Domain SEO Explained: Choosing an SEO Friendly Domain Name

What’s in a domain name? When it comes to SEO, it might be much more than you think.

Your domain name identifies who you are, what services you provide, and how you appear in the marketplace. Depending on what you choose to register, your online presence could appear more or less friendly to curious human visitors. 

Today, global competition for ranking a good domain is increasingly competitive: worldwide expenditures for SEO jumped to $80 billion in 2021. Ranking highly for SEO matters more than ever, especially when it comes to your domain name.Click here to start selling online now with Shopify

Domain SEO impacts almost everything published on your websites—your content, your landing pages, and even your products. Understanding exactly how your domain name affects page rankings and web traffic is critical to the success of your brand. 

Let’s explore the basics of domain SEO, starting with its actual definition.

Table of Contents

What is domain SEO?

Domain SEO is the practice of optimizing owned domains to make them more accessible to human visitors and search engines. It involves picking a simple phrase, an optional subdomain, and a top level domain (TLD) to create the perfect web identity.

Contrary to popular belief, domain SEO is different from webpage or URL SEO:

  • Webpage SEO involves optimizing your digital web content, including copy, images, and associated buttons.
  • URL SEO focuses on optimizing title tags, link anchor text, and elements of the actual web address.
  • Domain SEO only strives to optimize the name of your registered domain.

It’s best to use domain name SEO as a complementary strategy with other optimization efforts, including on-page, off-page, and technical approaches. The more time you spend creating a streamlined, polished domain name, the easier it will be to advance other SEO strategies.

Does domain name matter for SEO?

A domain name’s length, keywords, and extension are critical components of an SEO strategy. A trustworthy, focused, and simple domain name will get more traffic and interest from people and search engines.

You might be tempted to assume that domain names are less important than other elements of SEO. However, take, for example, or Neither of these domains inspires much confidence.

In fact, you might be more likely to view these addresses as scams simply because of their names. Customers are extremely aware of this, and so are search engines.  

Steps for picking an SEO-friendly domain name

The best way to choose your next SEO domain name is to be mindful of keywords, to consider shorter lengths, and to focus on simple or abbreviated terms. While you might not find yourself on the front page of Google overnight, you will be grounding your domain in best practices right from the get-go—and reaping plentiful rewards as a result.

Below are four actionable tips for choosing a domain name that is optimized for search engines. 

Choose the right keywords

The importance of using keywords in a domain has varied over the years. It was once a mainstay of search indexing on sites like Google and used by hundreds of thousands of ecommerce brands throughout the early 2000s. Today, keywords continue to play a part in domain SEO—albeit in an abbreviated context.

These days, domains don’t need keywords spelled out in their names to see search engine boosts. However, it’s not always a bad idea to throw in a concept or two to provide clarity around your brand.

Luxury fashion brand Giulio Fashion leverages a keyword in its domain name,, without appearing spammy or awkward. The company Giulio is complemented well by the addition of “Fashion,” setting expectations and helping searchers find what they’re looking for. Sabo Skirt ( is another example of a brand adding keywords to help boost relevance.

Keep in mind that a great domain name doesn’t need to be wholly focused on keywords. Try to choose a domain name with just one or two keywords, or encapsulate the idea of your brand with a short acronym.

Opt for a short domain name

The actual length of your domain name does not affect its standing on search engines, particularly Google. However, it can and will have a significant impact on customer memorability.

Research indicates that the average domain length is just 13 characters long. For the world’s 500 most popular websites, this average drops to just seven characters. 

short domain names are better

In either case, consider creating a domain name that holds its own without overwhelming your audience. Remember: the shorter a domain name is, the more valuable it will be.

Strive for domain name simplicity

Wharton’s Dean of Entrepreneurship, Karl Ulrich, performed an intensive research study that measured the empirical evidence of online domains, including their performance in the marketplace. The research found that simple and straightforward naming schemes were the most efficient:

  • There is a 2% reduction in traffic for every domain name character past the seventh.
  • Less complicated addresses without hyphens avoid traffic penalties.
  • The repetition of vowel sounds and consonant sounds correspond to a worse rank.

The takeaway for entrepreneurs? The simpler your domain name is, the better it will perform.

Pick a trustworthy domain extension

most trusted domain extensions

There’s no question that the .com TLD is perhaps the most coveted extension of all. It’s currently the most trusted domain extension in the world, and 33% more memorable than any other TLD. While the use of .com itself won’t provide any search engine boosts, it will prove your trustworthiness to customers—bringing your rankings up organically.

Not all is lost if you don’t have access to a .com domain. Extensions such as .co continue to gather audience trust, as does .us and .net. According to this study by Growth Badger, you may want to avoid any generic top-level domain (gTLD) that was released after 2015, including .frogans, .moda, .olayan, and other less recognizable terms in the marketplace.

Performing a competitor domain name SEO analysis

domain competitive analysis tool: Moz

Before you purchase an SEO-friendly domain name, you may want to check on the domains used by your largest competitors. A competitor domain name analysis allows you to better understand your rival domains’ position, ranking, and perception in the marketplace. The analysis can be used to help inform your decisions before making a domain name purchase.

Unlike site audits or content evaluations, all you need to perform a competitor domain name SEO analysis is a set of simple questions. Asking these questions will allow you to work through competitor decisions for domain naming and understand how it has potentially impacted their online rankings. You can use these insights to choose domain keywords, phrases, gTLDs, and lengths that are even better than those used by competitors.

Ask yourself:

  1. How simple and brandable is the domain name? Is it less than 14 characters max?
  2. Consider the uniqueness of the domain. Does the company own all domains with similar gTLDs to protect against imposters (e.g.,,,
  3. Is the domain authoritative? How does it line up with their branding?

The more information you glean from your competitors’ domain SEO, the better decisions you can make about the domain name you choose to purchase.

If you don’t want to go through the hassle of checking competitor metrics on your own, platforms like can provide a comprehensive analysis that ranks domains based on keywords, spam, and more. This is a good place to start if you have a large number of competitors to sift through.

How to improve your domain name SEO

Understanding the elements that improve your domain’s SEO status will help you build a winning strategy. Once you have purchased a domain name, you’ll want to continuously improve your factors for search engine optimization. 

The best way to improve your purchased domain name’s SEO is by focusing on creating value, building backlinks, and creating positive experiences with good branding.

Create valuable content

Content is one of the most valuable things you can publish on a domain. Highly researched and informative content is an excellent method of increasing your authority in the marketplace, and will help increase your web traffic.

Start by creating SEO friendly web pages, landing pages, and blog pages. Be sure to add value in every piece of writing you produce, and never rely on plagiarism or black-hat techniques to speed up your content production.

Other examples of content you could publish on your domains include:

  • Listicles
  • How-tos
  • Videos
  • Case studies
  • White papers
  • Infographics
  • Yearly reports
  • Statistic round-ups

Not only will this content provide evergreen SEO value to your domain, but it also has the potential to generate organic backlinks as well.

Source domain backlinks

Backlinks are third-party hyperlinks that connect to your domain via secondary websites. These are important for two reasons: they drive traffic from one site to another (yours), and they help to prove your brand’s relevance and authority among other competitors. According to a recent study, 91% of online pages without domain backlinks receive zero organic search traffic.

The best way to source backlinks for your domain is to become an authority in your niche. Creating actionable content and well-written copy is one of the most efficient ways to do this. You can also reach out to other brands or websites who may be interested in partnering with you or creating roundups or affiliate content to garner interest.

Note that bulk backlinks from a single website are frowned upon by Google’s search algorithm. It’s best to rely on organic links as much as possible—and not black-hat or paid strategies.

Elevate domain name branding

domain branding example: 

Your domain name isn’t just text on a screen—it gives visitors an inside look at who you are and what you do. Domain SEO is largely based around user signals, meaning that the more positively your domain presents to visitors, the better it will do online.

Use your domain name to give users a taste of your brand, including its voice and tone. Domains that are more focused on branding than keywords are usually referred to as “branding domains,” though all registered domains should try to incorporate both elements sufficiently.

There are a number of great examples of this:

  • says everything you need to know about the company in just two syllables: a playful yet high fidelity store for all things male hygiene.
  • is a luxury brand whose naming conventions say it all. An elegant play on words sets the tone—and voice—of the brand.
  •—a domain owned by women’s yoga apparel brand Alo— is fun, fast, and mindfully modern. It reflects the brand image and personality of Alo.

SEO-friendly domain name examples

seo-friendly domain example: 

Learning by example is a great way to approach domain name SEO. Whether you already have some inspiration or are looking for domain name suggestions, these popular ecommerce domain examples are perfect examples of strategy, length, and branding.

  • Just two syllables long and extremely brandable, Gymshark is a word that just rolls off the tongue. This very short domain name is separated into multiple subdomains to help with global traffic. This is a great SEO tactic for brands with a multinational presence.
  • This domain is memorable, specific, and easy to remember. No hyphens, numbers, or other strange spellings are included, which helps visitors return to the site without much trouble.
  • The .com extension and exact brand name means visitors can find Bee Inspired Clothing in the blink of an eye. According to Ahrefs, the domain also commands more than 15,000 backlinks, which is a boon for SEO.

Do I need to change my domain name for SEO?

Domain names do impact your SEO, but they aren’t necessarily a make-or-break portion of your strategy. In fact, a changing domain name could confuse search engines and other bots trying to crawl through your web pages—making a short-lived but still negative impact on your SEO. Updated domain names might make it more difficult for returning visitors to find your site again, tanking your overall web traffic.

You should only consider changing your domain name for SEO if:

  • You’ve already considered rebranding your site or company
  • You’re planning on using 301 redirects to sustain previous SEO
  • Your current domain is confusing or hard to access

Remember that your domain name doesn’t necessarily factor into search engine rankings. However, changing it or rebranding it without following best practices could confuse visitors and search engines alike.

Domain SEO tools for creating a winning strategy

Best domain naming tool: Shopify domain generator 

The best domain names certainly didn’t appear overnight, and picking a domain that follows all best SEO practices could take even more time. These tools could help to evaluate your options before registering a domain online.

Domain naming

  • Shopify provides domain registration, domain search, and hosting opportunities for your next digital identity. There’s also a way to find key information, like who owns the domain, when it was registered, and when it expires. 
  • BlueHost searches for available domains based on entered keywords. This works if you’re looking to buy a domain name immediately, but doesn’t offer any information lookup function.

Domain authority tools

  • Ahrefs offers a helpful authority checker that measures the strength of any currently registered domain name. Use it to keep up with any linking websites or backlinks.
  • is a free online tool that allows users to measure the authority of multiple URLs under the same domain. Again, this is best for domains with a large number of pages to manage.
  • allows you to check the history of a domain name before you register it—and ensures you don’t pay for something with a poor background or lingering SEO penalties.

Domain monitoring tools

  • provides a domain monitoring service that tracks owned and unowned domains. Keep a watchful eye on expiration dates, status changes, and other factors that may impact domain SEO.
  • Domain Rank Tracker lets users check for the top 50 keywords that are sending visitors to a certain domain, allowing them to monitor changes over time.
  • Brand Monitor protects your domain name from bad actors and lookalike domains that could hurt your rankings and SEO results.

