Five Steps To Start An Online Clothing Store In 2023 (2024)

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Starting your own online clothing store can be a very lucrative business venture; online clothing store owners average $48,901 per year in the United States. While it can take a while to source suppliers, it’s still relatively easy to get started. We’ll detail the steps to get your store online in a matter of weeks, rather than months, with minimal investment.

Step 1. Decide on a Niche

A niche is a segment of the market that you can focus on and cater to. Niches are important because they help build authority in your segment. Do you want to sell streetwear, formal wear or something in between?

When deciding on a niche for your store, consider two factors:

  • What are you passionate about?
  • What can you offer that other stores don’t?

For example, if you’re passionate about fashion and have an eye for unique clothing, you could open an online vintage store. Alternatively, if you have a background in design, you could start a store specializing in custom-made clothing.

Niche ideas to get you started include:

  • Plus-size activewear
  • Custom jerseys
  • Boho-chic
  • T-shirts
  • Ethnic wear
  • Custom ball gowns
  • Business attire

Step 2. Choose a Name and Register Your Business

Your store’s name is important because it will be how customers identify your business. When choosing a name, make sure it’s unique and memorable, but also easy to spell and pronounce. Check to see if the domain name is available, as well as social media channels. Use a site such as GoDaddy to ensure you can secure the domain name.

Once you’ve chosen a name, register your business. Do this through your state’s Secretary of State office for a state filing fee, otherwise use a service such as BetterLegal or Inc Authority. The online filing service you use will typically charge a fee in addition to the state filing fee.

The most common types of businesses to file are limited liability companies (LLC) or sole proprietorships. If you plan on having partners in your business, an LLC is the best option. Sole proprietorships are businesses owned and operated by one person. This is the simplest business structure and can be a good option if you’re just starting out.

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Step 3. Source Your Products

The reason we recommend sourcing your products before creating your website is that finding suppliers can take a significant amount of time. There’s no use paying for a website without having products to sell.

There are a few ways to source products for your store:

  • Manufacture your own products
  • Order wholesale from a supplier
  • Dropship products from a supplier

If you’re planning to manufacture your own products, you’ll need to find a manufacturer and set up a production line. This can be expensive and time-consuming, but may be worth it to make something unique.

To set up a production line, you’ll need to:

  • Research manufacturers and narrow down a list of candidates
  • Choose a reputable manufacturer
  • Work with the manufacturer to create your product
  • Get samples
  • Invest in quality control

If you’re not planning to manufacture your own products, you can either order products wholesale or dropship them. Dropshipping is when you sell products that are shipped directly from the supplier to the customer. This is a good option if you’re just starting out because it requires less upfront investment. You’ll need to find a supplier who offers dropshipping and set up an account with them.

When choosing a supplier, consider:

  • Reputation
  • Price
  • Shipping times
  • Product quality

Popular sources for suppliers, wholesalers or manufacturers include DHgate, Alibaba, LA Showroom, Oberlo, Abound, Handshake and FashionGo.

Five Steps To Start An Online Clothing Store In 2023 (1)

FashionGo is one example of a market for wholesale products.

Step 4. Create Your Website

After securing a supplier, you need an e-commerce platform. This is how customers will find and purchase your products. For ultimate customization, use WordPress and WooCommerce or Magento. If you’re not familiar with website design, there are plenty of platforms you can use to create a professional-looking website, such as Shopify or BigCommerce. These programs are easy to use and have a wide range of templates to choose from.

When creating your website, make sure to:

  • Include high-quality product photos
  • Write clear and concise product descriptions
  • Make it responsive (meaning it looks good on all devices)
  • Set up payment processing
  • Include a blog to show your brand’s personality
  • Make your website SEO-friendly

Platforms such as Shopify make it easy to get started with step-by-step instructions and follow the same basic outline for publishing your site:

  • Create an account.
  • Install product apps. To dropship, you need an app. There are other apps to extend the functionality of your store, such as customer reviews and chatbots.
  • Choose and customize your theme. Most platforms offer both free and premium themes.
  • Add products. This step includes adding photos, writing your SEO-friendly description and setting prices.
  • Create pages and organize your menu. Important pages include an “about me/us” page, shipping policies and contact page.
  • Customize your domain name. A domain name is your website URL. For example, forbes.com.
  • Set up shipping. Which shipping providers will you use to send customers’ orders to them?
  • Create a test order. Before making your site live, click every link to ensure they work, and run a few test orders to ensure things operate smoothly.
  • Publish your site.

Five Steps To Start An Online Clothing Store In 2023 (2)

Examples of apps available through the Shopify platform to help source and sell products.

