How to Start an Online Boutique: A Step-by-Step Guide

In this article, we’ll explore the essential steps and strategies on how to start an online boutique, from sourcing products to effective marketing techniques.

Key Takeaways

1. Step 1: Selecting Products and Identifying Reliable Suppliers – Identify and assess clothing suppliers for your boutique.
2. Step 2: Crafting Your Distinctive Brand Identity – Develop your brand identity through a logo and core values.
3. Step 3: Developing a Comprehensive Business Strategy – Estimate costs and strategize for your business.
4. Step 4: Formalizing Your Online Boutique Endeavor – Complete the necessary state paperwork before commencing online sales.
5. Step 5: Picking the Right Ecommerce Platform – Select a platform that aligns with your specific requirements.
6. Step 6: Establishing Your Virtual Boutique Presence – Prepare your boutique for selling and processing payments.
7. Step 7: Promoting Your Online Boutique Effectively – Utilize strategies such as social media and email marketing to attract new customers.

What is a boutique?

An online boutique distinguishes itself from conventional clothing stores by embracing uniqueness, modernity, and specialization. Unlike typical ecommerce enterprises, boutiques possess a distinct style that resonates with dedicated customers seeking a specific aesthetic. Online boutiques are synonymous with trendiness and offer premium-quality products, often accompanied by a slightly elevated price point.

Consider the example of Hazel And Olive, an online boutique renowned for its focus on current women’s fashion trends. This boutique’s success story was propelled by its effective utilization of social media platforms.

Step 1: Selecting Products and Identifying Reliable Suppliers

Starting an online boutique involves focusing on a specific market segment, which sets your store apart. Rather than offering general products, your boutique can thrive by catering to a niche audience. For instance, instead of selling just “clothing,” you could specialize in crafting bespoke shoes designed for weddings or creating exquisite birthstone bracelets.

How to find out what to sell

The key to selecting the right niche is choosing something you are passionate about and knowledgeable about. It’s always a good idea to start a business in an area you love. 

However, it’s also essential to understand the market demand. To gain insights into what’s popular, you can use tools like Google Trends. For instance, the demand for plus-size clothing is on the rise, making it a potential niche to consider.

To get your creative juices flowing, here are some niche ideas to explore:

• Apparel: Vintage fashion, handmade garments, plus-size clothing, athletic wear, children’s clothing, custom-made outfits, or unique designer brands.
• Jewelry: Crafted necklaces and bracelets, chainmail jewelry, semi-precious stones, distinct metalwork, and stained-glass earrings.
• Accessories: Handmade purses and bags for women, personalized sunglasses, stylish wedding hats, one-of-a-kind scarves, and trendy children’s shoes.
• Luxury Items: High-quality branded products, exclusive one-off pieces, luxurious foods and beverages, and handcrafted interior décor items.

Don’t hesitate to venture beyond the traditional apparel and accessories domain. Consider exploring other “luxury” markets as well. For example, you might think about opening a chocolate boutique specializing in premium gifts. Or, if you’re an animal lover, a boutique creating lavish collars for dogs could be a unique choice.

Finding reliable suppliers

Once you’ve decided on your niche, the next step is finding reliable suppliers for your products. This step is crucial as it significantly impacts your boutique’s success. It’s essential to locate suppliers who offer quality items at a price that fits your budget.

Using a Wholesaler

This method is for: Individuals who value having complete control over your logistics and brand representation.

This method involves buying products in larger quantities from wholesale suppliers. Your responsibility includes finding a suitable location to store your bulk stock. While you purchase these items at a reduced price, you’ll need to add a markup when selling them, which becomes your profit margin. Just like in a physical store, you’ll manage inventory and order fulfillment independently.

Pros

• Increased Profit Margins: Purchasing in bulk at a discounted rate allows for higher profit margins.
• Wider Supplier Selection: You’ll have more options when it comes to choosing wholesale suppliers compared to drop shippers.
• Enhanced Process Control: You gain greater control over various aspects like warehousing, inventory management, and stocking up.
• Selling Validated Products: You can sell products that have already proven their worth in the market.
• Quality Assessment: You get the chance to evaluate item quality before delivering them to customers.

Cons

• Higher Sales Risk: There’s a greater possibility of certain items not selling as well online.
• Capital Investment: This method requires upfront capital, often in significant amounts, which might pose challenges for new business owners lacking immediate funds.
• Shipping Responsibility: You’ll need to handle shipping and might even need to hire additional staff for order fulfillment.
• Space Requirements: Adequate storage space for supplies is essential.
• Increased Competition: You’ll face competition from numerous retailers.
• Price Regulation Challenges: Negotiating price controls can be a potential challenge.

Become a Dropshipper

This method is for: Merchants who aim to run their online stores without the need to purchase and manage inventory.

In this model, when a customer makes a purchase, the merchant acquires the item from a third-party supplier, often a wholesaler, manufacturer, or drop ship aggregator. The supplier then handles shipping the product directly to the customer. As a drop shipper, you’re relieved from handling the physical product or worrying about shipping logistics.

