Tips to Start and Grow an Online Business – In this era of rapid technological development, people look for convenience to get everything more efficiently. That includes what to buy online or what online service to use.
This is indeed a great opportunity to build a profitable business. With numerous references and tips, you can start your interesting and modern online based business.
Online business itself has many benefits. Such as minimum startup capital, wider customers reach, flexible sales and promotion time, effective stock management and bigger profit margin.
Ways to Start an Online Business That Quickly Grow and Makes Money
Similar to any other business, there are many insightful tips that can help one to succeed and be profitable. Different business situations lead to different tips applied. In brief, these are some common tips you can follow:
- First, choose your business idea. Could be your hobby or interest. For instance, you can start a fashion business if you are into clothing. Or, you can build your online culinary business if you are an eating enthusiast.
- Next, identify your target market or most likely potential customers. There are two ways to define them. First, specify your target segmentation based on their demographics such as age, gender, occupation, and income. Second, based on psychographic include lifestyle, social status and hobbies.
- After that, conduct your market research. This is the process of studying similar business that already exists. It is the best way to know about their product quality and price, and their way to serve customers. This gives you a fair reference and helps you decide on your product quality and price, as well as better customer service.
- Once your research is done, count your startup capital. Write down which goods and equipment the company needs to be purchased for more efficient and effective cost.
- Start purchasing products and installing equipment for product preparation such as certain space for displaying unique and interesting advertisements/promotions.
- Choose a business name that is catchy yet powerful to connect with your prospective customers. Including the logo, name and tagline.
- Build your website, if possible. You can also use existing online shop platforms. If you are selling products, operating a marketplace or e-commerce platform is a good option.
- Create and maximize the social media use such as Instagram, WhatsApp, Youtube, Facebook, Line, etc. They will execute your current business promotion as well as the advertisement media.
- Shoot and use high-quality product pictures, write clear and convincing product descriptions to give a professional impression.
- Start your business or product advertisement with an unusual campaign or promo and keep it regular.
- Be polite and fast in your response. Your prospective customers usually question you a lot on social media. Make them stay and feel appreciated.
- Provide detailed information about delivery and payment methods on your promotion to convince the buyers.
- Last but not least, hire competent staff to respond to customers complaints and questions.
Mistakes to Avoid When Starting an Online Business
While setting up your business, it is important to refrain from doing the following mistakes to minimize risk of failure:
- If you are selling products, avoid having too much stock in the beginning. Stock the most profitable product based on your research to anticipate new products being released.
- Offering low quality products. It scales down your customer perceived value regardless of the low price offered.
- Selling your product at a much lower cost than competitors. Adjust your price without cutting off your margin.
- Making misleading advertisements or promotions about their products leads to customers’ dissatisfaction.
- Delaying your response to customer complaints or worse, giving no response to their questions will give an unprofessional impression.
- Saying your best arguments instead of debating your prospective customers. Be polite while defining the product’s specification and quality.
With all those informative tips discussed, we hope this article helps and inspires you to start your own business as well as improve the business performance.
Good Luck!