How To Launch A Profitable E-Commerce Store From Scratch
By 2040, 95% of purchases will be made via e-commerce. Many people have dreamed about setting up an e-commerce shop. I chalk it up to the rise of Amazon that made selling tangible items online possible for anyone.
However, setting up a store, then coming across all of the issues is enough to give anyone second thoughts. Not to worry. I'm going to walk you through all of the steps involved in launching a profitable e-commerce store from scratch. 🤝
Decide on your niche.
When picking a niche for your e-commerce store, you need to ensure that the products you're selling are relevant to your audience. If you're trying to sell clothes, and your audience is primarily men, then it's probably not going to be a good idea to sell women's clothing.
The first step in picking a niche is figuring out who your target audience will be.
Here are three questions to ask:
Who is most likely interested in my product?
Where do they live?
What other interests do they have?
Once you've answered these questions, you should have a pretty good idea of who your customers will be. Once you know who they are, it's time for some research.
Research your niche market
The next step is researching what niches are popular and profitable right now. You can do this by using Google Trends or looking at forums where people discuss their favorite niches or newest trends in e-commerce stores.
This will give you an idea of what products are trending right now to keep up with the latest trends in e-commerce sales.
You should also ensure that your chosen niche has enough demand to support your business model and goals. If you're looking to sell pet supplies online and only sell $100 worth of merchandise each month, it may not be worth trying to make this work.
Pick a name.
Choosing a good name is one of your most important decisions. Your customers will associate your brand with your product or service, so choosing a name that reflects your brand identity and resonates with potential customers is essential.
Below are some tips for choosing a good name:
Make it short and memorable. You don't want to make customers work too hard to spell or remember your name, so keep things short and sweet!
Ensure it doesn't infringe on another company's trademarked name. If you want to check for any existing trademarks associated with your proposed name, you can do so through the U.S Patent and Trademark Office website (www.uspto.gov).
Consider using natural search terms in your website's domain name — this may help you rank higher in search engines like Google because those terms have more traffic than other keywords within that industry niche market area where your business operates within its given geographic location(s).
If you still need ideas, try one of these business name generators:
Apply for an EIN.
Go to the Employer Identification Number (EIN) application page on the Internal Revenue Service (IRS) website.
Complete all information requested on the screen and click "Continue" to proceed to Step 3 of the application process.
The next screen will display a list of possible entity types and whether an EIN is required for each entity type. Select one of these options:
Individual - A self-employed individual (not employed by someone else) must apply for an Individual Taxpayer Identification Number (ITIN). An individual employed by someone else must apply for an Employer Identification Number (EIN).
Business - A business with no employees but more than one owner may be eligible for an EIN. Companies that are separate legal entities with employees must each obtain their employer identification number (EIN).
Establish a legal structure for your business.
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