If you want to open a shop have you considered going online?
E-commerce has grown rapidly in the past decade and shows no sign of slowing down. Online shopping is now the norm, with many shoppers relaxed about the prospect of using their credit card on the internet.
This is music to the ears of entrepreneurs, business people and even brick and mortar shop owners who have expanded their business online. In this article, we’re going to discuss 3 reasons why every entrepreneur should start selling online through an e-commerce store.
1. Setup costs are significantly lower
On a recent walk through my local shopping centre, I noticed a modest-sized shop available for rent at £549 per week - which amounts to almost £30,000 per year. The position of the shop wasn’t fantastic, located in the far corner of the shopping centre with very limited organic footfall. In addition to the £549 weekly cost, there would be a significant shopfitting investment required before opening a new store in this unit.
Opening an e-commerce shop is significantly cheaper, both in terms of the initial investment and maintenance costs. An e-commerce store can be open without staff and web hosting is significantly cheaper than rent.
2. You don’t need to invest in stock to get started
One of the main reasons entrepreneurs opt against open a brick and mortar shop is the significant investment required for stock. Depending on the type of shop you open, this investment could be anywhere from thousands of pounds upwards.
By using methods such as drop shipping, entrepreneurs are able to open e-commerce stores without any stock any all; simply purchasing the stock from the manufacturer or wholesaler after it has been sold to their customer.
3. E-commerce enables you to reach an unlimited number of customers
By opening a brick and mortar store in a shopping centre, your organic footfall is limited to the amount of people in the centre; this usually isn’t vast for shops with rent under the tens of thousands per month. Even if you choose to invest in marketing, you’re still limited by the population of your town or city.
With an online store, your customer base is almost unlimited - with customers from all over the country (or the world, if you choose to ship internationally). In addition, e-commerce enables you to trade 24 hours a day, 7 days per week without having to pay staff.
In short, an e-commerce store enables anyone to open their own shop without having to break the bank. If you've considered opening a shop in the past or are simply looking for a new business opportunity, you should definitely consider opening your own e-commerce store. Why not contact us at A Tiny Village today to see how we can help?