India’s exports contribute around 20% to the country’s GDP. E-commerce happens to be the most convenient way to conduct import-export business on today’s date. Due to this reason, even the FTP 2023 focuses on boosting e-commerce exports of India.
Our country has evolved a long way after the introduction of globalization. India’s manufacturing sector has also seen a 3X rise in FY22. This is leading to a boost in Indian exports.
And do you know what has been more interesting? The growth of the e-commerce sector. The global pandemic years have brought a structural change in the shopping pattern. More and more customers have shifted to online shopping. Reports state that around 2.14 billion people around the world shop online and the number is growing continuously.
The pandemic years gave customers the experience of online shopping, and even now customers continue to adapt to the digital shift.
What are e-commerce exports?
E-commerce exports are the type of exports that assists exporters to sell their products directly to international customers in a digital space enabling them to transcend beyond national boundaries and expand in foreign countries.
E-commerce makes businesses easy. With an e-commerce business, exporters do not need a physical space to sell their products or reach their customers. E-commerce enables exporters to connect with domestic and international customers with ease.
If you are an aspiring entrepreneur planning to start an import-export business, then e-commerce exports can be a very profitable model to adapt for the global expansion of your business and boost your sales. Some of the most popular brands and businesses started small through this online business model and grew from there.
Benefits of e-commerce
There are a wide variety of benefits that you can gain through an ecommerce business.
Lower set-up costs
A physical setup will cost a lot more compared to establishing an online store. Also, it is going to be way more difficult if you plan to establish a physical store in a foreign country. But when it comes to e-commerce exports, you can easily avoid these expenses. An e-commerce export business requires very minimal investment.
Building a physical store can be replaced with product listing on online marketplaces. This will help you save the installation and maintenance costs.
It provides access to the new online marketplaces
A physical store will be placed in a specific location and it will only attract a minimum number of customers. But, establishing an e-commerce business will help you to gain customers from various foreign countries.
You can expand your business all over the globe from the comfort of your home.
Gain new customers
E-commerce business enables you to directly reach new customers without the involvement of any third party. Customers are the most important element of any business and e-commerce business enables a business to expand its horizons and reach customers across the world. With the help of e-commerce, building relationships with your customers becomes way easier.
Easy and cost-effective marketing
When you have an e-commerce business, it becomes easy for you to do cost-effective marketing. It enables you to use digital marketing which helps in saving a lot of money. Here, you do not require to pay huge amounts for big board campaigns or television advertisements to gain more customers. You can make use of various digital marketing strategies to attract more customers and promote your business all over the globe.
Ease of delivery
Customers want their goods delivered on time. E-commerce export programmes make delivery easy by providing various solutions for logistics. With goods being delivered on time, your customers will have a happy shopping experience with your brand.
How to start an ecommerce business?
People think that starting an ecommerce business requires a huge amount of money. But, this is not the case. An e-commerce business can be started with a very minimum investment. All you need to know is the correct tactics and strategies.
Research your business ideas
You need to have a proper plan to start an export business. And, a good business plan can only be drafted when you have well-researched business ideas. You need to figure out which regions where you want to export your products to and the demand for your product in those targeted areas.
Register and list your products
Registration of your business is a major step while starting an e-commerce export business. Once you have completed the registration process, it enables you to list your products on the marketplaces as per your choice and preferences.
Conducting in-depth research
As an entrepreneur, you must conduct proper research and gather knowledge about e-commerce export businesses before initiating one. This includes the study of various aspects related to e-commerce such as target markets, customer psychology, and various government initiatives such as the Advance License, EPCG Scheme, etc. Conducting in-depth research will help you to improve your business in a better way.