Staying indoors is one of the biggest changes the majority of us had to adjust to because of the pandemic. With limited places to go to and so much free time to kill, it was inevitable for a dramatic shift from in-person to online shopping. People are now relying on the digital world more than ever--from buying necessities and paying utilities to socializing and communicating with friends and family.
With these new changes, the eCommerce industry is thriving, and more businesses are forced to adapt and develop strategies that will cater to their customers' needs. If you're planning to go digital and build an eCommerce business, it's important to know the ins and outs first before going live. Here are some tips and do's and don'ts to get you started!
Ecommerce (also known as electronic commerce) is the concept of buying and selling goods and services online to consumers worldwide. Aside from the sale of physical goods online, it's also referred to as the transaction that takes place online.
Since the first online sale that occurred on August 11, 1994, eCommerce has revolutionized the way we purchase and sell products. Today, almost everyone--from independent freelancers to huge corporations — have benefited from eCommerce
This is when a business sells a product or service to a consumer.
Example: Buying a new shirt from an online retailer or booking a massage appointment from a spa business.
This is when a business sells a product or service to another company.
Example: A business selling furniture or software for other companies to purchase and use. e.g. Office Depot and Shopify, respectively
This is when a consumer sells a product or service to another consumer.
Example: Selling your old clothes on Instagram, Etsy, or TradeMe to another consumer
This is when a consumer sells a product or service to a business.
Example: An influencer offering exposure to their followers in exchange for a fee or ex-deal.
Apart from these, there are also different types of eCommerce to choose from, including retail, wholesale, crowdfunding, physical and digital products, services, subscription, and more.
Once you finally figured out your budget and the products and services you're going to sell, the next important thing to decide is which platform to sell. There are plenty of options to choose from, such as building your own website and designing it to your liking, or setting up a shop in an existing marketplace such as Shopify. You can also choose to do both to increase visibility!
Some existing online marketplace to choose from in New Zealand:
Still can't decide? Here are some pros and cons to help you:
Building your own website
|You have complete control over your business||Setting up a website can be expensive and time-consuming|
|Lots of opportunities to develop your brand and personalize your website||You might need to hire a web developer to help you set up your website|
|More ways to market your products and build a relationship with your customers||You need a good marketing strategy to introduce your business online and build awareness|
|Options to analyze your customers' behavior and adapt to it|
|Run promotions and sales to attract more buyers|
If you have decided to build a website, you must include the following:
Selling in an existing marketplace
|Easy to set up and cheap||Many sellers on the platform, which means many competitors|
|More chances of getting customers right away||Less opportunity to personalize and build your brand|
|Add, remove, and update product information easily||Limited way to communicate with customers and fewer marketing opportunities|
|Security issues and technical problems are taken care of by the platform's designated team||There are instances where you have to pay to list an item|
You can always choose to utilize both options to have more chances at increasing your reach. You can cross-link between the two, which is a known selling technique called omnichannel commerce.
Now that you've decided where to sell your products and services, it's time to build your brand, learn how to market your products, and define your ideal customers. It sounds like a lot, sure, but you can take it one day at a time. For starters, here are some tips to consider:
Now that you have an idea of how an eCommerce website works, it's time to start selling! Of course, you will need a fast and reliable connection for seamless online transactions.
Make sure you have the best broadband plan for your online business! Compare the best broadband plans from the leading NZ providers and switch, right here at CompareBear!
Can't decide which e-bike to get? Find the one that works for you in this complete beginner's guide to electric bikes.
With the current state of housing in New Zealand, deciding where to buy a house, let alone starting the hunt, is a challenge. R...