As an entrepreneur, it is essential to be flexible and determine where you can best reach your potential customers. There are more than 3 billion smartphone users globally. So you may start to think of e-commerce as a medium to strengthen your business. E-commerce is the purchasing and selling of products or services online. It also involves transferring money and necessary data to complete the transactions. The e-commerce business industry is unstoppable and is expected to grow up to 6.3 trillion dollars by 2024. Therefore, it is undoubtedly one of the best times to start your e-commerce business and be ahead of the game.
E-commerce is an evolving industry and is constantly changing. Before we dive into the peculiarities of how to start your e-commerce business, let’s define the most common e-commerce models.
Business to Business (B2B)
B2B e-commerce is when a business sells goods or services to another business. It can involve a manufacturer and wholesaler or a wholesaler and retailer. B2B e-commerce is conducted between businesses rather than between a company and a consumer. It is inter-business e-commerce that typically happens in the supply chain, including raw materials, software, or combination products. Manufacturers also market directly to retailers through B2B e-commerce.
Business to Consumer (B2C)
The business-to-consumer model is the most popular one in the e-commerce industry. Business to consumers refers to transactions conducted between the company and the consumer. An instance of the B2C model is when you purchase a computer or any other goods from an online store.
Direct to Consumer (D2C)
Direct to Consumer is a relatively new e-commerce model. D2C means the brand sells directly to its end customers, without the engagement of retailer, distributor, or wholesaler. Facebook, Instagram, Snapchat are some of the leading social media platforms for the D2C e-commerce model. They directly engages with the targeted audience and conducts direct selling.
Consumer to Business (C2B)
Consumer-to-business e-commerce business model is when an individual or consumer sells a product or a service to a company. C2B includes social media paid advertisements such as influencers marketing, reviews of different goods, and more. It also encompasses the services of photographers, consultants, freelance writers.
Consumer to Consumer (C2B)
Another popular e-commerce model is when a consumer directly sells goods and services to other consumers online. Such models usually involve third-party sites that assist in managing online transactions and generally help bring the customers together. Etsy, Fiver, eBay, Craigslist are some of the most popular platforms for C2C sales. The C2C model allows sellers to keep more profit and enables buyers to purchase a product or service at a relatively lower price.
The benefits of e-commerce
Global marketplace: With E-commerce, you will no longer be limited by geographical boundaries. Instead, you will be able to interact and engage with customers globally.
Availability: E-commerce stores allow you to purchase and sell products 24 hours a day. They make the overall process easier, faster, and less time-consuming.
Reduced financial expenses: You will no longer be required to spend money on staff or renting space. All you will need is a minimal budget for operating and marketing costs.
Customer Experience: E-commerce may allow you to collect, incorporate and use customer information and data to improve your services and make them personalized to the needs of each customer.
How to start your own ecommerce business?
E-commerce business models illustrate that anyone from leading brands and companies to individual consumers can benefit from purchasing and selling their products and services online.
Now that we know the types of e-commerce business models, it is time to explore the step-by-step guide on starting your own business.
The first stage of starting your e-commerce business is perhaps brainstorming and choosing a product you want to sell to your customers. Once you have an idea, you may begin to think of how you will source them. You can manufacture something yourself or find suppliers for your product.
One of the vital steps is analyzing the demand for your product in the marketplace and identifying the companies that offer the same services and products as you will. Remember that competition can be beneficial as it proves an evident demand for the product you want to sell. You may analyze their strengths and weaknesses and come up with innovative solutions that will differentiate you from your competitors.
If you are planning to have long-term success and grow your online e-commerce business in the future, you will most definitely need a business plan. A clear business plan will help you to have a clear strategy, determine the resources you will need along the way, understand the logistics, and have a financial plan for your business. You will be able to define the purpose of your business, your target audience, and how you intend to market your product. A business plan will provide you a solid foundation and a clear vision of what steps you are going to take. It will help to prevent different shortages before they even take place.
At this stage, you may also start to think of different types of e-commerce business models to understand whether you want to sell to other businesses, direct-to customers, or other options. Everything heavily depends on the type of product you choose.
Building your online business
Now that you already know the type of product you want to sell, you have conducted competitive research, and you have a clear business strategy for your e-commerce business, it is time to build it. Choosing ConstApps will help you create a mobile application for your e-commerce business within hours and integrate it with leading e-commerce platforms. For ConstApps, you will not need any technical knowledge about the app development process, which will significantly save your time and resources. ConstApps will provide you with various themes and templates that will guarantee a pleasant customer experience for your targeted audience. Whether it is a gift shop or an audio book store, you will find a perfect match for your business. Coming up with a memorable name and a logo will complete and accentuate the creative performance of your e-commerce business.
One of the most significant advantages of ConstApps is affordability. Avoiding huge investments and depts makes the execution of your project less troublesome. You can start building a mobile application for your e-commerce business with $29 in your pocket. ConstApps also offers custom development, which means you can create a mobile app tailored to your business needs and your customers’ demands.
ConstApps builds mobile apps for Android and iOS operating systems, enabling you to reach a broad customer market. The platform will provide you with advanced features like push notifications, advanced analytics, multi stores functionality, customer success managers, to name a few.
Develop a strategy
Now that you successfully created your online store, you may start thinking about launching and marketing it. Take into account that launching is not the final stage but rather the beginning of a whole new journey. Now that you will have constant interactions with your customers, you will have to be flexible enough to change, adjust, and come up with new innovative solutions for exposing your business. Starting a business online involves minimal risks and low cost in a general sense. If you choose products carefully and have a precise business strategy, you will have many opportunities for long-term success.