Are you thinking of starting a successful ecommerce business in 2023 but unsure where to start? Look no further because in this video, you’ll learn the exact steps to take for a successful online store, shared by experts in the industry. As someone with 15 years of experience running my digital marketing platforms, I know what it takes to thrive in this constantly changing industry.
I believe sharing this video will be valuable for anyone wanting to start an e-commerce business or those looking to pivot their existing business model. You’ll learn why owning your own brand is key to long-term success, how to find profitable products to sell, and how to navigate platforms like Amazon and eBay to validate demand.
About the Creator and Channel
The creator of this video is Steve Chou, an e-commerce expert and the founder of Bumblebee Linens, an online store that sells high-quality linens and handkerchiefs. He also runs a popular blog and podcast; My Wife Quit Her Job, where he shares his knowledge and experience with others who want to start and grow their e-commerce businesses.
You can find more helpful resources and information on his website: My Wife Quit Her Job, and his YouTube channel, Steve Chou.
Three Key Takeaways
- Choose to own your brand and products for long-term success.
- Use tools like Jungle Scout and Alibaba to find profitable products and suppliers.
- Validate demand for your product on platforms like eBay and Amazon before investing in inventory.
Step-by-Step Process
As someone that makes most of my money online, I understand that starting a new business can be daunting, especially for those new to the e-commerce industry. Therefore, I believe that providing a clear roadmap and breaking down the process into manageable steps can help entrepreneurs avoid common mistakes and increase their chances of success.
The step-by-step process covers key topics such as choosing a profitable product, finding a supplier, validating demand, and marketing your business. By providing a detailed explanation of each step, I hope to help entrepreneurs gain a better understanding of the e-commerce industry and the key steps involved in starting an online store in 2023.
Step 1: Choose a Product
“If you’re completely clueless about what to sell, you can leverage tools like Jungle Scout to help you find products with high demand but low competition. Tools like Jungle Scout will allow you to do market research on Amazon to find out how much money every listing makes and allow you to gauge the level of competition.”
Choose a product by identifying a problem you or others have and finding a product that solves it.
When trying to pick the perfect product, I like to think of myself as a problem-solver. From the mundane to the unique, I always put my investigative hat on in an effort to find a solution that works best for me or someone else.
Whether it’s figuring out how to sleep peacefully despite heat waves or envisioning a way for two countries to get along, I believe creative problem-solving can lead us to unexpected places. That’s why when choosing a product, I identify any conditions that could be improved and then search the market for viable options.
It’s likely someone else encountered the same issue before and has created something specifically suited to address it – and that’s what gets my interest going!
2) Find a Supplier
“Now, the goal is to find a supplier who can provide you with the product you want at a price that allows you to make a profit. When it comes to private labels, your goal is to be able to achieve at least a 66% gross margin on your sales.”
If you’re looking to find a supplier for your business, you have many options. You can scour the web for quality manufacturers with sites like Alibaba, hit up trade shows to get up close and personal with new vendors, or seek a sourcing agent who can do the legwork for you.
No matter how you choose to locate your ideal supplier, one thing’s for sure: you must communicate your expectations clearly and ask for samples to ensure the quality meets your standards. Don’t forget to verify the pricing structure and minimum order quantity as well – this is key if you want the relationship to be successful.
With a little bit of elbow grease and prudence in finding the right supplier, you’ll have all the ingredients necessary for an influx of business success!
3) Validate Demand
“Your goal is to validate demand for your product before making a large investment in inventory. You must try to sell them to gauge how well the product will sell.”
If you’re looking to get a business off the ground, plowing right in and investing your resources into building up an inventory can be tempting. However, one of the best ways to validate your demand is to see how well your product sells on platforms like eBay and Amazon.
Or, if you want to create more hype around the launch of your product, try reaching out to Facebook groups and targeting specific users there. You can make any necessary adjustments from the feedback generated before committing too much capital for inventory.
This approach offers a great way to reduce risk and ensure awesome results!
4) Get your Product on Amazon
“One thing that I do differently from other e-commerce business owners is that I always test my products on Amazon first. Amazon owns over 50% of e-commerce and has a large built-in buyer audience. It takes some work to launch a website, so the easiest way to generate sales quickly is to sell on Amazon.”
