How to open an online store of electronics and household appliances
An online store is a great alternative to business and a great chance to increase the number of customers. People are more and more concerned about saving their own time by not wasting it on shopping trips.
It is profitable to trade in electronics and household appliances, and this trend will continue in the future. Read about how to open an online store of electronics and household appliances below.
Variants of online electronics stores
A business can be organized in two ways: by opening a store on the Internet or by creating a storefront that will accept orders for the delivery of a specific product.
In the first case, you will need to agree with suppliers about orders and delivery to specific addresses. There is no need to hire a staff to look for premises that will serve as a warehouse, and this has its advantages.
For example, you can save a significant part of your financial resources by investing in advertising and website promotion.
The second option is more costly, although economically beneficial. On the Internet, you can only accept orders, and the goods are already sold in the warehouse. On the site you can post pictures of goods, a catalog of prices, promotions.
It is important that the photos of goods are of high quality, accompanied by detailed descriptions and characteristics.
For this type of business, you will need a room, movers and couriers, a small office to negotiate with suppliers and customers.
The entrepreneur decides which option to choose, based on many factors, where the key is the availability of material resources.
In both the first and second cases, it is necessary to develop a special form, by filling out which the buyer can then pick up his goods at the warehouse.
Promotion of an online electronics store
Content of the article:
Despite the absence of a real store or warehouse, legal registration is a must. After all, buyers usually require an invoice or a cashier's receipt when buying.
Therefore, it is better to immediately register an individual entrepreneur or LLC. For an online store, both options are suitable. The registration procedure with the help of specialists will take about 30,000 rubles. within 2 - 3 weeks.
Download a ready-made business plan without calculations. He will help you with your plan.
Launching the site
The site needs to be provided with a competent structure for a convenient search for goods, to make visible information with contacts and payment details.
A virtual showcase means creating a catalog with presentations of all offered products.
Provide technology for online store business as follows:
- product photos in different angles;
- the ability to choose colors;
- product characteristics;
- instructions; <
- similar items to buy.
Provide professional advice to buyers. They can be done via phone or online chat. And also give full information about the product: quality, manufacturer, warranty, discounts, delivery.
Large and small household appliances have always been in demand among buyers. This is due to the fact that people are constantly trying to improve the quality of their lives and therefore buy useful and efficient household appliances that save them time for household processes, such as cooking, washing or washing dishes. But lately, in big cities, the situation is not very favorable for starting in this business. The reason for this is the high competition, which is mainly made up of large retail chains. They are hard to compete with as they offer low prices and favorable terms of promotions plus shipping.
In general, the entire home appliance trade market is divided into three types: large retail chains and small stores with a small selection, as well as Internet sites, which often position themselves as online supermarkets. The main share of the profit, of course, is taken by the large market players. In this article, we will talk about a freer sector for selling such equipment, namely regional stores. We will look at how to open your own home appliance store in a small town and make it profitable.
In fact, if you analyze the situation in the regions, the level of competition there is very low, people often order small household appliances via the Internet, but they still go to buy large appliances in stationary stores. It is this segment of the product that you will need to provide to your customers in the first place. And not all are active users of Internet sites, so there is a significant percentage of those customers who find it easier to come to the store and make a purchase right on the spot.
Another important factor that you need to understand before starting is that investments in this business will be significant, so you need to clearly orient the assortment to the most popular segment of household appliances so that the invested funds simply do not stand idle in the warehouse ...
Registration and paperwork
As with any type of activity, you will need to correctly draw up all documents and permits in order to carry out retail trade in household appliances.
Here is a list of the main documents:
For more detailed advice, you can contact an experienced lawyer who will help you draw up all the necessary package of documents.
For the correct selection of premises for a business focused on the sale of household appliances, you should be guided by a few simple rules:
- since we are talking about work in the region, it is advisable to place such a point of sale either in the center or in nearby areas;
- select the size of the room from 200 sq. ., since large household appliances take up a lot of space, and you still need to organize a convenient scheme for moving around the sales area;
It is predictable, well-formed and occupies the fourth position among European countries, leaving Germany, France, and England ahead. An entrepreneur can enter this huge market at the micro level by linking his business plan for a home appliance store with the real situation.
The forecast of its further development in 2021 is favorable, which reflects the positive macroeconomic situation in the country, the tendency inherent in the population - not to concentrate on savings, further development of the consumer credit market.
Statistics of the Russian market of household appliances and electronics in the year
Moreover, within this segment, the share of smartphones is growing, which is expected to make 90% of the total sales of mobile phones in 2021. Samsung stands out among the leading companies - 30%, followed by Apple - over 13%.
Good growth last year in the household appliances segment: washing machines - 9.1%, refrigerators - 8%. There are also leaders in the segment of kitchen appliances: sales of bread makers and pressure cookers grew by 6.7%. Surprised by the relatively small segment "beauty and health", last year it suddenly went up the hill: sales of hair dryers and razors increased by 18.8%.
However, the dynamics of different segments is still different: for example, the volume of sales of photographic equipment in 2021 decreased compared to the previous year by 22%. Substitution effect was triggered due to improved performance of cameras built into smartphones.
Should a home appliance store business plan take into account the prevailing proportions and dynamics of the market? Certainly.
Competition for traditional shops from the side of online commerce in the Russian market is still less than in Germany and France. The reason is, obviously, in the traditional tastes of the population, who prefer to see the "product face" before selling. This is despite the lower retail prices of online stores. However, as entrepreneurs themselves say, in the future, online and offline prices will become the same, as traditional and online commerce will merge into a single - integrated one.
Of course, when entering this market segment, you must have a balanced business plan, a studied market, and established business ties. After all, an unsuccessful attempt to enter leads to a large loss. And then the stocks of the bankrupt store sold through the home appliance sales store are only able to pay off the costs incurred for their purchase by 60%.
What can you say about an entrepreneur trying to enter the home appliance market now? He is probably a courageous man. The point is not even his willingness to "lay out" considerable funds for initial investments of $ 200-500 thousand. The problem is that 25% of this market is already occupied by retail chains of the federal level MediaMarket, M. ideo "," Eldorado ".
A business plan is the key to a profitable start and further productive development. An entrepreneur who understands the intricacies of the business can easily turn an idea into a thriving business.
To this day, the niche of electrical goods remains practical and irreplaceable. People's needs for electrical goods appear naturally, every day. Someone needs a new light bulb in the hallway, someone is looking for a lamp in the bedroom, and someone has a burnt out power filter. Consequently, opening an electronics store means providing a business with a constant consumer demand. Despite the level of competition, the business pays off the money invested with interest.
Electrical Store Costs and Profits
In order to fully open an electrician store, a minimum investment of money is required. The starting capital of 750,000 rubles will be enough for the initial investment for a small store. It should be borne in mind that this amount is not enough for the capital.
In general, the investment will depend on the economic situation in the region, the cost of renting the premises and the initial cost of purchasing goods.
Opening cost starter set includes:
- Registration of an individual entrepreneur, production of a seal, registration of permits (from 10,000 to 20,000 rubles).
- Rent of premises for a period of a year (250,000 rubles).
- Purchase of commercial equipment (250,000 rubles).
- Purchase of a consignment of goods for sale (150,000 rubles).
- Initial advertising campaign (20,000 rubles).
- Additional costs (50,000 rubles).
The list of monthly expenses includes:
- Re-purchase of missing goods, expansion of the range.
- Employee salaries.
- Payment for rent of premises.
- Reimbursement of administrative costs.
To ensure the smooth operation of the store for 1-2 months, an amount of 200,000 rubles is required.