Shopping is an essential part of our life routine. Current studies show that almost 60 % of people enjoy shopping. Among all the categories of shopping, it is undebatable that groceries are the most frequently shopped items. And this is exactly why the grocery business is getting more significant.
What is a grocery business?
A grocery store is simply a business that provides people with their household needs like fruits and vegetables. They also supply canned food and dairy products. Though starting a grocery store can be easy, it is difficult to be not outclassed by big-box stores.
Why is there a need for an online grocery business?
With the current pandemic attack, people try to avoid stepping out of their homes. So, it is in their high interest that systems be developed for home delivery of essential items. And the fact that grocery items are frequently required plays a vital role in understanding why turning your grocery business online is operationally important.
Online grocery shops enable people to purchase day-to-day needs within the comfort of their homes. In addition to that, online stores are available 24*7, meaning they can place orders anytime, anywhere and get the product delivered at their doorstep.
The ultimate guide to start an online grocery business.
Setting up an online store involves many steps. But you can create your grocery store in 30 minutes with takemyorder now!
Steps to open an online store are :
1) Market research.
This involves finding out what kinds of products are profitable from reliable sources of data and improving your understanding of the target market. Competitive analysis, geographical demand, and successful marketing strategies are some areas that you need to prioritize.
Analyzing primary and secondary sources of research data is the key to making the right decisions. Primary research involves collecting data that are specific to your niche through direct communication. Secondary research consists of analyzing already existing and publicly available data.
You can also rely on websites like MarketResearch to obtain country-specific market research reports.
2) Identify target customers and store location.
Knowing your potential customers is pivotal in any business. When you set up an online store, you need to have broader visions of who your buyer is going to be and what items they prefer. Learning and analyzing the trends followed in the spending pattern of buyers will give you hints to understand your customers.
Quantitative and qualitative surveys concerning geography can be used to aid you in identifying the best location for your store.
3) Register your business
Since grocery stores deal with the sale of food, it is mandatory to obtain a trade license to set up a grocery business. It usually takes 8-9 days to obtain a license if all the required documents including pan card, bank statement, ID and address proof, and photographs are produced properly.
Trade license is subject to be renewed after the specified time and the license holder is accountable for abiding by certain rules like employment and termination conditions and working hours.
Complete guide to register for grocery store development.
- Register your shop under “The shops and establishment act, 1953” by submitting an application and legal fee to the inspector and receive the issued certificate.
- Several legal compliances are imposed on any business that deals with food under the “Food safety and standard authority of India; FSSAI” act. Hence, it is mandatory to obtain a license under FSSAI.
- The owner of the grocery business referred to as the ‘Food Business Operator’ as per FSSAI norms, can apply for FSSAI licensing through the FSSAI government website.
- The category of your license will be determined according to your annual turnover and storage capacity.
4) Manage finance- capital and payments.
Investing in the right place at the right time is essential for businesses. Make sure you invest a sufficient amount for online app developments and marketing campaigns that can boost your sales. Ensuring a proper billing system can also improve payments and finance at your store.
5) Set up your inventory.
Setting up a well-organized inventory is an excellent way to win customers. Grocery shopping is a mission and our success lies in giving the customers a user-friendly experience. Identifying commodities that are frequently brought together and arranging them under a single category is one effective way of simplifying your inventory.
6) Hire employees and delivery staff.
The employees you hire play a vital role in determining the working condition of your business. Choose employees with good skills and apt knowledge of the commodities.
Due to covid-19, people seek delivery options to satisfy a larger portion of their grocery needs, and hence a grocery store needs to have delivery staffs who fit the role.
7) Plan a marketing strategy and promote the brand.
Grocery stores often face a lot of competition from big established shops and hence using the right marketing strategy is significant to make customers aware of your services. Exploiting concepts like ‘basket affinity index’ and deriving marketing strategies from them can be highly beneficial.
Promotion of the business is equally important. Social media and online marketing tips can take your business to heights.
8) Build an online presence.
Within 2021, online stores have become a promising industry. And your business needs to invest in a mobile application and website development to improve your sales.
Online stores like Bigbasket, grofers, and amazon have proved how an e-commerce store development can be a game-changer.
It’s a tedious process to follow the steps to open a successful online business, but with the right experts like takemyorder, you can easily start an online grocery shop.
Here’s a valuable review from team primos, on how takemyorder simplified their online business operation.
“We were able to set up our online store with more than 800 items in a very small time and at a very unbelievable price. They don't compromise in the quality of service and keeps adding more values to the platform.” - Afsal, Primos Groups
9) Get customer feedback and improve.
Most customers rely on reviews and rating features that online stores provide to establish trust with the sellers. Adding a feedback option in your grocery store app development can help you improve your services and move in pace with the customer’s requirements.
Setting up online stores has brought about a paradigm shift in the industry. This opens a brilliant scope for those planning to start an online grocery store to boost their profit by offering the right online services.
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