Collaborative post – may contain affiliate links
Ecommerce can be a hugely profitable business – if done right. With hundreds of millions of people shopping online every year, it’s a huge market to target, and with the right offer, products and service, nothing is stopping you from establishing yourself.
However, the process of buying in inventory and building a website can be long and drawn out when you’re just starting out – but it doesn’t have to be this way. The following strategies should help you get to a better place in a faster period of time – let’s take a look at everything you need to know.
Sell products over inventory.
A lot of people think that starting an ecommerce business involves stocking up on lots of inventory and storing it somewhere until you sell it. But it doesn’t have to be this way, and in many cases, it’s possible to start out using a tactic called arbitrage. This term is used to describe the process of selling someone else’s product, with you acting as a kind of middleman.
Let’s say that a product is on sale to the public for $20, and the dealer or manufacturer charges you $10. All you need to do is pay the source $10, and they take care of all the shipping for you – and you take the margin. Not only does it allow you to make money quickly, but it also reduces your storage costs – you can efficiently run your ecommerce store without ever seeing the product.
Get the tech right
Assuming you have a great product to sell – and a market that craves it – the only thing stopping you from making some money is the quality of your website. There’s a lot to think about, from finding a host to building the site itself – not to mention all the technical aspects of SEO, UX and conversion rate optimization. If all this sounds overwhelming, don’t panic – there is help available.
First of all, the platform you use can take away a lot of the pain, for a small monthly fee. Sites like Shopify, WooCommerce and BigCommerce are all easy to use and perfect for beginners. You should also try and find a company that specializes in ecommerce hosting to help you get an edge over the competition in terms of speed and scalability. And if you need further help with your online marketing – with SEO, for example – then learning the basics and outsourcing to a third party firm gets you results fast.
Believe in your niche.
Technically, you can sell anything online. But the reality is that it takes time to learn, understand, and develop some passion for a product or a niche. You are far better off starting out with physical products you are already aware of and have a love for – it’s that simple.
Do what you love, and use your passion to impress your audience, create excitement, and earn a lot more money in a lot less time as a result. One thing to remember before we go, however – don’t try and sell things that aren’t popular right now, as it’s very much like flogging a dead horse. Check Amazon bestsellers, and places like watchcount.com to find out the hot products in your niche, and you’ll have a much higher chance of success.