E-Commerce – A Beginner’s Breakdown

If you are in the middle of writing your business plan for an e-store, the universe must have sent you to this page, as we break down the e-commerce business to make it clear to a new entrepreneur exactly what is involved.

Product Selection

The first thing to do is choose a line of products and this is a critical decision; get this one wrong and you are doomed to fail. There must be adequate demand and the items need to have a future; this is not the time to move into a dying industry. Many entrepreneurs go for a niche market, which is much easier to penetrate.

Site Design, Construction & Administration

You need to buy a domain name (.com, .org or .net) and hook up with a web hosting service while hiring a web designer to construct your platform. All of this can be found with a single provider, which does make things a little easier. Of course, you provide the product images and description text and using a platform such as Magento, your shopping cart site goes online and is tested for bugs.

Site Security

Every e-commerce website should have the prefix ‘https’, with the ‘s’ denoting secure. Ask your web designer to buy an SSL Certificate for your site to ensure your customer data is protected. Most online shoppers won’t buy from an unsafe site.

Digital Payment Gateways

Of course, the more options you have, the better; the following should be set up:

  • Direct bank transfer
  • Major credit cards
  • Debit cards
  • Bitcoin
  • PayPal

There are other organisations that can offer you customers zero-interest finance, with 3x monthly payments at no interest! These are worth investigating and this can boost sales, especially during Xmas.

Digital Marketing

The e-commerce sector is extremely competitive and without some form of structure to your online marketing, making an impression is tough. Talk to a leading Australian digital marketing agency and they can help you put together an effective digital marketing plan that will drive traffic to your e-store.


You could start with a few order picker carts and a space to pack and deliver, but once your marketing kicks in, you should outsource picking, packing and delivery to a local 3PL warehouse. Logistics is critical for an e-commerce business; customers expect prompt delivery and with a top-rated 3PL company in your corner, order fulfilment is taken care of.

Product Supply

Ideally, you can buy directly from the manufacturer, otherwise, a wholesaler is involved and that reduces your markup. Sign agreements with suppliers, with clear conditions on what is required from both parties and have your lawyer take a look before making a commitment. Choose wisely, you are only as good as your products.

Now that you have a better understanding of what is involved, we hope your business concept becomes reality and it grows steadily.