Set up Your E-Commerce Presence
The basic purpose of this
study is to establish a new online business setup that should be prevailing in
Saudi Arabia. Saudi Arabia is a desert country and considered as the center stage
for the Muslims and the largest economic sector in Gulf countries. It is
considered as the youngest population who use the internet around the globe.
Saudi Arabia is engaged in a large sector of businesses that show the usage of the
internet in different sectors. According
to the current survey, it is expected that will increase the sales by 14
billion up to 2021, so it is considered to take investment in the business of
E-commerce in Saudi Arabia as it is a golden chance to get the higher result in
the investment (I.Eid, 2011).
·
What is the idea?
I want to start a business
in fashion apparel and clothing which is for both winter and summer collection.
The weather of Saudi Arabia has required both stuff like it, a dessert based
country that has severity in both kinds of weather.
·
Product and type of services
of E-Commerce Business in Saudi Arabia
o I want to deal with the clothing as it
is required in the Saudi Arabia in both seasons, and my product will be based
on high quality. Owing to a physical store in Saudi Arabia may be a high-cost
oriented business, but the online store could be beneficial for the revenue
state of the business. In winter collection, there may be products such as
jackets, blazers, and winter coats, as well as jeans and trousers. In summer
collection, there might be shirts and trousers and fashion apparel, which would
be liked by the people of Saudi Arabia.
o We will provide services for home
delivery and shipping to the customer’s doorstep with the ease of payment
methods. Payment could be made by card or by cash,
or it may be paid by gateway options suchlike PayFort, 2Checkout, PayPal
Express checkout will doubtlessly get more local community support; we can also
use COD- CASH ON DELIVERY for convenience of our customers. There is a facility
to exchange the product if there is any deficiency in quality, or there is a misplacement
of the order. We will available 24 hours to serve our customers if there is any
complaint about our product it must be resolved.
§ Business statement of E-Commerce Business in Saudi Arabia
To establish the platform, this could
be easily accessed by the customer and provide them high-quality clothing items
§ Business vision of E-Commerce Business in Saudi Arabia
To get high ranks in the e-commerce business and expand the business
around the globe with a high quality product with higher customer retention.
§ Business objective of E-Commerce Business in Saudi Arabia
Ø There may be different objectives in
business, but when you take the startup of the business, its ultimate purpose
is to get the customer retention and customer reliability in the services which
are being provided by the company.
Ø To create long term relationships with
the customers by providing them high-quality products with the easiness of
payment method.
·
Where’s the money: business and
revenue model
the business is about to earn online
revenue from dealing with the customers; the startup of business could get out
with the product you have listed in the plan such as clothing, jackets, and
fashion apparel, which is according to the requirement of the business (S.Alfuraih, 2008). The budget plan
could be divided into different portions such as:
Items
|
Price/pcs $
|
Quantity
|
Clothing
|
30
|
100-300
|
Fashion
apparel
|
80
|
50-100
|
Jackets
|
100
|
100-120
|
Jeans
|
20
|
30-45
|
|
|
|
|
As the business is on the startup
level; therefore, prices could be lower as it is the period in which business
required efforts to get the customer’s reliability in the market.
§ A general idea of how your business will generate revenues
Although business is on startup stage, but there must be a sufficient
amount of profit which could be generated from the activities of business so
there must be profit such as business should set up a profit margin of at least
0.5% which should increase with the time according to the customer’s demand and
requirement about the product.
·
Who and where is the target audience?
Every business before its startup
prepare its marketing plan which helps to find out
§ Demographics of E-Commerce Business in Saudi Arabia
The main area to target the customer for the clothing brand is young
people and teen agers. There may be stuff for the children, but the main area
to target is office going young people or who is the ones who go to daily in
any place and need to stay up to date.
§ Lifestyle of E-Commerce Business in Saudi Arabia
The people of Arab have a different kind of lifestyle, such as some
customers are office going, and some are college-going, which is the main area
of targeting by the business of clothing.
