How to Start an Online Store - how to create an online store for free

How to Start an Online Store

How to Start an Online Store

How to Start an Online Store - how to create an online store for free

Building an online store may seem daunting, but with the right tools, it's easy to start selling online. Whether you're an experienced retailer or chasing your first sale, building a store is the best way to reach customers and create a digital home for your brand.

Here are 10 steps anyone can follow to start a successful online store

To start an online store now using Shopify, follow this startup guide.

• Click here to start selling online now with Shopify
• How to start an online store
• Find a target audience
• Source your product
• Choose a trading platform
• Design your brand
• Register your business
• Create your store
• Set up your checkout and shipping
• Make your store live
• Market your product and brand
• Optimize your store

1. Find a target audience

Woman browsing online sales for Black Friday

A target audience is the group of people who are interested in your store and likely to buy your products.

Knowing your target audience will guide your decisions as you build your store. This will help you find customers in the right place and tailor your website content to their needs and preferences. A store designed with a target audience in mind is more likely to attract interested buyers and make sales.

You can target an audience of any size or characteristic. However, there are three main audience segments to consider:

Demographics: Your audience's age, gender, occupation, education, income, and other characteristics.

Location: The geographic market where your audience lives.

Interests: Your audience's hobbies, beliefs, lifestyles, and other psychological characteristics.

Compile such information about your audience into a buyer persona – a data-generated profile of your ideal customer. A buyer persona helps keep your audience in mind when you design webpages, write product descriptions, and create ads.

Discover your niche

As a new online store, you will likely be competing for your audience's attention with established rivals. One way to stand out from competitors is to fill a niche in your audience.

Niche market is an audience segment defined by specific needs. For example, running shoes are a niche within the general footwear market. Trail running shoes represent a more specific niche for customers who need a specific type of running shoe.

Niches are becoming increasingly specialized wherever there is a market demand: you can sell waterproof trail running shoes, waterproof trail running shoes for snowy conditions.

If you're planning to start an online store in a saturated industry, consider "niching down" until you find an audience that needs a shopping destination.

Find your niche

Shopify helps you discover insights about your audience. Use data to understand customer behavior and target specific shoppers.

2. Source of your product

How to Start an Online Store, The RunningShoeGeeks Subreddit featured a post about a new Asics shoe colorway

Forums and subreddits can be helpful sources of consumer feedback about products and trends.

Finding the right products to sell is probably the most effective step in launching your online store. If you already know your target audience, you're ahead of the game. The Internet, along with your social and work networks, can be a treasure trove of consumer insights, helping you identify products your audience won't be able to resist.

Choose a few of these strategies to help you discover products that are likely to be best sellers:

Engage with enthusiasts and hobbyists to learn about their challenges and latest products

Leverage your personal passions and interests to understand which products will appeal to a like-minded audience

Monitor product trends to predict and stock the next popular item.

Analyze what's selling in major markets to identify products that have sold strongly in past years.

Once you have an idea of ​​the types of products you want to sell, the next step is to source them. Here are some common product sourcing methods:

Make your products: If you have skills like woodworking or painting, you may be able to make handmade products. This can attract customers looking for unique, bespoke or luxury items.

Buy products from wholesalers: Buying inventory from wholesalers gives you control over stock and ensures stable supply of products.

Manufacturing products: Work with a manufacturer to produce original items or private-label products.

Print products on demand: Print on demand is the act of customizing products with your design. Print-on-demand services handle manufacturing and shipping.

Try dropshipping

The only way to manage your products is to buy and store inventory. Other options include dropshipping – a retail model where product suppliers package and ship orders on your behalf

With dropshipping, you can sell a wide range of items in your store without the need to buy or store them. Once you receive an order, simply forward it to your supplier for fulfillment.

Find products to dropship and connect with dropshipping suppliers by adding a dropshipping app to your online store.

3. Choose a trading platform

How to Start an Online Store, The Don Shopify theme is edited using the Shopify Store Builder

Dawn Theme on Shopify.

An eCommerce platform where you create and manage your online store. It's the command center of your business—where you go to monitor your website, list new products, and process orders.

Popular trading platforms include:

• Shopify
• Wix
• WooCommerce
• BigCommerce

Compare eCommerce platforms to find the right software for you.

Most commerce platforms include a store builder, which helps you create a branded storefront with product pages, a shopping cart, and a checkout. Store builders often have drag-and-drop interfaces, making it easy to customize your site without the need for code. When comparing store builders, keep these features in mind:

Ease of use: It should be straightforward and intuitive, so you can build your store with confidence.

Design Options: Find a variety of free and premium themes pre-made for your industry or niche.

AI support: Shopify's AI-like features can help streamline content creation.