Putting domain SEO into practice

Domain names are online digital identities that speak volumes about who you are, what you do, and what visitors should expect from you. While the name you choose will not necessarily affect search engine rankings, it’s a good idea to pick short, memorable, and highly relevant phrases that put you in the running with today’s major brands.

With some dedicated effort and a little planning, you can choose an SEO friendly domain name that continues to reap the benefits long after registration.

Wrapping Up:

We at ShopShipShake have been working with businesses like yours with fulfilling experiences. We offer one-stop services, including an efficient supply chain, over 10 thousand of China’s suppliers, over 1,000,000 SKU and more. With a successful track record of over 100,000 clients, we are sure to deliver your orders requirements.

Let’s get in touch to build, sustain, and grow your businesses! If you would like to know more details about us, please contact us: If you are interested in cooperating with us. Please register on:

This article originates from:

How To Start a Reselling Business Online + 5 Examples (2023)

Illustration of a package in a circular motion, demonstrating how reseller businesses are about connecting new customers to existing products

You don’t need a revolutionary new product idea to sell things online. In fact, you don’t even have to manufacture your own products to start your own ecommerce business.

Various business models put product development, manufacturing, and order fulfillment into the hands of others—and profits into yours. One of these models is the resale business model.

Becoming a reseller is a great way to launch a small business and start selling online without beginning at square one. Read on to learn how to become a reseller, and get some tips and ideas for running a successful reseller online shop.

Table of contents:

  1. What is a reseller?
  2. How to become a reseller
  3. Best places to find suppliers for your resale business
  4. Five reseller business opportunities
  5. Start your reselling business today

What is a reseller? 

A reseller is a business that purchases products from manufacturers, liquidators, or other retailers and then sells them to its own customers. A reseller business permit—also known as a resale license, resale certificate, or tax exemption certificate—allows resellers to purchase certain items free of sales tax, including:

  • Items to sell at wholesale
  • Items to sell at retail
  • Ingredients or components to manufacture and sell things

Reselling is essentially a form of dropshipping, where companies source products and materials from a variety of suppliers and make them available to consumers via an online store. This business model makes it easier for the average consumer to find and purchase products.

Many resellers also provide a value-add for the customer experience. For instance, buying directly from a supplier isn’t necessarily easy, and often requires minimum purchase quantities. By contrast, resellers can sell items individually to customers (at a markup), as well as create a branded customer experience. Those elements may be as simple as in-depth product descriptions and reviews, a customer loyalty program, and customer support.

A reselling business has a number of benefits and can be a profitable business model, especially if you have niche expertise. You can launch an ecommerce store faster when you don’t have to go through all the steps of product development and building an audience.

Reselling is also a viable business pursuit for people who like and have success with marketing.

Because product reselling is a common type of dropshipping, it can be difficult to attract customers when you’re starting out as a reseller. If you can plan and execute effective marketing strategies, your reselling business is more likely to achieve success.

Straight product reselling is great for someone who has specific expertise or knowledge of an industry or demographic. For example, someone who knows about animal behavior could create a dropshipping business around the different toys that are best suited for pets.

How to become a reseller

  1. Register your business. Get a business license where your business operates and/or is incorporated. In states outside of where a business is registered, you’ll need to have foreign qualification.
  2. Research state laws and regulations. Many states will let you use an out-of-state reseller’s permit to avoid paying sales tax on resale items. However, some won’t honor out-of-state permits. Research state law before buying across state lines, both for in-person and online sales.
  3. Gather your application materials. Once you know what you need to register and submit your application, prep all the necessary documentation for your reseller business.
  4. Get a resale permit. File for a reseller business permit in each state where you buy and sell goods. You might also have to pay associated fees.

Sales tax laws vary by state, and each state has its own sales tax rates. In some states, local sales taxes must be collected, too. According to the Tax Foundation, 45 states and the District of Columbia collect statewide sales taxes, and 38 states collect local sales taxes. To find out your specific requirements, it’s best to check with your local jurisdiction.

In the United States, a business with a reseller permit doesn’t pay sales tax on the products it purchases for sale. However the reseller does have to collect sales tax from its customers and send it to the state.

Like a business license, you take out a resale permit wherever your resale business operates. So, if you incorporate in Florida, but have an online store, shipping location, or factory in Delaware, you’ll need a Delaware reseller’s permit. If you buy and sell goods in multiple states, you’ll need a valid permit in each.

Best places to find suppliers for your resale business 

To find a supplier for your resale business, start with identifying what types of products you want to sell and what kinds of customers you want to sell them to. Then you’ll need to determine if you want to find a supplier that operates like a distributor, providing wholesale products to you, or like a dropshipper, supplying products and handling order fulfillment.

To search for reseller business suppliers, you can browse online directories, do a Google search, or ask for referrals from within your network. Here is a list of product sourcing apps perfect for Shopify merchants. Each serves as a directory that makes it easy to find products to sell online. You can access a variety of products across all kinds of categories, such as electronics, toys, and cosmetics.

You can also start a reselling business by partnering with well-known dropshipping websites like Worldwide Brands, SaleHoo, Doba, and AliExpress (see our complete guide to AliExpress). Browse their websites to see what kinds of products are available for resale.

Salehoo homepage, where sellers can source products to dropship

Five reseller business opportunities/ideas

Reselling opens the doors to a lot of new business opportunities, as you don’t have to invest in product development and manufacturing. These qualities also make reselling a great home business or side hustle, which you can eventually turn into a full-time job.

Here are five ideas to get you started with a reselling business.

1. Dropshipping business

You can start a dropshipping business, which gives you the ability to offer a wide range of products without stocking any inventory. In a dropshipping business model, all you have to do is market and sell the products. Your dropshipping supplier handles everything product-related, from product development to warehousing and tracking, and even through to order fulfillment.

Dropshipping is a low-risk business model because it doesn’t require investment in inventory, not to mention the costs associated with storing that stock. Plus, the supplier handles the fulfillment process for you, so you don’t need staff or a space to ship goods to customers.

2. Sneaker business

Shoes offer resellers a wide range of niches—from athletic shoes to stylish heels to trendy sneakers and everything in between. People always need shoes, and you can keep things fresh by launching seasonal designs. There’s ample opportunity to resell shoes and make a tidy profit doing so.

New Jersey–based Shopify merchant Packer Shoes started as a small neighborhood custom shoe shop. The company has grown since its humble beginnings in 1907, largely thanks to its omnichannel approach. Now, in addition to reselling sneakers from household name brands like Adidas, Packer Shoes offers its own designs as well.

Packer Shoes homepage showcasing the Adidas sneakers they have available

3. Vintage boutique

If you’re thinking about how to start an online boutique for reselling, you’re on the right track. The used goods resale industry is huge: in the US alone, there are more than 20,000 stores that sell used goods, amounting to a combined annual revenue of about $17.6 billion. A vintage boutique is a great way to take advantage of this reselling business opportunity.

When sourcing vintage goods for your reseller business, you can go by the traditional definition of goods that are older than 50 years and younger than 100, or you can take inspiration from vintage trends. COAL N TERRY does the latter with its vintage clothing collection.

COAL N TERRY homepage featuring their various vintage clothing lines

You can resell vintage clothing, antique furniture, or any knick-knacks you can find at garage sales, yard sales, thrift stores, or donation centers. The key to a successful vintage reselling business is to learn what items people look for, and the price points they’re willing to pay. For example, vintage Corningware is in high demand for a niche market of customers.

4. Consignment 

If an online business selling vintage goods sounds appealing, consider taking this idea to the next level by opening a consignment shop. Consignment shops sell upscale or luxury used goods, and not everything is antique or vintage—some items are newer.

Love that Bag etc, for example, is a Shopify merchant that operates a consignment shop from its online store. Though Love that Bag etc is selling high-quality designer bags for less than they cost brand new, they’re more expensive than bags you might find at a vintage shop.

Love that Bag etc. homepage that features one of its high-end purses

5. Subscription box

The subscription box reached peak popularity with brands like Birchbox, and remains a flexible business model for a reseller looking to establish a more predictable revenue stream. You can curate an assortment of goods and package them into a single box.

To start your own subscription business, first determine your target market and then look for goods that fit their wants and needs. You can assemble the goods in themed boxes and launch a new one each week, month, quarter, or whatever cadence you want to hit.

Start your reselling business today

Now that you know how to become a reseller, consider starting your reseller journey today. Because you don’t have to invest in product development, upfront inventory, or fulfillment, this business model is a low-risk way to dip your toes into operating an ecommerce business and owning your own shop.

Wrapping Up:

We at ShopShipShake have been working with businesses like yours with fulfilling experiences. We offer one-stop services, including an efficient supply chain, over 10 thousand of China’s suppliers, over 1,000,000 SKU and more. With a successful track record of over 100,000 clients, we are sure to deliver your orders requirements.

Let’s get in touch to build, sustain, and grow your businesses! If you would like to know more details about us, please contact us: If you are interested in cooperating with us. Please register on:

This article originates from:

Marketing Funnels Explained: Why It Matters and How To Build Yours

marketing funnel

Your customers discover your business in a variety of ways—through word of mouth, advertisements, and, increasingly, digital marketing efforts.

Creating effective strategies to turn these initial interactions into customers is complicated. How can you nurture and guide a prospect from initial awareness of your brand through to purchasing your product and becoming a loyal customer? You can start by mapping out the interactions a customer has with your business to create an effective marketing funnel strategy.

In this article, we’ll explain the different stages of the marketing funnel, how to create one, and dive into the tactics you can use at each stage.

Table of Contents

What is a marketing funnel? 

A marketing funnel is a model representing the customer journey from a prospect discovering your business, brand, product, or service to the moment they take a specific action or purchase from you.

You can divide a marketing funnel into as many stages as you’d like, but most marketers follow three distinct stages:

Top of the funnel (TOFU): Awareness 

In this stage of the funnel, you market to a wide audience to capture as many leads as possible. Typical TOFU activities include publishing blogs and how-to articles and posting on social media platforms.

Middle of the funnel (MOFU): Consideration

You market to an engaged audience who knows your brand. Typical MOFU activities include promoting and encouraging prospects to attend a webinar and to download case studies, ebooks, whitepapers, and research reports.

Bottom of the funnel (BOFU): Conversion

At the bottom of the marketing funnel, your leads become fewer but more likely to convert. Treat these leads as though they are about to make a purchase decision. Typical BOFU activities include live demos, product trials, vendor comparison charts, and customer references. 

Marketing funnel where the customer journey passes through the top, middle, and bottom of the funnel.
The widest part of the funnel captures the biggest group of people who might be interested in what you sell, while the smallest part of the funnel includes the smaller group who are most likely to convert.

Benefits of a marketing funnel

📈 Encourage more meaningful growth. 

Funnels give you a clearer way to organize marketing tactics and make it easier to understand which tactics work for each stage of the funnel. For example, you might learn that TikTok videos work wonders to increase awareness about your business, but do little to drive actual conversions. This allows for more strategic growth: you’ll double down on what works and pull back what doesn’t. 

❤️ Get to know your customers.

Establishing a funnel helps you better understand your target audience and what they need to feel excited about making a purchase from you. Based on their behavior at this stage in the customer journey, you can learn which products they like and the most impactful types of marketing.

💵 Master your purchase cycle.