Unlike traditional wholesale methods, you’ll only procure products as needed. Successful dropshippers like Amazon and Zappos illustrate this approach. The typical profit margin for this business model stands around 20%.

Pros

• Storage Simplicity: Unlike wholesale businesses that expand storage facilities as they grow, dropshippers don’t face storage limitations, as they don’t store products themselves.
• Shipping Hassle-Free: The process of wrapping products, packing boxes, and trips to the post office becomes unnecessary. Your supplier manages the shipping process entirely.
• Operational Flexibility: As an office is not required, you can operate from anywhere with a solid internet connection to engage with suppliers and customers.

Cons

• Supplier Dependency: Since you don’t manage products, your business relies heavily on third-party suppliers. Their performance impacts your reputation. Slow communication or stock issues can disrupt customer service.
• Narrow Margins: Dropshipping often yields lower returns due to purchasing products one at a time instead of bulk discounts. This can slow down profitability.
• Legal Concerns: Partnering with unreliable suppliers can lead to legal issues. If they misuse trademarked logos, you might face the same legal consequences.

Notable sources for dropshipping products include:

• DHgate
• Alibaba
• Oberlo
• Abound
• Boutsy
• Etsy Wholesale
• Mable
• Faire
• Handshake
• Bulletin
• Tundra
• IndieMe
• LA Showroom
• RangeMe
• Stockable
• FashionGo

Vetting: Is the Supplier Good?

When it comes to selecting suppliers for your online boutique, taking the time to evaluate them is crucial. Here are some key considerations to keep in mind during the vetting process:

• Product Quality: Assess whether the product aligns with your boutique’s quality standards. Requesting samples can provide insight into the product’s appearance and feel.
• Customer Support Level: Will you have a designated contact person for regular communication? Engage in a conversation to gauge their communication style and responsiveness.
• Supplier Reputation: Research the supplier’s track record. Seek online reviews or tap into your network to gather feedback from those who have interacted with them previously.

Step 2: Crafting Your Distinctive Brand Identity

Regardless of the platform you choose, establishing a strong brand identity is a fundamental step for every business owner starting an online boutique. Your boutique’s brand identity serves as the foundation for recognition and recall among potential customers.

Navigating this process can be challenging. With a competitive landscape, finding the right name and color palette for your brand might require time and experimentation. It’s normal for your brand’s identity to evolve as your shop grows, and that’s perfectly fine! 

The key is maintaining consistency across your website, social media profiles, and any printed materials featuring your brand.

Develop Brand Values for Your Online Boutique

Your brand’s essential values encompass the principles you uphold. They act as a compass, steering your brand’s narrative, behaviors, actions, and decision-making.

Statistics reveal that 77% of consumers opt for brands that share their values. Moreover, these core values weave the fabric of your brand’s storytelling. Leveraging stories in marketing boosts memorability—stories are 22 times more memorable than mere facts. 

Swift decision-making is a competitive edge in today’s rapidly evolving business landscape. Conveying your values through marketing allows you to present your brand in a resonant manner, forging deep connections with your customer base.

A prime example is Everlane, which aimed to disrupt the fast-fashion industry through “radical transparency.” Their About page illustrates this mission. They distill core beliefs into simple yet impactful language. Additionally, they delve into each value, showcasing how these beliefs influence their manufacturing process. By showcasing faces and practices, they give a tangible dimension to their products. 

Notably, they conclude the page with an infographic elucidating their pricing model, transparently revealing how they achieve profitability while maintaining reasonable prices. This transparency underscores Everlane’s commitment throughout its business journey.

Design a Logo that Represents Your Brand

Your logo serves as the initial visual identifier connecting retailers and customers to your brand. Its purpose is to capture your brand’s core essence through a simple, visually impactful design. Keep in mind that your logo will appear across various platforms—from your website and social media profiles to garment tags and business communications.

Investing in a seasoned designer familiar with the fashion sector can greatly enhance your brand’s distinctiveness. For a convenient option, consider utilizing Tailor Brand, a platform that simplifies the process of crafting a professional logo on your own. A well-designed logo elevates your brand’s recognition and presence.

Choosing Your Palette: Colors that Define Your Brand

The choice of colors has a profound impact on how your brand is perceived by your audience. When selecting colors, it’s important to ensure they align with your brand’s identity and values. 

For instance, if your brand stands for eco-conscious and sustainable fashion, incorporating shades of green and brown can convey that message effectively.

It’s advisable to opt for a primary color complemented by a secondary shade. This approach adds depth to your brand and prevents it from coming across as shallow or one-dimensional. 

Moreover, this color combination can enhance contrast, which is particularly useful in designing your online store’s appearance. 

By harnessing the power of color psychology, you can create a visual experience that resonates with your target audience on a deeper level.

Building Trust: A Core Element of Your Brand

To instill trust, begin by providing accessible contact points. Displaying a direct email (such as [email protected]), a phone line, live chat, or Facebook Messenger on your online boutique website greatly boosts confidence.

Furthermore, incorporating testimonials and product reviews adds an extra layer of trust. While not every experience may earn a perfect score, giving voice to less-than-perfect feedback adds an element of transparency that enhances the reliability of your brand and products. Address negative reviews openly, offering resolutions tailored to customers’ needs.