Flexibility for Growth: Ensure custom coding and advanced design options later

Free Trial: A free trial is a good way to try a store builder without requiring a commitment.

Look at the store front

Store builders are only one part of a commerce platform. Depending on the software you choose, you may also be able to perform other tasks, such as:

Hosting your website

Analyzing store data and customer behavior

Shipping orders

Executing marketing campaigns

Sold in physical retail locations

Consider all these features when choosing your platform, even if you don't need them right away. Choosing a full-featured platform means you don't have to deal with the hassle of switching platforms at a later stage.

4. Design your brand

How to Start an Online Store, An eCommerce product page from Verve Coffee's online store

Verve's online store branding aligns with its packaging and marketing content, increasing overall brand recognition.

To give your store a consistent and professional feel, you need to consider branding. It's not just about a logo or a color scheme; Branding is about creating an identity that resonates through your images and content.

Create the following brand assets to use throughout your online store:

Brand values ​​and mission

Define what your brand stands for—its purpose, your unique selling proposition, and your commitment to customers. These brand values ​​will influence the look and feel of your store, informing design and color choices as well as the tone of your brand voice.

store name

Whether you use your own name, an evocative word, or a literal description of what you sell, your store name is often the customer's first touchpoint with your brand. If you need inspiration, try this free domain name generator to generate on-brand suggestions and see what name ideas come up as domain addresses.

the logo

A logo is a visual shorthand for your brand that spans a wide range of surfaces, from your store to the shelves of other retailers.

Lifestyle and product images

Photos help convey the features and quality of your product, but also help customers see how your product can complement their lifestyle. Use lifestyle photos to tell an aspirational story.

It's easy to take product photos with a smartphone camera. For a professional finish, edit your photos using AI to create on-brand background scenes

Create a professional logo in seconds

Shopify's free tool is designed for entrepreneurs on the go. Create your logo from scratch—no design experience required.

5. Register your business

How to Start an Online Store, A close-up of the label tab of many beige file folders

Depending on your location, the products you sell, and how you plan to operate, you may need to register your store with state and federal governments as well as industry-specific organizations. Making your store an official entity can help protect your assets and increase your credibility with customers.

Before diving into the paperwork, assess what type of registration (if any) applies to your situation. If you are a sole proprietor trading in your own name, you may not need any legal registration.

Contact your city or county about permits or licenses to sell the product. Even online stores may require a business license or home business permit. Other types of registration include:

A tax ID number for paying federal and state taxes

Trademark to protect your business or product name

Tax-exempt status for nonprofits

Consider your business structure

Not everyone needs a formal business structure, but understanding the options can help you make the best choice for your online store:

Sole Proprietorship: This is the simplest structure, ideal for one person operations. There is no separation between personal and business assets, which means easier taxation but higher personal risk.

Partnership: Partners contribute resources such as money, property or skills and share profits and responsibilities. Partnerships are governed by an agreement outlining roles and shares

LLC (Limited Liability Company): An LLC can protect your personal assets by legally separating them from any business debts.

Corporation: This structure is for businesses that plan to go public or seek extensive outside funding. Corporations offer stronger protection but are more complex and expensive to set up.

6. Create your store

An eCommerce product page from Reframed's online store

ReFramed uses product photos on plain backgrounds to show every detail without distraction.

With your target audience defined, product sourced and brand developed, it's time to put everything together in your online store.

Set up initial store information

Start with the basics. Fill in the required information of your store as requested by your eCommerce platform. Here's what to tackle first:

Domain Address: If you don't already have one, purchase a domain that matches your store name and configure it in your platform's settings.

Templates or themes: If your store builder uses pre-made templates, choose one that matches your desired site design. Look for features like parallax scrolling or display boxes

Navigation: Create menus that link to essential pages and consider sidebar or footer navigation for additional links. If your store has many pages, add a search bar.

Logo: Place your logo throughout your store and don't forget to update the favicon.

Design Elements: Color and typography help express your brand. Customize your theme settings to match your brand guidelines. Use contrast to highlight buttons and limit font choices to two or three across your site.

Add your first product

Find the "Add a Product" section of your platform to input all the content, assets and details about your product

Product Description

Product titles must be clear and descriptive to help shoppers and search engines identify your product.

Product descriptions are an opportunity to speak directly to your target audience so they can identify why a product will improve their lives. Keep in mind while writing product description:

Consider who you are talking to (their language and knowledge level)

Highlight key features using icons, pictures or bullet points

Anticipate customer questions and act as a stand-in for their eyes and hands

Images and media

Upload high quality product photos in a consistent style and aspect ratio. Also consider videos, animations or 3D models.

