How to Start a Small Business Selling Computer Parts
Computers are complex devices with many parts including hard disks, memory chips, flashcards, monitors, external storage, input devices, cables and many more. Due to the nature of computers, there is a very large market of competitors (both large and small) who manufacture the parts needed to build computers. And with an ever-increasing demand for computers globally and advancements in computer technology, there is also an increase in demand for skilled individuals who know how to restore damaged computers and parts sellers.
If you are thinking of setting up a side hustle such as selling computer parts, we have put together some steps that will help you start your business successfully.
Create a business plan
As mentioned earlier, a business plan is the recommended first step that you need to take before starting any business. A properly made business plan will give you a clear picture of all that you need to set up your business. You will also be able to see how much needs to go into the business in terms of effort, financing, marketing, and other aspects of running a proper business.
Know your market size
There are various statistical data that can help you gauge the market size. Different businesses, products and services will have different market sizes. A business that sells cakes will have a different market size from a business that sells computer parts. Having a clear understanding of what your market size is will show you how much needs to go into the business. Even in the computer parts business, the markets may vary – there are different markets for desktop computers and laptops.
Know your customers
If you are planning to sell computer parts, you need to set up your business to serve computer users who are looking for upgrades or fixes. You also should consider a customer mix that includes businesses and households. Both groups of customers will need an upgrade or fix at one point or another, whether its monitor/ screen change or keyboards or hard disks.
Know your competition
The computer technology sector is competitive at all levels from manufacturers to retailers and repairers. There is a high demand for computers, but it is accompanied by small and large retailers and parts sellers. You need to identify the major parts suppliers in your area, in addition to online vendors. If there are several competitors targeting household customers, then you should turn your focus to businesses (both small and medium) including, local schools, small business centres, real estate agents, medical centres, and other establishments. Most users would rather have their computers upgraded than buying new hardware.
Choose a location
The location of your business is one of the most important factors that you need to take seriously. If you are starting your business at home, you should design an e-commerce website that lists all the parts that you have for sale like mynextbox.com. The website must be easy to navigate and customers must be able to make purchases easily. If you are planning to sell computer parts and offer in-store services, then you need to choose a store location that is close to your customers or target market. If your target market is small businesses, then you should consider a business park or an office building.
Launch your business
It helps to create some buzz surrounding the launch of your business. Depending on your marketing budget, you can invest in online ads, newspaper ads, and radio and television spots to create awareness for your store. You can also distribute flyers and promote the store aggressively on blogs.
Start small
You can manage costs by starting small. Give your business room to grow and establish a reputation for high-quality computer parts and services before making long-term commitments such as increasing your inventory and range of services. Try not to do everything from the start.