Equally important is linking key documents on your online boutique website. Essential documents like privacy policies, terms and conditions, FAQs, and refund/return policies demonstrate your commitment to addressing potential concerns comprehensively. This approach cultivates trust by showing your dedication to accountability.

Step 3: Developing a Comprehensive Business Strategy

The next step involves developing your own business plan—an invaluable roadmap outlining your goals and the actions you’ll take to accomplish them. This plan can be shared with potential investors and banks to secure financial support when needed.

Here are key components to consider within your online boutique’s business plan:

Market Research

While you may have conducted initial market research while choosing your product and niche, it’s time to delve deeper into your target audience.

• Create Buyer Personas: Define your ideal customers with precision. Incorporate demographic details like age, location, and income. Go further by documenting their preferred social media platforms and trusted sources for product and style information.
• Conduct Market Analysis: Determine the market viability, current market size, and growth rate. Use concrete data to substantiate your findings.
• Perform Keyword Research: Crafting effective communication about your offerings and brand significantly impacts discoverability. Employ keyword research to ensure accurate terminology usage. This will also benefit your SEO efforts as you build your online store.
• Execute a SWOT Analysis: This strategic assessment aids in evaluating your competition. Identify key rivals and create a table analyzing strengths, weaknesses, opportunities, and threats. This analysis empowers you to position yourself effectively against competitors.

Business Model

Once you’ve gained a solid grasp of your ideal customer and the broader market landscape, the next step is determining your business model. Your chosen model will also influence the type of business licenses you’ll require.

In the realm of clothing and accessories, online retailers and wholesalers generally fall into these categories:

• Print On Demand: This model involves adding logos or designs to clothing items upon customer orders. You can manage this process yourself or collaborate with a third-party printer.
• Custom Cut and Sew: Among the more labor-intensive and costlier models, this entails producing items either independently or by outsourcing manufacturing.
• Private Label: Also known as a white label, this approach involves partnering with a manufacturing company to produce products that you can then brand as your own.
• Dropshipping: Requiring minimal investment but facing stiff competition, dropshipping is an order fulfillment technique. It entails collaborating with a wholesale supplier to showcase and sell their products within your online store. 

Financial Planning

Embedded within your business plan is the pivotal task of financial planning. This step involves estimating both your costs and anticipated revenue. To guide this process, consider addressing the following inquiries:

• Investment Allocation: Determine the balance between your personal investment and external funding requirements.
• Projected Expenses: Identify expected expenses such as production, shipping, and materials.
• Pricing Strategy: Deliberate on how you’ll set prices for your products.
• First-Year Revenue Expectations: Anticipate the revenue you aim to generate within the initial year.

Should you find yourself uncertain about calculating these figures, this presents a valuable opportunity to tap into your network for support. Seeking assistance in shaping your financial outlook can lead to a more informed and confident financial plan.

Marketing Strategy

Concluding your business plan involves outlining a broad marketing strategy. While fundamental marketing actions are essential for all business owners, this phase allows you to shape your distinctive launch approach.

For instance, you might opt to heavily emphasize influencer marketing to create anticipation and buzz. Collaborating with micro-influencers can effectively promote the unveiling of your online boutique across their social media platforms.

Additionally, it’s crucial to prepare a press release or a comprehensive announcement plan for the grand reveal.

With a multitude of marketing avenues available, your initial focus should narrow down to channels that make an immediate significant impact on your target audience. By strategically tailoring your marketing efforts, you set the stage for a successful launch and long-term brand growth.

Step 4: Formalizing Your Online Boutique Endeavor

Selecting Your Business Framework and Legal Structure

The choice of your business structure determines whether your business stands as an independent entity and, if so, its nature. Several common options include:

• Sole Proprietorship: Among the simplest entities to establish, no formal registration with your operating state is required. In this setup, you or both you and your spouse can own the business. Business income and losses are reported on your personal tax return. However, you hold personal responsibility for the boutique’s debts and legal obligations.
• LLC (Limited Liability Company): Offering flexibility, an LLC separates business liabilities from personal assets.
• Corporation: Opt for a corporation if you intend to issue stock or keep this option open for the future. While corporations provide limited liability protections akin to LLCs, differences emerge in their tax and ownership structures.

To ensure your desired company name is available, consult your state’s online business database. If uncertainty persists regarding the suitable business entity, this is an opportune time to engage a business attorney or a tax professional well-versed in small business finances. Your chosen structure sets the groundwork for your business’s legal and operational framework.

Formalize Registration and Obtain an EIN

Should you select a business entity not necessitating state registration, such as a sole proprietorship, your business name defaults to your personal name. 

If you prefer not to operate under your own name, you can file a “doing business as” (DBA) registration to establish an alternative name for your online boutique.

Subsequently, explore your secretary of state’s website to ascertain whether registering your business with the state is necessary. This juncture also presents an ideal opportunity to acquire an Employer Identification Number (EIN). 

