How To Start an eCommerce Business and Make Money

Table of Contents

Introduction.

E-commerce has become an increasingly popular way for entrepreneurs to start their businesses and make money.

With the rise of online shopping and digital payments, starting an e-commerce business has never been easier.

However, it’s important to understand that building a successful e-commerce business requires a lot of hard work, dedication, and strategic planning.

In this guide, we’ll explore the steps you need to take to start your own e-commerce business and make money.

From identifying your target audience and choosing the right products to build your website and marketing your business, we’ll provide you with the essential information you need to get started.

Whether you’re a seasoned entrepreneur or just starting, this guide will give you the tools and knowledge you need to launch a successful e-commerce business and generate income online.

What is an ECommerce Business?

E-commerce, short for electronic commerce, refers to the buying and selling of goods and services over the internet.

An e-commerce business is a company that conducts its transactions and sales online. This can be done through an e-commerce website, mobile application, or even through social media platforms.

E-commerce businesses offer a wide range of products and services, including physical products like clothing, electronics, and home goods, as well as digital products like software, e-books, and online courses.

Some e-commerce businesses also offer services such as online consulting or virtual assistance.

One of the biggest advantages of e-commerce businesses is their ability to reach a global audience.

By conducting sales online, these businesses can reach customers from all over the world, without the need for a physical storefront or location.

Additionally, e-commerce businesses can operate 24/7, allowing customers to make purchases at any time of day or night.

Overall, e-commerce businesses have revolutionized the way we buy and sell products and services, providing convenient and accessible solutions for both consumers and businesses alike.

Why Should I Start an E-commerce Business?

In today’s digital age, e-commerce has become a lucrative opportunity for entrepreneurs looking to start their businesses.

With the rise of online shopping and digital payments, e-commerce businesses have become a popular choice for those looking to generate income online.

Here are some of the key reasons why you should consider starting an e-commerce business:

1. Global Reach.

One of the biggest advantages of e-commerce businesses is their ability to reach a global audience.
Unlike traditional brick-and-mortar businesses, e-commerce businesses can operate online, allowing them to reach customers from all over the world. This opens up a whole new market of potential customers and revenue streams.

2. Lower Overhead Costs.

Another benefit of e-commerce businesses is their lower overhead costs compared to traditional businesses.

E-commerce businesses don’t require a physical storefront or location, which means there are no rent or utility costs to worry about.

Additionally, e-commerce businesses can be run with a smaller team, reducing the need for a large staff.

3. Flexibility.

E-commerce businesses also offer greater flexibility compared to traditional businesses. Since e-commerce businesses operate online, they can be run from anywhere with an internet connection.

This means that entrepreneurs can work from home, which offers greater flexibility and work-life balance.

4. 24/7 Sales.

E-commerce businesses can operate 24/7, allowing customers to make purchases at any time of day or night.

This means that sales can continue even when the business owner is not actively working. This provides a consistent revenue stream, even outside of traditional business hours.

5. Scalability.

Finally, e-commerce businesses offer greater scalability compared to traditional businesses. Since e-commerce businesses don’t require a physical storefront, they can grow and expand more easily.

This allows entrepreneurs to scale their businesses at a faster pace, without the limitations of physical space or location.

How do I Start an E-commerce Business and Make Money?

Starting an e-commerce business can be a lucrative opportunity for entrepreneurs looking to generate income online.

However, building a successful e-commerce business requires strategic planning and hard work. Here are the key steps you need to take to start an e-commerce business and make money:

1. Choose Your Niche.

The first step in starting an e-commerce business is to choose your niche. You need to identify what products or services you want to sell and who your target audience is.

Conduct market research to determine what products are in demand and what your potential customers are looking for. This will help you choose a niche that is both profitable and sustainable.

Choosing a niche helps you to be able to decide how your business should be operated.
Also, choosing a niche has a lot to do with research, most of which would answer various questions such as;

1. what kind of product do I intend to sell, physical or digital?

Most people have products that are not physical such as; eBooks, music, images, subscription and other software products, and these products are categorised under digital products.

2. What product category do I intend to focus on?

Most eCommerce websites are based on a single category, such as Fashion, electronics, agriculture, etc. You can decide to take one out of everything or engage all categories on your website.

2. Develop Your Business Plan.

Once you have chosen your niche, you need to develop a business plan. This includes determining your startup costs, setting your pricing strategy, and developing a marketing plan.

