How to Start an E-Commerce Business in India?

What is the strategy for q4 (the quarter four) what is your strategy?

So, the strategy of q4 is simple. For the ones just to give you a background, Q4 means the last three months of the year and these times are the best for econ guys why because in all of the worlds you know Christmas comes in December black Friday is going to be there in November.

So Black Friday Christmas all of these are like Diwali for people all around the country all around the world, right? And people invest more money so you know there's nothing special that happens in Cuba the only thing that happens differently is people have more money to invest, you know they keep their credit cards ready and it's like a celebration like we just spend and buy a lot.

So, these people buy a lot of gifts at this point in time so the strategy is um sell stuff that you know people are going to give to each other.

Like, every single year during q4 we sell a lot of family and relationships related stuff, stuff that we know people are going to buy for people that they love and just do more marketing, launch more products launch more designs.

If you're doing so, I mean if you want to eat as many people as possible and focus on selling stuff that you know can be gifted to someone else that's it, just do this there is nothing else that you want to be doing here just keep it simple cool and by the way it's considered auspicious during these times that you know to give gift things now so that's a pretty cool thing and that's something that we should be doing all the time.

Gifting is never getting out of fashion right now.

Let's pick up another question, how do you manage the return ratio in pod dropshipping?

Got it so um yeah, I remember having a chat on Instagram as well. Okay so how do you manage the return ratio um the return ratio with pod is 0.4. I mean so in fact when it comes to dealing with returns there are two things, if your customer says I want a returning product, ask them to keep it.

That's the very first thing that you do. So, what we do is that we figure out why are they asking for a return on the fund? Let's say it's going to be out of these two options one it was a customer's fault which means they ordered the wrong product for the wrong size.

Two, it could be the supplier squad that they shipped the wrong product or the wrong size so or maybe poor quality. If it was of the customer's fault I will tell him to at least pay me for my product cost, so I’m going to say that I’m going to prove it to him, I’m going to send him a screenshot I’m going to say so this is what you ordered and this is what we sent so uh if I’m selling my product for 20, I’m going to say that just pay for my product.

I’m going to handle the shipping and just pay me 10 dollars now, 10 is what actually it costs me to get it created and shipped right but I’m going to tell him to know that this is my product cost I’m going to handle the shipping.

So, I’m going send him a custom invoice, he pays me just ten dollars so I’m not losing anything and even he's not losing anything because he made a mistake and he's just paying for the product right.

So I send him an invoice and he pays me, if it was the supplier's fault which mostly is wherein they sent the wrong product the wrong design ask the customer to send you a photo of the faulty product, then send it to your supplier and your supplier is going to be reshipping the product the right product for free and that's how these suppliers work in here and with businesses like beauty especially when you're selling stuff like t-shirts high-quality stuff, your return rates are going to be minimal like maybe it's going to be 0.1 or 0.2. We've had a 0.4 return rate when we were doing it from china and since we're doing it from the US it's almost negligible now.

Cool, let's pick up another question, how much budget is required to start a party business and which vendor to choose in India?

Yeah, so brother first of all I don't recommend pod or print on demand in India because of low margins because you know when you're selling t-shirts in India people are used to buying stuff from sites like or the and these websites sell the issues for like 500 rupees or even 300 rupees.

So, first of all, if you see where the market is they are not used to paying a lot of money. The average selling price of a teacher is 500 rupees, now you sell a decent 500 you get it printed and you get it shipped for like 150 to 200 rupees, you pay for the marketing as well, then you pay GST and all that stuff so the margins are almost negligible.

I don't recommend it if still you want to do it or you want to burn your ship you want to do that then there's a pod website called It's a very good platform, but instead of selling t-shirts brother, I would recommend you sell the products with higher margins in India because in India your return rates are going to be a lot higher.

So many people order, and the payment method that they choose is cash on delivery due to which your cash flow also gets affected.

You ship the product and then your delivery partner collects it and then they send you that money after 10-12 days, so the cash flow is also a problem.

I would recommend you that don't do people in India right if you want to do purely abroad, let's say in the US, the recommended budget we already spoke about is 20,000 to 30,000 bucks for the first month, and then the next month onwards it could be more it could be less because anyone understanding running a business right like this is what I what recommend, you can start with more, you can start with less cool.

Okay, that's pretty interesting insight do not do dropshipping in India with products which have lesser margins because you're to be burning more money in advertising and that's going to kill your margins and then they're going to be returned rates which are going to kill your margins even further in the end you're going to be in break-even and yeah it is a bit of an issue I completely understand that point.

Cheers guys!

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