Commonly known as an EIN or Employer Identification Number, the federal tax ID number is crucial if your boutique employs individuals and operates as a corporation or partnership. You can conveniently register for an EIN at no cost via the official IRS website, IRS.gov. Securing this business license is a non-negotiable step if mandated, especially for businesses with employees, as avoiding proper employment tax payments incurs substantial penalties.

Securing Essential Licenses and Permits

Securing essential licenses and permits follows a pattern similar to business registration. The necessity of federal or state business licenses hinges on the nature of your products and your geographical location.

Conduct thorough research into obligatory licenses for online sales. Depending on your business type and location, you may require a seller’s permit, sales tax license, or home occupation permit. 

Consulting a legal professional can prove beneficial during this phase, offering guidance tailored to your specific circumstances. Ensuring compliance with necessary licenses and permits is crucial to operating your online boutique within legal parameters.

Step 5: Picking the Right Ecommerce Platform

With your product ready for sale, the next step involves creating your online store. For digital enterprises, this translates to choosing the right ecommerce platform. Fortunately, there are user-friendly options tailored to novices, allowing the seamless creation of an ecommerce website, even without prior experience.

When it comes to selecting an ecommerce platform, you have two primary options:

• Ecommerce Website Builders: Platforms like Wix or Squarespace offer intuitive tools to construct your ecommerce website.
• WordPress with Ecommerce Plugin: Alternatively, you can opt for WordPress coupled with an ecommerce plugin like WooCommerce.

Ecommerce Builders vs WordPress

A website builder serves as a user-friendly tool for designing websites without coding knowledge. These platforms offer intuitive interfaces and drag-and-drop features, simplifying website creation. Users can customize templates and elements to match their needs. Well-known options include Wix, Weebly, Squarespace, and Shopify.

• Target Audiences for Ecommerce Website Builders:

• Those aiming for swift store establishment.
• Individuals lacking coding skills.
• Those seeking cost-effective and manageable expenses.
• Enthusiasts eager to start building immediately.

On the other hand, WordPress is a robust open-source content management system (CMS) that empowers users to create and manage websites with ease. Built using PHP and employing a MySQL database, WordPress is renowned for its open-source nature, allowing free use and customization. However, due to its blank canvas nature, building a site with WordPress can take more time.

Target Audiences for WordPress:

• Individuals with ample time for learning and refining WordPress for their store.
• Those requiring complex or tailored websites.
• Individuals with basic coding skills.
• Those desiring comprehensive customization and full control over their online boutique.

Ecommerce Builders: Pros and Cons

WordPress: Pros and Cons

Using an Ecommerce Website Builder

At its core, boutique store owners seek a platform encompassing necessary features while maintaining user-friendly operations. Fortunately, Shopify, Wix, and Squarespace offer accessible dashboards. These platforms empower you to seamlessly manage all facets of your website and online sales. From revising billing details to content editing and product listing, you can efficiently oversee everything from a centralized hub.

Shopify 

Debuting in June 2009, Shopify has burgeoned to encompass over 600,000 online stores, effectively facilitating transactions worth a staggering USD 55 billion. This versatile platform caters to diverse users. Operating on a Software-as-a-Service (SaaS) model, Shopify hosts its core system and platform on its proprietary infrastructure. 

Shopify garners acclaim for its seamless integration of SEO functionalities. Users revel in the ability to effortlessly incorporate Meta titles, Meta descriptions, and Alt text tags into articles, products, and collections. 

Furthermore, Shopify enables users to optimize SEO through the integration of Google Analytics and Search Console, bolstering the platform’s appeal to ecommerce enthusiasts.

Features

• Analytics: With Shopify, you can seamlessly integrate Google Analytics to gather valuable insights into your product performance. This integration enables you to generate comprehensive product reports and gain visibility into sales and customer data, all conveniently accessible through your Shopify dashboard.
• SEO and Marketing Tools: Beyond just an e-commerce platform, Shopify equips you with essential tools for enhancing your online presence. Additionally, Shopify offers functionalities for seamless integration with Facebook, allowing you to tap into social commerce. You can also reward your loyal customers with targeted discounts to foster customer loyalty and repeat business.
• Product management: Shopify’s versatile features cover comprehensive inventory management, efficient product organization, the ability to create unlimited product listings, and the option to sell digital products.
• Storefront: Shopify provides access to a diverse collection of over 70 professionally designed themes. The web-based website builder boasts intuitive drag-and-drop editing capabilities. Additionally, you have the privilege of securing your own domain name, reinforcing your brand’s online identity.
• Shopping Cart: Choose from a variety of 100 payment processors, along with a complimentary SSL certificate. Enjoy the flexibility to accept major credit cards and establish adaptable shipping rates.
• Store Management: Seamlessly integrate with numerous popular dropshipping apps, streamlining order fulfillment and shipping processes. Manage customer profiles and groups based on their purchasing and browsing behavior, handle refunds, and receive automated inventory updates.
• Web Hosting: Users benefit from unlimited bandwidth, the capacity to process unlimited orders, automatic updates from Shopify, and security compliance with Level 1 PCI standards.
• Blogging: Utilize Shopify’s robust built-in blogging engine, providing bloggers with essential tools to expand their readership and enhance website traffic.
• 24/7 Support: Access Shopify’s online Help Center and in-person support team, ensuring assistance is available around the clock.

