Thinking about starting an online business, huh? Aren’t you a smarter version of Mr. Trump in the making? It is a great decision, keeping in mind that whenever people crave new clothing lines, the first thing they do is to go online. Let me tickle your bones a little; in the last fiscal year, Amazon made $10.1 billion in profits more than three times than what they made in 2017 ($3 billion). And as per the Statista.com T-shirt market is supposed to grow into a 3.1 billion USD by the year 2025.
Having a startup can be quite stressful for an entrepreneur. So, a wise decision to opt for this business niche, and here are some tips that will help you open a online T-Shirt store.
Selling T-shirts on the internet? Cool idea, bro! But you are not the first one to think of this. You are going to face hefty competition, therefore going all in at first glance will not be a wise decision; you have to choose a niche in the Tee business and target that. This will work as navigation to your ideas and designs for your fresh customers.
In case you have designed a new niche of hybrid tees, it is even more magnificent. Your work will sell itself, on the internet whatsoever is unique sells like hotcakes, and if the hotcakes are of unsurpassed quality, even better. Now that you have chosen a niche for your business follow the steps written below. You could also look at some famous art for inspiration.
You are starting off a new business, when you are going online, it is not the same as selling in physical stores; someone can order 50 or 500 same tees for their office party in one go, what then? You will need huge stocks. An appealing website, great deals, and advertisement techniques, everything comes after the basics; these things are steps three, four, and five. Your first step must be, “Where will I get the threads and designs from?” You were getting a dollar per tee from a local merchant when you were buying 500 pieces from him per month, but now that your demand has risen, you should get a more significant discount too. Your selling offers, advertisement budget, and every other future step are going to be based on your production cost. So, find the most economical factory or textile business with superior quality of the fabric, to fulfill your clothing needs in lesser money. If you are designing your Tees yourself, great, you are saving big bucks here; designers mooch a lot of money. Another thing you can do is what the Threadless is doing for getting cheaper designs online. They are asking designers to post their designs, people vote for it, the winning ones goes to printing.
There have to be at least a thousand websites on the internet selling plain, solid-colored tees online. Matter of fact, almost all of the big online clothing sites have plain tees in their collection, so what do we have learned here? You need someone to print designs on that excellent low-priced fabric you will buy, as it is the print that will determine your work’s price in the end. Also, if you are following the print-on-demand business model of this industry, you will need a printer company. In the case you are looking to invest a lot of money in your business, you can set up your own printing unit, that way you will save a lot of money and time, and it will be a significant investment in the future. This way, you will also not have to share your profits with a third-party company.
If and when you are a FRIENDS fan, you will understand why Monica’s jam idea failed miserably; she wanted to make it a thing when everyone liked it a lot. But in the end, she had to drop the idea as production cost was too unrealistic and no one would buy a jar of jam at $35. After all the hard work you have done, now it is time to reap the fruit. Mostly clothing e-commerce companies apply a cost-based pricing tactic. The tactic says the ultimate retail price should derive from the cost-per-unit, as how much you are paying to make one piece. If it costs you around one dollar than starting, you can charge five bucks from the customers. Although there is another method that is in trends with the business of your interest, the Keystone method, in this method, you simply double the cost amount of your product. For example, if one T-shirt costs you one dollar for its production, you should sell it for two dollars on wholesale price, and as an online seller, you can sell it for four bucks-a-piece as retailer’s price. But here comes the competition, with your production cost now you also have to deliberate the competitive advantage, along with the professed worth of your merchandise.
You need to design your online store from here, hire a good SEO team to promote it, and focus yourself on what you are best in, making big bucks. The online market is open wide as the horizon; the entire world is served to you in a plate via the internet; all you got to do is to stand up and grab whatever you want. There are no middlemen in this business, and you and only you will be getting all the profit out of it.