How To Start eCommerce Business In Nigeria-Starting an eCommerce store in Nigeria is a question many of us wonder about a bit. As it is, Nigeria’s Economy is going cashless and almost everybody is going online for business. It is done in many ways over tablets, computers, smartphones, and other smart devices. I will be teaching you how to Start eCommerce Business In Nigeria.
What is E-commerce?
E-commerce is an abbreviation of Electronic Commerce. E-commerce is an online store that involves buying and selling goods and services online or over the internet. Nigeria is over 180 million in population, and as of 2020, Nigeria contributed to the e-commerce market with US$5 Billion.
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Types of eCommerce:
There are 6 basic types of e-commerce, these are;
1. Business-To-Consumers (B2C) :
In this kind of business, the seller sells directly to the consumers without a third party. B2C is one of type of e-commerce. That means a seller is contacted directly by a buyer and purchased a product without any other middle person.
2. Business-To-Business (B2B):
Business-to-business is a way of doing business with other companies. It refers to companies or salespersons who sell products to other businesses rather than consumers. Take for example a beverage company buying CMS directly from a chemical company.
3. Consumer-To-Consumer (C2C):
Consumer-to-consumer is a kind of business model that enables consumers to trade with each other. Or simply, it means individuals selling to individuals, rather than businesses selling to individuals.
4. Consumer-To-Business (C2B):
C2B is a business model where an end-user or consumer provides a product or service for an organization. An end-user simply means someone who uses or intends to use a product.
This is similar to B2A. This is where a consumer sells or provides services to the government or public administration.
The Business-to-administration model involves interaction between companies and public clients. Public clients include the state, public administration or authorities, and the community. B2A is also known as B2G. B2G is an acronym for Business-to-Government.
Steps To Start an eCommerce Business In Nigeria
If you want to start e-commerce in Nigeria, like the likes of Jiji, Jumia, etc, there are steps you must take to achieve our purpose. We will be looking at the steps to take to make successful e-commerce in Nigeria.
● Carry out market research: When carrying out market research have it in mind that the people you are selling to are Nigerians. Search for the most bought product in Nigeria.
● Choose a product line: After you must have carried out your market research the next is to choose a product that sells most online or new products, that, if people see online you are very sure they are going to buy it.
● Register your business name: The next in line is to choose a business name. The business name is what you are known for. Take for example the Coca-cola company, Apple, Google, etc all these are business names. After choosing a business name, you register your business name with the Corporate Affairs Commission (CAC) to avoid being tagged as an illegal business.
Things to note when choosing a business name are;
● Choose a simple name: Avoid names that are long and confusing.
● Make the name unique: You must go for a name that is unique to you and that shows who you are.
● Easy to pronounce and not forgetful: Choose a name that even a primary five kid can say without thinking twice. Don’t choose a name that is too hard to pronounce.
● Don’t choose a name that is similar to other brands: Avoid choosing names that are similar to other brands because once your customers search for your business name the first name that will pop up are the most common brands and you don’t want that to happen.
● Avoid unusual spelling: Choose a name that is easy to spell and not hard to spell, and avoid unusual hyphens in the name.
● Make the name simple: The shorter the length the better the outcome.
● Give the name a clue: Try to choose a name that will provide information about what your business does.
● Domain: A domain is the address of your website that people type in the uniform resources locator (URL) browser to visit your website. Simply put this way, your website is a house then your domain name is the address. You have to have a domain name where people can easily search for your products online.
● Platform: A platform is a business type that creates importance by promoting sales between two or more interdependent groups, usually buyers and producers. You will need to build a landing page where people can place orders with ease. The landing page is where you will write out the details and benefits of the products and ask people to place an order.
● Marketing Funnel: The marketing funnel also known as the Sales funnel, is the process that people go through to buy your products. Meaning you take track of customers’ journeys on your website.
● Traffic: Traffic means web users who visit a website. Ways to generate traffic to your website means to run an advert (Ads) to your site. The Ads you see on Facebook are all traffic. And there are a lot of social sites, on which you can carry out your ads like Twitter, Instagram, WhatsApp, etc.
● DELIVERY: The final stage is the delivery method. In Nigeria, payment on delivery works the most. You can either deliver the product yourself or use a self-delivery agent.
Note, a quick delivery means good business but late delivery makes bad business.
If you are new to the e-commerce market, start targeting your Immediate location first. Sell with a
profit of at least 4000 to 5000 Naira. Sell products that are not common but are worth the value.
E-commerce is a lucrative business that you can start from the comfort of your home. Starting e-commerce in Nigeria is simple if you have a good product, know who your audience is and know how to market them. With proper market research, you know the highly sought products in Nigeria.