Start an E-commerce business: What You Think vs What Really Happens

Right now, it appears that the e-commerce industry is devouring the physical retail world. The rapid growth and increasing number of online stores are fascinating. Successful online stores encourage more merchants to enter the market-capture race.

Many entrepreneurs believe that they will make a fortune in a matter of days or months. When this does not occur, it causes disappointment.

We will discuss such expectations and situations in order to understand the fundamentals of an E-commerce business. We’ll discuss common myths, expectations, and realities that most newbie E-commerce business owners have.

Presumption 1: It’s an early retirement!

Many business owners believe they have all the time in the world. It's because they believe they will only have to work a few hours per day. It's going to be magical; just sit back and relax; everything will fall into place on its own.

Successful e-commerce entrepreneurs who work less than 10 hours per week did not achieve that state overnight. It's not easy to achieve success. They had to work all hours of the day and night to get into such a position. It takes years of hard work and learning by making mistakes and dealing with them.

Presumption 2: I will replace my monthly salary in a matter of months!

That’s wishful thinking.

With your new e-commerce business, you cannot earn your years of progressive salary increases or more in a few months. Nothing is so straightforward. The e-commerce industry is just as tough and ruthless as any other physical industry. There is a lot of competition in this world that you have to deal with. It is a daydream to believe that you are alone and that you will achieve the success of your dreams.

It’s very common to see a large number of people getting into e-commerce. They buy things they can't afford in the hope of making a financial breakthrough. Don't make the mistake of launching a full-time business without a backup income source. You'll need a backup to cover your personal and operational costs.

Presumption 3: Customers are headless.

Most new entrepreneurs believe that their customers have no purchasing power. They purchase what they see and desire. This is completely incorrect, especially in today's world.

Consumers today are more savvy and aware of the market than they were a decade ago. They are impatient and have a short attention span. They have much higher expectations than businesses had before the internet and technology boom.

Presumption 4: I don’t need a website.

Your brand is your personal identity. The first rule of starting a successful e-commerce business is to develop a brand rather than a product. It’s a mistake to believe that if you sell your product on Amazon or eBay, you don’t need a website.

Whether you realize it or not, your e-commerce business has a distinct brand that sets it apart. To make this happen, you'll need a website that will help your product become a "brand." There are numerous well-known e-commerce platforms available, such as Shoplazza or Shopify, that provide excellent tools and flexibility for creating a one-of-a-kind store that meets your requirements.

Presumption 5: Public will begin to pour into my web store.

It's a common misconception that creating and launching a website is sufficient. Many entrepreneurs believe that traffic will begin to flow to their web stores as soon as they are made available.

Many people believe that high traffic guarantees a successful sale. Both approaches are incorrect. To get started, you'll need marketing as well as a user-friendly interface.

Presumption 6: I don’t need to retarget customers.

You must have some loyal customers in order to keep your business running. This does not occur. You must keep their interest piqued by launching promotions, e-mail letters, and discount offers.

Conclusion

An e-commerce business is profitable, but it won’t make you rich overnight.

It’s best to keep your expectations in check when it comes to sales, maintenance, and store development. Making irrational assumptions can lead to disappointment. Which is risky for your company.

(Contributed by Faiza Jalal Siddiqui; Co-author: Clair Feng & Ethan Tang)