So, here you are on the brink of launching a business online. But before starting out the wisest route is to examine every aspect of the venture you are diving in. Our experts have rounded up seven questions that will help you assess your decision from all possible angles.
1. Which products should you sell online?
To explain in broad terms, you can either sell mass produced products or those that are extremely unique. The second option usually reaps better profits as they meet specific customer needs. And the competition is likely to be less. With products which are of common use and widely available, there is also the issue of competitive pricing.
Once the decision has been made, it is time to pick the products you would actually sell. You could deal in a niche that appeals to you. Or products that are easy to brand and promote. Going through recent trends also gives you an idea of what would instantly grab the attention of your target market. Using these techniques, you will be able to zero in on the products you can place in your online store.
2. Is it practical to sell these products online?
There are three things which you need to focus upon at this stage: cost, experience, and shipping.
How much does the material cost you if you create the products yourself? How time-consuming it is? How much does it take to store and bring the product to completion? You must also consider the minimum amount that you require if you buy from a wholesaler or manufacturer.
A physical store can build an ambience which attracts customers and encourages them to purchase. An online store needs to replace that experience with a virtual one. Have clear and appealing images or even videos of your products. Reviews are also your steady friend as many customers rely on that no matter how great the product visuals are. Think about exactly what would urge visitors to buy from you and implement that on your site.
During the process of determining your product, its weight and dimension should be your biggest concern. The heavier and bigger a product is, the greater it would cost for you to ship. If the overall costs turn out to be expensive, it is in indication to rethink all your plans.
3. How will the products be sourced and delivered?
The sourcing of your product is a very important factor to consider. When creating the products yourself you source in raw materials. Calculate their cost and how they need to be stored. There is also the matter of how long it takes to make the product and ship it.
Research is also necessary if you are sourcing from a third party. Finding what you want and sampling them is crucial. Our professional team at GoUp branding agency in Abu Dhabi recommends drop shipping as a great option for contacting third-party suppliers.
4. How does the competitive landscape appear?
Get an overview of your competition. Start by searching online using the keywords relevant to your business. Take note of the stores that pop up in result. This can be done on a social platform as well. It allows you to examine the competitors in your industry and find out their strengths and weaknesses. Then strategize accordingly.
5. Who are your potential customers?
Your branding and marketing efforts are all focused upon your target market. Therefore, identifying who they are should be your primary objective. If you already own a physical business, it is slightly easier as your analytics can reveal them quicker.
While at the point of starting out it can be tricky. But a competitive analysis will help you here also. Analyzing your competitors allows you to see who their target audience are. This provides a foundation for where to start.
6. Which regulations and laws should you know?
Consult with an experienced financial and legal advisor to assist you on this stage. It is important to have them onboard as soon as you start so no major errors occur. Here are a few points you should be careful about:
- Permits and licenses
- PCI compliance
- Shipping restrictions
- Zoning laws
- Copyrights, patents, and trademarks
- Sales tax
7. How functional should your platform be in order to succeed?
Two things must be considered when it comes to the functionality of a UAE ecommerce web design business: the front end and the back end.
The front end is how it appears to your customers. You must have a plan for how you want your website to look like. And which functions it should have. The back end is the side of it which is visible to you as the owner. Analytics, sales, payment processes, stock levels an inventory are all part of that. Strategies must exists for both parts aspects of a business so it can run smoothly and earn profits.
Focusing on these questions will help you see which actions you should take to progress. Building a business, either physical or virtual, takes time and patience. Things would not go perfectly all the time so be prepared to struggle and face setback. Only by overcoming them you can reach the brighter prospects.