Currently the ecommerce industry is in its prime in India. Market conditions of the Indian ecommerce market sales is expected to reach up to 8.8 lakh crore rupees by 2025 and 22 lakh crore rupees by 2029. This is coupled with the exponential growth in internet subscribers. According to a research study conducted by India Brand Equity Foundation, around 940 million people has subscribed to the internet, with 350 million ‘heavy’ users actively participating in online ecommerce market transactions. Government policy wise, 100% Foreign Direct Investment is allowed in Business to Business ecommerce industry. Foreign investments by Walmart and Google into India’s national Flipkart is in record highs.
All in all, it is a great business environment for ecommerce business to thrive.
Why are eCommerce Business Ideas Important?
Normally we have a consumer and seller who wish to deal online in transactions. The platform for this is normally done through am ecommerce business such as an auction item website or an online shopping store. The key is to creating a great ecommerce business website that can attract potential customers.
Thus the initial business ecommerce idea and the website platform is vital to the ecommerce business’s success.
At Gruuz, we provide a variety of ecommerce business websites for sale that accurately reflects these two elements. Offering Indian ecommerce business websites for sale from fashion to electronics, potential buyers can benchmark ideas for business ecommerce and at the same time buy and immediately utilize already existing websites to start their business in a short period of time. These websites are mostly authenticated by Google Analytics and revenue documentation, proving the current successfulness of the website for sale.
Key Factors – What Factors Should Be Considered When Starting an eCommerce Business in India?
There are many key factors to consider when starting an ecommerce business in India. The following we will share are understood as the most important.
1. Identify What Type of Business You Would Like to Enter
Depending on your strengths and weaknesses, identifying what ecommerce business you would like to enter in the beginning is important. For example, if you interesting in traditional clothing such as sarees and garments, you might look to enter the fashion ecommerce industry.
If you are looking to become a successful electronics blogger such as Shlok Srivastava, then entertaining an electronics ecommerce business website and contents website may be the fit for you.
2. Having a Good eCommerce Business Idea for a Specific Market
Starting an ecommerce business is important, but how do we start? The best is to formulate the specific target market for your business. Objectively assessing you.
3. Choosing What Channel to Take Your eCommerce Business
Starting an ecommerce business needs you to choose a marketing and transaction channel (thus ‘electronic commerce’). You can utilize a marketing platform that is linked to a seller store, or you can create an online shopping mall that acts as a payment and distribution platform for your ecommerce business.
Normally we recommend you to buy an existing website that has steady revenue. Website transaction platforms such as Gruuz allows you many choices to accomplish this step of starting your ecommerce enterprise.
What are Some of the Best eCommerce Business Ideas in India?
Here are some of the areas of ecommerce business that are growing rapidly today in India.
1. Niche Apparel
The massive population of India is accustomed to various taste. Thanks to the economic costs of marketing channels such as Instagram and Facebook, with the right search engine modification it is easy to target a certain segment of the entire population. For example the traditional saree may be targeted to older women in their 50s. However targeting a young segment of the population who are interested in traditional wear, GlobalDesi has performed very lucratively in the ecommerce market, selling desi where the silhouettes are of Western style. This fusion between India’s tradition with the Western contemporary style of fashion allowed GlobalDesi to make its mark in the Indian Fashion niche segment of 20s traditional women fashion and apparel.
Gruuz provides ecommerce websites and content websites for sale specified for the niche segment.
Through analyzing Gruuz’s websites for sales introduction, we can link the niche segment of your business item to the existing online platform.
The niche oriented ecommerce business will also be of a reasonable price as this doesn’t encompass all potential consumer demand, but will be adapted to your needs in penetrating your niche segment.
2. Niche Subscription Boxes
This is an online/offline subscription type service for various segments of the Indian population. A monthly fee is paid for niche subscription boxes and the boxes are delivered to your residence or work office at random.
The growth rate of this market is increasing at a high speed, accelerated by the COVID-19 no contact era.
Snackible, a company situated in Maharashtra provides snacks and cookie solutions to workers during in between lunch and dinner time, targeting working workers nationwide with various snacks. The business model is subscription based, with more free snacks granted with larger subscription periods or services.
