4 Key Things to Consider Before Venturing into E-commerce

RESOLVE THESE KEY ISSUES BEFORE YOU GO INTO E-COMMERCE

For many business owners worldwide, but especially in Africa, e-commerce is still an enigma. Using the largest economy on the continent, Nigeria, as an example, a country where over 60% of people now use the internet, the web has become a valuable tool and popular platform for convenient sales, transaction, and marketing. Believe it or not, the Ecommerce business is booming worldwide, and as it stands, many want to open an online store to market their business as well as execute it to the next level.

Agreed, there are few who have actually succeeded and are making abundant revenue via E-commerce, however, there are also many individuals, companies and corporate organizations that have failed as a result of certain reasons stemming from factors they failed to consider before launching.

This article seeks to sensitize the new-comers, and by so doing throw light on 4 of the essential things to consider before venturing into e-commerce in Nigeria, Africa, or elsewhere for that matter.

Key issues prior to undertaking ecommerce

1). Business Plan

Before you set off, ask yourself: What is my niche and how can I start with a competitive edge? If your plan is simply just to sell stuff, you will encounter a lot of difficulties.You need to pick a specialized niche or a new product (or service) that no one else sells (or provides), and go very deep into that category. It has to be something you are very knowledgeable and passionate about. Having an understanding of the uniqueness of certain products (or services), and knowledge of the supply and demand informs your business plan.

Ensure you have a formal business plan that shows off your competence and how focused you are. Also, defer horizontal expansion to later stages.

2). Website themes & design

This is one of the most important things you have to consider as it is vital to attracting people towards your business. Your ecommerce website should not only be charming, catchy and attractive, but also and more importantly, it should be functional - user friendly, easy to use and understand.

Your ecommerce site mut be functional - user friendly, easy to use and understand

Also, you would require website builder tools and personnel, hosting provider or self-hosting, merchant license and a payment gateway. Fortunately, many domain and hosting providers offer free website building tools and that alone can reduce your investment.

3). Product and Services

Ultimately, there is no product or services that cannot be sold or advertised online, however, it is important to conduct research and ascertain the chances of your product or service selling for profit online. For instance, most of the B2B products or services are not internet friendly while B2C otherwise known as business to consumer is highly and extremely successful via internet sales.

Again, and this is an important thing to have in mind, do not try to sell too many products at once, that way you avoid having excess inventory in your early days.

4). Marketing and Supply

Before venturing into Ecommerce, you need to strategize and map out your internet marketing plan as it is a strong decisive factor that determines how successful your online business website or ecommerce becomes.

Consider SEO (Search Engine Optimization) to assist with site rankings, Brand Management for brand value and customer loyalty, also, your presence in social media and Inventory control. If you are not sure of your strategies, you can employ a consultant to provide you with a custom solution.