§ Consumption patterns of E-Commerce Business in Saudi Arabia
People of Arabs are most likely to spend in excess as it includes in
their nature; therefore, it could be a better opportunity to take a startup of
online business in Saudi Arabia.
·
What is the ballpark?
A numerical estimation about the value
which is invested in the business by unknowingly to attain the revenue in the
market by the salesperson and other professionals, which is used to estimate
that how much cost should be retained for the specific product in the market.
It could be divided into terms of size, growth, demographics, and structure.
Size: the size of the business should be
reasonable according to the size of the market in which business is going to
establish. It should be not so small that it could not fulfill the requirement
of the customer, and if it would be large scale business, it may be high cost-oriented
in the market, which will reduce the profitability ratio.
Demographic: The main area to target the customer
for the clothing brand is young people and teen agers. There may be stuff for
the children, but the main area to target is office going young people or who is
the ones who go to daily in any place and need to stay up to dated (Cohen, 2005).
Structure: the business structure is totally
based on the online; it means all the transactions will take place with the
help of internet connection.
·
Where’s the content coming from?
The content is based on the online
business, which is going to take a startup in Saudi Arabia which is totally
based on dealing with the help of a developed website.
·
SWOT analysis of E-Commerce Business in Saudi Arabia:
A SWOT analysis is a better deal to
find out that the business is going on in an effective way. it could be done by
yourself as it is a source which is examined by own data and it gives the
information which is suitable for the business and which step should be taken
for the improvement of the business. E-commerce business should have a
comparison with the other business which already exists in the market so that
it could be derived that how the business could attain the position of the best
business in the market (K.Valentin, 2001). The SWOT analysis of the E-commerce
business could be explained as:
§ Strength of E-Commerce Business in Saudi Arabia
There is a more competitive advantage in the market for online business
as there are fewer businesses that are working online in the market, so there
is a low rate of the competition, which is a positive point for the business. It
makes the business unique in terms of services that are related to the
products.
§ Weaknesses of E-Commerce Business in Saudi Arabia
There are no more effects of the promptly used products in the market. There
is a deficiency in the business that people don’t rely on online products as
they considered that the product would not be according to the prescription or maybe
they face difficulty in payment method.
§ Opportunity of E-Commerce Business in Saudi Arabia
E-commerce business is totally based on the technology use s it deals
with the people who are sitting far away and get the product just by a single
click. The E-commerce business is most likely to change with everyday
requirements. Therefore it used technology in dealing with customers and in the
production process so that it could be easy for them to run the business.
§ Threat of E-Commerce Business in
Saudi Arabia
The businessman could never be tension free as he has to compete with it
an everyday challenge, which is more critical in every new day. There may be
some barriers that could affect the performance of a business. The performance
of the business of e-commerce may have to face the threat of being kicked out
from the market as there is a reduction in the total sale of the business.
Develop a timeline: Milestones
of E-Commerce Business in Saudi Arabia
§
Initial
contact
This step is including dealing with
the customers according to their information, which is done according to the
collected information about the customers. There should be frequent questions
to deal with the problem, so it could not be a hurdle for the e-commerce
business (Sait, Al-Tawil, & Hussain., 2004).
§
Planning
Planning for every business is the most
important task to do, and it is also beneficial for the business to set the
timeline and milestone in the work of business. There must be a map designing
about the business opportunities in the business, which is according to the
interaction with the customers.
§
Content
Every website is based on the content,
which keeps the website more reliable for the customers. A good plan of content
is the reason for the development of the business in terms of sales and
profitability. The timeline of the business is depending on the number of pages
which is containing in the web designing.
§
Design
When a web application or website is
designed, there must be an initial stage of the cycle that is used by the
designer to demonstrate the perspective of the contents.
§
Development
When the design of the website is
approved, there may be a step of refining the content and to work on the
website. In e-commerce business, all the business is based on website
development; therefore, it should be developed with all the requirements.
§
Launch
When all the steps are completed to
develop a website, there should be the final step of launching the website in the
network system so it could be tested, reviewed, and feedback could get on the
website, which is used in the e-commerce business.
