E-Commerce Business Setup | Things to know about E-Commerce Business Setup

December 08, 2019

If you’ve not heard of online shopping, then you’re living in a cave. With global e-commerce giants like eBay, Alibaba, and Amazon online shopping has become a new way of conducting business. Many new businesses just open their stores on the internet rather than physically.

On this note, it becomes important to mention that the trend of online shopping is dramatically increasing in the United Arab Emirates (UAE). Dubai, on the other hand, hosts some of the best e-commerce stores on the internet.

This is the reason that a large number of people are moving from traditional shopping to online shopping, thereby signifying the visibility of your online store is a must in the Middle Eastern region.

In this post, we’ve shared 10 things you need to know about starting an e-commerce business setup in Dubai. This will simplify things if you’re looking forward to investing in this region.

10 Essential Facts To know about E-commerce Business Setup in Dubai

Online shopping trend

The mode of online shopping is rapidly increasing in the Middle East. Many people prefer online shopping modes because it provides many benefits. You don’t have to visit the store physically, there are tons of great discounts going on daily, the package will be delivered at your doorstep, product return policy, cash on delivery and much more.

Licensing procedure

To conduct business in Dubai, you have to acquire a business license. In terms of online business, the licensing procedure is swift and easy. The best place to start an online business in Dubai is in free zones. There are tons of great advantages for foreign business investors in the free zone. These include complete repatriation of business profit, 0% income tax, 0% corporate tax, and negligible custom duties. All of these benefits make e-commerce setup in Dubai a very lucrative business.

Office infrastructure

You can also lease office space in Dubai at a reasonable price. You can start your business by yourself or in certain cases, a UAE resident or Local sponsor is required to help you buy a place. Depends on your licensing procedure, there are some rules and regulations that you’ve to follow. The office space and utility services in Dubai is state of the art, everything is unmatched.

Website development and hosting domain

To start your e-commerce store, the most important thing required is a responsive website. It is important to have a user-friendly stable website that is easy to manage. There are many factors that you should consider regarding this point. Here we have mentioned the common once.

A domain name is required to carry out your business operation on the internet. It must be unique and easy to remember by most of your audience. The domain name also matches your business name, so choose an appropriate name.

The second thing you need is website hosting. Consider this as space where all your website content will be stored and from where you can change your settings.

Payment Gateway integration

An important aspect in terms of online business is a recognized payment gateway option. There are many online payment gateway vendors available on the internet. All of these have different terms and conditions for their usage. Technically, the payment gateway should handle more load of traffic and process a higher rate of overall transactions of your website.

Import and Export of the product

Depending on your business operation, import and export become a very important aspect of online business. There are many types of products that you can deal with in Dubai like consumer goods, Discounts, Deals, Branded, Unbranded, Digital, Physical, etc.

For import and export services, a valid license is required from the authorities. It is advised to speak with a business consultant regarding this matter.

Logistics, Support, and Delivery

The core of an e-commerce business is supported by the logistics and support system. Without a proper logistic system in the region, your business will not perform well in the market. In Dubai, you can build your logistic system or opt for third-party providers.

Warehousing and storage

Just like logistics, storage is also an important aspect of any e-commerce business if you’re conducting business for consumer goods. You can lease your own storage space or opt for third-party providers.

Launch and Marketing

This is one of the most important steps for any business to run successfully. Now that you’ve opened your business in Dubai, now is the time to stand out above your competitors. There are different marketing options you can try for an online business that includes Digital marketing, TV Advertisement, Brouchers, Billboard, SMS Marketing, etc.

The marketing strategy should be aligned with the interest of your audience, if you target people who not even interested in your business then you’re wasting your resources. Target people for whom the website conducts business.

Customer acquisition and retention

After setting up your successful online business in Dubai, now comes the important part of customer acquisition. Sometimes it feels like a tireless activity yet it is fruitful for a long term business environment. The future of a business largely depends on loyal customers so the acquisition is very important. Post successful customer often buys other products and refer your business to other people.

E-commerce business setup in Dubai is a trending, visible, and profitable field. If you’re an investor and want to invest your money in a profitable venture, then you should opt for an online business. Setup Dubai business helps you to set up your first E-commerce business in Dubai. We have a team of professionals that have years of experience in the E-commerce business and can provide a detailed guideline on how to start a successful business. Contact us if you’ve any type of question regarding this topic or want a free business consultancy. We’d be happy to assist.