Pros

• Multi-channel selling capabilities (Facebook, Instagram, Amazon, eBay).
• Efficient inventory management system.
• Various sales features and customer scoring.
• Numerous theme templates for different industries.
• App Store for customizable website functions.
• 24/7 support (hotline, email, live chat).

Cons

• Transaction fees per sale (except Shopify Payment).
• Monthly maintenance cost.
• Knowledge of Liquid required.
• Content doesn’t auto-reformat with theme changes.

Price

Shopify provides a 3-day free trial for new merchants. For business setup, you’ll need to choose from the following paid plans, all billed on a monthly basis:

• Shopify Basic ($39 per month): Covers essentials for starting a new business.
• Shopify Advanced ($399 per month): Offers advanced features for business growth.
• Shopify Plus ($2000 per month): Provides scalability, exclusive tools, and minimal transaction fees.

Wix eCommerce

Wix provides a user-friendly website builder for crafting online stores. Users can create an ecommerce website with the free drag-and-drop builder, but selling requires upgrading to a paid plan. Wix offers tools for ecommerce management, including order tracking, online payment acceptance, multi-channel selling, and creating abandoned cart campaigns.

Features

• Easy-to-use dashboard: You can easily oversee and manage your entire eCommerce website. For example, you can fulfill orders, collect payments from customers, access business insights such as sales figures and profits, and more.
• 800+ customizable templates: With a wide variety of templates available, exceeding 800 in number, you can choose the perfect design for your online store. These templates are conveniently categorized into niches like jewelry, fashion, beauty, and more.
• Online payments: Wix provides the capability to accept all major debit and credit cards through Wix Payments, their native payment gateway, making online transactions seamless for your customers.
• Marketing: Wix comes equipped with a range of marketing tools. These include built-in email marketing functionality, a tool to create attention-grabbing social media posts, an AI feature for refining your Facebook ad campaigns, and even a video maker to enhance your promotional content.
• Shipping: You have the ability to establish shipping rates and automate tax calculations for a hassle-free checkout process.
• Product placement: Wix enables you to expand your reach by selling your products on various platforms such as Amazon, eBay, Facebook, and Instagram.
• Shopping cart customization: You can personalize your shopping cart and payment pages to align with your store’s branding and design. Additionally, you can choose to display real-time sales tax information to customers.
• Automation: Wix allows you to automate and monitor every stage of the customer journey, ensuring a seamless experience from purchase to delivery.

Pros

• Really easy to use – no tech skills needed. Features-Packed Drag & Drop Editor.
• Easy to use with a feature-packed drag-and-drop editor.
• Good value for money.
• Offers creative control and eye-catching design options.
• Advanced eCommerce tools, including abandoned cart recovery and excellent SEO.

Cons

• Limited inventory management capabilities.
• No stock management alerts.
• Does not support multichannel selling.

Price

There are three Wix eCommerce plans to choose from:

• Core Plan: $27 per month
• Business Plan: $32 per month
• Business Elite Plan: $159 per month

Squarespace

Squarespace is a standout choice if you aim to create an impressive online business or portfolio. Its e-commerce stores are visually captivating and excel in design. In our analysis, Squarespace surpassed other website builders in terms of aesthetics. Its templates are contemporary, elegant, and crafted to showcase your products. Additionally, you can easily switch templates, making it ideal for future rebranding efforts.

Features

• Ecommerce: While not as extensive as Shopify’s, Squarespace offers essential e-commerce features. These include adding and managing unlimited products with rich descriptions, embedded videos, and images. You can categorize products for customer convenience.
• Product and sales management: Listed products are cataloged for easy reuse in email campaigns and blog posts. A quick-view option lets customers examine products in detail without leaving the page. You can also schedule automatic product, sale, and promotion launches.
• Inventory management: Unlimited inventory addition and editing, automated low-stock alerts, displaying stock availability to customers, and synchronizing inventory with other e-commerce platforms are all part of Squarespace’s inventory features.
• Storefront: With 110 mobile-friendly templates categorized into Online store, portfolio, memberships, blog, and launch page, Squarespace provides versatile choices. Templates can be filtered by topic, with options like food, entertainment, travel, and more.
• Shipping: For US-based customers, the platform provides real-time shipping estimates, allowing your customers to have accurate expectations regarding shipping costs and delivery times. You have the flexibility to set up shipping rates based on flat fees or weight-based calculations, catering to the specific needs of your business.
• Payment and checkout: Squarespace accepts major credit cards, as well as trusted payment gateways like Stripe and PayPal. To further enhance the checkout experience, you can customize it with customer surveys and personalized gifting messages.
• Marketing: You can easily share your products on various social media platforms. If you’re active on Instagram, you’ll appreciate the ability to tag your products in your posts.
• SEO tools: Squarespace offers a set of SEO tools to optimize your website for search engines. One standout feature is the best practices checklist that guides you through optimizing your content and settings for improved search engine visibility. This helps you ensure that your products and brand are discoverable by potential customers searching online.