How long inventory takes to sell depends on your average order value (covered below). Typically, more expensive inventory takes longer to sell than less expensive products. But how many weeks does it actually take, on average, for the costly and affordable items to sell? Once you know how long it takes for the different priced goods to sell, the marketing funnel will provide insight into how to get those products to sell within the average timeline. 

How business stage impacts your marketing funnel

Your marketing funnel will grow and develop over time based on cultural trends, the products you sell, and your business’s stage. It’s an evolving model. A marketing funnel strategy requires maintenance, care, and attention to thrive. 

There are two main factors that differentiate the marketing funnel for an established business versus a new one:

Brand awareness

The level of brand awareness your business has determines how easy it is to attract new customers. If you have high brand awareness, you’ll spend less money on the awareness and acquisition leg of the funnel and more on consideration and conversion. Lower brand awareness means you’ll need to drive hype and spread the word earlier on, meaning that your time and resources will go toward getting new eyes on your products.


The amount of money you bring in determines how much you can spend on marketing activities. The more revenue you bring in, the more you have to spend on paid acquisition and acquiring new inventory. If you’re starting out and have little to spend on marketing, your tactics will look different.

How to develop a marketing funnel 

Know your target audience 

Before you can deploy a marketing funnel strategy, you’ll need to first create buyer personas and then develop content specific to them at each stage of the funnel.

Marketing funnels outline a straightforward path to conversion. Most customer journeys aren’t as linear. Unsplash 

Buyer personas, also called customer personas, are fictional characters you develop to describe, in granular detail, your customers.

You can research and gather data on your customers using your website and social media data, as well as using third-party data platforms, including Google Analytics. You’ll want to look for data points like age, sex, occupation, and incometo better pinpoint your customers. 

Also, you may conduct short interviews or surveys with people who have already purchased your product to learn more about them and their experience.

What you learn will inform the channels and style of marketing you’ll use to reach your target audience. For example, if you find you sell primarily to teenage girls, chances are you’re not going to reach them with LinkedIn ads. 

Here are different ways you can uncover your target audience: 

  • Look at cumulative purchase history across all customers. 
  • Use digital analytics tools to gather quantitative information.
  • Run an online survey.
  • Conduct interviews.
  • Do industry research to explore consumer trends and behavior. 
  • Complete a competitive analysis by looking at competitors’ audiences.

From this information, create buyer personas that detail the common characteristics of the main types of customers in your funnel. 

Establish average order value and a consideration timeline

Your average order value (AOV) is the average value of your customers’ purchases. For example, if your shop’s revenue is $2,000 and you’ve had 100 orders, your AOV is $20. 

AOV determines how much focus you put on each part of your marketing funnel. If you sell fine jewelry and your AOV is $1,000, the consideration phase of your funnel will likely be much longer compared to a shop that has an AOV of $20. Customers tend to think longer about making large purchases than smaller ones.

This relates to the marketing funnel because:

High AOV = Long consideration timeline

You’ll want to spend more energy and money on developing content that nurtures people throughout the consideration phase. 

Low AOV = Short consideration timeline

You’ll focus more on acquiring new customers because they tend to move through the funnel faster.

This model helps differentiate where you place your budget and the emphasis you put on the different parts of your funnel. 

Stages of the marketing funnel

Stage 1: Top of funnel (TOFU)

The top and broadest part of the funnel represents anyone who hears about your product and business. This might be through your own marketing efforts, a recommendation from a friend, a roundup article on Google, or a social media post. These folks are aware that your business exists but may not have a need for one or more of your products. 

The strategy for each stage of your funnel depends on your target audience and AOV. But there are actions that generally make sense for awareness. Yes, you can run paid ads, but developing organic content and working with influencers for this stage in the funnel sets you up for longer-term success. 

For example, publishing a blog on your site not only helps you get traffic via search engine optimization (SEO), it further nurtures customers who want to learn more about your products, business, or industry in general. 

A presence on social media also helps. It allows prospects to learn more about your products, get a sense of your brand’s personality and voice, and engage with you by asking questions, posting comments, or sharing content with friends. Inviting someone to join your email list is another great way to engage with consumers and teach them more about your products. Many businesses offer a discount code to persuade people to join; others simply promise compelling content. Whatever you decide, providing the option to subscribe gives you a way to stay in touch with someone, even if they haven’t made a purchase yet. 

When you need to expand your reach further, try partnering with micro-influencers. 

“What I recommend to brands right now,” says Amanda Tallon, account strategist at growth marketing agency Shoelace, “is to work with micro-influencers or use the audience that they already have built out, because it’s getting very expensive to acquire new audiences through paid search and social platforms.” 

Micro-influencers have between 10,000 and 100,000 followers on social media. “If your brand is in line with that micro-influencer,” Amanda says, “chances are their followers are also going to be in line with your business.”

⚠️Choose your acquisition tactics carefully

Though we’re talking about TOFU right now, the methods you use to drive traffic to your site should target prospects that will eventually convert. For example, you might drive a lot of traffic to your website via a podcast. But the listeners aren’t in your target audience, and while they’re curious about your product, they never actually convert. 

Peepers, a brand that sells trendy eyeglasses, ran into a similar issue. The business, like many other ecommerce brands, is trying to diversify how it’s finding customers and driving traffic to its store. The team experimented with some nontraditional routes, and though they had ads and content that drove traffic, they didn’t drive conversions.

“Sometimes you fail to get traffic. Sometimes you succeed with traffic but fail to get conversions. You have to put both of them together in order to grow and grow profitably,” says John Hart, VP of operations and ecommerce of Peepers.

Peepers makes trendy eyeglasses. Peepers

Sometimes you fail to get traffic. Sometimes you succeed with traffic but fail to get conversions. You have to put both of them together in order to grow—and grow profitably.John Hart, VP of Operations & Ecommerce for Peepers<

Stage 2: Middle of the funnel (MOFU)

The middle of the funnel is all about developing and nurturing the relationships you have with the people you engaged with during the awareness phase. When a prospect reaches the consideration stage, they’ve identified a need for your product. They might need it to solve a problem, spark joy, or give as a gift. When someone reaches this stage, they’re aware of your business, what you do, and the types of products you sell. They might be on an email list or follow you on social media. 

Amanda cites email marketing as the best tactic for prospects in the consideration stage of the marketing funnel. If they are already on your email list, then they have already bought into your brand at some level. 

“You can develop a strong personal story with email marketing,” says Amanda. “You can do quite a bit of brand building in someone’s personal inbox.”

It’s easy to ignore consideration and focus on the bookends of the funnel—awareness and conversion. Amanda warns that though some customers will convert right after you acquire them, oftentimes they need more attention to make a purchase. 

Stage 3: Bottom of the funnel (BOFU)

This is the big moment—you’ve posted some great social media content, sent emails that were on point, maybe even worked with an influencer or two. Now, it’s time to drive home your product benefits, business ethos, and unique value propositions to get prospects to make purchases. 

Two tactics are particularly effective at this stage:

💬 Customer conversations

A customer will likely reach out to you only when they’re actively looking to make a purchase. They’ll look to you to remove any obstacles in their path. Speaking directly to a customer builds trust, gives them a sense of who you are and what you’re like to work with, and can remove any remaining concerns.

💸 Paid ads

“You can run paid ads at any stage of your marketing funnel,” says Amanda. “But if you don’t have a lot of money, run ads at the purchase stage to get the most revenue for your ad spend.” 

Paid ads can go farther at this stage in the funnel because prospects already know who you are, what you do, and the products you sell. Ads serve as reminders and should include copy that drives home your unique value proposition.

If you don’t have a lot of money, run ads at the purchase stage to get the most revenue for your ad spend.JAmanda Tallon, Account Strategist at Shoelace

Getting shoppers to move from the consideration to conversion stage of the marketing funnel is key for your business. Arturo Rey via Unsplash

The inverted funnel: inspire loyalty and get customers to return 

Enticing customers to return is one of, if not the most, cost-effective way to increase your average order value. “It can get really expensive for a business to acquire a new customer. The best-case scenario is for a customer to return and make a second, third, fourth, etc., purchase and increase their lifetime value,” says Amanda. 

The Peepers team thinks about driving repeat sales at every point in their business plan, starting with product development. The team creates products with designs that sets them apart from competitors, uses high-quality materials, and sells items at a very competitive price point.

“The next step, and something that we’ve tried to be even more focused on,” John says, “is delivering the best possible customer experience.” 

Along with delivering a top-notch customer experience, there are other effective marketing tactics that can help you with the loyalty section of the funnel. 

Try a direct-mail campaign

The Peepers team sends direct mail to drive more traffic to their website. There’s so much to experiment with here. You could send a postcard with a unique coupon code, a fun branded sticker set, or a handwritten note. 

Ask for user generated content

After a customer makes a purchase, Amanda recommends sending an email asking for a photo of their purchase and a review. After customers provide the content, you could send a discount code to use on their next purchase. This gives you new content for the awareness stage of the funnel, brings people back to the website, and increases loyalty by prompting them to use their discount code. 

Create a loyalty program

Another way to encourage repeat customers is through loyalty programs. Loyalty programs reward customers for making repeat purchases. Girlfriend Collective, a clothing brand, runs a loyalty program offering perks based on the lifetime value of a customer. As a customer spends over time, they unlock benefits like free shipping and returns and early access to sales.

Girlfriend Collective’s loyalty program offers benefits for spending with the store.
Girlfriend Collective’s loyalty program gives greater perks as customers spend more. Girlfriend Collective

Tracking attribution through data and surveys

Now you’ve completed your marketing funnel, the final step is to ensure you know exactly where your traffic comes from. This tells you where to invest your efforts.

Some Analytics tools don’t take into consideration content that’s nurtured customers to the point of purchase. Instead of relying on them solely for attribution, Amanda recommends setting up post-purchase surveys.

One client, she recalls, was ready to give up on TikTok as a marketing channel after both the platform and Google Analytics showed few conversions. But when they ran a post-purchase survey, TikTok was a leading platform for new purchasers. 

“We thought the average order value was significantly lower than other channels in the business in general, and it was the second highest,” Amanda says. “So, after that, we doubled down on our TikTok ad spend and realized that it was opening up an entirely new market for us.”

If you run a post-purchase survey, include the question about how the customer originally found out about your business. Be sure to leave a comment box alongside your answer options so respondents can provide an accurate response or provide more context. 

Unlock new opportunities with a marketing funnel

No two customer journeys are exactly the same. While the marketing funnel provides a clear framework for marketing tactics, it won’t always reflect each customers’ unique journey. That’s to be expected: some customers will flow through acquisition, consideration, and conversion. Others will bounce back and forth before committing. 

Ultimately, marketing funnels help you clearly map your marketing efforts for anyone, from raving fans to newcomers.

Wrapping Up:

We at ShopShipShake have been working with businesses like yours with fulfilling experiences. We offer one-stop services, including an efficient supply chain, over 10 thousand of China’s suppliers, over 1,000,000 SKU and more. With a successful track record of over 100,000 clients, we are sure to deliver your orders requirements.

Let’s get in touch to build, sustain, and grow your businesses! If you would like to know more details about us, please contact us: If you are interested in cooperating with us. Please register on:

This article originates from:

How to Start a Shoe Business?

Do you want to start a profitable business and make money from it? Have you ever thought about a Shoe business? Do you know everyone needs at least one shoe so demand never goes down? In general, the profit margins are high in the shoe business. Why not learn more about the shoe business?

