It has become clear since the start of the pandemic that people are prioritising a healthy diet in their lives. Therefore, an inclination towards the organic food business is quite evident. It is touted as one of the highest potential business ideas today. With the advent of technology, opening an e-commerce organic food store has become a creative and easy way for budding entrepreneurs.
An e-commerce store potentially offers limitless growth, considering the ease of access it offers. However, opening an organic food business may not be an easy affair for everyone.
Therefore, this comprehensive guide about how to start an organic food business will help you get started and answer how to open an e-commerce store.
1. Make a business plan for your e-commerce organic store
In the struggle of how to set up an e-commerce business, a business plan is deemed essential. This roadmap must contain all the important decisions one must take regarding building an online store.
It must contain all the information regarding what type of organic store you wish to set up and your niche of products on offer. It must also enclose a decision regarding the location of your products, the investment, and the whole blueprint of how to start an organic food business. Thus, a plan covering how to open an e-commerce store must include the following decisions:
- The niche or the type of organic food business
- The investment
- The place of operations
- The source of your products
2. Choose the business model
An e-commerce store provides you with varied possibilities for starting an organic food business. Here are some options to explore:
- Procure all the products and store them in a godown or a shop and sell it forward to customers according to different orders.
- Connect with different sellers and provide various options to the buyers and sell them from different locations.
- Directly sell the organic products you grow yourself in your garden or home.
3. Obtain the required permits and licenses.
The next essential of how to start an organic store is licensing and permissions. To make your organic food business fully legalised, even if it is online, certain licenses and permits are required as it involves food and edible items. These are the permits that are required:
- Organic certificate from the Organic Trade Association: Your store must be certified organic through this association by completing the required formalities.
- A permit from the Health Department or the FSSAI certificate
- Employer Identification Number
- The type of entity of your company: sole proprietorship, limited liability, partnership
- GST Registration number
- Bank Account
4. Keep stock of the products and determine the prices
Once you get the required licensing and permits, the next step is keeping stock of your products. You will also need to determine the prices at which you wish to sell your products.
An ideal price is one that helps you cover your fixed and variable costs. An optimal price is necessary as very high prices may scare away customers, whereas low prices may increase sales but cause losses in the long run. Since the products are organic, they are generally high-priced. However, you can develop a scheme that attracts customers to your e-commerce store and makes your organic food business a brand.
5. An ideal e-commerce platform is a necessity
Once all the decisions regarding the products are made, the next important step of how to start an e-commerce store is choosing an e-commerce platform. It can be a website, a Facebook page, an Instagram handle, an application, or any other medium.
Choosing an ideal e-commerce platform for your organic food business is a must. An ideal e-commerce platform provides your buyers ease of interaction with your store, a better and attractive display of products, fast checkout, and an easy payment process. These are a few factors to consider while choosing an ideal e-commerce platform for your store:
- Traffic volume
- Platform payments plan
- Payments gateways
- Open-source solution
- Stock size
6. Customise your website: The initial step of how to start an e-commerce website
The first step of knowing how to start an e-commerce website after choosing the accurate platform is to customize your website according to your store's needs. Customisation is an essential part of how to open e-commerce store. If you wish to know how to create an online store, you need to know the three basic components of setting up an online store:
- Choosing a domain name: The first component of how to build an online store is the domain name. It is important to choose a domain name for your website that compliments your store’s purpose and objective. A good domain name is crisp, clever, and easy to remember.
- Choosing a template: The second component of how to create an online store is to customize the store and template of your website. An ideal template provides the user with easy navigation, simple usage, and specific branding.
- Presentation: The website must meet the expectations you have set up for your organic food store. Thus, the presentation of your online store is a crucial aspect of your organic food business.
- List products: The last component of how to build an online store is to list your products keeping in mind factors like simple checkout, complimentary product display, SEO-friendly descriptions, and a quickly accessible search option.
7. Marketing is key
If you wish to take your organic food business to the next level, your business model should focus heavily on marketing. You will need a strong online and offline strategy to ace the marketing game. One simple marketing practice is to include free schemes and offers; providing good services encourages word-of-mouth promotion. Remember to enhance your social media presence, as social media is an essential component of marketing strategy today. Also, several marketing activities like email marketing, content marketing, and social media marketing can be considered. Along with these strategies, Google Ads, Instagram, SEO, Emails, Facebook are the tools whose due importance could not be ignored.
Thus, if you wish to learn how to open an e-commerce store, marketing is something you should focus on, regardless of whether it is offline marketing or online marketing.
Nowadays, the organic food business is getting its due importance as it is a healthy alternative amidst the processed and adulterated products in the market. Even though they might be priced on the higher side, the benefits of organic foods are immense. Thus, in the near future, where growing numbers of people would be more fitness and health-conscious, the organic food business has enormous growth potential.
Also Read:
1) How to start a furniture manufacturing business?
2) How to Start a Furniture Upcycling Business?
3) How to start a business of eco-friendly & organic cleaning products?
4) How To Start An E-waste Recycling Business?
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FAQs
Q. How much investment do I need to open an e-commerce organic food store?
Ans. The investment usually depends on the business plan. You will have to consider the certification costs, marketing, and other factors while determining the approximate investment figure.
Q. Is payment gateway the only factor that should matter while choosing an e-commerce platform?
Ans. No, payment gateway is one of the crucial factors that determine the correct e-commerce platform. However, other factors that are equally important while choosing an ideal e-commerce platform are:
- Traffic volume
- Platform payments plan
- Open-source solution
- Stock size
Q. What is an ideal price for a product?
Ans. An ideal price must cover both fixed and variable costs incurred for the product you are selling, along with your profit margin.
Q. How to choose a good template for your e-commerce store?
Ans. An ideal template provides the user with easy navigation, simple usage, and personalised branding for potential customers.
Q. What is the importance of marketing in the e-commerce business?
Ans. To make your store known in the market, marketing is essential. Marketing makes your store known and eventually helps in boosting the sales of your e-commerce store.