Pros

• Exceptional website design options.
• Cheaper than e-commerce competitors.
• Excellent social media integration – easily promote your store across your various social channels.
• Easy to use.

Cons

• Lacks payment options – you can only use Stripe, PayPal, or Apple Pay.
• Poor support for multichannel selling (only through Instagram).
• Reporting is a little basic.
• No app market – all of Squarespace’s features are built-in. While this ensures quality, it means you can’t add extras to your store..

Price

Squarespace offers 4 ecommerce price plans for online stores (billed annually):

• Business ($33/month): For those looking to grow their audience and begin taking payments.
• Commerce BASIC ($36/month): Selling tools to help grow your business. No transaction fees.
• Commerce ADVANCED ($65/month): All the tools necessary for the more advanced seller. No transaction fees.

Using WordPress With an Ecommerce Plugin

For a thriving online boutique, we suggest using the WooCommerce plugin powered by Bluehost. If you’re familiar with WordPress, WooCommerce smoothly expands your WordPress experience into the world of online business.

Features

• Flexible and Secure Payment Choices: WooCommerce offers a wide range of payment options, from major credit cards and bank transfers (BACS) to checks and cash on delivery. This extensive selection extends even further with 140 region-specific gateways for seamless integration. Popular options like WooPayments, Stripe, PayPal, Square, and Amazon Pay work together, supported by Apple Pay, Google Pay, subscriptions, and deposits.
• Extensive Repository of Add-ons: With over 400 official WooCommerce extensions and a variety of plugins, your online business is enhanced. This collection covers various categories, including payment gateways, shipping solutions, marketing tools, and store management features.
• Variety of Themes: Discover a theme that suits your vision. WooCommerce seamlessly integrates with your already familiar themes, including popular options like WordPress’s default themes and third-party selections such as Astra, Divi, Hello, and more.
• Seamless Integration with WordPress Content: WooCommerce is deeply rooted in WordPress, allowing you to effortlessly integrate ecommerce capabilities into the heart of this beloved blogging platform. This synergy empowers you to combine compelling content with effective online selling.
• Effortless Order Management on the Move: Leveraging the power of WordPress, the Woo dashboard provides a familiar interface for store managers, streamlining tasks such as product updates and order fulfillment. This includes automated tax calculations, real-time shipping rates from reputable carriers, the option for in-home label printing, and a user-friendly mobile app that caters to both iOS and Android users. This mobility ensures efficient management regardless of your location.

Why do we highly recommend teaming up with Bluehost? When WooCommerce and Bluehost collaborate, you get a fantastic array of benefits:

• Access over 49 themes at a great price, averaging around $38. A steal compared to Magento’s $100.
• Start your ecommerce journey with Bluehost plans beginning at just $13.99 per month.
• Enhance your WooCommerce experience with affordable extensions, averaging $79 per year.
• Translate your site into 24 languages for a global reach.
• Engage in multichannel selling, connecting with customers on Amazon, eBay, and Instagram through a paid extension. Plus, explore Facebook for free!
• Boost your store’s success with strong SEO support, climbing search engine ranks for increased visitors and potential sales.
• Add and customize products to reflect your unique style seamlessly.
• Offer diverse payment options like PayPal and Visa for a streamlined shopping experience.

Pros

• Free to use
• Easy and fast installation
• Versatile for various products, services, bookings, and recurring payments
• Accepts deposits for flexible transactions
• Supports pre-orders for diverse sales strategies
• Offers numerous payment gateways
• Abundance of extensions for store enhancement

Cons

• Requires separate purchase of web hosting, domain, and SSL certificate
• Limited multichannel integrations compared to competitors

Price

• Monthly Fee: Around $30, offering an affordable entry to ecommerce.
• Web Hosting: $120 annually.
• Domain Name: Averages $15.
• Theme: Ranges from $0 to $100 per year.
• Shipping: From $0 to $108 per year.
• Payment Gateway Costs: 2.9% + $0.30 per sale, with a monthly fee of $0 to $30.
• Communications: Free to $348 per year.
• SEO: Free to $79 per year.
• Security: Free to $300 per year.
• SSL Certificate: Usually free, with potential costs of up to $65 per year.

Step 6: Establishing Your Virtual Boutique Presence

Choose a Domain Name

A domain name serves as your website’s address, unique and essential. No two websites share the same name. Typing http://www.yourdomain.com directs users to your site exclusively.

After settling on a name for your online boutique, the next step involves acquiring your domain. Before proceeding, it’s advisable to visit Namecheckr. This helps you ascertain the availability of your desired domain and the associated social media accounts

Here are some factors to bear in mind when selecting a domain for your business:

1. Opt for a concise domain name to facilitate easy typing for potential customers.
2. Choose a domain with the extensions .com or .co, avoiding .org or .net.
3. Avoid incorporating LLC or INC into the domain name.
4. If the domain you want is held by a reseller, you can prepend “shop” to the front of your desired domain (e.g., shopprivateparty.com). Later on, you can decide whether to acquire the other domain name.

