E-commerce, is it really profitable?

Discussion in 'eCommerce' started by Anders Kjeldsen, Apr 7, 2016.

  1. Anders Kjeldsen

    Anders Kjeldsen Neophyte

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    Hi all,


    I am new in this forum. I seek advice, as I am doing research to start my own business.

    My big advantage is that I actually have money to start the business and to sustain myself along the way. I don’t need to work a day job while I am launching my business, and I don’t need to attract investors.


    Since I am opening this business with my own money, I am looking for an opportunity with low risk, which with hard work and an initial investment could have a good chance of generating a decent return.


    My eyes have fallen on ecommerce, as it looks like something you can start with a low investment and expand incrementally as revenue grows. But even though ecommerce is growing all over the world, margins seem to be razor thin and completion high. I do not know whether it would actually work.


    Another big doubt I have about ecommerce is that there are so many dubious sites offering you services and promising that they have the formula to make you a millionaire. It makes you wonder if there really is anything in it for a small player, or just a lot of well, suckers like me trying to open an ecommerce, and a lot of vultures feasting on them.


    So I have to questions for you wise people.


    1. Is it really possible to make a decent return on an online store as a small player? Have any of you tried it?


    2. The Internet is full of ‘start your own business with no money, and without quitting your day job’. What about ‘start your own business with money, dedicated only to this’. Any ideas of which industry could give a decent return with low risk?


    Background:

    I am educated in business and political science, I have lived in Brazil for the last four years helping foreign companies inter the Brazilian market. Brazil has market of 200 million people a large penetration of credit cards and a fast growing ecommerce industry. Should any of you be interested in bringing your business to Brazil please let me know.
     
  2. ozzy47

    ozzy47 Moderator

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    What type of items are you planing on selling?
     
  3. Anders Kjeldsen

    Anders Kjeldsen Neophyte

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  4. ozzy47

    ozzy47 Moderator

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    Well that is a pretty important thing, a lot depends on what you are selling if there is money to be made. ;)
     
  5. PoetJC

    PoetJC [ ♥ One-Eyed Jacq Of Hearts ♥ ]

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    I just finished building an eCommerce site for a client who'll be selling hundreds of items. Of course it can be a profitable venture. You've just got to make sure folks know about your product and your site. So you'd need to do a fair bit of advertising. But yes. Definitely worth the time and effort, of course depending on the product(s) your selling and their quality. Welcome to TAZ Anders KjeldsenAnders Kjeldsen

    J.
     
  6. zarood

    zarood Aspirant

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    With 243 million Internet users, India's e-commerce industry is growing at 38 percent year-on-year. Analysts expect the market, which is now $15 billion, to touch $100 billion in the next five years.

    Indian e-commerce industry is expected to spend an additional $500 to $1,000 million on infrastructure, logistics and warehousing, leading to a cumulative spend of $950 to $1,900 million till 2017-2020, a joint study by industry body Associated Chambers of Commerce and Industry of India (ASSOCHAM) and PwC said recently.
     
  7. Felipe01

    Felipe01 Participant

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    Welcome, this board.What type of business you gone to start??
     
  8. NuWebHosting.com

    NuWebHosting.com Enthusiast

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    With Ecommerce, just depends on how many people know about your products and well, really buy them. There are also multiple channels as well. In the long run, it's a very unique venture.
     
  9. Lozza94

    Lozza94 Aspirant

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    More than that, it's about choosing the right niche. You need to choose a niche which is not too saturated, has acceptable profit margins etc.
     
  10. zarood

    zarood Aspirant

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    first to first what type of business you goes to start and where ? then after you think to advertisement of your product or business.
     
  11. Matteo

    Matteo Neophyte

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    Go with what you know. It's much easier and fun if you sell something you have interest in and know about.
     
  12. we_are_borg

    we_are_borg Moderator

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    The niche is important, but you will need to know what your selling. So you must also willing to learn what you are selling.
     
  13. Jamie Hennings

    Jamie Hennings Neophyte

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    Before starting the e-commerce business you will have to be specific what kind of audience you want to address. If you will be able to know your customer base then it will help you in selecting the products. If you want to deal in everything like Amazon then you need to attract sellers because you can't just buy things and sell it to customers. You can work as a platform between sellers and customers.
     
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