Starting an Online Business Selling Physical Products from Scratch

Starting an online business really isn't any different from building a regular, brick and mortar one, other than the fact that it can be faster and easier!

You can start by putting together a business plan and/or mission statement. Don't be put off by the name, it simply means set some goals and write down what you want to achieve. It could be as simple as "I want to build an annual income of $250,000 so that my family can live a better life". Once that part is taken care of, ask yourself these few simple questions such as:

1. Where will I sell?

While eBay was once the most common option, there are also some great alternatives out there such as Amazon.com, Bonanzle and Craigslist, or you can even set up your own ecommerce store - a great option for those who are looking
for independence from fees and rigid selling structures. eCrater is a great provider for this with their free set-up and zero fees and best of all, plenty of support.

2. What will I sell?

Start by getting some ideas on what sort of products you would like to sell. It's always best to sell things you are passionate about or that you have some kind of experience in, e.g. if you have previously worked in a mountain bike store, you will have plenty of background experience and knowledge. Similarly, if you are a keen golfer, selling golfing accessories might be a good idea for you. Research what some the of best items to sell are to get a few ideas, but don't be tempted to enter into highly competitive markets like iPods and DVDs - you are much better off selling a niche item that will appeal to a very narrow audience and then expanding later (I'll cover this niche market area with more detailed information in the near future).

3. Where will I source my merchandise from?

You will need to find a wholesale supplier to work with. Be prepared to spend some time doing this as it is one of the most important steps in creating a good business.

There are several ways to find a supplier: you can visit trade shows and fairs and get to know suppliers directly, or you can perform some searches online (Google, Bing or Ask.com) for suppliers - just input keyword terms such as: "your product name + suppliers OR wholesalers". However, beware when using this method as it can make you highly vulnerable to unscrupulous con artists. To ensure you only deal with reputable and legitimate suppliers, try a supplier directory like SaleHoo to find verified suppliers which will save you from being scammed. While directories like SaleHoo charge a membership fee, they can save you a ton of money later on when you avoid losing money from being scammed.

There are several important questions you need to ask when you've found a potential supplier - ask questions such as:

Do you have a minimum order quantity (MOQ)?

How long have you been a supplier?

Do you ship internationally? (if you are importing from abroad)

Which companies do you use?

Do they offer tracking information?

So be persistent and get to it! Your dream of being your own boss and earning great incomes from the comfort of your own home is just a few clicks away!

I wish you the Best of Luck.

PS:

Don't forget to check out our July 11 launch of:

Online Selling Tactics - The Ultimate Training Course in How to Sell Physical Products Online:



Tags: Business