Everybody wears shoes. Girls even love collecting them so why not start a shoe business if you look at the prospect of engaging in a retail business? While a shoe business can require considerable start-up costs from you, the shoe business can be very profitable.

Here are some of the things that you will find interesting to know if you plan on starting a shoe business:

Where to Buy Shoes From?

You will need to look for wholesalers of shoes if you want to start a shoe business. The internet has a large database of shoe wholesalers but it is important that you verify the credibility of the wholesalers you will be dealing with. It is also best to get quotations from a number of shoe vendors so you will able to know the best and cheapest place to buy the shoes that you will sell.

Low-End Shoes or High-End Shoes?

When starting a shoe business, you will find it valuable to determine who your target market will be. This will allow you to determine what type of shoes you are going to sell. You can sell low-end shoes, high-end shoes, or both depending on what type of clients you expect to patronize your shoe company. Nevertheless, you will find it notable to know that you will be able to sell to more people if you sell low-end shoes. Your shoe store business start-up capital will also determine what type of shoes you will be able to sell.

Marketing and Selling

Selling shoes these days is no longer limited to opening a brick-and-mortar shoe store. Many shoe business operators have realized that selling their items on the internet through eBay and through their shoe market business websites can be very profitable. You just need to have a secure payment system and a delivery service provider that you can rely on.

You can provide a catalog of the shoe products that you sell on your website so it will be easier for your clients to choose from the shoes that you sell. While an online presence for your shoe business can help boost your sales, it is still important that you acknowledge the importance of a brick-and-mortar shoe business outlet because this is where you can display your products and sell directly to your customers. It is important that you choose a location where people can easily see and purchase your shoe store business products. Setting up a shoe outlet in a mall or in similar high-traffic areas would be a great idea.


Q. Best place for opening a shoe retail store?
A. Here are some tips on selecting the location for a shoe shop
– Is there enough traffic? Traffic next to a theatre might be ample but not ideal for a shoe store. The best location will be a mall, where people are already in a buying mood.
– Look out for the existing shoe store and what is the requirement in the locality.
– Your store requires enough space for showing your items.
– Parking space is very important; people might not like to shop if they have trouble parking.

Q. How to increase the sales of a shoe store?
A. You can increase your sales by advertising, marketing, handing out coupons, promotional offers, increasing your inventory, meeting the public’s requirements, improving customer relations, etc.

Here is a Shoe Business Success Story Video for Young Entrepreneurs

Wrapping Up:

We at ShopShipShake have been working with businesses like yours with fulfilling experiences. We offer one-stop services, including an efficient supply chain, over 10 thousand of China’s suppliers, over 1,000,000 SKU and more. With a successful track record of over 100,000 clients, we are sure to deliver your orders requirements.

Let’s get in touch to build, sustain, and grow your businesses! If you would like to know more details about us, please contact us: If you are interested in cooperating with us. Please register on:

This article originates from:

8 Best eCommerce Platforms for South African businesses

Choosing the best eCommerce platform is essential for any South African business or online store. There are a number of different platforms to choose from, each with its own set of benefits and drawbacks.

What is the best e-Commerce platform for South Africa?

The Short Answer, in most scenarios, if I was starting up an e-commerce brand or online business I would choose.

  • Wix (Best all-rounder for small business to medium business, good online store)
  • Shopify (Best Online Store)
  • Clickfunnels (Best for Digital Products and Service based business)
  • Woocommerce (if I already had a successful WordPress site)
  • Magento (If I had an extensive business)

In this blog post, we will take a look at the 8 best eCommerce platforms in South Africa. We will also discuss the benefits of eCommerce, and look at some of the trends that are shaping the future of e-commerce.

We’ll also compare:

  • The best website builders for small businesses.
  • The best free and cheap options.
  • The ones with the best SEO.
  • The best platforms with online store capabilities.
  • The best builders for agencies.
  • And the best options for photographers and artists.

Jump to Sections

Let’s get started.

Before we look at which eCommerce platform is best for you it is important to understand what type of products or services you want to sell.

Are you selling?

  • Physical goods
  • Digital products
  • Brick and mortar Services
  • Online Services


it’s also important to understand which stage of business you are in.

  • Are you a startup?
  • Small business?
  • Large enterprises?

This will help to guide your decision when it comes to choosing an eCommerce platform.

Now that we have a better understanding of the products and services you want to sell, as well as the business stage you are in, we can take a look at some of the best eCommerce platforms in South Africa.

Each e-commerce platform has its pros and cons, so it’s important to choose the one that best fits your specific business needs. The 6 platforms we will be discussing are:

  • Shopify
  • Wix
  • WooCommerce
  • Click Funnels
  • Magento (Now Adobe Commerce)
  • Prestashop
  • Opencart

Let’s take a closer look at each of these eCommerce platforms in the context of South Africa.

Shopify Store

The first platform on our list is Shopify. Shopify is a powerful eCommerce platform that is easy to use and provides a wide range of features for shopping online. It is also one of the most popular eCommerce platforms in South Africa, especially if you are looking to sell products.

Benefits of using Shopify include its ease of use, its wide range of features, and its flexibility. Drawbacks of using Shopify include its monthly fees and the fact that it is not as widely used in South Africa as some of the other platforms on this list.

Shopify is best for businesses that are looking for an easy-to-use platform with a wide range of features. It is also a good choice for businesses that are looking for a platform that is widely used and has a lot of support.

Shopify Pros

  • Easy to create with Great Templates
  • Wide range of features for automation
  • Widely used- Good support Shopify
  • Great Conversion plug-ins
  • Affiliate marketing plug-ins
  • Can scale to a large online store
  • Inventory management
  • Drop Shipping integrations
  • All the basic features

Shopify Drawbacks

  • Shopify works best with physical products
  • Templates are good but can be complicated to customise
  • Updates might require a Shopify developer

Shopify is Best for

  • Shopify is best for Online stores as well as businesses with a physical presence that wants to sell online
  • Small Businesses to Large Enterprises
  • Online Retailers

Wix Online Store

Wix is a great choice for those looking to build their own site without any technical knowledge, with its drag and drop elements design.

They have over 100 million users and 500+ prebuilt templates that will help you design your website the way it looks best!

Since WIX offers so many options, there’s no limit on what kind of design approach or style might suit someone – whether they’re an entrepreneur selling products online from home via social media platforms like Instagram Stories; somebody running businesses across multiple states as well

However, it is a bit more expensive than Shopify but requires less professional development which saves you in the long run. Wix is becoming the website builder of choice in South Africa Currently, Yoco is the best South African payment gateway for Wix in South Africa

Wix Pros

  • Easy to use with Great Templates (Easily Create)
  • Best for Owner run websites (Create your own Website)
  • Easy to customise
  • Wide range of features for automation
  • Great Conversion optimisation widgets
  • New integrations make it more popular in South Africa
  • Excellent SEO Capability
  • No Web Development Skills Required
  • Powerful mobile editor
  • Easily turn your e-commerce site into an App.
  • Inventory management
  • Marketing automation
  • No Coding skills required
  • Third party apps
  • Great Ecommerce add on
  • Direct support
  • Local Support

Wix Drawbacks

  • Not as many payment gateways are set up in South Africa, however, more are being added constantly. Currently, we use Yoco as our payment gateway.

Wix is best for

  1. Service based companies
  2. Agencies
  3. Small Online Stores
  4. Online Magazines
  5. Affiliate Marketing sites
  6. Brick and Mortar Stores
  7. Restaurants
  8. If you don’t currently have an existing website or want to overhaul your current website

Click Funnels

Click Funnels is an eCommerce platform that is designed for businesses that want to sell digital products. It is a bit more expensive than Shopify and Wix, but it is also much easier to use. That said, it is not as widely used in South Africa as some of the other platforms on this list.

Click funnels specialised in lead generation (Thanks Russell Brunson) and the sale of digital products. What makes Click FUnnels exceptionally powerful is that your website behaves as a sales funnel. You can take a customer on a journey from awareness all the way to purchase without them ever having to leave your website.

The combination of Facebook ads pointing to a click funnel landing page is exceptionally powerful and something we recommend you explore if you are in the digital product space.

We have also seen examples of click funnels working well for brick and mortgage type businesses like gyms, restaurants, and dentists to mention a few.

Click Funnels Pros

  • Easy to use
  • Selling digital products locally and internationally
  • Can take payments directly on your website
  • The website behaves as a sales funnel
  • Can integrate with Facebook ads
  • Great conversion optimisation tools.
  • Integrated email strategy
  • State-of-the-art marketing integration

Click Funnels is Best for

  • Selling digital products
  • Attaining high conversions
  • Brick and Mortar stores
  • App Sales
  • Online courses

Click Funnel Drawback

Click funnels have an amazing workflow, however that workflow is very reliant on specific content as you journey through the Sales Funnel.

The website builder requires your company to have a lot of reviews from previous customers written and in video format. The funnel also works best when you have video content on your landing pages. With all that said, if you have this kind of content in place or can create it this platform can skyrocket your business.

WordPress + WooCommerce

WordPress site is a popular content management system that can be used to create websites of all types. WooCommerce is a WordPress plugin that turns a WordPress website into an eCommerce store. WordPress + WooCommerce is a popular choice for businesses in South Africa for a number of reasons. It is relatively easy to use, it is flexible, and it is very affordable. The main drawback of using WordPress + WooCommerce is that it requires a bit more technical knowledge than some of the other platforms on this list.


Another great eCommerce platform for South African businesses is WooCommerce. WooCommerce is a WordPress plugin that turns your WordPress website into an online store. It is extremely user-friendly, and provides a wide range of features. Benefits of using WooCommerce include its user-friendliness, its wide range of features, and its affordability.

Drawbacks of using WooCommerce include the fact that it requires a WordPress website, and that it is not as widely used in South Africa as some of the other platforms on this list.

Unless you have a great WordPress website and support team, I would not recommend this to new e-commerce stores.


PrestaShop is another popular eCommerce open-source platform that is widely used in South Africa. PrestaShop is a free and open-source eCommerce solution that provides a wide range of features. Benefits of using PrestaShop include its affordability, its wide range of features, and its flexibility. Drawbacks of using PrestaShop include the fact that it is not as user-friendly as some of the other platforms on this list, and that it is not as widely used in South Africa as some of the other platforms on this list.

Magento is Now Adobe Commerce

Magento is a powerful eCommerce platform that is used by many large businesses around the world. It is not as user-friendly as some of the other platforms on this list, but it provides a wide range of features. The benefits of using Magento include its wide range of features, scalability, and flexibility. Drawbacks of using Magento include its complexity, its high cost, and the fact that it is not as widely used in South Africa as some of the other platforms on this list.


OpenCart is a free and open-source eCommerce solution that is easy to use and provides a wide range of features. Benefits of using OpenCart include its affordability, its ease of use, and its wide range of features. Drawbacks of using OpenCart include the fact that it is not as widely used in South Africa as some of the other platforms on this list, and that it lacks some of the advanced features offered by some of the other platforms on this list.

Summary of e-commerce platforms South Africa.

These are just a few of the many different eCommerce platforms available to South African businesses. The best platform for your business will depend on your specific needs and requirements. We recommend that you take the time to research all of the different options before making a decision.

