Quick Summary
India’s e-commerce industry is booming like never before! As of 2025, the market is expected to surpass $175 billion, driven by faster internet, rising smartphone users, and the surge in digital payments. Whether it’s shopping, education, or services, everything is shifting online, opening massive opportunities for aspiring entrepreneurs.
E-commerce, which involves buying and selling goods or services online, has become a top choice for businesses in India. If you’re planning to launch your own online store or platform, now is the perfect time to get started. This updated 2025 guide will walk you through how to start an eCommerce business in India, step-by-step, plus answer all your most asked questions.
An e commerce business is a company that buys and sells goods or services over the internet. It operates through online platforms instead of physical stores, allowing customers to shop from anywhere. Payments are made digitally, making transactions fast and convenient. eCommerce businesses can range from small startups to global marketplaces.
E-commerce is one of India’s most dynamic and rapidly growing industries. In 2020, the market size was valued at $64 billion, and it is projected to exceed $200 billion by 2027-28, according to the India Brand Equity Foundation. This surge is largely driven by the growing preference for online shopping, particularly after the pandemic.
As the e-commerce landscape continues to evolve, driven by technological advancements and changing consumer behaviors, aspiring entrepreneurs have a unique opportunity to tap into this dynamic market. This guide outlines 12 powerful steps to successfully start and grow an e-commerce business in India. Below are some key reasons why launching an eCommerce business can be a great opportunity.
When a person is running a brick-and-mortar store, location is one of the essential things to consider. But to start an eCommerce business, there are no such constraints; through approaching the right digital marketing strategy, one can expand their business across the globe.
Running a traditional store costs more than an eCommerce store in terms of inventory, design, etc. To start an eCommerce business, one does not require much investment. However, it is not free. It requires buying a domain name and designing a website, but accomplishing all these tasks requires the bare minimum.
Running an e commerce business makes entrepreneurs enjoy an enormous customer base. There are so many social media platforms available where one can promote their website on various channels like mobile apps, marketplaces like eBay and Amazon, or on social media channels like Instagram and Facebook.
E-commerce platforms offer convenience to both buyers and sellers. One can start an eCommerce business from the comfort of the home. It is operational 24×7. So, one enjoys considerable sales in the eCommerce business compared to traditional stores that are operational for a maximum of 10-12 hours.
A survey conducted by Epsilon reveals that 80% of customers prefer those who offer them personalized shopping experiences through loyalty programs, promotional offers, customized recommendations, and communications.
Traditional stores are confined to specific locations, but launching an eCommerce business expands your reach. You can offer products and services to a global audience, breaking linguistic and geographical barriers. It’s the best way to take your business worldwide!
Before beginning with the steps, here are some important aspects to keep in mind to start an eCommerce business:
There are many benefits associated with running an eCommerce business. The eCommerce reach is wider, and listing products is quite simple. To sell products online, two choices are open to each person; one involves listing products on marketplaces, and another involves building a personal eCommerce store. After carefully thinking about these aspects, follow the steps below to start an eCommerce business.
When learning how to start an ecommerce business in India, choosing the right product for the company is the most important thing. When one is selecting a product, keep these factors in mind:
Apart from the products, it would help to focus on a niche in an eCommerce business. It is a category under which a product falls, as it plays a crucial role in defining a target audience.
To start an eCommerce business in India, begin by researching different business models, top competitors, and trending products. It helps in making a well-thought-out business plan. One should explore finding gaps in the market in which one can work and make their e-commerce brand unique. While doing research, factors that need to be taken care of include:
Creating a wise e-commerce business plan is the next step to starting an e-commerce business. Once a business model has been chosen, the next step involves building the business. Choose a unique name brand and finalize a brand logo. It is essential to be aware of the legal and financial consequences of the business entity one is selecting.
The most common business entity forms are limited liability partnership, private limited company, sole proprietorship, and single-person company. Different aspects need to be covered when creating a business plan, such as choosing a payment method, drafting customer service policies, devising a social media strategy, etc. All of them are listed as follows:
To run a successful eCommerce business, one must select payment methods. One needs to develop a fully functioning online store. Payment methods come in various sizes and shapes. Always choose a payment.