The price of your domain will depend on the URL suffix you choose (such as .com, .net, .org) and the domain registrar you utilize. Typically, a domain costs between $10 and $20 per year.

Once you’ve finalized your domain name choice, the next step is to purchase and register the domain through a domain registrar. If you opt to host your website with Bluehost, their WordPress plans offer a complimentary domain for the first year. Similarly, Wix provides a free domain name with an annual plan.

In the event you decide not to choose Bluehost or Wix, Namecheap is a recommended option for purchasing domains. They include free domain privacy protection with every purchase, ensuring your privacy. 

Add Product Photos and Descriptions

Incorporating well-crafted product descriptions is crucial, as they offer concise insights into the product’s attributes, functionality, and value proposition. A skillfully composed description can effectively serve as a persuasive sales pitch, assisting visitors in making swift purchasing decisions, often within a matter of seconds.

When presenting your products, it’s essential to ensure that each item stands out. Following these guidelines will help you maximize the impact of product images on your website:

• Opt for High-resolution Images: Always utilize images with high resolution to ensure optimal clarity. Considering that users might be accessing your e-commerce site on large screens, using pixelated images could discourage them from making a purchase.
• Choose a White Background: In most cases, opt for a white background in product images. While there may be exceptions to this rule, they are rare. A white backdrop directs the viewer’s attention to the product itself, enhancing its visibility and maintaining a consistent appearance across various screen sizes.
• Showcase Products in Use: If your product involves human interaction, opt for at least one image featuring a person using the product. For instance, if you sell sunglasses, displaying them on a model’s face can effectively convey the product’s impact and functionality.
• Maintain Clean and Uncluttered Images: Ensure that your product images are devoid of any distracting elements or clutter. The primary focus should squarely rest on the product itself. Even minor background distractions can divert attention from the main subject.
• Display Comprehensive Views: Capture your product from various angles to provide potential customers with a comprehensive understanding. You have the option to either include a series of images showcasing different angles or create a 360-degree photo that enables customers to rotate and examine the product from various perspectives, ensuring they grasp the details.
• Ensure Prominence of the Product: Your product should be the focal point of the image, not just a minor element. Instant recognition of the featured product should be the viewer’s response upon seeing the image.
• Showcase Product Variations: If your product comes in various colors or styles, clearly illustrate these options through your images. For example, if you offer a shoe model in five different colors, provide distinct images of each color variant to facilitate easy exploration for visitors.
• Enable Zooming Capability: Incorporate the zoom-in and zoom-out functionality, a standard feature in quality e-commerce platforms. Enabling this feature empowers visitors to closely examine product details, fostering a heightened sense of trust and confidence in their purchasing decision.

Create Product Categories

Picture a scenario where apples are found in the milk aisle, chips in the bread aisle, and eggs in the pasta aisle at a grocery store. This disarray would undoubtedly hinder your shopping experience. Similarly, improper product category arrangement can confuse visitors on your online boutique. Well-structured, logically organized category pages are essential for seamless browsing and efficient discovery of products.

We’ll delve into six valuable tips to guide you:

1. Establish appropriate product categories
2. The transition from broad to specific categories
3. Personalize your heading tag
4. Develop category and subcategory pages
5. Ensure consistency in category page images
6. Implement breadcrumb navigation

Optimize your checkout page

Optimize your checkout process to improve conversion rates and build trust. The goal is to streamline the checkout flow, reduce distractions, and instill confidence, leading shoppers to complete their purchases and receive a confirmation email.

Checkout optimization offers several advantages to merchants. By simplifying the checkout process, e-commerce businesses witness fewer abandoned carts, addressing the issue where 17% of shoppers abandon their purchase due to complex checkouts. 

Additionally, this strategy can boost the average order value (AOV) as retailers can employ tactics like upselling and cross-selling during the checkout process, encouraging customers to spend more and generate higher revenue.

Here are some checkout process optimization recommendations for online boutiques:

• Enable guest checkout
• Present free shipping
• Provide various payment and shipping choices
• Utilize Google’s auto-address feature
• Integrate 1-click checkout
• Display trust badges
• Ensure a design suitable for mobile devices
• Minimize form fields
• Offer live chat assistance
• Utilize psychological triggers to boost sales
• Clearly outline the checkout process
• Use cross-selling and upselling strategies
• Remind shoppers of their purchase reasons

Set up a Payment Processor

Setting up a payment processor can be a daunting task in the world of ecommerce. It’s not just about keeping your business financially sound but also about handling sensitive customer data. Choosing the right payment processing solution can lead to significant benefits like smoother operations, retaining customers, higher sales, and more.

The best payment gateway services:

• PayPal: Great for newcomers
• Stripe: Offers user-friendly analytics
• Square: Suitable for both online and offline sales
• Amazon Pay: Utilizes Amazon’s trusted brand and payment system

Payment Processing Costs

Wix doesn’t impose transaction fees itself, but you’ll need to pay a transaction fee of 2.3% plus 30 cents for using Stripe, PayPal, or Square. On the other hand, Squarespace’s transaction fees depend on the plan you choose. You can avoid extra charges with the Basic and Advanced Commerce plans, but the Business package comes with a significant 3% fee.