It’s important to keep in mind these are just platforms, or templates for creating a digital version of your business. The Best platform for your business should mirror the functions your business does in the physical world into the digital world.

What is e-commerce?

E-commerce is the buying and selling of goods or services over the internet. E-commerce businesses can range from small, family-run businesses to large, multinational corporations. The growth of eCommerce in recent years has been nothing short of phenomenal, with online sales increasing at a rapid pace all over the world.

There are many reasons why eCommerce is such a popular choice for businesses. Perhaps one of the most significant benefits is that it allows businesses to reach a much larger audience than they would be able to if they were selling through physical stores alone. With an eCommerce website, businesses can sell to customers all over the world, 24 hours a day, 7 days a week.

Another benefit of eCommerce is that it is usually much cheaper to set up and run an online store than a brick-and-mortar store. This is because businesses do not have to worry about the costs associated with renting or buying retail space, hiring staff, and stocking inventory.

What is a Payment Gateway?

A payment gateway is an eCommerce service that authorizes credit card or direct payments for eCommerce transactions or online payments. A gateway encrypts sensitive information, such as credit card numbers, to ensure that it is secure when it is transmitted.

What is the best payment gateway for South Africa?

Some of the most popular payment gateways used in South Africa are PayFast, PayPal, SnapScan and Yoco

Running costs of an e-commerce website in South Africa

The running costs of an eCommerce website will vary depending on a number of factors, such as the size of the website, the number of products being sold, and the payment gateway being used. In general, however, businesses can expect to pay around R500 to R5000 per month for their eCommerce website. This includes hosting fees, domain name registration, and SSL certificates.

What is the future of e-commerce?

The future of eCommerce looks very bright. The global eCommerce market is expected to grow at a compound annual growth rate (CAGR) of 14.7% between 2018 and 2023, reaching a total value of $27 trillion by 2023. This rapid growth is being driven by a number of factors, such as the increasing popularity of mobile devices and the growth of the middle class in developing countries.

The future of eCommerce in South Africa looks especially promising. The South African eCommerce market is expected to grow at a CAGR of 17.6% between 2018 and 2023, reaching a total value of $8.5 billion by 2023. This rapid growth is being driven by a number of factors, such as the increasing penetration of internet users, the growing popularity of online shopping, and the increasing use of mobile devices.

So, what does this all mean for businesses? It means that now is the time to get started in eCommerce.

8-Step eCommerce plan

1. Define your business goals

2. Research your target market

3. Choose the right eCommerce platform

4. Set up your website

5. Stock your store with products

6. Promote your eCommerce store

7. Process orders and payments

8. Provide excellent customer service

A good e-commerce solution needs to offer a wide range of features and integrations that can be customized to suit your business’s specific needs. Some of the most important features to look for include:

What features do you look for in a good e-commerce platform?

A user-friendly website builder

The platform you choose should make it easy to build a professional-looking website, even if you don’t have any experience with web design.

A comprehensive shopping cart

Your eCommerce platform should include a shopping cart that is easy to use and can be customized to match your branding.

A payment gateway integration

The platform you choose should offer seamless integration with the payment gateway of your choice. This will make it easy to accept payments from customers all over the world.

A customer management system

This will allow you to keep track of your customers’ contact information, order history, and preferences.

A shipping integration

The platform you choose should offer a shipping integration that makes it easy to calculate shipping rates and print labels.

Analytics and Reporting

The platform you choose should offer comprehensive analytics and reporting tools that will help you track your website’s performance and make informed decisions about marketing and product strategy.

When choosing an eCommerce platform, it’s important to consider your business’s unique needs. If you’re not sure which platform is right for you, our team of experts can help. We’ve helped businesses of all sizes launch successful eCommerce stores

Biggest e-commerce industries in South Africa

1. Retail

2. Fashion

3. Health and Beauty

4. Electronics

5. Cannabis

6. Home and Garden

7. Food and Drink

8. Gifts and Flowers

9. Toys and Games

10. Sports and Outdoors

11. Travel

So, What are you waiting for, Start Selling Online!

We hope you found this article helpful.

Wrapping Up:

We at ShopShipShake have been working with businesses like yours with fulfilling experiences. We offer one-stop services, including an efficient supply chain, over 10 thousand of China’s suppliers, over 1,000,000 SKU and more. With a successful track record of over 100,000 clients, we are sure to deliver your orders requirements.

Let’s get in touch to build, sustain, and grow your businesses! If you would like to know more details about us, please contact us: If you are interested in cooperating with us. Please register on:

This article originates from:

12 Things You Must Do Before Starting a Business

While no two businesses are exactly the same, there are common steps entrepreneurs and potential business owners must take before opening the doors of a new company.

When it comes to launching a new business venture, the intrepid entrepreneur spirit hasn’t suffered in the wake of the COVID-19 pandemic. For example, according to the U.S. Census Bureau, a record 5.4 million new business applications were filed in 2021. It may be the right time for you, too, to embark on starting a new company. Before doing this, however, there are essential steps entrepreneurs need to take.

1. Identify a creative idea.

The most successful businesses all started from the same place: an idea. Think of a business idea as the seed of your company. You need that before you can begin adding fertilizer, watering and growing complementary plants. In other words, before you can do all the steps below, make sure you have a solid idea for your new company – it’s what your business hinges on. What is a unique service you can provide? Where is there a gap in the marketplace that you can fill? Consider these cheap business ideas for inspiration.

2. Write a business plan.

After identifying a business idea, experts agree that writing a business plan is the next step you should take. Creating a business plan displays a genuine level of commitment, but it also forces prospective business owners to answer essential and sometimes challenging questions at the start of the development process. A business plan is also the first thing any potential investor will request. It will give them a detailed overview of your proposed business venture, your level of industry expertise and understanding of the opportunity, and the financial requirements and potential upside. 

Selecting the proper legal structure for your business at the outset is critical, especially since it’s not an easy change to make after the fact. Each type of legal entity comes with specific requirements and restrictions, and only certain types of corporations may apply to your particular business needs. If you need help, a corporate attorney or experienced business accountant can offer timely and accurate advice for creating the proper legal structure for your proposed company.

4. Get your business registration, licenses and tax identification.

Once your business structure is in place, you need to register your business and obtain the correct licenses, taxpayer identification number (TIN) and employer identification number (EIN). There are various resources to assist with business names, filing incorporation paperwork, obtaining necessary licenses and registrations with your local municipality, and getting your federal tax information squared away. Aside from the IRS for federal tax matters, regional corporation commissions (typically at the county level) can assist any new business owner with meeting the regulatory requirements for each locale around the country. If you’re planning on hiring staff to help run your business, you’ll also need to apply for a federal tax ID or an EIN. Having an EIN will protect you and your identity, allow you to file business taxes separate from your personal taxes and help establish credit for your business.

5. Know your competition and the marketplace.

There’s nothing wrong with a bit of competition. It allows business owners to innovate and evolve their products and services continuously. Knowing your business’s market, what your competition is doing and how your company fits into this landscape is critical in establishing your business. Including this information in your business plan will showcase your thorough knowledge of the industry for your proposed company. Without this information, no serious investor will rise to the occasion, and it will be hard to stand out in the marketplace. Know your industry, know your competition and understand how your business will become a differentiator in the market.

6. Finance your business.

Unless you’re an accountant, have a degree in finances or are a sophisticated investor, you’ll need some help nailing down this part of your pre-launch planning. Investors will want to know how much money your company will have to begin with and how much it will need in the future. Regardless of where your revenue will come from, list it in your business plan. Will you use your credit cards and home equity to start? Will you need a loan to get started? Are you willing to give up a percentage of your ownership in exchange for cash? Will you have sales the day you open your door? These are all critical questions to address.

Tip: Find out the best business loan and financing options so you can make an educated decision on how to finance your new business.

No matter how you plan to finance your business, include that information in your business plan. There are many investors out there, and they’ve seen it all. Don’t assume that no one will invest just because you aren’t also bringing some capital to the table. Investors typically want to know three things:

  • How much?
  • For how long?
  • What is the exit strategy?

7. Identify and secure a location.

Whether it’s a home office or an entire building in an industrial park, you need to know where your business will be located before you launch it. Prior to your first day of operations, you’ll want to have the following in place:

  • Phone and internet service
  • Business directory listings
  • Utilities
  • Lease or purchase agreement for your workspace

If you haven’t identified or secured a location for your business before meeting with investors, don’t fret. Investors, bankers and legal counsel generally don’t see the lack of a specific location early on as a dealbreaker or red flag.

8. Get proper insurance.

Selecting the right business insurance for your company is not a decision to make lightly. There are several types of insurance to consider, including health, auto, directors and officers, liability, performance bond, travel (including AD&D) and life. In addition to understanding the differences between the available options, it’s important to identify any local regulations that might require your type of business to carry certain types of insurance. For example, if you’re starting a carpentry or plumbing company, you’ll need liability insurance, which typically isn’t necessary for businesses in other industries. Learn what else you need to keep in mind when choosing business insurance.

Whether you want to have in-house counsel or hire an attorney as needed, your business needs to have access to legal advice. You may need legal representation specializing in corporate, tax, intellectual property, labor, or international law. Wherever regulatory requirements demand compliance, asking a lawyer to review and sign off on this part of your business will save you time and money and protect you from potential legal ramifications.

10. Establish a web presence.

In addition to securing your business’s physical location, you’ll also need to establish a virtual presence on the web. First, you’ll want to register a domain name that matches your business’s name so you’re ready to build your website when the time comes. Then, once you’re ready to develop your website, research the options available to ensure you’re selecting the best website builder that will meet your immediate needs and be able to support your desired functionality in the future, such as online ordering capabilities. Enlist the help of an SEO expert before starting so that they can ensure your website’s design and content are fully optimized. You may also want to consider the cost of starting an online business when deciding which kind of company to start.

Tip: In addition to a website, set up accounts to build a social media presence for your business. A consistent username across all of your preferred social channels will build credibility for your business. Read more about the importance of social media for small businesses.

11. Use local and national business resources.

There are plenty of local, county and national resources to make sure your business name is available, verify the legal structure you’ve chosen is correct and in compliance with location-specific ordinances, and advise on the different business loan options and other funds available to entrepreneurs. You can also refer to resources provided by your local corporation commission, the Small Business Administration and the IRS throughout the planning process.

12. Create a marketing plan.

Writing a marketing plan that complements your overall business plan will help ensure your new business’s success. A fully optimized website should be at the center of your marketing plan, even if you’re planning a brick-and-mortar business. Review these additional tips for creating a marketing strategy for your business.

Wrapping Up:

We at ShopShipShake have been working with businesses like yours with fulfilling experiences. We offer one-stop services, including an efficient supply chain, over 10 thousand of China’s suppliers, over 1,000,000 SKU and more. With a successful track record of over 100,000 clients, we are sure to deliver your orders requirements.

Let’s get in touch to build, sustain, and grow your businesses! If you would like to know more details about us, please contact us: If you are interested in cooperating with us. Please register on:

The article originates from:

Retail vs. Ecommerce: How Are They Different?

Online retailers continue to grow in popularity and profitability, accounting for nearly 21% of retail sales worldwide. But that’s not to say physical retail stores are falling behind.

As many as 31% of brands plan to establish or expand their physical retail footprint in 2023.