Gruuz’s content based websites also provide this subscription type model. Integrating Gruuz’s ecommerce competitiveness with the array of content based websites, potential buyers of great ecommerce businesses can implement a subscription model based ecommerce business easily and quickly. If a potential buyer can brainstorm the right combination of matter for a niche subscription box business model, Gruuz can provide the wings to deploying it by providing expertise in the vast array of content based subscription model focused websites up for sale on Gruuz’s platform.
3. Thrift Stores
Thrift stores are a niche market that is very environment and consumer friendly. All you need to do is find a good source of vintage clothing apparel or used items that you can fix or maintain to a good standard. Then using these clothes we upload the collection online. The main process of ecommerce is similar to an online fashion store, the difference is that the goods are of great quality of 2nd hand use.
Gruuz’s ecommerce business website provides many fashion online stores. You can customize the shopping content to the thrift stores online using your camera or cellphone and uploading it on a daily basis. You can then target the niche market through put in SNS channels via GPS and IP tracking to the niche market(in this case Tier 2 and 3 cities) that do not have access to high quality fashion wear.
4. Used Baby Toys Market
Although ranking 101st world wide with the birth rate of 2 children per woman, the Indian baby care products market is on the rise with a Compounded Growth Rate of 17%. Ranging from baby lotions to hand made bibs, the baby care products market is on the rise in India as the average Indian family focus on less children with more care and capital.
Baby products however lack the long consumer product cycle such as a television (on average 10~15 years), as children become bored of their toys easily.
Thus the used baby toy market is growing immensely in India.
The Waldorf Board, for example, is something that is very popular for children between ages 3~5 and many parents are willing to trade online on eBay or Coutloot for used products at half price.
Gruuz provides an array of ecommerce business websites including platforms that connect consumer to consumer sales. The great thing about these websites is that they already have a high user base so the platform is continuously being used by the niche segment. After inducing the good ecommerce idea onto the ecommerce business website, it can be attuned to fit your managerial needs and can see how it performs well with the niche segment. For example you can buy a C2C website and customize it for baby products. If the current user base is readily correlated with the user base, your revenue will increase. If not, marketing and advertising channels will be deployed to inform potential newly-weds and new born parents via Instagram and Youtube channels.
5. Handmade Items in India
Everyday bags and wallets comprise the third most selling category of the ecommerce market. This ranges also from casual bag packs to shopping bags to handmade wallets.
Craftsmen who are skilled in this trade can create vintage handmade bags and sell them online. For example, Maisha Lifestyle is an ecommerce business website specializing in handmade tote bags with genuine Indian embroidery, targeted to sell bags in Gujarat.
If you have a successful hand in embroidery or wallets, this niche market is also a potential area to start your ecommerce business. All you would need is an ecommerce business platform armed with a marketing channel and these business sites can be picked and bought at online website transaction platforms such as Gruuz.
6. Dropshipping
This ecommerce business idea is utilizing a method where you produce upon demand. You first need a 3rd party supplier to provide your updated catalogue when a customer request it. The benefit of this method is that it is not costly to maintain as the supply management overhead costs are minimum.
This method is ideal for those who wish to start the ecommerce business with little money.
Baapstore, Niche Dropshipping are some example ecommerce businesses of good dropshipping ecommerce websites in India.
7. Operating a Print on Demand Store
Print on Demand allows for OEM products such as cups, apparel, handphone cases and etc to be printed for a small quantity by a 3rd party manufacturer, such as Dropshipping. When a certain online order is deposited into your bank account, you use some of the funds to print a cup or a piece of clothing. The only idea you need is to exhibit online a competitive design or illustration you will print onto the item.
The benefit of this method is similar to Dropshipping, you don’t need to buy in bulk as the supply is only needed based on the demand.