Use images to help customers imagine owning your product. In addition to detailed product images, add lifestyle images that show your products in action

In the image above, you can see how ReFramed uses product shots on a plain background to show every detail without distraction. Further down the page, customers can also view lifestyle images that help them visualize the brand's bed frames in the context of their own lives:

Lifestyle product images from Reframed's online store

Restructured

For product categories where customers may need more visual information, such as clothing or jewelry, use multiple photos that offer additional angles and details.

Product information

The next necessary product data to add to your store is price. Determine your price by considering your costs as well as perceived value and competitive pricing. Adjust your pricing strategy based on customer data and feedback as your store develops.

Beyond pricing, add other product information to help you and customers navigate your catalog:

Product specification (materials, dimensions and manufacturing process)

Product categories (eg, men's shirts and pants)

Product form (size, color and shape)

Inventory details like units kept in stock and barcode information

Tax settings

Product tags and collections to organize products for specific audiences or sales events

Create informational pages

Beyond products, your store needs informational content to build trust, tell your brand story, answer common questions, and let customers know how to reach you.

Before you launch your store, create the following pages:

Homepage: Design your homepage to make it easy for first-time visitors to understand what you sell, helping returning visitors to start shopping again. Remember to optimize for mobile viewing.

Contact page: Your contact page will make support accessible with options like contact details, a form, and live chat.

About Page: Use your About page to connect with customers personally. Include videos introducing yourself, images explaining your supply chain, and links to press mentions.

Policy Page: This page provides returns, shipping and privacy policies to help customers buy with confidence but also protects you in the event of customer disputes.

FAQ Page: An FAQ page provides quick answers to common consumer questions. You may choose to include FAQs on your product and policy pages.

7. Set up your checkout and shipping

A Shopify checkout for a plant store in desktop and mobile versions with multiple payment options

To make it easy and safe for customers to purchase products, the next step is to set up payment processing.

Start by comparing payment providers to find the right balance of features and transaction fees for your needs and location. Here's what to consider when choosing your provider:

Payment Methods: Allow customers to pay via credit card, PayPal, Apple Pay, Shop Pay, etc.

Multi-currency sales: Automatically show prices in a customer's local currency.

Transaction Fees: Find a provider with a fee structure that fits your business.

Security features: Ask buyers for additional security measures like CVV or zip code verification.

Customize your checkout

Most e-commerce platforms have built-in checkouts that you can customize with branding and payment options, including one-click shopping and installment payment plans.

Customize your store's checkout by adjusting its look and functionality:

Fast Checkout: Enable Shop Pay for faster transactions.

Pay in Installments: Offer installments for expensive items to make payments more manageable.

Customer Accounts: Allow customers to create accounts to store their details, making future purchases easier.

Required Checkout Information: Determine what information customers must input to complete checkout.

Promo Codes and Gift Cards: Include options to use discounts and gift cards

Upsell: Strategically suggest additional products during the checkout process to increase order value.

For example, ban.do's checkout allows customers to check out as a guest, or create an account before shopping to make future purchases easier:

An eCommerce checkout page from Ban.do's online store

forbidden

A common checkout best practice is to set up a system to retrieve abandoned carts. This occurs when customers add items to their cart but leave without completing the purchase.

Platforms like Shopify allow you to send abandoned cart emails to drive these customers back to your store, turning potential losses into sales.

Set up taxes

As a business that sells goods or services, you likely need to collect sales tax. Exceptions may apply for digital products in certain areas or for small shops under revenue thresholds.

Adjust your store settings to handle taxes correctly, as the amount you collect varies by region. If you are unsure about your obligations, consult a tax professional.

Shipping offer

Checkout is also where customers will interact with your shipping and fulfillment options

Develop a shipping strategy that accommodates your product's weight and dimensions, and packaging costs, as well as popular shipping destinations and delivery options.

Consider enticing customers with free shipping, which you can offer on select products, minimum order values, or in certain regions.

For stores selling products with consistent sizes and weights, flat-rate shipping can help keep shipping costs down. If your platform supports it, you can also charge a carrier rate that adjusts based on the actual carrier price.

Local pickup options can be a convenient option for nearby customers.

Give shoppers other ways to checkout

Extending sales channels beyond your online store helps you reach more interested customers Once you launch your store, it's easy to add these channels:

Social networks: You can sell products on Facebook, Instagram, TikTok and other social networks where customers are already spending time.

Marketplace. Many customers start browsing marketplaces like Amazon and Etsy. To reach these buyers, sync your inventory with Marketplace listings.

Google Run a Google Shopping campaign and list your products in the Shopping tab of Google search results

Start accepting payments quickly

Go from setup to sale in one click. Shopify Payments comes with your Shopify plan. Turn on what you need to do.

8. Make your store live

A neon sign in the dark announces that a store is open

It's time to launch your online store! To make your site accessible to the public, you usually need to change your store's status to public or remove the password protection that was in place during development.

