What is e-commerce?

E-commerce is a process in which we work individually or with companies to buy or sell products through online channels. E-commerce can be done from simple mobile phones or online stores. A simple example of e-commerce is online shopping in which one can order something from the internet. E-commerce aims to generate sales or use digital strategies so that business can run regardless of physical business

Types of e-commerce business

• Business to business (B2B), In B2B, food or services are sold to other businesses.
• Business to consumer(B2C), This is a business in which goods or services are sold to individual consumers.
• Consumer to consumer (C2C), This would be such an individual who would sell his wish or service to someone or an individual.
• Consumer to business(C2B), This is an individual who sells his product or service to a business or organization.
• Consumer to administration (C2A), All transaction in C2A is done between individual and public administration.

What is the future of e-commerce business?

The future of e-commerce is not only about selling or purchasing products but also about creating a personalized experience for the consumer. This means that it understands their needs, preferences, or pain points. Trust and loyalty are built by using technology.

Next 5-10 years the future of e-commerce will be shaped by three key factors the continued growth of e-commerce of mobile commerce, the increasing importance of customer experience, and the rise of social commerce.

6 steps to start an e-commerce business

1. Define your e-commerce business idea

Whether you sell things physically, digital products, or professional services, the first step is to define your business idea. In online business, you define your e-commerce business model or write a business plan that outlines your niche.

During this process, the question that arises is how should you give your product or services to the customers. What kind of permissions or licenses do you need? How many steps do you need to run your business? Your business plan answers all these types of questions and provides a roadmap for upcoming times.

2. Set up your e-commerce business

Once you get your business idea, the second step is to make your business successful. You have to select the name of your business or keep a name that is unique or does not match any other business. Netwallet team recommends business owners to create a dedicated business account for their business. if you perform services you may need an occupational license. You can get it from your country’s local government website, by checking the requirements of your area 

3. Source or create your e-commerce products

Here you can source the products that you want to sell. If you want to sell a physical product you need to make it yourself or work with the manufacturer.

At this point, the key decision is whether you want to order in bulk or keep inventory in stock. Other businesses have developed drop shipping in which the product is produced or sourced at the time when an order is placed.

Other options for sourcing e-commerce products include:

White labeling, or ordering a bulk amount of products from the manufacturer and branding them with your own company’s identity.

Print on demand, where we ask the third party to make things for our company. For example, make T-shirts, mugs, and posters for any company.

Retail arbitrage, or buying discounted products from a retail seller or selling them at a markup price in your store.

4. Make your e-commerce business website

Your e-commerce website will be your storefront. It is a place where customers know about your business, they can get information about your products and buy them.

There is an easy way to create a website, you can make your website in WordPress, it is the most commonly used CMS to create any type of website and provides different features according to your needs. Firstly you need to buy a domain name and hosting,  then create your website.

Set up your online store and add your products to it so customers can buy them. You will not face the issue of delivering products and receiving money. Customers directly transfer money of products into your account at the time of placing the order.

5. Complete your purchase process 

It is the process of getting customer’s purchases in their hands.

Many e-commerce website builders offer shipping label printing, which is the first step in the fulfillment process. Some can add shipping costs to customer’s orders at the time of checkout. You must mention the name of the place on your websites where you’re not delivering products.

If you don’t want to manage order fulfillment, you can outsource it from Amazon or different other marketplaces. The fulfillment of products depends on the size of the products or where it is shipped.

6. Marketing of your e-commerce business

Now your online store is ready to serve your customers as long as they can find your products.

Your business strategy should include these things:

• Omni channel e-commerce, in which you list your products on third-party platforms such as Amazon or Instagram.
• Influencer marketing, in which you give money to famous influencers to market your products. 
• You can run ads for your products on social media so that you can get good sales of your products.
• To optimize your website on search engines, you need to do SEO on your website, so that when someone searches for anything your website is visible on top.
• Email marketing, by sending emails to your past and future customers, when your new product is launched. This is the best way to tell people about your business.

FAQ’s