Your business plan should also include your revenue and growth projections, as well as your long-term goals.

3. Choose a Business Name and set up a Legal Entity.

The next step to take when you decide to start an eCommerce business is to pick up a business name that would represent your business online and on legal documents.

Maybe, you don’t intend to expand your business; then, you may run a business as a single person, limiting your business’s potential earning capacity.

Getting a business name also ensures that your business complies with your country’s laws and the amount of money you can make.

There are so many ways to get your business registered in your country. Still, if your business is located here in Nigeria, all you need do is visit the official website of the Nigerian government to get started. If your business is located elsewhere, you may need to consult your government.

3. Build Your Website.

Your e-commerce website is the foundation of your business. You need to choose a platform, design your website, and create your product pages.

Your website should be user-friendly and visually appealing, with clear calls to action and a seamless checkout process.

An E-commerce engine is a software framework explicitly built for the sole purpose of Buying and selling.

Your preferred engine should be able to list products and display prices, and process payments. There are various E-Commerce engines, with their myriad pros and cons, a few of them are.

One thing I love about software is the ability to reuse an existing solution. So software developers worldwide are trying to make sure that business software solution is available for reuse.

One standard business solution that has become very popular is E-Commerce; right from the success of Amazon, Alibaba, and eBay, you can see that E-commerce is a business solution that will not leave humanity for a very long time.

This article will focus more on E-commerce solutions that help you handle your business solution, right from inventory, to accepting payments. Here are some of my very few picks for choosing a hosted E-commerce solution.

1. Big Commerce.

BigCommerce is a privately held technology company that provides a SaaS e-commerce platform. The company was founded in 2009 and has 600+ employees with headquarters in Austin, Texas.

Its features include customer groups and segmentation, search engine optimisation, web hosting, etc. Big-commerce is relatively new, but I must confess that they are doing quite well over the years.

They are the most open SaaS e-commerce platform on the market – open APIs, zero transaction fees, and an available partner ecosystem.

However, there is a slightly higher learning curve than a more basic tool like Wix. Brands like Ford, Toyota, Skullcandy, and others in the Fortune 1000 use BigCommerce just so that you know. Their themes are fully responsive and optimised with conversion in mind.

Here is a link to an article to help you get started with Big Commerce.

Why Bigcommerce Is The Best E-commerce Solution For You

TRY IT NOW – BigCommerce.com

2. Shopify.

Shopify Inc. is an E-commerce company based in Ottawa, Canada. One of the main reasons for its platforms is to help small E-commerce businesses and solutions to work better.

Dissatisfied by existing mobile apps and e-commerce products on the market, Tobias Lütke, Daniel Weinand, and Scott Lake built their open-source web application with Ruby on Rails and launched it after two months.

As a result, Shopify has three plans ranging from $29 to $299. Additionally, its enterprise Shopify Plus platform offers custom pricing.

The basic Shopify plans come with the following features. Free SSL, multilingual support and even 24/7 support.

TRY IT NOW – Shopify.com

3. PayHip.

Payhip is an e-commerce platform that allows anyone to sell digital products, courses or memberships directly to their fans and followers.

Anyone can embed Payhip directly into your website, or you can use the inbuilt storefront to sell your work. Payhip is designed to take care of everything because it is an all-in-one eCommerce solution for creators.

Payhip is just one of the leading solutions for digital downloads today; it also supports courses and physical product sales.

Payhip offers support for selling downloads, memberships, and an EU Vat calculation built-in, so you have less to think about when generating your income. The good news is that Payhip is trusted by over 130,000 people worldwide while it keeps growing.

Payhip is particularly compelling because you can sign up for free and access all the features, unlimited products, and unlimited revenue opportunities within this package.

TRY IT NOW – Payhip.com

4. WIX.

Wix.com Ltd. is a web development company based headquartered in Isreal. Wix allows you to create a fantastic website with built-in drag-and-drop tools, making it easy for a newbie to start using it quickly.

Wix is a fast-growing website builder that allows users to upgrade to full e-commerce functionality for $20 per month.

You can also get started with Wix using their mobile app on various stores on Google Play and Apple app store, respectively.

With the Wix basic plan, you get 24/7 support and free template usage. Free SSL, multiple payment options and even global tax and shipping. This functionality mentioned above makes it very easy to get started with Wix.