Amazon is an invaluable tool for expanding your business’s reach to new audiences. To capitalize on this massive e-commerce platform, setting up a seller account and creating a unique listing that Best Practices will help you stand out amongst your competitors. Not only can you organize and keep track of sales, but by utilizing the power of pay-per-click advertising, you can target potential customers.
By leveraging both these strategies, you can generate more sales and create a larger audience that is exposed to your product.
5) Build your Website
Now, the goal is to own your own branded website. If your stuff sells well on Amazon, then you should start working on your website immediately…The goal of having your own website is to establish your own brand, control the customer experience, and differentiate yourself from your competitors.
Create your own website using platforms like Shopify, Shift4Shop, or WooCommerce.
Differentiate yourself from competitors by displaying your unique value proposition and offering excellent customer service. Use email and SMS marketing to communicate with customers and encourage repeat business.
Resources
- Jungle Scout: A product research tool that helps you find profitable products on Amazon.
- Alibaba: A website that connects you with manufacturers and suppliers.
- Terapeak: A tool that helps you see what’s selling on eBay and how much competitors are selling their products for.
- Shopify: An e-commerce platform that lets you set up your online store quickly and easily.
- Shift4Shop: A free e-commerce platform with customizable design templates and built-in SEO.
- WooCommerce: A free e-commerce plugin for WordPress that allows you to sell anything online.
Lori’s Advice
As an expert in digital marketing, I’m always encouraging businesses to focus on creating a unique brand and product that truly solves a need among their target audience. Establishing your own brand is an invaluable way to control the quality of your products and services and build customer loyalty.
It requires patience, persistence, and great customer service to establish your e-commerce business, but it’s all worth it in the long run! Additionally, producing consistent content via blogging, YouTube videos, or podcasts can help position you as an authority and attract more viewers.
To stay ahead of the curve, don’t forget to keep up with the latest market developments – this will ensure you stay competitive and provide your users with the highest quality experience possible.
I encourage readers to use the information provided in this blog as a starting point for their own research and to seek advice from professionals before making any major business decisions.
FAQ
What is the recommended business model for starting an e-commerce business in 2023?
According to the video “Exactly How I’d Build A New Ecommerce Business In 2023 (Full Guide)” by Steve Chou, it is recommended to own your own brand and products and avoid short-term business models such as Drop Shipping, Retail Arbitrage, and Amazon Wholesale.
How do I find a profitable product to sell?
Steve suggests looking at your own everyday problems and finding products that solve them. You can also use tools like Jungle Scout and Ahrefs for market research and to find profitable products with high demand and low competition.
How do I find a supplier for my product?
You can use websites like Alibaba to search for manufacturers, attend trade shows, or hire a sourcing agent. When working with a supplier, it’s important to have clear written agreements and open communication to ensure smooth operations.
How do I market my e-commerce business?
Steve suggests listing your product on Amazon and creating your own website. You can also use email and SMS marketing, blogging, and social media to attract and retain customers.
What is the importance of customer relationships in e-commerce?
Identifying your best customers and providing them with excellent customer service, special offers, and exclusive access to new products or services can increase customer lifetime value and drive repeat purchases.
About Lori Ballen
Lori Ballen is a digital marketing expert, entrepreneur, speaker, and trainer based in Las Vegas, Nevada. With over a decade of experience in the industry, she has become known as a leader in the field of real estate and e-commerce marketing.
Lori is the founder of Ballen Brands, a marketing company that specializes in generating leads and traffic for real estate agents, teams, and brokerages. She also owns several successful businesses, including an Amazon affiliate storefront and a digital marketing academy.
In addition to her marketing and entrepreneur work, Lori is a sought-after speaker and trainer, sharing her knowledge and expertise at conferences, seminars, and online training events. She is also the author of several books on digital marketing, including “The Ballen Method,” a comprehensive guide to lead generation and online marketing strategies.
Lori is a firm believer in the power of education and personal development, and she is dedicated to helping others achieve their goals through her coaching and training programs. She is known for her practical, results-oriented marketing approach and ability to simplify complex concepts into easy-to-understand strategies.
Through her work and personal philosophy, Lori inspires others to embrace their unique strengths and pursue their dreams with passion and determination.
