Online Business: INs & OUTs

Banking Finance News National

In this era of digitalization, where everything can be done online or through internet from booking a movie ticket to buying electronic items, clothes and furniture. Online business becomes an eye-catching zone. The potential of online businesses is well established as it is evident that many businessmen earn millions only through business on E-Commerce Portals. Today every business attained recognition on internet as it has brought tremendous change in everyone’s life. Online business through various E-commerce portals like Amazon, Flipkart etc. give you platform to expand visibility of your products to larger population. Hence, if one is planning to start a small business and earn additional income then online business is the best way to go. One can easily start an online business in a perfect way with a little effort. The only thing is that one should know the ideas to start an online business.Here are some online business ideas which one can choose to start:
Online Selling: if one is looking for online business then nothing is better than to become an online seller or sell goods or product on E-commerce portal like Amazon, Flipkart and Snapdeal etc. The procedure to become an online seller is very easy. One can simply register/sign up on these portals to become an online seller and make money by selling products online. One needs a valid Email ID, Mobile Number and documents to get register on these portals.
Steps to Register to become online seller on Flipkart:
(i) Go on then enter your email ID and mobile no. and click on start selling button.
(ii) Thereafter, create an account by providing name, password and verify mobile number and email ID.
(iii) Enter details of these documents:
GSTIN VerificationDetails of PAN
Bank Account Details
KYC details.
(iv) Add products you want to sell in the categories already mentioned on the Flipkart or add listings. Then update price and stock of the selling product.
Your account will be activated on Flipkart after verification of KYC details and documents added by the seller.
Create “You Tube” Channel:
You Tube is another popular online business opportunity to earn money by uploading videos pertaining to various field of knowledge, Art, Science and culture.
How to create Channel on You Tube:
Sign into you tube and click on user icon.
Click on the gear icon to get access to your account’s you tube settings.
Then click on to create a new Channel.
Select a business name or activity
Add your Brand name and click on to create.
After creating a channel on You Tube, one can post videos which imparts education/training or consultancy, Health & Fitness, Cooking related videos and many more.
Create Websites and Blogs
Creating a website and posting contents and writing blogs is also good source of online revenue generation. Blogging is very popular online business where one can share experiences, ideas, business plans and other things of public utility. People visit your website and you will earn money. The more people visit your websites, the more you will earn.
Apart from these online businesses one can also use online platform for marketing and business promotion. As one can advertise his product on various social media platforms, popular websites and webpages.
Benefits of Doing Online Business
India is growing faster in e-commerce sector and provides good market for online buyers and sellers. India’s E-commerce revenue is projected to raise from US $39 Billion in 2017 to US $ 120 Billion in 2020 which will be the highest growing rate in the world.
Government is also supporting e-commerce sector, startup by promoting digital India programs. There are many benefits to start online business for Online Sellers/ Businessman:
I. Easy Marketing and Advertising: By advertising products online, one need not use traditional method of advertising their product through newspaper, Pamphlets etc. It saves money of their online advertising.
ii. Expanding Reach of Business: By conducting business on internet, one can expand the reach of their products globally where conducting business otherwise can lead only domestic or local customer- connect.
iii. Increased Sales and Revenue: online business increases customer base and the same would result into increase in sales and Revenue Generation.
iv. Reviews: One will get reviews and feedbacks of their products sold on their online portals, which would guide the sellers to improve the quality of their products & services or provide goods as per market demand.
Benefits of online E-commerce Portals for Online Buyers:
Convenience: Convenience is the best perk for online shoppers to buyers. It saves times of buyers as they can shop any time in 24 hours or get variety of goods on cheap and best prices delivered to their homes directly. More option are available to the customers by browsing various portals for variety also.
Hassel free Return or Exchange Process: Many E-Commerce Portals give options of return and exchange of product to buyers. So buyers can exchange or return the goods with one click in online shopping and get refund into their desired account number. This option saves them from the hassle of return of item in case of defective goods by going to shop physically in case of real shopping.
Comparison: Here customer/buyers get choices or make comparison before buying a product or check for different rate of discount rate offered by different ecommerce portals.
Knowledge of Study, Art and Cooking through subscription of videos: One can get access to everything. Be it any topics of study or Art or cooking etc. internet makes it easy to get access to everything just in one go.
Challenges for Online Sellers and how to overcome these challenges?
1. Lack of Proper Knowledge for Launch of Business and Poor Market Analysis: Many times online sellers launch their business without any prior strategy of business and marketing ethics, which results costly to them. Every seller should make plans and do market research before starting any business. One can take tips and learn market ethics by joining seller training programs.
2. No Idea to Select Product: Sometimes sellers have no idea to select or flexible products for sale or they choose product without analyzing the market, demand of products, which result into low sale. Hence seller needs to choose an ideal and hot selling product with competitive rates so that the seller earns profit on the same.
3. Returns and Cancellation of Orders:
One of the most frustrating thing for the online sellers is return or cancellation of orders due to different reasons. Sometimes reason to return are genuine and sometimes fake. To avoid these returns seller should work to ensure best quality products, safe packaging, timely delivery and good customer care service.
4. The Headache of Product Return and Refund: When the product is returned, due to whatsoever reason, whether a customer was dissatisfied or the product was damaged, the business suffers a heavy loss of shipment and reputation. Cost of logistics and shipping have always been scary for those e-commerce sellers who deliver the product for free.
Return and Refund are also part of good customer services, therefore it will be the big mistake to underestimate them. The best thing you can do is build a strong Returns Policy. Consideration should be kept in mind while Designing Returns Policy as mentioned below:
Never hide your policy, be transparent.

Use plain English that even understood by a laymen. Not all your customers who read the policy are highly intellectual.
What the customers can expect from you should be highlighted properly. Provide them with various options for payments and shipping.
Educate your staff about your Return Policy. So, that they can assist customers quickly and effectively.
Be prepared to face the cost of your mistakes. If the product shipped is wrong, then take extra efforts to make the customer happy and satisfied.
5. Products Arriving to Customers are damaged
Customers will be disappointed when they unpack the product, they’ve been anxiously waiting to arrive and it is damaged. They will be less likely to try ordering from your next time again unless you do a great job fixing the situation for them. Replacing the damaged product can quickly become very expensive if it happens frequently.
Not only do you need to send the customer a replacement free of charge, but you’ll need to cover any shipping costs as well.

Solution: Improve Packing Procedures and Shipping Service
This means the majority of the time, giving them the benefit of the doubt. Since you can’t prove whether it was damaged in transit, or by the customer themselves, you will just have to trust that they are telling the truth.
Replacing the product promptly, offering your apologies, and maybe even offering a discount on the next purchase will help make sure poor packing hasn’t cost you a customer. Improve your packing and make sure that you are using durable packing material. More containers will be stacked on your package and jostled around during transit, so make sure it can withstand the weight and remain intact even if mishandled by the shipping staff.
6. Hacking or online security concerns
Cyber attacks and hacking are other major threats to ecommerce sites as there are financial and customer data is stored. So, e-retailers should use fully protected platform like SAAS and there are many more which provide the best services to keep your site secure. Sellers needs to protect their sites by buying best quality of antivirus for their e-selling portals.

Apart from all these there are other major challenges for e-commerce sites which include most customers opt ‘cash on delivery’ mode for payment instead of opting making online payment, Poor internet connectivity and legal barriers. However, all these problems are reducing well with the passage of time.

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