How to start an ecommerce business in India?
If you are thinking about how to start an eCommerce business in India then you are at the right place, here we will discuss how to start an eCommerce business.
Before starting let’s understand what is eCommerce.
E-commerce is a process where a seller sells their product and the buyer buys the same product online through the internet.
“You can’t wait for customers to come to you. You have to figure out where they are, go there and drag them back to your store.”
– Paul Graham said
Now according to some statistics says that in India the e-commerce festive sale season which starts from October 15 to November 15 in 2020 recorded Rs. 58,000 crores (US$ 8.3 billion) worth of gross sales for brands and sellers, up 65% from Rs. 35,000 crores (US$ 5 billion) in 2019.
How to start your own eCommerce business in India with a few steps?
Starting an eCommerce business can be difficult but not impossible. You can start your eCommerce store with your own eCommerce website or you can sell your product through the eCommerce platforms, let’s find out how?
Step 1. Work on your business plan:-
“Customers don’t expect you to be perfect. They do expect you to fix things when they go wrong.” – Donald Porter,
There are two ways to sell your product i.e either with the Single Vendor store or with the Multivendor Store
Single Vendor store:- In a single vendor store you can create your own site with your own trade name. This business plan includes only two parties – a seller who wants to sell his/her products to the customer.
This business plan has low cost and full control over your website, transaction, inventory, and orders.
Multivendor Store:- In this process, you can go for multivendor sites like Amazon seller central, Flipkart seller, and so on. You can also create your own multivendor site where multiple sellers can sell their products and pay you as per your own business model.
Step 2. Decide your niche:-
Yes, to sell something you need to be clear about what to sell and you need to understand what your audience looking for.
You need to do some research to decide on a niche.
Step 3. Decide your Business or a Brand Name
Now after deciding the niche you need to decide on your business name or Brand Name as this will be your legal identity and this will be easy for your audience to find your product also you can do marketing easily for your brand name. The brand name you choose should be easily pronounceable and Unique. Having a brand name or business name make your product safe and secure.
Step 4. Domain Name to create an eCommerce website
Now it’s time to set up a domain name and a website to make the visibility of your products to the audience. Domain plays an important role when it comes to eCommerce business. It acts as a contact point between you and the buyer. An eCommerce website is accessible to the customer 24/7 hours which creates trust between customers.
Step 4. Register your Brand and eCommerce business name:-
Now it’s time to take a step toward starting a brand and eCommerce business in India that registers and completing of all the legal formalities for eCommerce trade.
If you don’t have your PAN (Permanent account number) apply for it and then apply for a digital signature.
After having the PAN and DSC (Digital Signature Certificate) apply for DIN (Director’s Identification Number)
After having all documents just check the availability of your business name through the ROC (Registrar of Companies)
Apply for the business name after receiving the availability confirmation for the same.
Then apply for GST (Goods and services tax) for billing.
Step 5. Open a Current Bank Account:-
Once your company will complete all the legal formalities. Open an account in a bank account can be opened in any bank but the account should be in the name of the company name. Once the bank account will be open you will be eligible for a payment gateway to sell your product through the eCommerce website.
Step 6. Build an eCommerce website:-
Now, you have everything it’s time to go online through the website. Just create a website based on your brand name. You can build your website through a pre-built platform. You can also hire a website development company to create your custom website.
You can use Shopify, WordPress, etc for your eCommerce website. Shopify website has pre-built themes available with plugins or apps and WordPress has also available pre-built themes and plugins to create your eCommerce website beautifully and user-friendly.
Step 7. Payment Gateway:-
To receive payments from customers after placing orders you’ll need a payment gateway for India you can use Razorpay, Paytm, Payu Money, etc.
Step 8. Shipping Partner:-
This step plays an important role because now you have created your eCommerce website, and decided on a brand name, all the legal formalities have been completed but now the question is how the product will be reached the customer. The answer is by shipping Partner for eCommerce. You’ll need a shipping partner to ship your product to the customer asap.
There are a lot of delivery agencies in India you can choose one of them like Delhivery, ship rocket, blue dart, etc.
Now we have done all the things for our e-com business but now the problem is to reach the customer
Step 9. How to reach customers and attract them to your website
There are many ways to attract customers to your store let’s discuss a few:-
As we all know nowadays people are spending most of their time on social media like Facebook and Instagram. So, these social media platforms provide ‘social media marketing services’ options to run the ads. So, you can run ads to reach your customers and convert them into regular customers.
Search Engine Optimization:-
When people need something they just type a keyword on search engines and get the result as per their query. SEO is a marketing strategy to get the attention of a customer online. Many SEO services company are in India provide SEO services for eCommerce.