How to Start your own Ecommerce Business in Pakistan
September 14, 2021
The demand for buying products online is rising in Pakistan. Growing internet users and increased use of social media are some of the reasons behind increasing trends. Looking around, you will notice that someone from your friends or family has ordered at least once from an online store or marketplace.
Online buying is so popular in Pakistan that most top brands like Daraz, Telemart, and Ali Express earn big profits through their online sale. Many new eCommerce companies are being registered each week, whereas many existing firms are developing their online stores.
If you are an existing brand looking for an eCommerce website or you are a new entrepreneur looking to start your own eCommerce Business? You’re in the right place to get the desired information.
This article will explain everything you need to know to start an online business in Pakistan. I will also explain what kind of different options you have to sell your products in Pakistan.
Starting a successful online business is more than choosing a brand name, developing an eCommerce website, and listing the product for sale. The most brilliant ideas can collapse if your website is not getting enough traffic, or your product choice is poor. So before investing in your online store, have detailed research and look for all options to start your own eCommerce Business.
If you want to start an eCommerce business in Pakistan, the following five steps will help you to understand the whole process from start to end.
Step1: Check the e-commerce business model that suits you.
Step2: Create your e-commerce business plan
Step3: Register your e-commerce business in Pakistan
Step4: Register domain & develop your online store
Step5: Market your brand to attract customers
1. Check the e-commerce business model that suits you.
The first step towards setting up a successful online store is to decide what you will sell online. Deciding your product is a significant step as it will impact your whole business strategy. It will determine your brand name, website design, marketing strategy, and business model.
For your knowledge, I am sharing these business models. Please look into these as these models will help you better understand the eCommerce process.
- Private Labeling and Manufacturing
- White Labeling
For more detail about these models, please click here.
Remember, always start with fewer products. The e-commerce giant Amazon began by selling online books only, and today Amazon is the biggest online store. So, remember to always start with one niche or, even better, with one product only.
2. Finalize your e-commerce business plan
I am sure you would have completed some homework before deciding to come into the e-commerce business. Now it’s time to dive deeper in to details and have a comprehensive plan of how your eCommerce business will get the desired success. As you have already selected your business model and the products or services you will be selling online. Now its time to finalize your budget, your product price, your profits margin. Taking care of your finances is the most critical thing for your business success. Figure out your breakeven point and minimize the internal and external threats. Neglecting the financial aspect of your e-commerce business will result in the failure of the entire company.
3. Register your e-commerce business
Once you finalized your business model, you are ready to move to the next step. Here your will register your business name. The fundamental business entity you need for starting an e-commerce business in Pakistan is registering for proprietorship, as it is easier to register and maintain. In a proprietorship, you need only an NTN to register. And the good thing is you can do it online. Now that you have an NTN number you are eligible to open a business bank account. visit any bank across Pakistan with two copies of the company letterhead and a stamp. It will take 3 to 7 days to process, and you will have your own account for receiving payments throughout the world. Besides registering the business name, you need to register for a domain and hosting for your business. Although you can postpone domain registration for now but doing it now will help you secure a domain name that matches your business name.
4. Create your online store
Now that you are ready to dive into the world of eCommerce. It is time to design and develop your online store. There are several readymade online eCommerce solutions available in the market. Also, you have the choice of developing your custom online store. Whatever solution you choose, make sure your store can integrate with your local payment gateways. Make sure your online store can be customized according to payment gateways available in Pakistan. Easy-Paisa applications are a popular payment option in Pakistan. Facilitating your potential customers by incorporating these widgets will give you an edge over your competitors.
Look for other aspects like site loading speed, mobile responsiveness, and SEO friendliness of your eCommerce website as well.
Another essential thing to look at while designing an eCommerce shop is the availability and skills of your web developer, as you would be consistently needing a web developer to update different features and fixing code errors. So, while selecting an eCommerce solution, make sure that you choose a web developer or a web development company that you can rely on.
5. Attract your customer to your eCommerce website.
You have narrowed your list. You have selected your registered business name, choose your business model, and have a fully functional eCommerce website. Now you are ready to rule the market, Are you?
No, you are missing one key component of a successful eCommerce business: Digital Marketing.
Yes, you need to allocate a budget to run different marketing campaigns. The aim is to sell products, not to drive traffic to your website. Look for some of the ways you can attract your potential customers. Facebook is an excellent place for starting your marketing efforts. Launch a Facebook campaign to create your brand awareness, offer a free coupon or discount coupon for your subscribers.
Regularly analyze your website performance to see how customers are interacting with your website. Examine you are getting the desired traffic; if not, explore the reason behind low visitor turnout. Another thing could be you are getting enough traffic through your campaigns, but your conversion rate is slow. Investigate the reason behind low conversion.
Make sure you have installed and configured Google Analytics, Search Console, and Facebook pixel to start with. These free tools will help you monitor your website performance. Fixing these leaks will ensure that you are getting enough sales and you are operating in profits.