If you enjoy building a hobby and have an entrepreneurial side, then chances are you’ve probably thought about trying to sell your items as a side hustle. Maybe you’re hoping that your part-time e-commerce business becomes successful enough for you to eventually ditch your 9 to 5 and take your hobby full-time.
If you’d like to turn your passion into a business of any kind, it’s important to first come up with a thorough and well-crafted plan. What separates the successful e-commerce businesses from the rest is that the successful ones all started with a plan.
If you’re ready to give your e-commerce side hustle a try, here are 5 tips for successfully building your business.
Define your goal
Before you start testing the waters, take a moment to think about why you want to sell your products. What’s your ultimate goal? Are you simply looking to clear out your stash and make a few extra bucks? Or are you thinking of making this venture your full-time job one day?
After determining your personal “why,” it’s essential to determine your personal “what.” What exactly are you going to sell, and how many do you hope to sell within the first month?
This is the time to create a cost model and determine a price for your goods, how many you can produce in a given time period, and how much shipping will cost. No matter what your goals may be, it’s important to define them early on.
Make a name for yourself
Even if you’re just testing the entrepreneurial waters with a side hustle, it’s important to think about branding from day one.
Brand awareness is essential for getting the word of your new business out there. Brand alignment is huge, too. For example, if you sell organic soaps, then think about the market you’re appealing to. You’ll likely want to align your brand with target markets that appeal to organic, earthy and all-natural elements.
Create a name for yourself and start to think about your brand image. Having a brand helps to build trust with consumers and allows you to present yourself professionally.
Know your worth
Pricing is something nearly all entrepreneurs struggle with. How do you quantify the value of an item? Start by working backward and consider how much the materials cost and how much time you spent making the item. Then, do some research on what other makers are charging for similar products before you settle on a fair price.
Many entrepreneurs calculate a price that’s far too low and either make little to no profit, or actually end up taking a loss. Know your worth and spend some time getting your pricing right from the beginning.
Explore multiple retailing channels
Etsy might be the most well-known platform for aspiring entrepreneurs who want to sell their wares, but it’s far from the only option. Consider these different retail channels and try out a few to see which ones you like. In addition to the e-commerce approach, you might even want to try selling your products at local craft fairs
Always plan for growth
Even if you only have modest goals for your side hustle, it’s smart to think about all the possibilities and plan for possible expansion. It’s never been easier to leavrage data as you test the waters with your business and see how customers respond to your products.
Following these tips will help you to test the entrepreneurial waters with an e-commerce side hustle. E-commerce is an open market to take a stab at entrepreneurship. So why not you?