being observant will help you find a great product. The best ideas can come from ordinary, everyday events. If you find an audience whose problem needs solving, your cause will have a higher chance of success.
Questions to ask yourself when looking for products to sell
What pain points and problems does the product address?
Are there any shortcomings or complaints about the products you are currently using?
What trends have you noticed in the trade that you can capitalise on?
What comments do you hear from friends and family about the products they use?
What activities do you enjoy? What products could enhance this activity?
Your product is already selling. What next?
If your idea or product is already listed on an online marketplace, don't worry - you have several options. You can offer the same product at a better price or a better alternative.
Read customer reviews of existing products to find out what your competitors are lacking. Analyse the complaints and look for patterns. Then do your research and find out: what steps you need to take to be better than other sellers, and how much it will cost you.
Tips for choosing the right product to sell online
For the budding entrepreneur, it's best to start with products that:
Are easy to package and ship;
Have branding potential
Are accessible to customers;
can be stored for a long time;
Products that the budding entrepreneur should avoid:
Perishable products;
Products with low margins;
Heavy or bulky goods that are expensive to ship;
Highly competitive products;
technically complex products;
Once you have decided what you want to sell and who your products will serve, the next important step is to source the product.
What are the options?
Resell existing products. This is a relatively cheap and simple method. Developing relationships with suppliers can not only provide a stable supply chain for your business, but can also lead to more affordable purchases.
Work with a manufacturer to create your goods. This option gives you greater potential for growth. However, this route can be very difficult for a first-time entrepreneur. However, by creating a new product, you can develop a great brand that will help you stand out from the competition. And that's what entrepreneurs strive for.