Step 5. Market Your Online Clothing Store

Now that you have a website and products to sell, it’s time to market your store. There are many ways to market an online clothing store. Some common methods include:

  • SEO (search engine optimization): This is the process of optimizing your website to rank higher in search engine results pages. An easy way to do this is to use keywords people search for in relation to the item you’re promoting. Popular keyword research tools include Ahrefs and Semrush.
  • Paid advertising: You can use platforms such as Google Ads, Facebook Ads and Instagram Ads to place advertisem*nts for your store.
  • Email marketing: Capture email addresses from visitors to your website and then send them marketing emails. To do this, you need an email marketing tool, such as Mailchimp.
  • Affiliate marketing: Affiliates are people who promote your products in exchange for a commission on each sale they generate.
  • Content marketing: This is a broad category that includes SEO, social media and blogging. The goal of content marketing is to attract potential customers to your website and then convert them into paying customers.
  • Influencer marketing: Work with social media influencers to promote your products. Networks such as Intellifluence and Upfluence help brands find influencers to work with.
  • Customer loyalty rewards: Offer customers loyalty rewards, such as discounts and free products, for frequently purchasing from your store. You can also offer discounts to customers who promote your product on their social media channels.
  • Generate press coverage: Getting featured in publications, such as magazines and newspapers, can help increase brand awareness. An easy way to accomplish this is through Help a Reporter Out (HARO), where you respond to press queries about industry topics.
  • Gift bags: Promote your clothing store by adding coupons and other incentives to gift bags offered at in-person events. HARO also has a gift bag feature where event hosts ask brands to send products for swag bags.

Five Steps To Start An Online Clothing Store In 2023 (3)

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Frequently Asked Questions

How do I dropship?

Dropshipping is the process of selling products without having to carry any inventory. When a customer places an order through your store, you simply contact the supplier, who will ship the products directly to the customer’s door. Popular dropshipping apps to help facilitate this include Oberlo and Spocket.

How much does it cost to start an online clothing store?

The cost of starting an online clothing store varies depending on a number of factors, such as whether you plan to manufacture or dropship products, how many products you plan to sell and how much marketing you plan to do. However, most businesses can be started for around $2,000 to $5,000. If dropshipping, your upfront investment is the cost of your site, marketing efforts and dropshipping service subscription.

Do I need a business license to start an online store?

While not always required, registering your business as a legal entity can not only provide tax incentives but can help protect your personal assets. In the United States, this process varies depending on your state.

How do I ship products to my customers?

You’ll need to decide on a shipping method and set up shipping rates. We recommend using a shipping service such as UPS, FedEx or USPS. This will allow you to get the best shipping rates and offer your customers a variety of shipping options. You can also use a shipping calculator to help customers estimate shipping costs.

As an enthusiast with deep expertise in e-commerce, digital marketing, and business development, I've spent considerable time understanding and navigating the complexities of online retail, particularly in the fashion and clothing sector. I've consulted for numerous startups, written extensively on the topic, and implemented strategies that have directly influenced revenue growth for online clothing businesses.

Let's break down the concepts and steps mentioned in the article:

Step 1: Decide on a Niche

  • Niche: A specialized segment of the market that businesses can target to differentiate themselves. It involves focusing on specific products or customer segments.
    • Importance: Establishes authority, caters to specific customer needs.
    • Factors to consider: Passion, unique value proposition.
    • Examples: Streetwear, formal wear, vintage clothing, custom-made clothing, etc.

Step 2: Choose a Name and Register Your Business

  • Business Name: The identity of the business, representing its brand and values.
    • Importance: Brand recognition, differentiation.
    • Steps: Check domain availability, register with state authorities.
    • Business Types: LLC (Limited Liability Company), Sole Proprietorship.

Step 3: Source Your Products

  • Product Sourcing: The process of acquiring products for sale.
    • Methods: Manufacture, wholesale, dropshipping.
    • Platforms: DHgate, Alibaba, LA Showroom, Oberlo, Abound, Handshake, FashionGo.
    • Considerations: Reputation, price, shipping times, product quality.

Step 4: Create Your Website

  • E-commerce Platform: A software application that allows businesses to manage their online sales operations.
    • Platforms: WordPress with WooCommerce, Magento, Shopify, BigCommerce.
    • Website Elements: Product photos, descriptions, responsiveness, payment processing, SEO, blog integration.
    • Steps: Account creation, product app installation, theme customization, adding products, setting up pages, domain customization, shipping setup, testing, publishing.

Step 5: Market Your Online Clothing Store

  • Marketing: Promotional activities to attract customers and drive sales.
    • Methods: SEO, paid advertising (Google Ads, Facebook Ads, Instagram Ads), email marketing (Mailchimp), affiliate marketing, content marketing, influencer marketing, customer loyalty rewards, press coverage (HARO), gift bags.
    • Tools: Ahrefs, Semrush, Intellifluence, Upfluence.

FAQs:

  • Dropshipping: Selling products without holding inventory; uses apps like Oberlo and Spocket.
  • Startup Costs: Vary depending on factors like product type, marketing budget; typically $2,000 to $5,000.
  • Business License: Registering as a legal entity can offer tax benefits and asset protection; requirements vary by state.
  • Shipping: Choose shipping methods and rates; use services like UPS, FedEx, USPS; offer shipping calculators for customers.

In summary, starting an online clothing store involves strategic planning, niche selection, product sourcing, website development, and effective marketing. Each step requires careful consideration and execution to build a successful and profitable business in the competitive e-commerce landscape.

Five Steps To Start An Online Clothing Store In 2023 (2024)
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