Online shopping is not a big deal anymore as it has become a big part of our daily lives. This has become an outstanding trend among millions of customers across the world. With multiple global e-commerce sites, this online shopping has become a new way of conducting business. The online shopping business is the best business to do in Dubai because the place is growing quite fast when compared to all other Emirates. Also, because people are shifting from the traditional way of shopping to online shopping. As a result, this is signifying the possibility of e-commerce in Dubai. This is going to develop even more in the future with this soaring number of online customers. Several factors have partaken to this global e-commerce position, including the increasing number of startups and their consumers in the nation.
As favorable growth is expect in this e-commerce industry, it’s a good idea to start your online business in Dubai. However, to integrate an e-commerce business within Dubai, you have to go through a set of procedures and understand all the laws and regulations.
What are the aspects to consider before setting up an e-commerce business in Dubai?
Setting up a company in Dubai often needs knowledge, skill, and experience. But, the business-friendly administration streamlined the entire procedure. This made it much easier and comfortable. However, before starting any business, one should go through certain factors to get a better understanding of their future business, its setting, and more.
Some of these factors to consider before starting an e-commerce company in Dubai are listed below:
- Know the shopping fads of the area
The internet perception in Dubai is considerably enormous. A huge number of people like to shop online through local websites rather than foreign websites. This shows the space and growth possibility for local websites that are confronting tough competition from international websites like Amazon.
- Import-Export Requirements
There can be many categories of commodities that you can market, such as e-products, material products, etc. According to the type of business activity, you are proposing, import and export become a very crucial facet of your trade. So, are you planning to import any products and sell them online in Dubai? Then your business must be enrolling with the ports and customs authority and then you will be issued with an importer’s code, which is something important. Then, a local commercial agent should be appointed. Even though the goods imported are liable to customs duty, the free zone businesses are immune from them.
- Website and Domain Name Registration
This is the most important part of your e-commerce enterprise. To set up an e-commerce site, you should develop a strong website outlet. It might take time to create and operate your website. This is what’s going to serve as your stage to present your products and services. It is this major tool that will help you gain customers for making profits. However, to register your business, you should have a domain name for your website. This must be something unique and should be able to be easily remembered and searched by your customers. It has to be user-friendly and be able to provide a smooth shopping experience.
- Logistics Support
E-commerce businesses require a yielding logistic backing system to maintain a prosperous online business. This aspect is important when agreeing on the jurisdiction to set up your business. Without any appropriate logistics procedure, an e-commerce business can come to a deadlock. So this is to ensure the efficient delivery of your products to your customers. In Dubai, you can either create your in-house logistics or get a third-party logistics assistance partner.
- E-Commerce License
In Dubai, to start an e-commerce company, you will need to obtain a required license from the Department of Economic Development (DED). The type of license issued will always depend on the essence of your online business. In case, you are deem a free zone company set up, then you have to acquire the license from the free zone authority. However, a mainland license will lend you the freedom to sell your products and services directly to the local market. So always consider the aspects from which your business can gain more benefit in terms of scope and scalability.
- Online Marketing
After you successfully start your company, you have to turn your focus on the online marketing of your business. For that, you have to line up your marketing strategy with the interests of the regional population. Marketing continues to be the most feasible component in a successful e-business. The reasonable means to perform this is through targeting the right market for trading your commodities. Then, create a practical marketing agenda for your products and services.
- Office Space
You must have an office space according to the nature of your business to make it legal. As foreign nationals aren’t allowing to buy a property in Dubai, you must have a local sponsor or a Dubai resident to assist you in purchasing a location.
- Customer Retention
This is usually the most diligent yet beneficial workout of the company setup in Dubai. The future of your e-business will depend on the number of your consumers. After amassing a huge number of clients in the first stage, you have to take certain measures to conserve those customers.
- Online Payment Gateway Integration
Payment gateway integration is a significant aspect of any online business. If you are selling or trading any products or services online, then first you should create a stable and secure payment gateway option that guarantees successful transactions. Today, there are numerous kinds of online payment vendors available in the market. This includes credit card payment, cash on delivery, and more. The retail pact can be made with these payment gateways where they may charge you per transaction.
These are some of the important factors that you need to consider before starting an online business in Dubai. However, based on the nature of your business, sometimes you may require additional steps than those mentioned above.
Conclusion
Dubai is deem as one of the greatest business centers globally. However, you must attain the trade license from a Free Zone or Mainland administration before proceeding with the launching of your business. Once you begin your e-commerce within Dubai, be prepare with all the basic requirements. Then you will successfully become capable of leading your online business in Dubai with lots of profit.
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