To run a successful eCommerce business, one must select payment methods. One needs to develop a fully functioning online store. Payment methods come in various sizes and shapes. Always choose a payment method that fits well with the company’s essence. Some of the most popular eCommerce payment procedures are:
One must have a strong online media presence to start an e-commerce business. Draft a solid social media strategy and choose platforms wisely.
Being an eCommerce company, the logistics organization one chooses should have effective communication channels. Must ensure they are promptly responding to phone calls.
Choosing the right logistics partner is essential to start an eCommerce business in India.
An online business works well on the timely delivery of products and services. Selecting the right logistics partner is a must for enjoying consistent and efficient tracking of goods and services. The brand image is dependent mainly on the logistics provider. Factors to consider while choosing the right logistics partner.
Another important thing to consider when selecting a logistics partner is pricing. Always select what fits your budget and deliver products to customers to ensure client loyalty. Choosing the correct supplier for specific products is another critical task when starting an eCommerce business.
Whenever one decides to start an eCommerce business in India, the most challenging is naming a store and creating a logo representing that name. One needs to choose a name and logo that catches the eye of the target audience.
There are a couple of platforms that can help one establish their brand. Another vital part is choosing the right eCommerce platform to establish one’s business. The eCommerce platform market is enormous. There are many options available; choosing the one that fits well with one’s nature of business is key. Some of the most popular eCommerce platforms are:
The next step is to create a working website that customers can access. The key is to offer a user-friendly experience with great service. When one plans to start an eCommerce business, getting in touch with various development companies to build the website is the next important step. While choosing one, keep in mind all these factors:
Try to add mascots on the sites that guide users and make their shopping seamless. It is only possible when one chooses a simple and user-friendly interface.
There are various procedures, technologies, and ways of building an eCommerce platform. One is required to understand the requirements and scalability of the business. But before making an eCommerce platform, it is a must to evaluate one’s needs in terms of:
The final step to start an eCommerce business involves taking charge of a couple of essential things, but not thought about enough during the initial stages.
When one is planning to start an eCommerce business in India, it is a must to do GST registrations. It is mandatory to have a GST number for all eCommerce businesses regardless of the sales turnover.
If one. is planning to start an eCommerce business, make sure to have a separate business account for a smooth business operation. Never mix a personal account with a business account. Here are some of the legal formalities for operating an eCommerce business in India:
Also, read: How to Sell Products Online and Start an Online Store?
To start an e-commerce business in India, several licenses and registrations may be required depending on your business model, products, and scale. Here’s a simplified breakdown:
Running a successful online business in 2025 requires more than just a great product. To stay ahead in a competitive digital world, you need the right strategies. Here are the top 5 smart strategies to grow and manage your online business effectively:
Automating routine tasks can save time and boost productivity. Use tools like Shopify Flow, Mailchimp, and Hootsuite to handle order processing, email campaigns, and social media posts. Automation helps reduce human error and ensures smoother operations.
High-quality, keyword-rich content improves your Google rankings. Focus on blog posts, product descriptions, and landing pages that solve user problems. Combine this with on-page SEO, meta tags, and fast-loading pages to attract organic traffic.
Your customers are your biggest asset. Provide 24/7 support, easy returns, fast shipping, and mobile-friendly experiences. Use tools like LiveChat, Zendesk, and personalized email campaigns to enhance engagement and trust.
Track and analyze customer behavior using tools like Google Analytics, Hotjar, or Facebook Pixel. Understand what’s working and make data-driven changes to your marketing, pricing, and inventory strategies.
Don’t rely on one platform. Use a mix of email marketing, social media, influencer marketing, and paid ads on Google or Facebook. This broad approach protects your brand and increases customer reach.
With the increasing transfer towards online shopping, launching your own e-commerce business is a fantastic way to tap into this growing market. From choosing the right niche and creating a user-friendly website to leveraging digital marketing strategies, each step plays a crucial role in building a successful online store. By offering quality products, providing excellent customer service, and maintaining a strong online presence, you can establish a thriving business and achieve long-term success.
