If you are looking to start your online ecommerce store to make good revenue from the same here is something interesting fact and information you must know.
With every year there is great rise in ecommerce industry from the previous year it was roughly calculated online retail sale is increased by 20.34 % while comparing to the last year. Which means More and more customer are now engaging with the revolutionary ecommerce industry day by day, people are making more online purchase from websites or mobile devices instead of physically buying from the shops and stores.
Starting a ecommerce website is might sound like huge but believe me it’s not as you are thinking of there are few thing which we must keep in mind before starting the ecommerce store here is some of them
Selecting your Products and Industry
The most important aspect in online selling is selecting your product and industry type, most of the people sometime confuse while selecting the product range because of lack of knowledge, these days you can almost sell anything in ecommerce store from pen to plane but in order to choose the right industry and products here are some interesting thing to remember.
Selecting the right product pricing bracket is very significant, if the product cost is very low-priced then it becomes very challenging to reach in positive ROI simultaneously if the product is too high pricing something over $1000 mark then there is chance of customer of thinking twice before doing purchase, Customer might want to have detailed knowledge of product before buying it and for the same extra customer care cost will added. It is confirmed that product pricing in $100 bracket is always do the best in online sale, people are always finding them comfortable in doing online purchase for these items.
In online business Margins is the difference between your wholesale cost and price you sell the same item in your online store after paying you all your business expenses. The higher your margin the good changes for you to become successful in your online business. Mostly the items are often sold at 30% to 35 % margin and it will change depending upon your industry type. The best chance to have a profitable business is by selecting the product having low cost but still sell at high markup. So before selling any product you must know the margin. Often it’s better to directly contract with manufacture or with wholesale distributer.
The size of the product is also play very an important role in online sales, the big and huge products tend to have high shipping cost which can affect the negative affect in sales. Normally customer wants free shipping fee but it difficult with large and heaver products resulted in effects on products sale. So as an online seller you always looks for the smaller products that don’t require expensive shipping cost.
Selecting the right eCommerce Store.
Now after selecting the product you need to get it up in website and start selling. These days there are two types of eCommerce platform available one is prebuild and ecommerce platform and other is other is your own custom build, there are many reason pre build ecommerce platform (Amazon, eBay, Shopify) etc. would sound more suitable for you as most of ecommerce functionality are ready to use which you don’t even know. On the other hand if you opt of custom build ecommerce (Magento, Woo Commerce) etc. then you need to hire web development partner to build complete robust ecommerce platform for you.
So the question is which platform to choose pre build or custom build, we have worked on many ecommerce platforms over the years two good ecommerce platform very powerful but also having significant results.
Prebuild Ecommerce Platforms
Well if you consider the prebuild ecommerce platform then I would like to recommend to go with Shopify and Amazon. As these two platform are providing everything you required to start your ecommerce business. They are handling hosting , security, card payments etc. which enable the store owners to concentrate on their ecommerce business, Sometimes you might want to change your web store template in that particular scenario Shopify offer wide range of website template and apps for that you need to pay very low monthly changes. Although there are also free apps available which you can also try.
Custom build E commerce Platforms
The Benefit of your own custom ecommerce platform (Magento, Woo commerce) is that it require one time investment to build the store and thereafter there is no monthly subscription like in case of other prebuild ecommerce stores. The custom build ecommerce platform are often free open source ecommerce platforms and that is the main reason they are so much popular in the market also and giving tough competition to prebuild ecommerce platforms, In these open source platform you can do the desired changes in website design and functionality, however the other things website hosting and security needed to be taken care by yourself only. These open source offer thousands of prebuild extensions that will allow you to easily customize the website design and functionalities many of them don’t even require you hiring separate website developer. Most of the plugin or extensions are free but some are paid one which normally charges around $10 to $50.
So if you are looking or an advice I would suggest you to start with Shopify first because as a beginner Shopify will handle all your technical issues and you can concentrate on your ecommerce store. And later on if your feel to setup you own ecommerce store you can opt of Magento or Woo Commerce. You can also compare the all other ecommerce platform globally use in below chart.