TRY IT NOW – Wix.com

5. Woo Commerce.

WooCommerce is a fantastic plugin built for WordPress users. Woo-commerce powers over 74 million stores worldwide, bringing the total percentage to over 25% of online stores on the Internet.

I love Woo Commerce because it was one of the first E-commerce tools I got exposed to, and I can thoroughly recommend it to anybody at any time.

WooCommerce is entirely free; all you need is an existing WordPress website, which settles it all. You can also choose to extend its basic functionality by subscribing to paid plugins.

TRY IT NOW – Woocommerce.com

6. Weebly.

Weebly is another web hosting and online builder platform that helps you get started with E-commerce.

It has over 700K paid subscribers all over the world. Another unique functionality offered by Weebly is the built-in marketing tools you get when you get signed up. With Weebly, you don’t have to seek things like Email marketing because it all comes in.

Their eCommerce functionality begins with their $25/month Business Plan, which provides a free domain.

TRY IT NOW – Weebly.com

7. Sellfy.

Sellfy is an all-in-one eCommerce platform created to solve your online sales challenges, such as physical and digital sales.

Sellfy was initially launched in 2001 and, to date, has over 270,000 creators and over 2 Million products presently hosted on its platform.

Sellfy gives you the total capacity as a creator to monetise all your digital products such as eBooks, music, design assets, videos and many others.

Sellfy comes with many exciting features and customisation, most of which include; Digital products and sales of all kinds, subscriptions, the ability to design a beautiful storefront, unlimited marketing options, embedded options, and world-class payment integration.

With just $19/Mo, you can get started with a simple plan on Sellfy.

TRY IT NOW – Sellfy.com

8. Ecwid.

Ecwid is a cloud-based eCommerce tool that allows you to build your online store. Like Shopify, Sellfy, and extensive commerce, Ecwid will enable you to set up ‘catalogues’ of products and add photos, pricing, weight etc., for each item.

You get the opportunity to define shipping rates, accept credit card payments, etc. You also get the key pieces of stuff required on an eCommerce platform.

Configurations on Ecwid do not require you to use additional software as everything is done on your web browser.

One unique feature Ecwid brings aside from every other eCommerce cloud platform is that it does not allow you to create a standalone eCommerce website in the early years of its existence. Instead, all you have to do is design your eCommerce store using cloud-based technology and add it to an existing website or online presence.

In a move to upgrade, Ecwid has added some new functionality, called ‘Instant Sites’, which allows you to create a basic, one-page standalone page.

Ecwid also works by giving you a ‘widget’ that gets placed on other sites hence its name: it’s short for ‘Ecommerce Widget’.

Once set up, you get a few lines of HTML code to add to an existing website or social media profile, and your store is displayed wherever you successfully placed this code.

Ecwid comes at affordable pricing that lets you sell up to 10 products from $0 up to $99, which allows you to sell an unlimited number of products. Need to get started with Ecwid? Follow the link below.

TRY IT NOW – Ecwid.com

9. Debutify.

Debutify is a free Shopify theme designed to improve the overall functionality and performance of your Shopify store.

Additionally, Debutify gives you several times the performance and apps of Shopify’s top themes, with unique features and master training you won’t find anywhere else.

It is the secret weapon of the most prosperous eCommerce business owners. For starters, I highly recommend it!

One of the things I love about Debutify is how easy it is to use. You do not need additional technology to install Debutify in the Shopify stores. With just one click, you can get Debutify installed.

Debutify automatically rolls out updates to both free and paid users. You dont have to do anything to get these updates.

Furthermore, you just get notified when it happens, this allows you to stay on frequent updates when necessary.

It’s also easy to request new features and fixes from them, as they make sure those issues are resolved in their next update.

Debutify comes built-in with more than 50+ add-ons which are created to make life easy for you.

Debutify comes with a free version which enables you to use the basic service such as basic support via chatbots and email.

You also get basic features, like feature requests. If you know you want more additional features, you can upgrade to a paid plan.

TRY IT NOW – Debutify.com

4. Give Your Platform a Proper Design.

User interface and User Experiences are one part and the future of Internet business in general. Your users will vary in their kinds, so be sure to give your website an outstanding design that will be attractive, easy to navigate and understand.

If you intend to use The Woo Commerce Engine for your online store, I recommend purchasing a premium theme from Themeforest.

1. Debutify.