Both retail and ecommerce businesses sell products or services to an individual consumer. But the way retail sales are made is quite different from the way ecommerce sales are done—and the advantages and limitations are different, too.

How do retail sales work?

Retail sales are sales made in physical stores using a point of sale (POS) system. Brick-and-mortar retail includes everything from large retail chains—like shopping malls and grocery stores—to smaller, individual-led stores (think pop-up shops and farmers markets).

Three images of Shopify POS, someone using it on a laptop (left); tablet and mobile POS on counter (center); mobile POS app (right)

Retail stores use a business model that relies on a supply chain—and they’re the last link in that chain before the products or services reach customers. Goods go from manufacturer to wholesaler to distributor to brick-and-mortar store to, finally, consumer.

How do ecommerce sales work?

Ecommerce business sales are those made digitally. Purchases online can be made via ecommerce stores or social media.

Compared to their retail counterparts, ecommerce business models typically have less steps in their supply chain. That’s because online retailers have more options when it comes to stocking and shipping their goods.

Two of the most popular methods are dropshipping and direct to consumer (DTC). With dropshipping, an ecommerce business sells products that are stocked and shipped to consumers from a third party. By comparison, DTC is when goods are sold directly to consumers without the involvement of wholesalers or third-party retailers.

Screenshot of Abysse homepage
Abysse is a swimwear brand and Shopify merchant that maintains an ecommerce website.

Retail vs. ecommerce for consumers 

Shopping in a retail store means traveling to a dedicated brick-and-mortar location, browsing items, completing a purchase with the help of a salesperson, and then taking the goods home.

On the other hand, shopping online has many potential entry points. A consumer can navigate directly to a favorite online retailer, or find a new retail store online via a digital marketing campaign or a suggestion on social media. They then browse for the products they want, compare prices, make a purchase, and wait for those products to be shipped to their home.

Making the decision between which is the best fit comes down to the type of shopping experience the customer prefers, the level of customer service engagement desired, and which shopping experience is more convenient for a customer’s lifestyle.

The shopping experience

  • How they’re similar: Both retail and ecommerce businesses rely on tactics like merchandising and curation to enhance the shopping experience and display products in an appealing way. Brand identity also plays an important role in both mediums as a way to establish familiarity and consistency.
  • How they’re different: Online, shoppers have to rely on things like product descriptions, imagery, and reviews to make their decisions. They can also do a bit more research and compare prices for different items across different online retailers.

In a physical retail store, however, shoppers can physically touch and interact with products or services. For example, a customer can sit on a mattress to make sure it’s comfortable or try on shoes to ensure they’re true to size. Data suggests this tactical approach can make consumers feel more confident in their purchases: An estimated 20% of items purchased from online retailers are returned, compared to just 9% of items bought from physical stores.

Customer service

  • How they’re similar: Both retail sales and ecommerce sales leverage customer service to resolve issues for customers, answer questions, and provide help with returns and any post-purchase concerns. 
  • How they’re different: Physical stores offer proactive customer support via sales associates who greet customers, offer help while they’re perusing goods, and assist with checkout once they’re done. 

Ecommerce customer service is more reactive: Customers don’t necessarily need to interact with customer service agents to complete their purchases. Still, a good customer support team will be easy to reach via multiple channels like email, live chat, and social media.


  • How they’re similar: All online retailers and many brick-and-mortar stores offer shipping. The latter depends on the type of retail store—larger items like furniture are typically shipped, and some retail locations will also offer to ship items to you that are out of stock in-store.
  • How they’re different: Shopping online is built around convenience—armed with a computer or smartphone, it’s possible to shop whenever from wherever, easily. And getting to a physical store can be more time consuming. The minutes or hours spent traveling and finding parking can be a time investment.

There’s a monetary investment too—whether paying for transportation by subway to get to a shop or paying for the gas to get there. Still, physical stores offer a sense of instant gratification, since there’s usually no wait for your items to ship—you typically get them then and there.

Someone scanning credit card on Shopify POS mobile app
Shopify POS offers convenience for merchants and shoppers alike. 

Retail vs. ecommerce for businesses

For business owners, choosing between a retail business and ecommerce sales depends on what they’re selling and who they’re selling to. There’s a big difference between an individual selling a few products on their own and a larger, more established business selling hundreds of products to an established base.

Deciding between a retail business and an ecommerce business comes down to understanding specific factors for your business: the initial cost of investment, scope of business operations, and the ability to sell products via multiple channels.

Investment level and cost

  • How they’re similar: The investment level for both retail and ecommerce businesses relies on a variety of factors such as the initial startup costs and the scope of products or services—namely, whether you’re selling a handful of items or hundreds. 
  • How they’re different: Getting an online store up and running is typically less costly than investing in a physical store. The former requires investing in an ecommerce platform, domain hosting, and digital marketing tools, among other things. A brick-and-mortar retail business, however, is a lot more costly and labor intensive. Among the considerations for these new business owners are rental or leasing costs, annual insurance, marketing costs, and more.


  • How they’re similar: Both physical stores and online stores rely on business operations to keep an eye on inventory and track costs. 
  • How they’re different: Brick-and-mortar stores can require a lot of manual work. And that work adds up: costs include hiring employees, maintaining inventory and space, and contending with changes in supply and demand. 

On the other hand, ecommerce business retail operations can largely be automated with a variety of ecommerce tools. These tools help streamline tasks, from day-to-day inventory management to season-long digital marketing campaigns. 

Risks and limitations

How they’re similar: All online retailers and many brick-and-mortar stores open themselves up to the risk of liability associated with the use of their products. Theft and return fraud are also a risk for both.

  • How they’re different: While theft can happen to both physical and online businesses, it can take different forms. Retail stores need to look out for external theft in the form of shoplifting in particular, while ecommerce businesses might be more on the lookout for internal threats. Online businesses tend to be more at-risk for data breaches, though physical retailers aren’t immune to this threat.

Retail and ecommerce business models each have their own set of risks and limitations. However, both need to be on the lookout for theft, data breaches, and fraud.

What to consider when choosing between retail and ecommerce for your business

Ultimately, business owners choosing between retail and ecommerce businesses have three main considerations:

Business model

Certain business models are better suited to retail, while others are better suited to ecommerce. So it’s important to ask questions to help make that determination upfront: Will you be using a wholesaler and distributor? Selling directly to consumers without a third party? Selling products you’ve made on your own?

Start-up costs

Starting any business can be expensive. After figuring out the budget, calculate the overhead and other costs of leasing and running a physical store versus that of using an ecommerce platform like Shopify. Remember: You can always scale up in the future.

Size and scope

Speaking of scaling, consider the business’s size and the number of goods and services being offered. Depending on that answer, you may choose retail, ecommerce, or some combination of both. Think about it this way: You could start a small ecommerce shop for your handmade candles and also offer them at a one-off neighborhood pop-up.

The benefits of an omnichannel approach

In 2023, it’s less about separating retail and ecommerce business and more about integrating the different channels into a single, omnichannel customer experience. Omnichannel is essentially a fancy way of saying consumers can find products both in-store and on a dedicated version of that store online. Today’s shoppers don’t shop online or in-store only, most use a variety of digital and in-person channels to complete their purchase.

Nearly 50% of brands say unifying online and in-store operations and data will be their biggest challenge over the next year. But businesses that successfully adapt with a unified commerce strategy set themselves up for success.

Screenshot of Blendily homepage
Blendily is a Shopify merchant that maintains both an online store and two physical retail locations.

Both retail sales and ecommerce sales improve when products are offered across multiple channels. This means giving consumers multiple touchpoints—whether engaging through social media, customer reviews, or email marketing—so they can find and purchase products with ease.

In fact, almost all major brick-and-mortar stores offer omnichannel retailing. Most ecommerce stores offer multichannel retailing, meaning they sell products across a dedicated ecommerce site via social media and mobile app.

Wrapping Up:

We at ShopShipShake have been working with businesses like yours with fulfilling experiences. We offer one-stop services, including an efficient supply chain, over 10 thousand of China’s suppliers, over 1,000,000 SKU and more. With a successful track record of over 100,000 clients, we are sure to deliver your orders requirements.

Let’s get in touch to build, sustain, and grow your businesses! If you would like to know more details about us, please contact us: If you are interested in cooperating with us. Please register on:

The article originates from:

TikTok for Ecommerce: How To Convert Fans to Customers (2023)

TikTok has seen explosive growth in recent years. It has not only become a destination for fun hashtag challenges and viral music trends, it also offers brands the opportunity to attract customers using TikTok for ecommerce.

Brands are recognizing how important it is to jump on this exploding global trend. That’s because no other social media platform has the level of engagement that TikTok earns from its users. Whether you’re a business owner selling your own products, an influencer monetizing your personal brand, or an affiliate entrepreneur partnering with businesses, TikTok is worth the investment.

In this guide, we’ll look at why you should consider TikTok for your ecommerce brand, along with tips to make the most of your presence on the platform and real examples of businesses winning on TikTok.

Why should you use TikTok for ecommerce?

TikTok is part of a larger trend of retail social commerce, an industry expected to reach $80 billion in the US by 2025. While this industry was growing on its own, TikTok has made a unique and significant contribution. This is especially because of the natural tendency of its users to engage in social shopping.

Take for example the viral hashtag #TikTokMadeMeBuyIt. Since its birth, the hashtag has generated 60 billion views (as of the time of this writing)—and it’s used by consumers, partners, and brands to discover new products and jump on hot trends.

Screen showing content from the #tiktokmademebuyit trending hashtag

Benefits of TikTok for business

Part of its success is that TikTok harmonizes a few key elements that make it stand out from other social platforms like Facebook, Instagram, Twitter, and Snapchat:

  • Video content that’s short, snappy, and bingeable (though longer videos have also been introduced with success)
  • A fun, lighthearted, authentic, and sometimes “messy” feel that isn’t overproduced and doesn’t have a salesy undertone
  • A huge emphasis on trends, adding to its cultural relevance
  • Appeals to a broad demographic. While Gen Z makes up the majority of TikTok users, other demographics are also increasingly becoming users of the platform.

Attracting TikTok users to retail stores

TikTok has made its mark on brick-and-mortar businesses too. For example, Indigo Books and Music, one of the largest bookstores in Canada, says that TikTok helped generate a “new demand lifecycle.” The company even included TikTok in a quarterly earnings report.

You can find versions of an “As Seen on TikTok” section in several big retailers, like Ulta, Barnes & Noble, and Trader Joe’s.

Another example is ice cream artist Dylan Lemay. His account originally started with videos of him throwing perfect scoops at his Cold Stone Creamery job. After Dylan saw some success, he started traveling and working in ice cream shops around the country. Now, he has more than 11 million followers—and opened his own retail ice cream shop in summer 2022. 

7 ways to grow your audience and increase sales with TikTok

  1. Lead with entertainment, not a sales pitch
  2. Strive for virality
  3. Set up TikTok Shop to sell directly to fans
  4. Engage your community through TikTok’s special features
  5. Partner with influencers in your industry
  6. Get more traction with TikTok ads or promoted posts
  7. Use affiliate links to promote products and partners

Woman takes a selfie with a mobile phone

Now that you know how incredible TikTok can be for brands, it’s time to get your hands dirty. These tips will help you build a TikTok ecommerce strategy, start creating content, reach your target audience, and publish TikTok videos that convert.

