Starting an online business today can be quite daunting. With so many options available today, how can one decide which to focus on? This article looks at why e-commerce remains one of the hottest industries for so many new entrepreneurs today.
Kale Abrahamson one of the founders of Nine University, an online e-commerce course provider, defines e-commerce as the trading of products or services using the internet. It’s a growing industry and it’s global, he says. He references a study by Nielsen which found that 57% of online shoppers purchased from overseas retailers. “The online e-commerce industry has grown tremendously with global sales of 3.9 trillion projected for 2020. The growth potential is simply amazing,” Kale of Nine University says.
With statistics like these, one can easily see why an e-commerce business would be a lucrative home-based business. But why should one consider an e-Commerce business with Amazon products?
A lot of success of the online retailer today comes from Amazon. Even after finding a product on a competitor’s website, studies show as much as 90% of online shoppers will check Amazon first before ordering. Kale of Nine University says this is primarily due to Amazon’s stellar reputation for reliable information, including their rating system. A vast majority will go on to purchase from Amazon because of the best pricing, their customer service reputation, and the quick shipping they’re known for.
That’s not even counting the growth factor projected for Amazon. In fact, Kale Abrahamson of Nine University points to a study in Statista which “predicts Amazon’s market share of the U.S. eCommerce retail market will hit 47% in 2020. That’s more than Apple (3.8%), eBay (6.1%), Wal-Mart (4.6%), and Wayfair (1.3%) combined.” In other words, Amazon holds a majority of the e-commerce market today and continues to grow.
Why is all this information important to someone first starting out? When you’re searching for the perfect online business, it’s important to make sure there’s a big market for what you want to do and high demand for what you want to sell.
But what about the products themselves? While Amazon products are overall extremely successful, there does exist the possibility of losing money. “This is mostly due to the products themselves,” says Kale Abrahamson. He explains that his course, Nine University, teaches that while there are a ton of products to choose from, not every product is going to give you the same profit margin. “Some are going to cause you to lose money,” he adds. “That’s why is so important to have the proper knowledge before you begin.”
When asked how one can learn what products provide the most revenue, Kale Abrahamson says that his training program in Nine University takes care of all of that. “Keep in mind revenue is different from profit margin,” he says. “Revenue means what you receive, while profit margin means what’s left over after all the bills are paid.” One thing to look out for, he notes, is that some products that may appear at first glance to have a high-profit margin. They look like high-revenue items, but actually have high overhead and are some of the ones to avoid. “There’s a lot that goes into choosing the right product,” he says. “You can’t just look at it superficially.”
One of the best parts of his training at Nine University, he says, is that it comes with specialized software that helps you choose the best products. “It’s not something that’s static,” he explains. “The market changes every month. In other words, what worked for the first half of the year might not be what’s the best choice for the last half of the year.” That’s where the software he has is invaluable. Using technology and the information available from actual markets, it calculates which ones have a high probability of success along with the highest profit margins. “Our students just love it,” he adds.
To find out more about Kale Abrahamson and Nine University’s free Amazon training, visit https://www.nineuniversity.com/homepage1234/.