Everything About E-commerce

What is the exact meaning of e-commerce?

Why e-commerce is the future of current business and what are the benefits of having e-commerce? 

What are the different types of e-commerce businesses?

If you have any of the above questions in your mind then this article is completely for you. 

In this article, we’ll talk about all these above things. Also in the last of this article, I will tell how you can make your first one crore in any business. 

Introduction of eCommerce

What is e-commerce?

So the basic definition of e-commerce is “buying and selling of product/services via the internet is known as e-commerce also e-commerce means electronic forms of commerce

What are different types of e-commerce?

There are 4 major types in the e-commerce business. And I’ll explain to you all these types with help of examples 

  • B2C Business to Consumer: We’ll take the example of amazon prime where amazon (a business) selling their subscription to us (a consumer)
  • B2B Consumer to Business: The most suited example for this is the Wholesaler business selling stuff to the retailer business.
  • C2B consumer to Business: Bloggers are the best example of this. Bloggers providing value through their content to the various business websites 
  • C2C consumer to Business: I think OLX will explain this type of e-commerce where we are selling (consumer) our stuff to other people (consumer)

Why E-commerce Business:

The following three terms will explain to you why there is a need for e-commerce business?

  • Internet Users in India

From this Wikipedia report, you can see India is the 2nd largest Internet user country in the world after China. 56% of the total population is using the internet, from these numbers you can see the potential of the e-commerce industry and how much it can grow.

  • E-commerce market size in India

This data will give an idea about the market size of the e-commerce industry in India. This report is taken from stastita.com and it is clearly showing the e-commerce market size growing continuously. In the recent pandemic we saw, only the e-commerce industry was and other businesses were shut down.

  • People Buying Behavior

In the past, before 2010 people were afraid to buy things online but in the past few years, people’s buying behavior has changed so much. Nowadays a huge no. of pollution is doing online shopping. They are no longer afraid to buy from online stores. 

Benefits of E-commerce

There are multiple benefits of starting an e-commerce business but I’ll explain to you only a few major benefits 

  • 24 Hours Online Store

Your website/app or we can say your online store will open 24×7 to the people. So the limit of the human fatigue problem will solve.  You can take orders from your customers even if you are sleeping.

  • No Physical Presence Needed 

If you are planning to open a new offline shop then you will need a huge amount of investment even before you start selling your product. But with e-commerce, you need only a little bit of investment. You will need a website/app and a few digital marketing skills and you are ready to go.

  • Easy to Retain Customer 

When a customer buys from an offline store then there is a minimum chance that the customer will again come to your store. But when you sell Something online then you will take their contact details and you can send them regular promotional offers afterward, so the chance to retain that customer increases. This is only possible with e-commerce.

How You Can Start Your Ecommerce Business

For starting an eCommerce business you only need 2 things. The first one is the product and the other one is the online setup. First will talk about  Product

  • Product 
  1. Existing product: If you have a family business or your product is already decided then you just need to set up your online store.
  2. product:  But If you are planning to  launch a new product then you need to do some  market research, what will you do in market research is 

Understand the needs of people. And also research about whether people are ready to pay for what they need.

Once you did the market research then design the product according to the needs of your audience. Again check whether your product solving your customer need or not

After that, decide your Target audience. You have understood the people’s needs then you have Designed the product as per that need so the last thing you will need to do is find your exact target audience, like who will buy from you, what is their age, where they hang out. etc

  • Online Set-Up

Once the product is decided then you will need an online setup to sell your product/service online.

  1. Website/ Application: The platform through which you will sell your product/ service to your customer. You can build your own website or you can hire a developer for it. Shopify is the best platform to build an eCommerce store
  2. Marketing: After setting up your online store you can’t just sit and wait for the sales. You will need to do some kind of marketing to promote your business. Digital marketing is the best way to prompt your eCommerce business. 
  3. Seller Account:  The companies like Amazon & Flipkart have huge market caps. you can Set up your seller account on this platform and start selling your products.

How You Can Make Your First One Crore in Any Business 

As promised I am going to tell you about How you can make your First one crore in any business. But first please refer to the image below and go through it.  

So there are four ways to make 1 crore in any business (you can change this number according to the price of your product and service and your business nature)

  • 100 rs. Product to 100000 Customer
  • 1,000 rs. Product to 10000 Customer
  • 10,000 rs. Product to 1000 Customer
  • 1,00,000 rs. Product to 100 Customer

So from the above image and numbers, it is pretty much clear to you how you can make your one crore.  In the beginning, you need to sell 100 rs products to  1,00,000 people.

Selling a 100 rs product is not a big deal in this age. People spend a lot of money by buying stuff they don’t need so if you can sell some useful product/ service that can add some value to the people’s life then no one can stop you to make your 1st one crore.

Firstly, this model does not give you 100% profit but it will give you 1 crore in revenue and trust of that 1,00,00 who brought something from you.

In the next step you can sell them 1000rs product but suppose only 10% from that 1,00,000 customer will buy from you i.e 1000rs Product X 1000 Customer (10% of your current 1 lac customer) so again you can make 1 crore but this with huge profit. That is a simple method of making one crore in any business. 

I hope you like and enjoyed this article. Do let me know your thought in the comment section below or you can also write me at ayazshaikh332@gmail.com

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