eCommerce for Beginners Course Lesson 2 - What is eCommerce and How Does It Work?
Welcome to the second chapter of the eCommerce for Beginners Course from eCommerce Paradise.
This is Trevor, your host. I will be talking about what you need to start an eCommerce business and how you start one. This is going to be an overview of how you start one.
I wanted to go over what the different things are that you're going to need to start. It's pretty simple, but we'll go more into depth in later chapters.
This will focus first and foremost on your business plan.
Before you start your eCommerce business and try to get a website, a domain, and stuff like that, you need to make sure you have a plan. This plan should include what product you're going to sell, plan for driving traffic to the website, and target market.
What product you're going to sell, and who are you going to sell it to?
It's essential to understand who you're selling your product to so that you can develop a tone and message that is brand-consistent with that target market, what they like, who they are, and what they think of themselves.
For instance, if you're selling something to college students, you want to market to them in a fun, trendy, and hip way. Whereas if you're selling to baby boomers, especially like elderly folk, you want to market to them in a way that's more old school, slower, and easier to understand. All these things come into play like colors, fonts, and pictures and things like that.
All that has to do with who your target market is.
Understand that knowing who your target market is has a lot to do with your eCommerce business. You're going to need the domain name, which means you whatever your niches dot com, and you're going to need a hosting package of some sort. And I'll get into those different options later on. And like I said, you're going to need a product to sell or at least a product type or multiple product types. But you've got to choose a niche. That's an important thing.
Niche selection is one of the most critical parts of your eCommerce business. It can literally make or break your business. Your niche, target market, and the products you sell. With that, let's get more into what eCommerce is and understand it a little bit better.
I think it's important to look at different types of eCommerce. eCommerce is basically buying or selling things online.
Many people now have smartphones, a tablet, and have a computer, a laptop computer, and a desktop computer. It doesn't really matter. It's all done online, electronically.
Back in the old days, you look in the 40s, 50s, 60s, people used a lot of catalogs and direct mailings to sell things over. The phone is ubiquitous. Nowadays, a lot of things are done online because people find that it's more comfortable and more of an enjoyable experience. You don't have a salesman breathing down your neck.
Selling online is really easy. I'm going to give you a few different examples. The first one with eCommerce, the one that I do the most is selling physical products online. This is the easiest, especially with pretty much anybody can buy using their phones, like on Amazon.com, eBay.com, walmart.com, wayfair.com. There are so many that it would literally take months to go through the entire list of all these websites that are available now where you can buy stuff online. And yes, it's very competitive, but at the same time, there are lots of openings. There are many sub-niches and different little market segments you can get yourself into and set yourself apart from your competitors. Create your very own eCommerce business.
Yes, there are still opportunities with eCommerce, and it does feel like the wild, wild West out there, still it's a fantastic thing to try.
Another type of eCommerce that you might think about going into is selling digital products or information products. Digital products are anything that you can buy that's deliverable in a digital format. It could be a PDF file, an MP3 file, or a video file format.
Before you, this YouTube video you're watching is a digital product. This one happens to be free. But, I'm going to make other ones that people will pay to have access to. We'll be also be selling an information product, which is a digital product. Some examples would be Amazon e-books and Kindle books. You buy those. And when you read them on your iPhone or your Kindle device, that's a digital product. Apps that you might pay for in the App Store. That's a digital product. And like I said, music out of the items store, Google Play store are digital products. Online courses on Udemy or any other website that sells online courses are great examples of digital products. They can be sold for a lot more as well because they're video-based.
You might not think of this, but software as a service like Adobe Creative Cloud, for instance, is a digital product. It's software, and it's a tool for designers, graphic designers, web designers, video designers to create things with. One more version of a digital product is a service. You can create and serve an agency or even be a freelancer and do your graphic design, web design, copywriting services. Some examples for a platform, are Fiverr or Upwork. Those are some different types of eCommerce businesses that you could create. I suggest starting with physical products. But it just depends on what you think your best is.
If you have a really good skill set already, like you're a great graphic designer, you could consider doing your own graphic design work online. You could find clients online, deliver the content, and deliver the services online as well. You may even create your own agency out of it, where you hire other graphic designers to do work on your brand name.
Lots of different things are available and possible. I myself started with physical product eCommerce, and now I'm moving more into information product eCommerce like Amazon, Kindle, and online courses, for instance. And maybe I'm creating apps later on. So you might go down your own path, but that's simply what you kind of need to get started with eCommerce, see how it works.
I'm going to dive a little bit deeper into how you start those businesses in the next video. You can learn more about different types of physical products, eCommerce, different business models, and other stuff about eCommerce.
See you next time!
eCommerce Paradise was created by Trevor Fenner of Seattle, Washington in 2015 to help you, the entrepreneur, to start and scale your own eCommerce business. Trevor owns multiple 7-figure eCommerce stores and is a digital nomad, traveling the world while working remotely with the help of his team of virtual assistants from around the world. Trevor is currently located in Bali, Indonesia, and is a passionate skateboarder, surfer, scuba diver, photographer, environmentalist, outdoorsman, fitness and tattoo enthusiast.
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