WooCommerce takes a different approach. It automatically offers PayPal and Stripe integration from the start and gives you the flexibility to choose from around 140 other payment gateways, including options like Square and Amazon Pay. Additionally, WooCommerce provides its own payment gateway called WooCommerce Payments, which comes at no cost to set up.

Organize Shipping

Unless you’re running a dropshipping operation, managing shipping logistics is essential. You must choose between offering free, flat-rate, or real-time shipping. Crafting shipping labels to bolster your brand and establishing a clear return policy is also crucial.

Selecting a shipping carrier for deliveries is another key decision. Notable carriers in North America include:

• Top Choice: the United States Postal Service
• Ideal for Small Parcels: Sendle
• Perfect for Large Packages: UPS
• Optimal for International Shipping: DHL Express
• Well-Suited for E-commerce: ShipBob
• Rapid Shipping: FedEx
• Budget-Friendly Option: EasyPost

Step 7: Promoting Your Online Boutique Effectively

Regrettably, merely creating an outstanding store isn’t sufficient today. After learning how to initiate an online boutique, it’s essential to delve into diverse promotional approaches. Explore various marketing techniques to elevate your brand visibility and consistently draw in new customers. You can experiment with:

Email Marketing

Email marketing stands as a potent means to connect with your intended audience and keep them well-informed about new offerings, promotions, and sales. Foster your email list by presenting opt-in options on your website and providing links across your social media platforms. The objective is to maximize email opens and clicks, ensuring recipients are aware of your offerings and moving them closer to conversion.

Yet, it’s crucial to exercise respect for your email subscribers by sending them content of value. Bombarding them with excessive emails or irrelevant content can lead to unsubscribes. Aim to dispatch two emails per week initially, ensuring a blend of meaningful content and appealing shopping opportunities. This approach is optimal for encouraging potential customers to consider making a purchase, even if they haven’t shopped with you before.

There are various effective methods to expand your email list for your online boutique business:

• Incentive Offer: Motivate people to join your email list by providing incentives such as discounts or free shipping.
• Opt-In Forms: Incorporate opt-in forms on your website, social media platforms, and blog to capture the email addresses of interested visitors.
• Hosting Contests: Arrange contests on your website or social media channels, making it a requirement for participants to subscribe to your email list for participation.
• Utilizing Instagram Stories: Utilize Instagram Stories to showcase your email list and provide incentives, directly linking to your story graphic.
• Exclusive Content: Attract sign-ups by offering exclusive content like behind-the-scenes glimpses or early access to new products.

**BONUS: Pairing Bluehost with WooCommerce comes with added benefits. This combination grants you a free Microsoft 365 Mailbox for 30 days with WooCommerce plans from Bluehost. Additionally, WooCommerce seamlessly integrates with marketing solutions, including platforms like MailChimp.

Social Media Marketing

Social media platforms have evolved into vital spaces for businesses due to their massive daily user engagement. These platforms offer an excellent avenue to connect with potential customers and showcase products using just a smartphone. Instagram, Facebook, and Pinterest enable you to share images, videos, product details, and exclusive behind-the-scenes content to provide a glimpse into your business.

For online boutiques, Instagram often takes the spotlight. This visually-oriented platform is ideal for displaying product fit, styling tips, and customer experiences.

With WooCommerce, you can easily integrate and promote your products across various social media platforms. While Squarespace lacks Facebook integration, upgraded Basic or Advanced Commerce plans allow product features on Instagram. For Wix, selling on Facebook necessitates using the ecommerce app, Ecwid.

Brand Ambassadors

In the realm of marketing, classic approaches can often yield remarkable results. Word-of-mouth referral marketing is a strategy where users encourage others to explore a particular brand or service. Employing a brand ambassador stands out as one of the most effective ways to accomplish this.

Diverging from social influencers who are compensated to showcase your products to their followers, a brand ambassador serves as a long-term advocate. They endorse your brand through genuine word-of-mouth recommendations, either voluntarily or for compensation.

The ideal brand ambassadors are individuals who have not only purchased and enjoyed your products but also possess a substantial social media presence. This presence becomes a valuable tool for promoting your products to a wider audience online.

To secure a brand ambassador, consider reaching out to your most devoted customers and proposing an ambassador partnership. Alternatively, utilize platforms like CrewFire or BrandChamp to identify potential ambassadors and establish a referral marketing program.

Trade Shows

Trade shows provide the perfect platform to unveil your brand to fresh audiences and exhibit the latest additions to your product line. These events not only offer an opportunity to boost brand sales and explore new fabric options from suppliers but also enable networking with fellow fashion enthusiasts within your region. Explore these fashion trade shows to delve into their allure and potential impact:

• STYLEMAX
• COAST
• LA MARKET WEEK
• TEXWORLD USA
• MAGIC
• FASHION INDUSTRY GALLERY

How To Start An Online Boutique: FAQs

How to Start an Online Boutique: Summary

With this guide of how to start an online boutique, we hope that you are well equipped with the knowledge to start your own online boutique from today!