·
How much will this cost?
The website
development is not a simple task to perform; it may take a huge cost for
development, such as there is approximately cost of $200-300 which is started
in any business.
Building an E-Commerce Site: A Systematic
Approach
In this plan, there is the creation of
the website, which is used to run a business online, which is based on the
principles of E-commerce customers could get the products at their doorstep (Xu & Quaddus, 2010).
There are different steps which are
including in building the website, such as:
§ Planning
§ Web-designing
§ Controlling the website
§ Implementation
Choosing Software of E-Commerce Business in Saudi Arabia
The development of e-commerce needed a
great deal to work smoothly, such as the software has the ability to develop
the business, which is dealing with the transaction of clothing online, and the
customer could get the services according to their requirements. E-commerce
business is working with the software of website which is developed by us named
Coziup which is working in performing functions such as:
§ Online shopping
§ Blogs and carts
§ Credit purchase
Payment and Security of E-Commerce Business in Saudi Arabia
The payment method is designed to provide
services of home delivery and shipping to the customer’s doorstep with the ease
of payment methods. Payment could be made by card or by cash, or it may be paid by gateway options suchlike
PayFort, 2Checkout, PayPal Express checkout will doubtlessly get more local
community support; we can also use COD- CASH ON DELIVERY for convenience of our
customers. There is a facility to exchange the product if there is any
deficiency in quality, or there is a misplacement of the order. We will
available 24 hours to serve our customers if there is any complaint about our
product; it must be resolved (A.Al-Somali, Gholami, & Clegg., 2010).
Categorize marketing and advertising strategy
and method
All the marketing and business
activities will be based on social media and website as the business of
e-commerce terms are most likely to be done with the help of the internet or
any server connection.
Our business is totally based on
online marketing as the business has to deal with the clothing as it is
required in the Saudi Arabia in both seasons and my product will be based on
high quality. Owing to a physical store in Saudi Arabia may be a high-cost
oriented business, but the online stores could be beneficial for the revenue
state of the business. In winter collection, there may be products such as
jackets, blazers, and winter coats, as well as jeans and trousers. In summer
collection, there might be shirts and trousers and fashion apparel, which would
be liked by the people of Saudi Arabia.
Conclusion of
E-Commerce Business in Saudi Arabia
The report is based on the start-up of
the business which is based on an e-commerce project with the help of web
development and to examine how it would be beneficial for the business to take
a startup. It also deals with the SWOT analysis and milestone as well as it
could be done by yourself as it is a source that is examined by own data, and
it gives the information which is suitable for the business and which step
should be taken for the improvement of the business. E-commerce business should
have a comparison with the other business which already exists in the market so
that it could be derived that how the business could attain the position of the
best business in the market.
REFERENCES of E-Commerce Business in Saudi Arabia
A.Al-Somali,
S., Gholami, R., & Clegg., B. (2010). E-business adoption in Saudi Arabian
private sector. . In 2010 International Conference on Information Society
(pp. 376-382). IEEE.
Cohen, W. A. (2005). The marketing plan. John Wiley
& Sons.
I.Eid, M. (2011). Determinants of e-commerce customer
satisfaction, trust, and loyalty in Saudi Arabia. Journal of electronic
commerce research,, 12(1), 78.
K.Valentin, E. (2001). SWOT analysis from a resource-based
view. Journal of marketing theory and practice, 9(2), 54-69.
S.Alfuraih. (2008). E-commerce and e-commerce fraud in Saudi
Arabia: A case study. . In 2008 International Conference on Information
Security and Assurance (isa 2008) (pp. 176-180). IEEE., 176-180.
Sait, S., Al-Tawil, K., & Hussain., S. (2004). E-Commerce
in Saudi Arabia: adoption and perspectives. Australasian Journal of
Information Systems,, 12(1).
Xu, J., & Quaddus, M. (2010). E-business in the 21st
Century: Realities. Challenges and Outlook (Vol. 2). World Scientific.