Staring an online shop

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c10n3d_0r6

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Starting an online shop

Hi

Some friends and I are planning on starting our own online store that sells computer components. We aren't planning to make a huge profit in the beginning, just enough to cover our expenses for now. We don't just want to rush into it and want everything planned perfectly so that when it does get off the ground our customers will have the perfect experience.

Could anyone here give any advice on how to go about it. One thing we aren't sure of is how things with suppliers work. Do you keep the stock on hand the whole time, or can you only order it when someone places an order online at your store.

We were also looking at the best web host, at the moment we are thinking that http://www.texo.co.za/ would be the best option, but as we are still in the planning stage this could change. Any advice?

Once the site is up it will be ultimately for you, so any input will be gratefully appreciated so we can set the store up in the best possible way.
 
Last edited:
c10n3d_0r6 said:
Hi

Some friends and I are planning on starting our own online store that sells computer components. We aren't planning to make a huge profit in the beginning, just enough to cover our expenses for now. We don't just want to rush into it and want everything planned perfectly so that when it does get off the ground our customers will have the perfect experience.

Could anyone here give any advice on how to go about it. One thing we aren't sure of is how things with suppliers work. Do you keep the stock on hand the whole time, or can you only order it when someone places an order online at your store.

We were also looking at the best web host, at the moment we are thinking that http://www.texo.co.za/ would be the best option, but as we are still in the planning stage this could change. Any advice?

Once the site is up it will be ultimately for you, so any input will be gratefully appreciated so we can set the store up in the best possible way.
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AFAIK texo hosts overseas which, as you're aiming it towards the local market, might not be idea.
 
You would need a large amount of capital to keep stock on hand for each thing that you sell, I would rather order items as orders come in - at least to start off and because your products will depreciate very fast.

Good luck with your venture!
 
Are there local hosts that have a reasonable price? Texo has looked like the best for money so far.
So I take it that it's possible to just order stock as the orders come in then?
 
Last edited:
c10n3d_0r6 said:
Hi

Some friends and I are planning on starting our own online store that sells computer components. We aren't planning to make a huge profit in the beginning, just enough to cover our expenses for now. We don't just want to rush into it and want everything planned perfectly so that when it does get off the ground our customers will have the perfect experience.

Could anyone here give any advice on how to go about it. One thing we aren't sure of is how things with suppliers work. Do you keep the stock on hand the whole time, or can you only order it when someone places an order online at your store.

We were also looking at the best web host, at the moment we are thinking that http://www.texo.co.za/ would be the best option, but as we are still in the planning stage this could change. Any advice?

Once the site is up it will be ultimately for you, so any input will be gratefully appreciated so we can set the store up in the best possible way.
Click to expand...
Buying online takes trust because it's so easy to set up. If you mess up, word will get round so quickly you wont get more business. I would take it very slow until you know what you are doing. Maybe get a job at an existing one and see how the best ones do it. I've been looking at some quite shocking online sites this Xmas, most of them local, so maybe don't use them as a model.
 
c10n3d_0r6 said:
Are there local hosts that have a reasonable price? Texo has looked like the best for money so far.
So I take it that it's possible to just order stock as the orders come in then?
Click to expand...

Why do you want to host locally? I think that would be unnecessary since your just starting out. As long as you have a .co.za domain local people will find you...

I can tell you my personal experience as I tried to do this last year(with football shirts/goods).


1. You need to find a supplier that's willing to give you what you require, when you require it. When I gave my supplier my first order he told me that he cant supply me for that quantity.
2. You need a good shopping cart/E-commerce software or alternatively you could outsource the design, the downside of outsourcing is that those company's require you to sign up for a monthly account. What software do you plan on using?
3. You need to get a merchants account.

Starting an online shop is definitely a lot of hard work but if your up to it I say go for it. Good luck:)
 
I'm planning on using OsCommerce. I set up a website on one of those free hosting sites to teach myself the software. So now I know how to use everything 100%, well 100% for everything I can do without actually having the proper store.

Also does anyone know where I can get the pricelists from the major distributors here in SA so I can compare their prices in the meantime.

What is a merchant account?

Thanks for all the help so far....
 
Merchant account allows you to accept credit card like Visa/mastercard. Think that will be vital.
It's good that you can do the design yourself, that will save you a lot. Another thing to consider is delivery.

Try giving PostmanPot a PM, he also sells PC stuff , maybe he can give you some info on the suppliers.
 
sorry didn't read everything 100%

Just be VERY wary of credit card fraud. AFAIK I helped built an online business for a friend of mine and they had over R80 000 in cc fraud. FNB cut off their account and they had to re-apply with a different bank and merchant account.

That being said, running an online store without stock in hand is kind of a crap shoot. Because if someone orders this new "bad boy" graphics card, the minute you phone the suppliers you're playing Russian roulette. "We don't have stock" <-- Booya, you're ****ed

or "The pricing just changed because of the rand dollar exchange so now its R500 more" <-- there goes your profit margin

Good luck with this venture. Do a lot of market research tho. Not every joe soap can pull off a business like this and I reckon if you have excellent customer service you should.

However, I'd recommend perhaps building up a real face to face "business" (you don't need premises, just clients, you can do a dial-a-nerd type thing) and build up a small and loyal client base to fund this online project. Or get an investor thats willing to invest in stock, but you have to also keep in mind, if you can't move the stock you're ****ed anyway.

Buying 1000 graphics cards compared to buying 1000 tshirts with "Your balls was in my face" on it that nobody would really buy is 2 separate things. The latter will and might come into fashion and will keep on selling 1 or 2 here or there. Problem is, if you don't move those 1000 graphics cards, 6 months from now they're worthless.

Like I said. Russian roulette ;)
 
Thanks for all the advice, will contact suppliers to find out exactly how everything with them works. Its a long term goal so I'm going to take my time and make sure I do everything right.
 
FarligOpptreden said:
I just can't get past the fact that this topic is named "Staring an online shop"...
Click to expand...

I know I'm retarded. I double check my whole message to make sure that there aren't any mistakes and I end up messing up the topics name.:sick:
 
Woah woah woah! Nobody said you were retarded... Everyone makes a spelling mistake every now and again. ;)
 
I'm also about to start an online shop and wanted to find out if the best way for me to recieve payments, which payment gateway is the best/most affordable for processing credit card transactions ?
 
Well well well if it isn't my neighbor trying to be a big boy :P

Well firstly I'm glad you're going to attempt a business venture with your friends. As with the suppliers (having dealt with both Sahara and Rectron in PE) I have a faint idea of how things work there. so u can ask me if they're being *******s :p
 
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