1. Lead with entertainment, not a sales pitch

Don’t just repurpose all your boring marketing content to TikTok. This is a unique social media platform with a certain “personality” to its posts. Even if you’re regularly churning out content for other channels, take some time to get to know the platform’s quirks and trends.

Dig deep into what your peers, competitors, and potential customers are looking at and talking about. Stay on top of what’s trending, including memes and popular hashtag challenges. And remember: Have fun with it. TikTokers log in to learn, explore, and discover—but above all else, they want to be entertained.

The more fun and engaging your content, the more likely you are to hit glorious viral TikTok status with one or more of your posts. If your brand voice permits, get silly with it. Consider the brand Habit. Among other fun strategies, Habit likes to make meme videos using its products as the stars. This one is inspired by a trending TikTok sound from the Netflix series Inventing Anna

2. Strive for virality 

Let’s be real. The ultimate goal here is to create viral content that makes it across the globe and garners attention for your brand. Generally speaking, a surge of attention almost always equates to a surge in sales—whether it’s a quick, temporary pop or a sustained boost in your numbers.

If you’re lucky, you’ll be able to go viral thanks to some coveted user-generated content (UCG). This is where a user creates content that includes your brand or products. You can encourage customers to post UGC with incentives like discounts and other perks.

A great example of UGC is the story of catnip product Cat Crack: a video a user posted of their cat going crazy over the product gained more than 20 million views.

After the viral moment Cat Crack sales jumped from 510 units on January 10, 2021 to 2,673 units two days later.

Chart showing a spike in sales for Cat Crack after a viral TikTok post
Jungle Scout

3. Set up TikTok Shop to sell directly to fans

If you run an online store, consider adding TikTok as a sales channel. Many social media platforms offer ecommerce features, and TikTok is no exception. As a business account, you can apply to TikTok Shop and get features like a shopping tab on your profile, live shopping, and paid advertising.

A variety of LGBTQ+ pride stickers

If you’re a creator without a dedicated brand, you can still create an ecommerce experience. Create merch for TikTok including selling your own stickers using print on demand.

Creating video shopping ads lets you insert product links directly into engaging content. This makes it an effective ecommerce tool. Your ecommerce brand benefits from setting up a TikTok store because of the way the social media platform has become a destination for product discovery and the genesis of trending products. 

4. Use TikTok features to connect with potential customers

TikTok has several features that create a direct communication channel with your viewers to learn more about them and build more meaningful connections.

One of them is the Q&A feature, which allows your audience to ask you questions directly through your profile, in the comment section of a video, or during a TikTok LIVE. Try having users ask you questions about you, your brand, and specific products you offer or promote.

Two other community-building features are Sitch and Duet. Stitch lets you “stitch” another user’s video into yours. Duet plays another user’s video next to yours in split-screen format. These tools have great viral potential. For example, sports brand Puma used Duet to feature another user’s viral TikTok fail. Puma then created a TikTok challenge to make their own Puma latte art while riding the wave of a viral video.

5. Partner with influencers in your industry

Like any other social platform, TikTok influencer marketing can be a boon for your ecommerce store. While there are thousands of creators ready to work with brands, make sure the influencers you choose—and the audiences that follow them—are aligned with your products. This will ensure that the sponsored content feels authentic.

A great place to start is TikTok’s Creator Marketplace. It’s a “matchmaking service” to help brands find the right influencers. Since this tool was developed exactly with this purpose in mind, you’ll find helpful features like creator discovery, campaign management, and reporting. There are a number of other marketplaces to find and connect with influencers, including Shopify Collabs.

Find influencers to drive sales with Shopify Collabs

Shopify Collabs makes it easy to partner with creators, promote your products, reach new customers, grow your sales, and track affiliate campaign performance all from Shopify admin.Discover Shopify Collabs

There are plenty of ways to partner with an influencer, such as:

  • Have them create and post TikTok videos that include them using, promoting, and/or reviewing your products
  • Invite them to host a contest or giveaway featuring your products as the prize
  • Let them do a “takeover” of your brand’s account for a day or week make sure you take safety precautions and choose an influencer you can trust)
  • Ask them to push their audience to your TikTok storefront
  • Compensate them with free products, affiliate commissions, and/or a more straightforward cash-per-post arrangement

6. Get more traction with TikTok ads or promoted posts

Creating organic marketing content and building your following this way can be a lot of work. If you have extra budget and you’d like a boost to help reach your goals faster, TikTok ads or promoted posts are great options.

TikTok ads work much like ads on other social media platforms. Using the Shopify TikTok app, you create campaigns with specific objectives, then build your ads within them. Once the ads are live, use the dashboard in Shopify to track their performance and optimize.

If you don’t want to invest in full ad campaigns, you can promote individual posts. The Promote feature is fairly straightforward. Choose your budget and duration, as well as a few other settings, including whether you’re interested in getting more views, website visits, or followers.

7. Use affiliate links to promote products and brands

Creating an affiliate program can help you spread the word about your brand on TikTok by allowing other TikTok users to promote your products and earn a commission on sales. 

On the other end of the spectrum, affiliate marketing is a great way for those without a dedicated brand to earn some income while promoting your favorite products and businesses.

TikTok ecommerce examples from successful brands

Need some inspiration from the pros? Here are three examples of ecommerce businesses that are killing it with TikTok marketing and generating sales from the video-sharing social network.

Contour Cube

This ecommerce phenomenon is also helping brands get noticed. Sarah Forrai, the founder of Contour Cube, embraced TikTok to build awareness of and sell her face-contouring products. The brand’s TikTok account has grown to nearly 200,000 followers and more than 2.9 million likes across all its videos.

“We’ve been lucky with a number of videos reaching large audiences between one million to seven million views,” says Forrai. “This has driven a huge amount of traffic to our website and helped grow our online community.” Within three months of launching its product on TikTok, Contour Cube was approached by large retailers and found distribution partners, and is now stocked at THE ICONIC, Uncommon Goods, and Dolls Kill. 

“Launching on TikTok catapulted Contour Cube into the mainstream, and for us, we were truly surprised by the huge engagement from what we thought was a niche idea,” says Forrai. “TikTok has since become our primary marketing platform, accumulating over 30 million views to date, which is amazing for a startup like us.”

Glow Recipe

Glow Recipe takes a different approach to TikTok ecommerce. The Korean natural skin care brand uses a link-in-bio tool to send its followers to a curated collection of all its content.

This collection includes shoppable links for the products featured in Glow Recipe’s videos, so its followers can buy items directly on its website, as well as access other important links for its business. 

TikTok account page for Glow Recipe brand

TikTok ecommerce page for Glow Recipe brandGlow Recipe also takes advantage of the #TikTokMadeMeBuyIt trend, which has become a popular marketing tool for businesses promoting products and services. This simple hashtag gives social validation to users who are deciding if they’re ready to make a purchase.


Challenges are one of the biggest trends on TikTok, with many brands using them to earn UGC and build a reputation with the TikTok community.

One of those brands is GymShark, a fitness apparel, and accessories retailer that creates unique hashtag challenges that are in line with its aspirational workout-focused content. 

Its #gymshark66 challenge, which asked users to transform their body within 66 days for a chance to win a free year’s supply of GymShark goods, garnered over 45.5 million views, 1.9 million likes, and 12,500 comments.

Naturally, the entries also included participants who regularly wear GymShark apparel. These entries gave exposure to the brand’s products and helped maximize its credibility and sales. 

Now is the time to step up your TikTok ecommerce game

Woman demos a cake for the camera with a tripod and light setup

A social commerce revolution is happening, and TikTokers have a front-row seat. As you’re creating content for your TikTok videos, have a strategy in place to maximize the results and drive more traffic to your site and convert fans into buyers.

Create fun, timely, and relevant content. Build relationships with your audience and key influencers. Explore TikTok’s helpful tools and features. If you can entertain and connect with your potential customers, you’re already paving your path to growth.

Wrapping Up:

We at ShopShipShake have been working with businesses like yours with fulfilling experiences. We offer one-stop services, including an efficient supply chain, over 10 thousand of China’s suppliers, over 1,000,000 SKU and more. With a successful track record of over 100,000 clients, we are sure to deliver your orders requirements.

Let’s get in touch to build, sustain, and grow your businesses! If you would like to know more details about us, please contact us: If you are interested in cooperating with us. Please register on:

The article originates from:

What Is Customer Segmentation? Definition and Guide

what is customer segmentation

Understanding your customers is critical to success. It allows you to create messaging and offers that resonate with your audience, rather than guessing about their preferences and needs.

And taking it a step further, segmenting customers into groups based on similarities, helps you develop a deeper understanding of those groups. You can then build targeted campaigns addressing each segment’s specific needs. Pretty cool, right?Click here to start selling online now with Shopify

So, what exactly is customer segmentation and how do you do it? Let’s take a look.

What is customer segmentation?

Customer segmentation is the process of dividing customers into groups based on common characteristics so companies can market to each group effectively and appropriately.

In business-to-business marketing, a company might segment customers according to a wide range of factors, including:

  • Industry
  • Number of employees
  • Products previously purchased from the company
  • Location

In business-to-consumer marketing, companies often segment customers according to demographics that include:

  • Age
  • Gender
  • Marital status
  • Location (urban, suburban, rural)
  • Life stage (single, married, divorced, empty-nester, retired, etc.)

Why segment customers?

Segmentation allows marketers to better tailor their marketing efforts to various audience subsets. Those efforts can relate to both communications and product development. Specifically, segmentation helps a company:

  • Create and communicate targeted marketing messages that will resonate with specific groups of customers, but not with others (who will receive messages tailored to their needs and interests, instead)
  • Select the best communication channel for the segment, which might be email, social media posts, radio advertising, or another approach, depending on the segment
  • Identify ways to improve products or new product or service opportunities
  • Establish better customer relationships
  • Test pricing options
  • Focus on the most profitable customers
  • Improve customer service
  • Upsell and cross-sell other products and services

How to segment customers

Customer segmentation requires a company to gather specific data about customers and analyze it to identify patterns that can be used to create groupings.

Some data can be gathered from purchasing information—job title, geography, or products purchased, for example. Some of it might be gleaned from how the customer entered your system.

An online marketer working from an opt-in email list might segment marketing messages according to the opt-in offer that attracted the customer, for example. Other information, however, including consumer demographics such as age and marital status, will need to be acquired in other ways.

Typical information-gathering methods include:

  • Face-to-face or telephone interviews
  • Surveys
  • General research using published information about market categories
  • Focus groups
  • Loyalty program data
  • In-person conversations
  • Customer reviews
  • POS data
  • Customer support interactions
  • Purchase history
  • Online analytics

With Shopify’s segmentation tools, you can collect this data directly from your online store traffic. Discover powerful insights about your customers by creating unique segments, and then reach out with personalized campaigns to drive sales.

Shopify also includes some default customer segments and templates to help you get started. You can refine, add, or even remove customer segments over time as your business evolves. Build your customer segments in the editor on the Customers page by adding filter names, operators, and values.

Using customer segments

Common characteristics in customer segments can guide how a company markets to individual segments and what products or services it promotes to them.