8. Operate an Online Delivery Pet Shop
The pet ownership rate in India is over 50% in India, and is expected to climb even more in 2030. Dogs are the most common household pet with 63% of pet owners owning a dog while 42% own a cat. The problem is busy people may run out of pet food or diaper pads and may need some quickly. This is when the online delivery pet shop can shine. After doing some fieldwork and local research, we can start an ecommerce business in a pet-centered area such as Mumbai or New Delhi. Then, after creating a quick distribution network that allows for reliable pet product related delivery, we can open or acquire an ecommerce business website with an SNS channel(provided in many of the business sites at Gruuz’s platform.)
9. Creating Online Educational Courses
Online education has become increasingly popular after COVID-19 hit all industrial sectors hard in 2020. The online education market is expected to with an expected Compounded Growth Rate of 14% per year until 2028. This is especially becoming more important in private tutoring and coaching sector according to an industry analysis report of the Indian Online Education Market in 2021.
If you have a phone, and a great passion to teach through online education, this is your competitive edge. Especially there is a niche for introduction to business management as many Gen Z individuals are not well accustomed to business culture and are eager to learn through online channels.
Gruuz provides various content related websites already built that can host your online education services. This is interlinked with a subscription based business model, or a pay per view model.
Thus if you have computer or a smartphone and a mind to teach, this can be a lucrative business model that will cost very little initial investment.
Conclusion
Creating a ecommerce business idea is the most important step of starting an ecommerce business. However by identifying the right channels, the right marketing campaign and the right platform it can become very successful.
Through acquiring an already made ecommerce business available on website transaction platforms such as Gruuz, you can effectively manage your own unique ecommerce business.
FAQs
Q. What is the Success Rate in the eCommerce Industry in India?
In a survey conducted by Forbes, 90% of ecommerce startups fail within the first 4 months of their launch. In India’s case, it is reported that the ecommerce startups have an 80% failure rate after establishment.
This risk can be decreased through acquiring successfully operating ecommerce businesses on website transaction platforms such as Gruuz. By authenticating the revenue stream of the ecommerce business through local revenue documentation provided by the seller and verifying the user traffic volume through Google Analytics, potential buyers can set up their ecommerce business successfully and quickly.
Q. How Can I Protect My eCommerce Business Ideas Effectively?
When starting an ecommerce business, you have to safeguard it from hacking, buy it from a reliable domain supplier, and create it from a reliable computer expert. This however costs a lot of money and searching costs.
Gruuz’s platform of ecommerce businesses already solved the above mentioned problems. By starting your new ecommerce business through an already existing one, it is less prone to hacking attacks and has proved its operational functions through preliminary usage. Also, there is an already formed client base so all you have to do is tweak the product portfolio to your setting.
Q. What are Some Niche Markets for eCommerce Business Ideas in India?
There are various niche market in the ecommerce industry in India. There are thrift stores that sells used clothing and this can be sold online through a C2C ecommerce platform. E-bay, Coutloot, Quikr are some examples of successful C2C platforms nationwide.
Gruuz provides both national and international ecommerce business websites that can be tailored to B2C or C2C demand and needs. Also, SaaS service website can be integrated with ecommerce business websites to meet the demand of C2C communication on ecommerce business platforms.
Q. Do you recommend buying an existing ecommerce business rather than making it from scratch in India?
Most definitely, yes. The initial cost of making an ecmmerce business from scratch, is tremendous. An online clothing store for example, costs on average 2~5 lakh rupees as an initial investment. This doesn’t equal immediate success, just the sunk costs of starting your ecommerce business.
Gruuz provides a variety of ecommerce business websites for sale that are authenticated by Google Analytics and revenue related documentation. It is much safer and less risky to buy an existing ecommerce business website that is similar to your ecommerce business idea. After managing the existing ecommerce business website, then you can slowly introduce the new successful ecommerce business idea to the market and to consumers.
In the case that the business idea may be unsuccessful, there is still a buffer to lean up on (the existing steady revenue stream of the ecommerce business acquired) and allow you to jump back up again. As a famous boxer once said, ‘Everyone has a plan before they get punched in the face.’ The important thing is being able to get up again after taking a hit. Gruuz provides this buffer by providing successful ecommerce businesses for sale for you to enter into with less risk and more stability.
