How I Would Build an E-Commerce Business - Knowing What I Know Now
I was recently approached by an iwi group eager to empower their young people with the skills to build successful e-commerce businesses. They had seen my TikToks discussed at a recent iwi wānanga, and many found them refreshingly different from what other NZ creators shared. Flattered, I took a moment to reflect on my own journey over the past five years—the highs and lows, the well-meaning but misguided advice I followed, and the golden nuggets of wisdom I ignored simply because I didn't understand. This reflection led me to outline eight steps I would take if I did this again, that I’ve decided to share in a blog series to hopefully help aspiring entrepreneurs build their e-commerce dreams.
Eight steps to build an e-commerce business;
- Play the End Game: Begin with a clear vision of how you want this journey to end.
- Product Pricing: Understand everything that goes into pricing your product, why you need to get this step right from the start as it affects your growth, scalability and end goal.
- Proof of Concept: Validate your product idea before full-scale launch.
- Set Up Shopify Store: Get your online store up and running efficiently –with the must haves & leaving the nice to have till later.
- Invest in Learning with MRR: Upskill with a saleable asset- there’s a lot out there nowadays, buy a course, learn from it, with the option to on-sell later, you don’t lose out.
- Start Building Brand & Product Simultaneously: Build your brand while refining your product.
- Define Strategy & Business Plan: Craft a solid strategy based on your growing knowledge.
- Build Good Daily Income-Producing Habits: Establish routines that ensure daily income generation.
Step One – Play the End Game
Traditional business planning often begins with lofty visions and mission statements. But for someone new to e-commerce, this approach can be overwhelming and impractical. Here’s why I recommend flipping the script:
Why Traditional Planning Falls Short
Traditional planning models often operate on a scarcity mindset, focusing on what banks and government funders value rather than the skills you need to grow your business. This can lead to a beautifully crafted business plan that fails in the real world.
Start with the End in Mind
You would not go on a holiday without knowing your destination. Same with business, all the details help you get there and have a more enjoyable holiday, but you need to know before you leave, where you are going -then you will pack the right clothes for the trip.
Do you want to create a product to sell in retail stores nationwide?
Do you aim to sell on global marketplaces, or do you envision building a franchise?
Do you want to be employed in your business?
Do you want a business that employs others?
Do you want to grow a 7 or 8 figure turnover business, or are you happy to stay employed and have a side hustle bringing in additional income for your family?
Do you want to build then exit, or build a legacy business for your family?
There are so many scenarios you have to think of first for yourself as a business owner before trying to solve the problems of the world.
Seriously ask yourself what do you really want?
Knowing your end game will guide your decisions from the very start.
Practical Example
Imagine you want your product stocked in retail stores. You’ll need to price your products correctly from the beginning, considering retail margins, COGs, and remaining profit margins. Starting with this end game helps you avoid pricing pitfalls and ensures your business model is scalable from the start – because you know from the start where you want to ultimately be.
Or, you may want to create a business that you can sell to a larger entity within 5 years. Your focus will then switch to revenue and systems versus profitability because you’re focused on sales generation, and overall business value for when you exit and sell.
Personal Insight
When I started my business, I didn’t have a clear end game. I ‘fell into business’ as so many creative people do, with only the hope that I would break even and not lose money. I never even thought about an end point because I had a scarcity mindset that just focused on surviving year by year and repaying the MWDI loan I had taken out. I never had a clear end goal I was working towards, I just meandered along focusing on annual goals, year-on-year profitability and product growth, with no end point in sight. Repeating what worked, stopping what didn’t, but not really knowing where I wanted to end up.
Looking back, I wish I had this clarity from the beginning —it would have saved me from many costly mistakes.
Actionable Tip
Take some time to envision where you want your business to be in five years. Write down your end game and use it as a compass for all your business decisions. Spend time doing this, rather then other traditional planning – as this exercise will help shape your business strategy faster. Then once you have learnt more in Steps 1-6, by time you focus on your strategy & business plan, you are very clear which direction you are steering your waka in.
Final Words
I’m curious—if you have an e-commerce pakihi, did you start it with an end game in mind? Reflect on your journey and share your experiences in the comments below. Let’s learn from each other’s stories to help build our next generation of savvy e-commerce entrepreneurs