An aspiring entrepreneur may have to do various activities to start his own e-commerce business in India. We are giving its step-by-step details below so that any aspiring entrepreneur does not face any inconvenience in understanding this process.
To start an e-commerce business in India, the aspiring entrepreneur must decide between setting up their own marketplace or joining an existing one like Amazon or Flipkart. They can either create their own e-commerce website or sell products through an established marketplace. Joining an existing marketplace offers advantages such as access to logistics and packing materials. However, GSTIN is mandatory for business with any marketplace. If the entrepreneur chooses to open their own online store, they can proceed with the next steps.
Entrepreneurs who wish to start an e-commerce business by setting up their own online store may need to register their business according to the rules. They can choose between sole proprietorships, partnerships, or private limited companies and may require GST registration as per tax rules. Although there are no specific statutory rules for selling products online, legalizing the business properly, including applying for a PAN card and a current account, becomes crucial after registering it. Proper compliance ensures ease in obtaining GST registration and other business-related tasks. Hence, legalizing the business is essential for aspiring e-commerce entrepreneurs.
Now since the entrepreneur who started his own e-commerce business has given legal form to his business. And once the business name is done with the bank account, GST registration, etc., the next step should be to book a domain name matching the business name for your online store. That is to say, every business that is planning to set up an enterprise in this virtual world, that is, to make a name in the digital world, must necessarily require a domain name. Since the domain name chosen by the entrepreneur can be the identity of his business online i.e. his customers may know him by that name, there are many things to consider while booking it. A brief description of this is given below.
After selecting the domain name for your online store, the entrepreneur doing e-commerce business will have to set up an e-commerce website. For this, the entrepreneur can either take the help of a web developer or can contact a company that provides a pre-built online store. If the entrepreneur wants to set up his own custom store, he can do so by approaching a web developer or agency. But if the entrepreneur is willing to take more business-related facilities in the initial phase with less budget, then he can approach any company that provides a pre-built online store. The advantage of this is that the entrepreneur gets various themes and templates related to this business under one package, which he can use to increase his sales.
Now since the entrepreneur started his own e-commerce business has established an online store, but unless a seller is associated with you, will you sell to people? So the next step of the entrepreneur should now be to meet the nearby vendors and urge them to join by telling them the benefits of joining them. Although the entrepreneur himself can buy various goods and sell them online, doing this is not advisable from the point of view of profit in the initial phase. Because in this stage the full focus of the entrepreneur should be to promote his online store and connect more and more sellers with him. Because the more sellers connect to the entrepreneur’s online store, the more variety of products the customers will get.
If an entrepreneur starting his own e-commerce business has associated various vendors with him, then now he will also need a payment gateway. That is to say, a person setting up his own online store needs a payment gateway to process customers’ payments through credit cards, debit cards, net banking, etc. That’s because a payment gateway allows customers to make payments through the website by credit card, debit card, net banking, etc. Hence a payment gateway is required to accept multiple forms of online payment.
When customers make online purchases, it is the responsibility of the online store to deliver the goods safely to the provided address. Therefore, for an entrepreneur starting an e-commerce business, the next crucial step is to partner with a logistics company offering cost-effective services. Low delivery charges are essential to expand the customer base and increase reach. Shipping solutions are integral to any online shopping portal, as customers prefer the convenience of receiving goods at their doorstep. Choose a company willing to take maximum responsibility at a reasonable price to ensure a seamless shopping experience for customers.
Once the entrepreneur completes all the processes to start their e-commerce business, they must tirelessly reach out to consumers. Utilizing Affiliate Marketing can be beneficial, as people can promote the store and earn money while benefiting the entrepreneur as well. Additionally, running ad campaigns on platforms like Google AdWords and Facebook can promote both the store and products. It’s important to remember that earnings are generated when a consumer buys goods from the online store, so exploring new ways to reach consumers is crucial for business success. Partnering with a famous blogger for a sponsored post can also give the store a strong digital identity. By adopting these strategies, the entrepreneur can make their e-commerce venture successful.