How to successfully start a professional online store in the UK: Your complete guide in 2023!

If your business hasn't jumped into the world of e-commerce yet, it's high time to start an online store! But how do you go about setting up an online shop, and what do you need to consider?

Fear not! We've got you covered in our comprehensive online store guide. Find out everything you need to know about online shops, including handy tips, e-commerce basics, and the legal aspects of online trading.

We're here to assist you in creating your very first online store so you can kickstart your business with a bang! Let's do this together!

One way is for companies to expand their online presence by opening an online store in addition to their physical shop.

This way, they can reach customers who don't live near the local store or can't come in person for other reasons. Moreover, you can strengthen customer loyalty through various marketing strategies like social media campaigns or email advertising.
 

The brick-and-mortar store and an online store can complement each other in their offerings:

For example, an online store could have a broader selection of products compared to the local shop, which may focus on showcasing highlights or selling large, bulky items directly. By having both channels work together and refer to each other, you can significantly increase both your sales and customer satisfaction!

As a company with a physical store, having an e-commerce shop allows you to increase your brand awareness as you are present in both worlds. Additionally, it helps you minimize risks, for example, if your business needs to remain closed due to pandemics. Merchants who operate both local stores and online shops have greater flexibility and can respond better to market changes.

Essentially, each sales channel has its own advantages and disadvantages, but when you cleverly combine them, they create an unbeatable combination. The most crucial aspect is understanding customer needs and implementing the right strategies to reach them. By doing so, you can achieve success in both the online and offline realms!

Both are essentially different-sized websites, each with distinct functions:

An online store is owned by a single company that sells its products.

• Advantage:
  You have no competition on the site - everything revolves around your brand. The development and operation of your online store are entirely in your hands. You can design it the way you like to perfectly showcase your brand. No one dictates fees to you or takes a cut from your sales. 
   
• Disadvantage:
  Your customers must first find you, so you need to invest in marketing to make your own online store visible beyond word-of-mouth. 

E-commerce platforms like Amazon or Alibaba, on the other hand, offer a multitude of companies the opportunity to sell their products through them.

• Advantage:
  The benefit here is that you are provided with a ready-made and efficiently optimized marketplace where you can operate.
  

  Your customers can find your products through the platform's general search function and can create a mixed shopping cart with various products from different companies, similar to shopping in a supermarket. This synergy effect is very convenient for customers and a strong selling point for marketplaces like Amazon or Alibaba.

• Disadvantage:
  However, this comes with fees to the respective platform. You also need to ensure that you present your products in the best possible way. The framework for that is defined by the e-commerce platforms and is often visually limited. Additionally, the competition can be quite high depending on the product category, with all that entails.

Whether you already operate a brick-and-mortar store or not, these points apply equally to every company:
 

 Greater Reach

A physical store typically has limited reach as it can only be visited by customers who live nearby or are in the vicinity. By having an online store, you can reach customers from all over the world and significantly expand your target audience. Sell your products internationally!

 24/7 Open

While a physical store is bound by specific opening hours, customers can place orders in your online store at any time. This way, you won't miss out on sales outside of regular business hours!

 Better Advertising

With online marketing, you can significantly increase the reach of your shop and strategically expand your presence on the internet. By using SEO, SEA, or social media marketing, you can precisely target the audience you want to effectively promote your products.

 No physical presentation needed

Online stores don't require physical storefronts, shelves, or on-site sales staff to display products. Instead, products can be directly distributed from the warehouse. This saves space, and the ongoing costs are generally much lower. Also, the personnel expenses are usually lower as you won't need as many employees as in a physical store. Overall, this often allows you to offer lower product prices, which will delight your customers.

 Improved customer retention

An online store offers numerous opportunities to personalize your offers for customers, creating a better shopping experience. By using theme-specific promotions or organizing your online shop based on target groups you address in a unique way, you foster customer loyalty that pays off.

 Greater flexibility and return policy

Another significant advantage of online shopping for customers is the return policy. Unlike in physical stores, customers have the right to withdraw their purchase within 14 days and request a refund. This means they cannot be compensated with vouchers they likely don't want.

Return or exchange options are not legally mandated for physical stores but are based on voluntary offers by the companies!

  You have your business plan ready, your business idea formulated, and you have considered your target audience and the market?

These are distinct and essential topics that you should thoroughly examine before starting an online store!

If so, here are the essential tips to bring your online store idea to life!

To start with, you must first define the legal framework. Depending on the country where you operate, there are various legal requirements that you need to consider as an entrepreneur.

These may include:

• Choosing the legal structure,
• Registering your business,
• and possibly trademark registration.

There are also different points that your website or online store must include, according to the applicable local law, such as:

• Privacy policy,
• Cookie banner,
• Terms and conditions (T&C),
• Imprint, 
• Cancellation and return policy,
• Liability information, and Trademark rights

Checklist: Choose the right Online Store System

There are many different online store systems available in the market, varying in functionality and cost. Based on your business plan, you know best how it should look and what features are needed. Get an overview and select the online store system that best fits your company and your preferences.

The checklist - things to consider with online store systems:

• Webshop creation and simultaneous (domain) hosting with the online store system provider.
• Included templates for website layout and legal texts.
• Customizable design and marketing tools.
• Included standard data protection agreement / cookie banner.
• Integration possibility of external software, such as Google Analytics or ERP systems.
• Pre-integrated payment service options.

Here are some of the most widely used online store systems globally, relied upon by millions of merchants:

An overview of the online shop systems:

• WooCommerce - https://woocommerce.com/
• Shopify - https://www.shopify.com/
• Adobe Commerce (formerly Magento) - https://business.adobe.com/at/products/magento/magento-commerce.html/
• BigCommerce - https://www.bigcommerce.com/
• OpenCart - https://www.opencart.com/
• PrestaShop - https://www.prestashop.com/
• ZenCart - https://www.zen-cart.com/
• osCommerce - https://www.oscommerce.com/
• Wix - https://www.wix.com/
• SquareSpace - https://www.squarespace.com/

User-friendly optimization

The design of your webshop is your calling card. Create a professional and user-friendly design so that your customers can quickly navigate and be fully convinced of your offerings.

Ensure that your online store is optimized for mobile devices, as a large portion of online customers place orders via smartphones!

Tip from our logistics experts: If you need assistance with your logistics, you can also outsource it to professional fulfillment providers. Find out when it makes sense for you to do so in this article!

• However, there is a catch:
  While many templates are free, the really cool designs come with a cost.

  Your website (or online shop) and domain need to be hosted for a fee, and of course, transaction and shipping costs are incurred. Depending on the extensions you require, there may be additional expenses for newsletter tools, marketing efforts, security plugins, etc.
   

 However, many of these costs are also present with other online shop systems or only included in more expensive monthly packages. With WordPress and WooCommerce, you have the freedom to choose what you need and what you want to pay for.

Shopify

Shopify deserves special mention here! Its versatility has made it one of the most popular online shop systems worldwide. It is user-friendly and ideal for beginners and small businesses that want to launch a beautiful online shop with all the necessary features without extensive knowledge. Design templates, payment integrations, marketing tools, and more are all included.

The starting price after the free trial period is £25 per month, plus transaction fees if applicable.

Wix

In Wix's simple website builder, you can also create and operate a professional online shop. Like all the systems listed here, it offers all the necessary functions, design templates, and numerous integrations. Web hosting, SEO, and marketing tools are also included. The effective drag-and-drop system is highly customizable, allowing you to design your webshop according to your preferences with minimal effort.

Pricing for Wix packages starts at £7.5 per month.