There’s some debate surrounding the first item sold online. If you want to take the legitimate route, the first online transaction goes to Dan Kohn who sold a Sting CD to a friend in Philadelphia in 1994.
Decades later the eCommerce space has evolved into a multi-billion dollar market. Statista reports that U.S. eCommerce revenue will exceed $1.3 billion this year, driven by website builders, payment gateways, and social media.
It’s a global money-making machine powered by website builders, payment gateways and social media. The concept of buying and selling products online has morphed into a daily habit, based on convenience.
Staking your claim in the eCommerce sector is hard work. That’s not to say it can’t be done. Follow our beginner’s guide to setting up your eCommerce store to get you started on the right foot in 2025.
Target Audience
A crucial piece of the puzzle is identifying your target audience. Most businesses tend to sell items that address a customer’s needs, whether a digital product, software or something physical.
Start with selecting a niche. But, don’t enter an already saturated market dominated by major brands. You will find a lot of them around in 2025 and beyond.
The challenge is getting the attention of your intended customer. Spend time researching your competition and how to place your product within easy reach of your audience. This will be part of your marketing strategy.
Types of Business Models
A business model is imperative for operating a successful company. There are five types of models:
Business to Consumer (B2C)
The business-to-consumer model involves commerce between a business and individual consumers.
Direct to Consumer (DTC)
The direct-to-consumer model is often confused with B2C, but they differ: B2C generally refers to retailers selling to consumers, while DTC involves brands or manufacturers selling directly to customers.
Business to Business (B2B)
Business-to-business refers to commerce between two businesses.
Consumer to Consumer (C2C)
The consumer-to-consumer or peer-to-peer model involves one consumer selling a product or service to another.
Consumer to Business (C2B)
The model involves consumers selling their products or services to businesses or organizations.
Building Your Online Store
Brand identity should be at the heart of your eCommerce store.
Some AI website builders allow you the freedom to pick and choose templates that align with your design goals. However, once you scale, your business needs become more complex.
Another option is to custom-design a website from scratch and integrate a payment gateway that offers real-time solutions to problems you might encounter.
For instance, access to vendor support ensures a smooth integration process with your standalone website.
Payment Gateways
Finding the right eCommerce solution is like hunting for a needle in a haystack. Go with a trusted partner with years of experience to show for it. Let them handle the complexities while you focus on business growth.
According to PayPro Global, here’s what to look for in a successful eCommerce partnership:
- Simplification of global tax and compliance
- Automated sales tax management
- Localized checkout
- Multiple payment methods
A solutions-driven company that ticks all these boxes is worth the investment.
Marketing Essentials
Don’t be scared to adjust your business and marketing strategy if it’s not working. Strategies are meant to evolve and finding the right one is fundamental to your online store’s success.
Search engine optimization (SEO) is a marketing strategy that optimizes your eCommerce store to improve its rankings on search engines like Google.
Don’t discount the power of email marketing. The strategy is known to increase ROI and keep communication open between you and your customer. Email marketing includes newsletters, announcements, discounts and deals.
While the average clickthrough rate for emails remains at 2.6%, don’t let it dissuade you from leveraging it to direct potential customers through the sales funnel.
Customer Engagement
How did Apple become one of the most successful companies in the world? Two words: brand loyalty.
It doesn’t matter if you’re a startup, SMME or big corporation; every business strives to emulate that type of victory.
A way of fostering brand loyalty is constantly engaging your customers. CX Network says a cut-and-paste approach isn’t going to do you any favors. Stay away from generic responses and email overload.
Instead, communicate with customers using creativity and brand personality. Simplifying interactions also goes a long way. Use AI tools to cut through mundane tasks and multiple online channels when engaging them.
Key Takeaways
Now that you’ve learned the basics of starting your eCommerce store, remember the fundamentals: know your audience, choose your business model, source a trusted payment gateway and always engage your customer.
