With the online landscape in such tremendous growth, it may be tempting to think that anyone can set up an online business and become rich in one go. The reality, on the other hand, is quite different – and being an owner of a business online is not necessarily that different from owning a brick-and-mortar company.
Here is a handful of the most common myths surrounding e-commerce businesses so that you know what you’re getting into.
1. You Don’t Need Any Experience
We can give those get-rich-quick scammers much of the credit for making us believe we don’t really need any proper business experience and resources to start up online. If you have a business idea and a decent website, you’re basically good to go, right? While you wouldn’t invest in a brick-and-mortar business without knowing what you’re getting yourself into, the same goes for any company you establish online.
If nobody knew what they were doing with their businesses online, you’d be free to start out without any experience at all – but the problem is that your competitors know very well what they’re doing. The online market is vast and popular; to survive, you need to have a thorough understanding of the market and the implications of operating online.
2. All You Need Is Competitive Pricing
In an ideal world, it would be possible to win over your target audience by marking your prices a bit lower than your competitors. Unfortunately, the world is not ideal, and businesses online are far from equal – and the price tag is actually not the deciding factors for customers.
Your business would need to have massive buying power in order to be a price leader. Focus on achieving a different type of edge, first of all, such as providing excellent customer service. This is particularly relevant to ecommerce businesses, and you’d benefit tremendously by establishing a hands-on customer feedback service through social media.
An excellent and user-friendly website is, of course, alpha omega to any online business. Invest in a hosted ecommerce shopping cart, and combine it with fast responses on enquiries as well as a means for them to leave feedback and rate your services. The better you are at accommodating for your new fans online, the easier it will be to grow the strong buying power you’re looking for.
3. Online Success Comes Easy
Everyone seems to be making money online these days, and it’s easy to see how this can lead to a mentality of ‘build it and they will come.’ It is, unfortunately, not this simple and you’d be surprised at the number of roadblocks online entrepreneur run into on their way to success. Meeting the ever-changing demands of online shoppers, for example, ensuring that your site is mobile-friendly, creating promo codes, and mapping out a social media strategy are among these.
While most of the challenges e-commerce businesses face will be the same for traditional businesses, you’ll need to keep a rigid eye on the innovations and technologies your business can make use of.
Create a professional website, understand the company you’re starting as well as the market you’re tapping into, and it will be a lot easier to map out a proper business plan.