A lot of new entrepreneurs are turning to the internet for opening their own business. It’s a very smart move, with people being connected to the internet a lot of times during the day. People commonly use the internet for connecting with people, using social networking sites, leisure, and also online shopping.
Online shopping is one of the fastest growing uses of the internet. Previously people didn’t know what it was and if it was secure. There is always that fear of using credit cards over the internet and if the product is of good quality or not. With the advancement in technology, shopping online is now easier and faster than before. This is why it makes good business sense to start an online store now. Though it’s considerably easier and inexpensive compared to opening your own shop, there are still factors that can ruin your business. Here’s a list of some dos and don’ts when you want to open an online business.
Market before Product
A lot of online businesses fail because aspiring entrepreneurs think they have a marketable product, then immediately go online. This is a bad idea because you’re not even sure if it will sell or not, and reaching your target audience can be a long process. What you need to do instead is to check what people currently need, then develop or customize your product according to that need. This will easily draw customers to your business and growth will come naturally.
Good areas for research are your competitors themselves. You can visit their stores, see what they sell and also observe how they sell it. For example, if you’re planning to import electronic goods from a cheaper source, you can check online stores in your area that also do the same thing. You can check their prices, what their promotions are and how they go about in delivery or selling the product. Of course you won’t copy their style down to the letter, but it’s a good basis for your future business.
Avoid Prolonging Too Much
Every time you start a business (offline or online), planning is very important. It might take a long time before your business plan will take shape. However don’t make the common mistake of waiting too long before you start your business. A lot of business plans don’t even start because people wait for “signs” or specific numbers before they begin. People wait when they get 1,000 subscribers or 10,000 followers before they begin their business. When this does happen, it might be too late and your idea will already be taken.
This is a common fatal mistake people make – creating and launching a product. The sooner you address this issue, the sooner your business can take off. If it does fail, then you will gain valuable lessons for your future products or launches. Success doesn’t always come the first time, but that doesn’t mean you should only try once.
Listen to Customer Feedback
You know in business there’s a saying “the customer is always right”. This doesn’t mean that each time your customer demands a full refund you give it to them. This simply means that what they think about the product is important and you should take note of it. After all, they are your market and they will be the ones that will use your product.
Online businesses have the advantage of keeping in touch with customers easily. You can interact with customers in your own website or on social networking sites. It’s important that you don’t just respond to customers who only give you positive feedback. Customers that demand refunds or buy your product but return them are the ones that you should pay close attention to, so that it won’t happen again in the future.
Strive to Be Different
Another mistake that online business entrepreneurs make is to mimic what successful online businesses do. It’s very easy to be swayed by the idea that since it worked for them, it will also work for you. To further this question, you also need to ask yourself what makes you different from these successful online businesses. When a customer visits your site and sees that your content or product is similar to another popular site, they won’t bother to stay long on your page – they can visit the popular store with a few clicks.
With that in mind, you need to make a potential customer stay longer on your site. Remember when we said that you’ll simply use these bigger sites as your inspiration, this is where it matters now. You need to use them as a template and then create your own unique business. It might be how you deliver your products or the kinds of promotions you offer, but it should be different and enticing to customers out there.
Find Your Passion
If you’re going to make an online business, you’ll be spending a lot of time on it. During the first few stages, you might be the only employee working on it. You need to have extensive knowledge about your product so that you can easily make corrections or improvements. Once your business will also start growing, you won’t mind putting in extra hours since it’s something that you enjoy doing. Don’t follow a fad simply because it’s popular. You can focus on fads, but use your own skills to develop something creative which is related to your hobbies or interests.
Starting an online business is similar to an offline business. It starts small and you take it from there. There’s no quick formula to be successful within a few weeks or months. Realizing this and accepting your expectations can help you stick to it through the rough times and be more patient.
This is why planning is very important for all types of businesses. You need to ask yourself if this kind of business is worth doing even if it takes years. If you think it’s not worth your time and money, then you don’t need to start it.
Have Business Associates
Another disadvantage for online business is that it can be very easy to quit everything. With just a few clicks of your mouse, you can erase your online store and everything connected with it. There will be times (especially when times are rough) when quitting seems to be the logical solution. During these moments, having business associates or partners to support you will be very useful. Friends who also share the same goals and interests like you will be valuable support systems in your projects. It’s a good idea to have them in your business. No one can start a business alone, even an online one.
There is no specific formula for being successful in any kind of business. These tips for starting an online business are geared towards preparing your mental fortitude before you even begin one. As long as you create a unique product which satisfies a demand, and you continue with this plan, then you’ll be a successful online entrepreneur.