While your store may not feel perfect yet, it's important to get started. Launching—even if it's just a soft opening—allows you to start collecting feedback from traffic passing through your site. Real-world testing is often the best way to reveal insights about your site's usability, such as your navigation and checkout performance.

From this step on, you'll be fine-tuning your design, adjusting settings, and evolving your marketing strategies based on actual customer interactions and data.

Before you hit the launch button, make sure you check off every task on this ecommerce checklist.

9. Market your product and brand

A list of YouTube videos on how to make a quilt

MADE Everyday uses search-optimized marketing content to reach a relevant audience and increase its store visibility.

Now that your store is up and running, it's time to spread the word and attract customers.

Marketing is different for every business. Your strategy should include a mix of creative content and marketing campaigns tailored to your brand and audience.

Take advantage of social media marketing

Social media marketing isn't about maintaining a presence on every platform out there. Instead, it's about creating an impact where your target audience is most active. For example, if you're aiming to engage with Gen Z, TikTok is essential.

The best social media marketing content feels natural to users. Try to create content that's not only promotional, but also valuable – think how-to videos, comedy skits, behind-the-scenes glimpses or even live-streamed Q&A sessions.

Optimize for SEO

Many shoppers use Google to find stores, read product reviews, or compare similar items. SEO marketing makes your store discoverable when potential customers search online.

For example, above, MADE Everyday's YouTube video drives potential customers to Google and YouTube results for questions like "how to make a quilt" that are relevant to its product line.

To find search terms that your store can target with marketing content, use a free keyword research tool. Find high-volume keywords that connect to your product.

Talk to buyers via email

Email marketing is the perfect channel for your customers and visitors to your store. Set up email flows to engage shoppers throughout their journey—from a welcome series to abandoned cart reminders and post-purchase follow-ups.

Consistent email communication keeps your brand top of mind, helping future campaigns come naturally.

10. Optimize your store

An entrepreneur sits at a table working on their online store.

Building an online store is a continuous process. As customers visit your store and interact with the content, you'll begin to see where the content is working and where improvements can be made.

Analytics are central to store optimization. The process of reviewing traffic and sales data, and refining your content in response, should be a regular part of your business strategy.

See insights from store data sources, including:

Site Traffic: Identify where your visitors are coming from—Google search, social media posts or ads? Understanding your traffic will help you create content for your store and optimize marketing efforts

Product Sales: Monitor which products are selling and which are not. This will inform your inventory decisions, promotional strategies and even product development.

User Behavior: Analyze how visitors interact with your store, including your most viewed pages and most engaging content. Can you improve your store's user experience to replicate your success?

Customer Feedback: Collect and review feedback regularly. This direct input can tell you what customers appreciate and what they would like to see improved.

Armed with information about how users are interacting with your content, you can make changes to increase your conversion rate, turning more browsers into buyers.

Advance your business with analytics

Shopify's user-friendly reports help you make better decisions. Choose from pre-built dashboards or create your own reports to see trends, monitor traffic and find your next opportunity.

Start a successful online store today

Whether you're an artisan, a digital artist, a retailer, or a YouTuber designing merchandise, today's commerce platforms make it easy to sell online.

Remember, your e-commerce journey is one that is constantly evolving as you learn and adapt from your customers.

Start your online store here.

How to Start an Online Store FAQ

What mistakes should I avoid when starting an online store?

Avoid common pitfalls such as failing to tailor your store to a niche market, underestimating the importance of a consistent user experience, ignoring customer service, and not optimizing your store for mobile devices. It is also important to have a clear marketing strategy that includes SEO and social media efforts to attract customers.

Can I start an online store with no money?

You can start an online store without money by creating a free trial with most ecommerce platforms. However, expect to spend a small amount for the basic plan on most platforms.

How much does it cost to start an online store?

The cost of starting an online store depends on several factors. Expect to pay at least a monthly fee for eCommerce web hosting as well as a transaction fee, with some plans starting as low as $5 per month. You also need to factor in related costs such as paid advertising, inventory and overhead costs such as internet, electricity and rent.

How do I start my own online shop?

To start your online store, you need a product or service to sell. Then, set up an online store on an ecommerce platform, including adding branding, products and landing pages. Launch your store with a market promotion to get customers.

How can I create an online store without inventory?

Retail models for building an online store with no inventory include dropshipping and print-on-demand. With these methods, a third party sources or manufactures products on your behalf, then ships them to customers after you order them

What is required to run an online store?

To start an online store without coding skills, you need to use an ecommerce platform like Shopify. With your ecommerce platform, you'll be able to build and run a store, accept orders and payments, and organize inventory and shipping.