Electrics online store: analysis of the benefits of doing business via the Internet + registration of business activities + premises and equipment for the sale of electrical goods + an assortment of an electrician’s store + site creation features + calculation of the cost of launching a business idea.
Internet commerce today is one of the most promising areas in the field of sales. This niche cannot be called free, but despite this, the number of online stores is growing every day.
The sphere of trade in household appliances is gaining particular popularity. And although there are many competitors in this sector, entrepreneurs still prefer to conduct such business through the Internet, rather than renting kiosks in the markets.
In this review, we will look at what advantages an online electrical store has over a regular outlet and how to build your business in this direction.
Online electrical store: prospects and benefits of business ideas
All types of online stores have long gained popularity, both in Russia and far beyond its borders.
The reason for this was the large number of advantages of online trading:
- Opportunity to save time and money. Delivery in online stores is carried out directly to the door, and prices, thanks to savings on rental premises and staff salaries, are often lower than in conventional stores.
- Large assortment, the ability to buy everything at once. Since large showrooms are not needed to organize online sales, an entrepreneur can easily expand his product range.
- Opportunity to also buy goods that are produced on the other side of the country. Thanks to modern technologies, online stores allow you to buy goods almost anywhere in the world.
Looking at all the positive characteristics, it is easy to guess that the field of Internet commerce will develop for many more years, which means that organizing your business in this niche is a very promising business.
On the Internet, you can sell anything – clothes, shoes, building materials, appliances, household appliances and even food.
But why are we talking about electronics?
Because, like food, household appliances are an indispensable commodity group today. None of us can imagine our life without lighting and electricity, and this suggests that the demand for such goods has been and will be in the future.
And here another question arises: why should a person order a light bulb or a battery via the Internet, if you can go and buy all this in the nearest stall?
If the light bulb burned out, then most likely the really best way out would be to go to the kiosk. But if you are doing repairs or changing the wiring, isn’t it easier to order all this online?
It will be not only cheaper, but also cheaper. Plus, you can save a lot of time and money on your round trip.
Another positive quality is the range. You don’t have to go around all the construction supermarkets in the city to find the right cable. All you need is to go to the site and order the desired product in a couple of clicks.
This suggests that an online electrical store is a profitable investment. So, if you are looking for a promising line of business, this is perfect for you. In addition, such a business idea does not require multimillion-dollar start-up capital and special education.
And now we will step by step consider all the nuances of organizing such a business.
How to start an online electrical business?
To clearly see how an online store is created in the field of electrical engineering or any other field, pay attention to the diagram:
This sequence of actions is generalized and allows you to understand where exactly your business starts.
So the first element we have is the definition of the business idea. We have already taken care of this, it consists in opening an electrical goods store.
The next important step towards the goal is the legal registration of the entrepreneurial activity.
You have the right to register as an individual entrepreneur (IP) or a legal entity (LLC). Since we are talking about opening an electrical goods store, the best option would be to register a single enterprise. But if you are planning to open a chain of electric supermarkets, then it is better to consider an LLC.
First, you need to prepare a set of documentation required for registration.
Includes the following documents:
- Passport and a copy of the passport of a citizen of Russia.
- TIN code and its copy.
- IP registration application.
- Receipt of payment of state duty.
all prepared documents must be sent to the tax service inspectorate at the place of registration (you can find the address on the official website of the Federal Tax Service: https://service.nalog.ru/addrno.do)
The cost of state registration in 2018 is 800 rubles.
No license is required to open an electrical shop, as you will not be selling excisable goods. In addition, only permits from the Sanitary and Epidemiological Station and the fire department are required.
You can choose the simplified system (STS) as the taxable system. It is calculated in two ways. You are more suited to the system “income-expenses”.
Electricity – online store: what to sell?
To organize and open your electrical store, you will need to decide what products to sell.
The range of household appliances is really the first thing to think about, since the area of the warehouse, the interface of the site, and so on will depend on the goods you sell.
Electrical engineering is a very broad concept, and it will not be possible to purchase all assortment groups at the same time. Firstly, it requires significant start-up capital, and secondly, you do not yet know which products will be in the greatest demand.
You can analyze the market, find out what your competitors are selling and, based on this data, choose a product for your online electrical store.
But it should be understood that it will not be possible to obtain accurate information, since online sales are difficult to tie to a specific place. And another advantage of such a business: your target audience is much wider than that of standard “shops.
Based on the foregoing, we recommend that you first purchase 40-50% of the total assortment of an electrical engineering store, and then add the missing items to the list.
What groups of goods can be offered in the online store of electrical engineering, we will present in the form of a table:
| Product type | Product Names |
|---|---|
| 1. Wires | Wires and cables. |
| 2. Cable routing systems | Pipes, trays, metal pipes. |
| 3. Sockets and switches | Switches, sockets, street sockets. |
| 4. Lightning protection and grounding | Conductors, lightning rods, ground electrodes, connectors. |
| 5. Extensions | Plugs, boxes, extension cords. |
| 6. Low-voltage equipment | Automatic switches, contactors, sensors, automatic switches, timers. |
| 7. Wiring products | Junction boxes, sleeves, cable lugs, cable clamps, heat shrink tubes. |
| 8. Power supply | Voltage stabilizers, accumulators, batteries. |
| 9. Fixtures | Technical and decorative lamps, LED lighting. |
| 10. Shields | Accounting and distribution boxes, shields. |
In addition to these products, over time you will be able to replenish your assortment with other products:
- Electrical equipment.
- Flood protection.
- Underfloor heating systems.
Having decided a little on the assortment, the second question arises: wholesale or retail?
According to experienced entrepreneurs, they receive about 90% of their profits from large sales and wholesale sales. And only 5-10% is a small retail profit.
It is up to you to decide how you will sell, but the best solution is still to organize a retail trade with a small wholesaler. This option will lower the required start-up capital and attract more customers.
Firstly, you can sell expensive goods and wholesale goods to order, and having decided on the financial situation, you can further expand the range, increase purchases and wholesale sales.
How to increase sales in the store
Now your next step is to find the right suppliers.
Today, there are a large number of manufacturers of electrical products ready to deliver orders anywhere in the country. It is better to work directly with suppliers, as intermediary companies will have a higher cost of electrical products.
You can simply search for suppliers online as well:
- At annual thematic exhibitions.
- On online bulletin boards.
- In business newspapers and magazines.
When looking for suppliers for your electrical shop, it will not be superfluous to visit some large hardware supermarket in your city. You can visually familiarize yourself with the offered assortment and learn new information for yourself.
Web showcase for an online electrical store: what should a website look like?
If for an ordinary store it is very important to place it in a convenient and accessible place, then for an online store of electrical engineering or any other product, one of the most important elements is a website.
In this case, it acts as a marketplace. The success of a business idea also depends on how functional the resource will be.
Many aspiring entrepreneurs want to save on this expense and create their own websites using free website builders, but we strongly discourage this option.
After all, for an online store of electrical engineering, the site is at the same time a showcase, a warehouse and a seller of goods, so you can’t save on it.
To get a functional online store, it is best to turn this question to professionals. Finding a smart programmer online today is not difficult. Of course, services for creating an online store are not cheap at all, but it’s worth it.
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