A small business selling handmade guitars, for example, might decide to promote lower-priced products to younger guitarists and higher-priced premium guitars to older musicians based on segment knowledge that tells them younger musicians have less disposable income than their older counterparts. Similarly, a meals-by-mail service might emphasize convenience to millennial customers and “tastes like mother used to make” benefits to baby boomers.

Once you’ve identified your segments, list their shared characteristics, paying careful attention to pain points and desires. Lean into those commonalities when developing your segmented marketing strategies and promotions. You don’t have to offer every promo to every customer—send your promos only to those who will be interested. A discount on dog food surely isn’t going to drive any sales from your customers who don’t own dogs, for example. So consider creating a segment of dog owners and only send those promos to them.

The main idea behind customer segmentation is you don’t need to send every promotion to every person all the time. Instead, send targeted promotions to relevant audiences.

Additionally, you can put customers into multiple segments—you don’t have to pigeonhole everyone into just a single group. For example, people in your dog owner segment may also be in your parents’ segment.

Customer segmentation can be practiced by all businesses regardless of size or industry and whether they sell online or in person. It begins with gathering and analyzing data and ends with acting on the information gathered in a way that is appropriate and effective.

Customer segmentation examples

Examples of customer segments to build include:

  • Geographic: Dividing customers by location or region. For example, you might market bathing suits to your Florida-based customers year-round, whereas advertising winter coats for your New York–based customers may be more appropriate in colder months.
  • Demographic: Putting people together by age, gender, marital status, and other demographic information. One example could be a bookstore creating a segment for parents and advertising children’s books to them.
  • Behavioral: Grouping your audience by purchase behavior, usage patterns, customer loyalty, etc. These segments get more complex and interesting. A hair care brand could create a segment of customers who have only purchased shampoo and not conditioner, and then create promos around the conditioner for that segment.
  • Psychographic: Dividing your audience by attitudes, values, lifestyle, etc. Another more complex segmentation option: You can create segments of customers who love animals or people who love to travel, for example.

Start segmenting your customers today

Customer segmentation is a great way to kickstart your personalization strategies and develop promotions and campaigns that directly relate to your target audience. And it’s easier than ever with Shopify’s native customer segmentation tools.

With these tools, you’ll understand your data better and be able to act on it for free from the same secure platform you use to run your business.

Customer segmentation FAQ

What does customer segmentation mean?

Customer segmentation is the process of dividing a customer base into distinct groups of individuals that have similar characteristics. This process makes it easier to target specific groups of customers with tailored products, services, and marketing strategies. By segmenting customers into different classes, businesses can better understand their needs, preferences, and buying patterns, allowing them to create more personalized and effective marketing campaigns.

What are the 4 types of customer segmentation?

  1. Demographic Segmentation: This type of segmentation divides customers into different groups based on shared characteristics such as age, gender, income, occupation, education level, marital status and location.
  2. Psychographic Segmentation: This type of segmentation divides customers into different groups based on their lifestyle, interests, values and attitudes.
  3. Behavioral Segmentation: This type of segmentation divides customers into different groups based on their purchase history, usage patterns, brand loyalty and response to marketing campaigns.
  4. Geographic Segmentation: This type of segmentation divides customers into different groups based on location, such as country, region, city or neighborhood.

What is customer segmentation example?

Customer segmentation is the practice of dividing customers into distinct groups with common characteristics. Examples of customer segmentation include geographic segmentation (dividing customers by region), demographic segmentation (dividing customers by age, gender, marital status, etc.), behavioral segmentation (dividing customers by purchase behavior, usage patterns, loyalty, etc.), and psychographic segmentation (dividing customers by attitudes, values, lifestyle, etc.).

Wrapping Up:

We at ShopShipShake have been working with businesses like yours with fulfilling experiences. We offer one-stop services, including an efficient supply chain, over 10 thousand of China’s suppliers, over 1,000,000 SKU and more. With a successful track record of over 100,000 clients, we are sure to deliver your orders requirements.

Let’s get in touch to build, sustain, and grow your businesses! If you would like to know more details about us, please contact us: If you are interested in cooperating with us. Please register on:

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What Is Business Risk? 7 Ways to Minimize Your Business Risk

You’ve worked hard to ensure all boxes are checked for a successful product launch: you have a beautifully designed website, saved enough to cover three months of operating costs, and hired a virtual assistant to handle simple tasks you don’t have time to take on. What could possibly be risky about this business?

No matter the precautions you take, all businesses involve some risk. These may be internal risks from employee errors placing incorrect inventory orders, or external risks from a new competitor selling a lower-priced version of your product. By learning about the types of business risks you could face and how to address them, you can be better prepared with a contingency plan that helps ensure your business’s longevity.

What is business risk? 

Business risk is anything that could expose you to financial loss, reputational harm, or failure. To assess business risk, examine all pertinent legal, financial, and operational information relating to your business and take any necessary action to prevent or minimize negative outcomes. 

Most business owners design a risk management strategy as part of its business continuity plan, which helps protect your business from disruptions such as flooding of your warehouse after a hurricane or a viral video about a negative customer interaction. The strategy includes identifying risks, assessing them, taking steps to avoid or reduce risks, and, in some cases, accepting risk as part of the normal course of business.

Depending on the particular industry, business owners’ risk management strategies might include having comprehensive insurance coverage, minimizing debt, or retaining lawyers to address legal issues.

What causes business risk?

Business risks come in many forms. Examples of events that could cause business risks are:

  • Natural disasters. Flooding, storms, wildfires, and other natural disasters can cause business loss.
  • Human error. A production mistake, for example, might result in a recall or warehouse overstock.
  • Regulations and laws. Rule changes or failure to comply with regulations or laws could impact business operations or financial performance.
  • Uncertain financial or economic conditions. Global or national financial crises may affect business solvency, increase exposure to credit risk, and lower profits and revenue. 
  • Tariffs and currencies. Changes in tariffs and trade policies, or fluctuating currency exchange rates, can impact risk. 

6 types of business risk

There are six major types of business risk that can affect how you do business. 

1. Financial risk

Financial risk is any situation or factor that jeopardizes a business’s finances and operations. Depending on the sector and a startup’s capital structure, financial risk could be caused by: 

  • Too much debt
  • High interest rates on loans
  • Insufficient cash flow from sales 
  • Poor investment strategies
  • Inflation

2. Strategic risk

Incorrect assumptions about the success of a business’s product or service can lead to strategic risks, which involves your ability to execute key business objectives. Examples include: 

  • There is little or no market demand for a product or service, like a $100 smart shampoo dispenser or a nail salon for pets.
  • A brick-and-mortar shop operates out of a beautiful historic building, but its landmarked designation doesn’t allow for expansion to accommodate business growth. 
  • A startup is creating an app, but in its pursuit of perfection, another startup builds it first. 

3. Operational risk

Operational risks are ones that have an impact on a business’s activities and daily workflow. You may face operational risk if you:

  • Don’t consider your supply chain and business logistics needs working together holistically—proper supply chain management can help ensure your products are produced and distributed on time 
  • Are lacking or have insufficient business insurance, which can leave your business exposed to losses from manufacturing breakdowns, product malfunctions, natural disasters or legal damages, among other issues 
  • Have inadequate information technology (IT) protocols in place when computer systems fail 
  • Hire employees that repeat human error due to insufficient training, causing harm to productivity 

4. Compliance risk

Compliance risk is either failing to qualify for or obtain the correct permits and licenses to operate in accordance with state or federal regulations or laws. Or, it’s being in noncompliance with industry laws and regulations. If you fail to take compliance risks or regulatory risk seriously, your business could be fined, shuttered, or reputation harmed. Actions that might be considered compliance risks include:

  • A factory illegally dumping manufacturing byproducts into a local river to avoid waste treatment costs
  • Food companies not adhering to health regulations to prevent consumer illness 
  • Discrimination against job applicants based on gender, race, nationality, religion, or ethnicity, which is illegal under federal law 

5. Reputational risk

Reputational risks include actions, behaviors, or events that hurt public opinion of your business. Examples of things that could put a company’s reputation at risk include: 

  • Social media postings of conflicts or hostile interactions between customers, business owners, or staff 
  • Failing to honor a return policy or guarantee, selling defective products, or poor customer service
  • Companies that experience a cyberattack or customer data breaches

6. Global risk

International businesses may experience global risk when they don’t follow the laws or respect the customs of the countries in which they operate. If your business is involved in international commerce, you may be exposed to geopolitical events such as wars, border conflicts, and elections that could harm your company’s ability to operate profitably and efficiently. Global risks can include:

  • Overseas labor disputes
  • Gas price hikes
  • Border conflicts 
  • Fluctuating currency exchange rates
  • New or increased sanctions, tariffs, and taxes 

7 ways to minimize risk to your business

There are seven steps you can take to manage your business risk:

1. Calculate risk

The best way for a business owner to measure business risk is to conduct a risk analysis that assesses possible threats or adverse events that could hurt your business. A risk assessment may include making budgeting decisions, analyzing future costs, and estimating future sales.

2. Stay in compliance 

Staying in compliance with regulations can help ensure that your business avoids fines and penalties, can continue operating, and wins and retains the trust of customers. Compliance strategies include offering training for employees, consistently monitoring industry regulations, and documenting all compliance efforts.

3. Review the company’s finances to manage debt 

Regularly review your company’s financial picture to know when to spend and when to cut costs. Taking this approach can assist in managing debt. More specifically, you can:

  • Avoid maxing out business credit cards
  • Consider business financing options such as low-interest community development financial institution (CDFI) loans that lend money to small businesses that may be considered risky for conventional banks 
  • Track and monitor cash flow and expenses regularly
  • Keep financial obligations, including making on-time monthly payments toward any debt obligations 
  • Keep a lean budget and low overhead costs
  • Save three to six months of operational costs to minimize liquidity risk

4. Buy insurance coverage

Wildfires, hurricanes, floods, among other natural disasters happen, and equipment like ovens, sewing machines, and refrigerators break. Or, you may lose income due to theft or experience a data security breach of your customer information—there’s insurance options for that, too. To help protect yourself, thoroughly research the types of small-business insurance policies available, and pick the ones that best suit your needs. Together with a business continuity plan, you can be better prepared should a business disruption occur.

5. Cultivate a loyal customer base 

When customers know they are valued, they are more likely to become repeat buyers. Ways to cultivate customer loyalty include:

  • Honoring return policies and money-back guarantees
  • Creating loyalty programs 
  • Addressing any customer complaints or negative online reviews

6. Diversify suppliers and vendors 

A diverse group of suppliers and vendors ensures that your business can continue if one suddenly goes out of business or experiences supply chain disruptions. 

7. Hire experts

If you don’t have the expertise or time to perform certain specialized tasks, hiring professionals could be the solution to keep your business running smoothly. For example, consider hiring accountants, financial experts, or ecommerce consultants to help with financial and compliance responsibilities and prevention of security risks. 

Wrapping Up:

We at ShopShipShake have been working with businesses like yours with fulfilling experiences. We offer one-stop services, including an efficient supply chain, over 10 thousand of China’s suppliers, over 1,000,000 SKU and more. With a successful track record of over 100,000 clients, we are sure to deliver your orders requirements.

Let’s get in touch to build, sustain, and grow your businesses! If you would like to know more details about us, please contact us: If you are interested in cooperating with us. Please register on:

The article originates from: