Why Start an eCommerce Business?
There is no better business to start right now than an eCommerce store. Nothing else even comes close for aspiring entrepreneurs and digital nomads who are search of scalable income, financial freedom, and early retirement.
eCommerce has gone from being a novelty to necessity in record time. Ecom was asserting its dominance long before the COVID pandemic, lockdowns and shelter-in-place orders put in force making home delivery of essential and luxury goods a critical lifeline, both for consumers and vendors.
Now that people are used to the convenience of online ordering, many of them will never return to the hassle of browsing store aisles. Time is the most valuable commodity in the digital economy, and consumers won’t easily let go of a world where goods and product ad services come to them.
So how much growth are we talking about? According to Statista, eCommerce sat at $1.3 trillion in 2014, a respectable number in its own right. Today it has more than tripled to over $4.2 trillion, with no end in sight.
In fact, with an expected 385% growth quotient between 2014 and 2023 (45% CAGR), Ecom is expected to tip the scales at $6.5 trillion by 2023.
All this for a proven, well-mapped business model with startup costs in the thousands or even hundreds of dollars, compared to the tens or hundreds of thousands of dollars it takes to get a degree, launch a fast-food franchise, or start up another class of business.
The explosion of eCommerce has tracked hand-in-hand with the explosion of digital marketing.
It’s hard to oversell the breakthrough of digital direct-marketing channels like Google ads and Facebook ads. These platforms were sophisticated data-gathering machines, having the ability to understand their users on a deeper level. Entrepreneurs’ were able to use this data for the purpose to laser-target the audience of their advertisements to their most likely prospects.
Digital analytics enabled business owners to see exactly how much they were spending to acquire each lead, to acquire each customer. Moreover, they could calculate exactly how much revenue each lead or customer produced for them on the back end.
If a customer or lead generated more revenue on average than they acquired to cost, the business could then buy growth—double or triple down on a profitable strategy to grow as quickly as they wanted.
It’s just simple arithmetic—spend more, grow more.
E-commerce stores are uniquely positioned to benefit from the ability to buy growth. Once integrated with an automated customer journey, e-com stores can be automated to run like clockwork with minimal input from the business owner.
In other words, early retirement beckons.
Follow the Profit
E-com doesn’t just consume data—it creates it. The web is awash with data about what products are selling right now, who is buying them, and how e-com stores are connecting to those buyers.
What does this mean for aspiring entrepreneurs? It means that they don’t even have to brainstorm a brand-new product to open a store. They can simply follow the breadcrumbs of stores that came before them to:
- Pick a hot niche;
- Discover which products are selling well within that niche;
- Find opportunities to improve the product and capture market share; and
- Build an online store into a brand that becomes a saleable asset.
There’s no need to re-invent the wheel. From the best niches to the best products to the ads that convert … it’s all out there, a blueprint waiting to be copied and adapted.
The Power of Dropshipping
If digital marketing is the left jab, dropshipping is the right hook.
Dropshipping makes it possible for a solopreneur to open an eCommerce store without having to buy or rent warehouse space … without having to order thousands of units upfront … without ever having to touch the products or the packaging. It’s a business that can be run out of a studio apartment, from anywhere in the world.
The basics of dropshipping are as follows:
- Your customer places an order in your online store.
- The order details flow through to the manufacturer.
- The manufacturer makes the product and ships it directly to the customer.
The margins are smaller than with bulk orders, but it’s much less work and upfront risk for the store owner. If the store owner can buy customers for less than the revenue they generate from the store, they have a profitable business.
Store owners can always transition to bulk orders, warehouses, or fulfillment centers in the future to increase their margins once they have their marketing dialed in. But dropshipping is the easiest ways for a risk-averse entrepreneur to get started in Ecom.
Why Do People Fail at eCommerce?
If everyone is doing it … why isn’t everyone doing it? As many people who become millionaires starting Ecom stores, millions of other stores never make a single sale. Why do so many stores fail in one of the fastest-growing market sectors in the world?
- Niche Selection. Not every niche lends itself to explosive Ecom growth. Entrepreneurs who choose niches with their gut, rather than following the data, are gambling.
- Product Selection. Which products are best-sellers? The answers usually come as a surprise. Many more entrepreneurs fail to follow the data to likely winners.
- User Experience. Ecom stores are easy to start, but hard to perfect. Even with user-friendly “DIY” store builders, designing a “buyer’s journey” that actually converts traffic to sales is trickier than it looks.
- Digital Marketing. Similarly, digital marketing is beguilingly easy to start, but maddeningly difficult to get right. It takes commitment and exhaustive testing. Entrepreneurs may not have the money, the patience, even the first idea of where to start.
At Ecom Capital we created our START program to remove these barriers to success for a select roster of dedicated entrepreneurs … visionaries who want to avoid learning things the hard way and instead leverage the insight of experts.
The Ecom Capital START team uses a method for generating the biggest returns for your e-commerce store…
- Start dropshipping Ecom stores that we aim to grow to $10,000 in sales within 90 days.
- Scale those businesses into dominant forces within their niche.
- Mold stores into saleable assets suitable to be sold to investors for multimillion-dollar buyouts.
We do this by …
- Coaching clients to select niches and products from our ever-expanding list of data-driven choices.
- Building the sites with a frictionless buyer’s journey that guides prospects to sales with minimal effort from the site owner.
- Honing digital marketing so the site owner can buy growth and scale without limits.
With over 300 clients generating $10k or more in sales …
With over $80 million in revenue generated this month …
… We’re thrilled to offer the most comprehensive, foolproof avenue to join the eCommerce revolution and help an exclusive tribe of dedicated entrepreneurs finally realize their dreams of financial freedom and limitless prosperity.