Starting an eCommerce business allows you to reach a global audience, work on your terms, and turn your industrial dreams into reality. With the right planning and execution, you can create a platform that not only generates consistent income but also offers flexibility and freedom.
Chegg hiring offers the opportunities to gain tremendous exposure to the corporate world, helps connect with different industry experts, and creates a solid peer network. All one has to do is sign up!
Read More:-
Steps for Creating the Best Online Business Plan
Business-to-business, or b2b
What is a B2C Business? Types and Examples
Business on Amazon
Ans. Starting an eCommerce business is not very tough because platforms like Shopify enable different brands to go online quickly. However, running a successful eCommerce business requires consistency, hard work, and continuous market research to keep updating your products and services.
Ans. The three types of eCommerce include:
1. Business-to-Business: Business-to-business, or b2b, is the procedure of selling online from one business to another. It’s like setting up a wholesale business.
2. Business-to-Consumer: Nowadays, a lot of e-commerce is b2c, as it has become easier for businesses to target specific customers online. Businesses can display their products/services online, and customers can easily order them using their smartphones.
3. Consumer-to-Consumer: Sometimes customers buy many products, don’t know what to do with them, and don’t find the time to return them to the retailer. Websites like eBay allow the customer to upload images of the products and sell them online to other customers interested in the same product.
Ans. A business plan is a must if you plan to start an eCommerce business in India. Your mission and vision get clearer with a business plan. Establishing a business plan includes deciding what products to offer, selecting a supplier, choosing a logistics partner, deciding on a social media strategy, drafting customer service policies, etc. Warehousing, product storage, the nature of your eCommerce business, and sourcing are some other significant components of building an eCommerce store.
Ans. The E-commerce sector is one of the most significant sectors in India. The market size of e-commerce was $64 billion (approximately ₹5.3 lakh crore) initially in 2020, but is expected to cross $200 billion (approximately ₹16.6 lakh crore) by 2027-28, as shared by India Brand Equity Foundation. Hence, it is worth getting into eCommerce, but before you begin, consider what products you want to sell or services you want to offer, and conduct thorough market research.
Ans. E-commerce is one of the most important industries that will usher in the next phase of the Indian economy. According to recent United Nations Conference on Trade and Development estimates, the global e-commerce sector would grow from $2.86 trillion (approximately ₹237.4 lakh crore) to $27 trillion (₹2,241 lakh crore) by 2027. All thanks to increased internet usage and smartphone popularity. Running an eCommerce business can be a wonderful source of revenue because it is one of the booming industries.
Ans. To start an e-commerce business on Amazon India, register on sellercentral.amazon.in with your GST, PAN, and bank details. List your products, choose a fulfillment method (like FBA or Easy Ship), and start selling to customers across India.
Ans. To start an e-commerce business without money, consider dropshipping or affiliate marketing, where you don’t need to hold inventory. You can create a free website using platforms like Shopify or WordPress and promote products through social media and digital marketing.
Ans. You will need an inventory of products. Again, the costs here will vary from product to product. To start out, a minimum budget of INR 20,000 is recommended. Keeping all the varying costs in mind, an estimated amount of about INR 85,000 – INR 1 lakh is needed to start your own e-commerce business in India.
Ans. Small businesses can start for under $1,000 with just a domain, website development, and basic marketing. Online stores typically range from $2,000 to $10,000+, depending on inventory, eCommerce platform setup, and marketing and advertising costs.
Ans. To start an e-commerce business, begin by identifying a niche, researching your market, and creating a business plan. Secure your product sourcing, choose a platform (like Shopify or Amazon), and design your online store. Finally, implement a marketing strategy to attract customers and launch your business.
Authored by, Amay Mathur | Senior Editor
Amay Mathur is a business news reporter at Chegg.com. He previously worked for PCMag, Business Insider, The Messenger, and ZDNET as a reporter and copyeditor. His areas of coverage encompass tech, business, strategy, finance, and even space. He is a Columbia University graduate.
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Chegg India does not ask for money to offer any opportunity with the company. We request you to be vigilant before sharing your personal and financial information with any third party. Beware of fraudulent activities claiming affiliation with our company and promising monetary rewards or benefits. Chegg India shall not be responsible for any losses resulting from such activities.
