How to Start an eCommerce business in India?

How to Start an eCommerce business in India?


Are you interested in starting an eCommerce business?

We will guide you in an easy and straightforward manner in this blog. We wrote this blog based on our own experiences. As a result of reading this, your understanding of the eCommerce industry will improve, and you will learn how to start an eCommerce business in India.

Electronic commerce is simply known as eCommerce. In simple terms, all goods and services are provided online in a commerce business, which is called eCommerce. We have all seen the impact of Amazon and Flipkart on the Indian economy. It is the power of eCommerce. By 2025, India's e-commerce market is expected to reach 150 billion USD. It is the right time to start.

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How much investment is needed to start an eCommerce business in India? Building a startup takes lots of time, effort, money, and energy. According to us, you will need only a minimum of Rs:10000 to Rs:50000 to set up your eCommerce store with some legal formalities. Here we list out a few things that you should not avoid while starting

# Types of eCommerce - D2C, B2B, B2C
# Research and development
# Single vendor or multivendor platform
# Brand name
# Company Registration - MSME, GST
# Bank account opening
# eCommerce website setup
# Payment Gateways
# Shipment or logistics
# Marketing and promotion

Types of eCommerce

It is important to select the type of category you wish to start before starting an eCommerce store. We briefly introduce the major categories of the industry here.

D2C (Direct to Consumers)

A direct-to-customer model is most suitable for manufacturers who want to market directly to customers. Middlemen take huge commissions from manufacturers when they sell their products. As an example, Amazon charges sellers between 4% and 25% depending on the type of product they sell. To avoid this most businesses started their own eCommerce store.

B2B (Business to Business)

Typically, this type of business is initiated between two businesses. For example, if you make automobile parts or clothing materials, you have no choice but to sell them to another company. As the market is dominated by big players, these types of businesses have limited opportunities.

B2C (Business to Consumer)

The business will have huge market potential that will be commenced between the business and the consumer. This business model is recommended for starters. There is very little risk associated with it. You can purchase products from manufacturers and sell them under your own brand name. The cost of starting is very low. You can also start a marketplace like Amazon or Flipkart. Manufacturers are stuck trying to sell their products at low prices, so they are forced to offer them at a low price. A huge profit can be made by purchasing the product from them and reselling it.

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Research and Development

Every business needs R&D. Even this blog was written with a lot of research. Our suggestion is to go out into the field and analyze the market and capture practical insights from people. Case studies are also available on Google and YouTube that help you understand the market. By simply starting and launching a product you will gain more and more insights that you would not have expected, which will provide you with a long-term roadmap. Honestly, you'll also know whether you're suitable for business or employment as well.

Single vendor or multivendor platform

A single vendor website has only one seller and minimal products. Multivendor sites like Amazon and Flipkart have a broader number of products covering every need of a customer from A to Z. On this platform, you cannot cove.

Among the best eCommerce development companies in Coimbatore, we have an eCommerce website with both single vendor and multivendor functionality. For more information, please contact us.

Brand name

Every person in the world has a name. Our eCommerce store needs a name so that everyone can call it and remind themselves of it. The name should be easy to pronounce, catchy, and liked by everyone. Since we run an IT company, we call it MS IT Park where M represents Maddy Shan and S represents Sridharan Yuvaraja, the co-founders of the company. The following points will help you to understand the value of brand names

# The brand name gives trust and credibility # The brand name gives recognition # The brand name should be used in marketing and advertisements # The brand name will inspire employees # The brand will attract new customers # The brand will give a financial position to the company

Company Registration

Having a registered brand or company only earns you a reputation among customers and stakeholders. In order to create a big company, we must follow all the rules in our ecosystem. This only protects our company. To start legally in India, we must register with the MSME department. In order to run an eCommerce business online, GST is also required. This can be done for a basic amount. It is better to go for a private limited company if you think big, as it will give you a lot more credibility in society. A trademark is also required if you have created a brand. It avoids duplication in the market. These are all the basic things you need to do legally to start an eCommerce business in India.

Bank account opening

In order to operate, an eCommerce business needs a bank account. All accounts must be reported to the tax department, and online payments are necessary. It's not an option to avoid opening a bank account. Our experience suggests that you keep your personal and business bank accounts separate. The advantages of having a bank account include being able to apply for credit cards, get loans, and much more. For more information about opening an account with ICICI Bank and RBL Bank, please contact us.

eCommerce business in India

eCommerce website setup

As a leading eCommerce website development company in Coimbatore, we are ideally suited to discuss this. Check out our eCommerce development page for a brief overview of eCommerce website setup.

Payment and Shipment Gateways

The payment and shipment flow within the website should not be ignored when setting up an eCommerce store online. We integrated Razorpay's payment gateway into our eCommerce model software, as well as Shiprocket's shipment gateway. It is definitely necessary to have a payment gateway in order to collect payments. You will be charged a minimum of 2% for it. You definitely need the help of a shipment gateway to ship your products internationally and domestically. You will be contacted by them and the order will be collected from your doorstep for delivery.

Marketing and promotion

Last but not least, you cannot survive in the market without marketing. It is the backbone of the company. It is imperative to practice marketing methods when launching a brand-new product to determine the most effective way to market it. The mouth of marketing is the best method and produces more conversions than any other method, so you must satisfy every customer. With our digital marketing experience, we will advise you on how to allocate your marketing budget without any hesitation. We are available to discuss marketing in more detail. Here we list out some digital marketing methods for starters.

Content Marketing:

You can use this method for free, but it will only take up your time. If your site doesn't have any good content, you won't get any free traffic from Google. In order to get good traffic to your website, you need to create unique content. Every page on the website needs a meta description, images, videos and other content so Google knows what the page is about. Apart from websites, you must also have a social presence on Facebook, Instagram, YouTube, and LinkedIn. Put regular content on there and drive traffic to your website from there. As well as this, you can create a guest blog post on web 2.0 blogs that will also drive traffic to your website. In this way, you will be able to run your business digitally for the long term.

Social Media Marketing:

Using this method, you can get sudden traffic or sales. Advertise on Facebook and Google to boost your brand's sales. In this way, you will be able to get a quick return on your investment.

We, as a leading Digital Marketing Company in Coimbatore, recommend these two methods for beginners.

About us

A group of experienced tech-lovers created MS IT Park with a dream of giving success to clients. Our 3AAutomation,  Application, and Ads make your business processes more efficient and successful. 


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