How to start an e-commerce business in India?

ecommerce business

An undeniable truth said by the richest man in the world, “If your business is not on the Internet then your business will be out of business”. Setting up an online eCommerce business in ushering all over the world. The famous e-commerce site like Amazon, Flipkart, Snapdeal, Shopify, etc. broadcast to us that eCommerce is the upcoming and current future of many businesses. Especially industries like Fashion, clothing & apparel, Electronics, Beauty care products, Household goods and Groceries, Baby Products and Toys and much more can easily benefit by starting an Online E-commerce Business. 

Online E-commerce Business is one of the fast-growing businesses over the past five years. To get visibility online we must have the following four factors;

  • The Best and attractive website design
  • High-quality product image
  • Excellent customer support
  • Sell the best and unique product

 

Start e-commerce business on Shopify this 2022

How to start an eCommerce business on amazon

Steps to Start an Ecommerce Business site

It is estimated by E-commerce Industry in India that the E-commerce business will reach about 99 billion US $ by 2024 and it is increased to the volume of 36% from the 2020 Survey. One should have a proper strategic plan before starting an e-commerce business.

Step 1: Ecommerce Business plan and model

Step 2: Branding

Step 3: Legal Formalities

Step 4: Financial Model

Step 5: eCommerce Website development

Step 6: Payment gateways

Step 7: Logistics

Step 8: Marketing

Step 1: Ecommerce Business plan and model

how to start an ecommerce business

The first and foremost step in the Ecommerce business is the decision-making type of service/product and understanding of the e-commerce business model. The ultimate strategic task in identifying the type of product to start with eCommerce business model should be unique, and not be available on popular eCommerce sites like Amazon, flip kart, and so on. There are two types of eCommerce business model available, 

  • Single vendor eCommerce store
  • Multi-vendor eCommerce store

Single vendor eCommerce store

This model involves only two entities: A single seller and multiple customers. This model gives the seller more control over the product in the seller’s hand. Saki, Streetstyle store, and so on works on this model.

Multi-vendor eCommerce store

This model involves multiple vendors to sell their products to multiple customers. Ecommerce sites like Amazon, Shopify, Meesho, Flipkart, snap deal works on this model.The decision-making comes here in opting to sell the product either in a unique e-Commerce platform or in common platforms where you will be one of the sellers selling similar products.

 

Step 2: Branding

Branding is broadcasting about your product and creating a strong positive perception in the customer’s mind. The factors like marketing, advertising, Name, logo, identity, product and package design, website, trust, value; play a major role in branding your product. The first and foremost in branding is deciding the name for your eCommerce business. The name should be a reflection of what you sell and should be catchy & easy to remember.

 

Step 3: Legal Formalities

The most crucial step in starting an online eCommerce business in India is the registration of the company and meeting all the legal formalities to run the same. To get registered for an eCommerce business in India one should possess Permanent Account Number (PAN) and Digital Signature Certificate to avail DIN – Director’s Identification Number, Goods and Service Tax (GST) certification, if it is a Food product, this involves FSSAI, and food licenses and other license include Shops and Establishment Licence. 

Step 4: Financial Model

Once the registration is done, the next step is opening a bank account. The account should be in the official name of the company and can be opened in any bank. GST registration should be obtained, If the eCommerce business is registered in any of the proprietorship models. Once all these are done, one can operate an online eCommerce website and operate it through a selected payment gateway.

 

Step 5: eCommerce Website development

Building your online eCommerce website right from the scratch is the most advantageous one. The pre-built eCommerce platform is also available in the digital market. But the custom-made eCommerce website has many more advantages than the pre-built eCommerce website platform. The prebuilt eCommerce website can be designed with the famous readymade templates available at WordPress, Wix, GoDaddy, and so on. 

Step 6: Payment gateways

To process an eCommerce business online one should incorporate a Payment gateway. The website should be able to process money through credit cards, debit cards, net banking, and cash card transactions. To get access to any payment gateway for an online eCommerce website in India, one should submit the following necessary documents,

  • Bank account in the name of the business
  • Business Pan card
  • Identity proof
  • Address proof
  • Govt. proof of the firm
  • Canceled cheque of the bank account 
  • Trust Act Certificate 
  • Society Registration Certificate 

On submitting the required documents, your eCommerce website will be granted a payment gateway for online business. The popular gateways used widely in PayPal, Paytm, PayU, and Razor Pay.

Step 7: Logistics

The ultimate factor required in India to carry out the online eCommerce business is Logistics. This involves shipping an order placed by the customer to their place. This shipping process involves tracking the shipped products and which are in transit, and give complete details of the transaction until the product is delivered. The logistics sites in India sch as BlueDart, Shiprocket, Delhivery, Fed Ex, DTDC, DHL, XpressBees and so on.

 

Step 8: Marketing

The strategy required to attract customers to eCommerce websites is Marketing. Marketing involves digital marketing, social media marketing, social media optimization, Branding, paid promotions, Retargeting, advertisements on social media platforms like Facebook and Instagram. The social media platform is the most advantageous one marketing. One can get reach potential customers with Facebook and Instagram Advertisements. At last, the effective reach of online eCommerce business depends on the focus, strategies planned for the business, goals, actions, good teamwork, and finally the patience and perseverance till the end.In India, one can reach infinite possibilities with an online e-commerce business right at this phase. So why wait? Jump to it Now and head towards success. 

BigCommerce Many GEOs
BigCommerce Many GEOs

Disclaimer

We are not the owner or creator of the products which we are mentioning on our site .We collect the data by going to different websites and writing reviews on our blog for the users. Links on this website/blog are affiliate links, which means we will earn a commission when you buy the products by clicking on those links. It won’t cost any extra money to your pocket.