Opening an online store extends your market. It’s a chance to connect with customers and build your brand.
Retail NZ, Consumer Protection and a Kiwi business owner share tips for selling products and services online.
Customers now expect to buy in-store and on the internet. They want to interact with retailers in a way that suits them, and are increasingly used to having their needs met 24/7.
Retail NZ CEO Greg Harford says it’s important for retailers to have at least some digital presence.
“This might be as simple as a listing on GoogleMaps so customers can find you, or selling on social media. If you’re more serious, a fully-fledged e-commerce website that lets customers interact with you and buy might be a good option.”
Harford says setting up shop online opens new markets in New Zealand and globally. “A business based in Bluff can serve customers from Balclutha to Britain and beyond.”
But there are important things to get right before diving in. Make sure you have:
They can provide great opportunities if you don’t have the appetite, or means, to set up your own online store.
Entrepreneur Rachel Lewis is the founder of She Owns It, an online community for Kiwi women in business.
To be successful selling online, Lewis says you have to be prepared to put in the groundwork. She offers these tips for those wanting to give it a go.
Rachel Lewis began She Owns It, which offers business support to female start-ups, as a free Facebook group online. She nurtured her community for six months, getting brand exposure and building credibility. During this time she worked with her target customers to develop a product idea they loved, and would pay for.
Six months later she launched the Members Club, an online community for New Zealand women in business. She attracted more than 100 members and $10,000 in the first week.
Lewis continues to grow the company using social media and live video. Collaborating with other businesses that have a strong online presence gives her a strong foothold.
She Owns It is now one of NZ’s biggest and fastest growing support communities for women in business. Lewis puts her success down to:
About us (external link) — She Owns It
Customers expect speedy, efficient service. Make sure you can always fulfil orders.
If you sell services online:
If you sell products online:
Make your returns policy and delivery charges clear on your website. Tell customers:
Keep in mind that under the Consumer Guarantees Act, customers can raise a problem within a reasonable timeframe. So you can’t set a specific timing around raising issues.
Check your shipping company or courier’s terms and conditions. Find out who is responsible for covering costs if goods are damaged in transit. Think about whether you’ll need insurance.
If something doesn’t turn up or is damaged en route, you must sort it. Don’t ask your customer to deal directly with the courier company.
Consumer Protection has information on what to do if your supplier causes customer problems, including delivery issues.
Common problems caused by suppliers (external link) — Consumer Protection
Products must arrive in good condition and on time.
Safeguard customer data and protect it from hacking. Talk to your bank about a 3D secured payments site, and make sure cyber security, eg password strength, is robust. Never pass on anyone’s personal information without their permission.
Only refund customers to the same card they paid with to avoid supporting credit card fraud.