How to sell online in any country? step by step guide

eCommerce is in rapid growth. internet and explosive growth of mobile phones are fueling this growth further.Companies like Flipkart and Amazon have already crossed billion dollar valuation. If you have a product to sell, this is perhaps the best time to start selling it online. Here is an step by step guide to teach you how to sell online in any country.

Steps Start Selling Online

Selling online in any country for that matter involves various costs. Its important to first find out if you can make good profits after considering all those costs. Lets look at some of the important costs:

Difference between Selling On Marketplaces Vs Own Web Store

Shipping Cost – Visit your nearest courier or shipping company and find out how much it would cost to ship your product in various parts of India. Make a list of states and shipping fee. Normally this cost hovers between 5% to 15% of the product cost depending on the size and weight of the product.

How to Estimate or Set Shipping Costs With Online Stores ?

Packaging Cost – Depending on the type of product you are planning to sell, you will need to consider the packaging cost. Check the different packing material and calculate how much you will need for one product. Calculate the total cost per product accordingly. Normally its between 0.5% to 2% of the product cost.

Payment Gateway Cost – If you planning to setup your own store, you will need a payment gateway. These sites normally charge between 1.5% to 5% of the total transaction. There could be one time setup fee and recurring annual maintenance fees. Last time when I checked, most payment gateway providers had waived off these fees. You can negotiate the transaction fee if you have higher volume.

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Storage Cost – Depending on the product, you might need to rent warehouse or some storage space for your products. Find out this cost as well. Some online marketplaces like Amazon let you use their warehouses at a small fee.

Marketing Cost – Like any other business, you will have to tell the world that you have arrived. Surely, there are free ways to promote your business but at some point of time you will have invest in paid marketing channels. Google’s AdWords is a good platform to start with online ads and it also offers tools to calculate the costs.

How To Marketing Your Ecommerce Site ?

Now that you have a fair idea of different costs involved in selling online, you can do quick math to find out the profitability of your venture. Here is a simple formula :

Profit Margin= Selling price – (Sourcing Cost + Packing & Shipping + Transaction Fees + Marketing Cost + Variable Costs)

If your profit margin is positive, you are good to go ahead and start selling online. If its very low or negative, you should think about minimizing the costs.

Create digital catalogue of your products

If you have passed the profit margin test, now You will need to create a list of products in a excel sheet. Later you will be able to import that list to eCommerce marketplaces or self hosted shopping cart. This list should contain Product Code (SKU), Product Name, Description, Category, Selling Price, Discount (If any), Brand, Colour and other applicable attributes.

Once this is done, take 3-4 good quality photographs of the product from different angles, preferably in white background. Product images play a vital role in online selling, so its recommended to take help from a professional. In some case, you can get these photos from the manufacturer as well.

How to create or design a online product catalog.

Use A Good Inventory Management Software

As you will be dealing with inventory everyday, it might become painful to manage inward and outward stock movement manually. Start using a good inventory management software to track your inventory. Some of the softwares even provide inventory sync option with your shopping cart or marketplace account.

Be Searchable & discoverable online

Your customers are more likely to search for your business before they make any purchase. If they can’t find product reviews or any other information about your business, they might drop off. So, its important to have online presence in the form of company website, social media account or any other channel.

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Best Wishes to start selling online