In recent times, the e-commerce business has become a very tempting business for tech graduates. With the desire to make billions in a short time, graduates try their luck in the e-commerce business. But they do not know about the dark side of the e-commerce industry. Most of the e-commerce businesses in India are running at loss. ECommerce Website Development Company in Delhi and elsewhere in India build thousands of websites every year but not all are successful today. It is hard to digest but that is the reality of the e-commerce industry in India. People only read in news about receiving millions in funding but that is the case only with few companies like Flipkart, Myntra, etc.
Few e-commerce websites are still in profits. Yes, it is true but there are only a few that you can count on your finger.
Tips to Make Profit in E-commerce Business
·         Do not Think About Funding - It is very tempting when we hear startups getting millions of funding from VCs, but this is something you should avoid at least in the early stage of your business or until you start to make a profit. Once you know everything about your business and start to make a decent profit, you can contact an investor and show your growth. At this stage, you can explain to an investor why you need funding and chances are high that your request will get accepted.
·         Know Your Customer - You have to know and understand your customers very well. Further, you have to regularly keep eye on their reviews as well market reviews. Always remember the customer is everything for your business so if they are not satisfied then you are not on the right track of your business.
·         Affordable Location - Do not rent or buy an office in a costly area. Over the last few years, it has become a trend for startups to have an office in a costly and prime location in the city so they can flaunt it. But why? What is the need to spend too much money on an office location where you can get a much better office at a lesser price in another good location? We run a business to make profits, not showing up at our office location to flaunt people.
·         Workforce Limitation - One of the biggest reason businesses fail to make a profit is the unnecessary employees that they not need. Always hire quality employees rather than quantity and try to keep your employees happy with good salaries then you will see your productivity increase without giving any extra pressure. Always remember hiring is easy but firing is more complicated, not technical but emotionally. Hence, think twice about your employees too since they are dependent on you while working for your company so always hire in limit what your business needs.
·         SEO - When it comes to a profitable online business, SEO is the most important factor. Generally, startups do not want to invest in this since it is a time-consuming process and results come after few months but it is worth your every single penny. As a startup, if you burn your money in TV ads, Paper ads, or PPC where you will grow and get sales but not profits. Further, once you stopped advertising, sales will . But that is not the case with SEO. In SEO you will get customers daily without investing a heavy amount and if you stop investing in SEO then also customers will come since you will appear on the search engine page. So, every online startup business should invest in SEO and digital marketing to secure their future.
Hence, these are some points that you can keep in your mind while running an e-commerce business. Remember, to successfully run an e-commerce business the first thing which you need is an aesthetically designed website with rich UI features. CSIPL, a leading eCommerce website designing company in Delhi, can help you in developing a well-designed, user-friendly website for your business. Make your dream of owning a business true!