Before Starting An Online Business, Make A Plan
One of the best things you could do when planning to start a website as an online business is to make a plan for it. If you have a bit of experience with running a business, you will understand me right from the start.
Planning should not take too much of your energy, but don’t forget about it since it is one of the most important things and it will save you big time and money on the long term.
You should plan a few things from the start, and even if many won’t recommend starting from the money point of view, allow me to start right there:
- What’s your minimum profit you would like to have from your website? How much would you like to get back from your online business each month. By the way, think realistic, not optimistic!
- How will you make that money? Are you going to sell products or services? How much that product costs, how many should you sell per month based on your proposed profit? (Research needed)
- What’s your market? How large is the competition? Are there many sites offering the same product you are offering? Is it possible to find a smaller niche, to be easier for you to make a name there? (Research needed)
- Based on 1 and 2, how many products should you sell per month to reach the target? 5? 10? 500? 5000?
- How many visitors you need to make a sale? That’s a tough one and I am afraid I can’t answer you this question since it depends heavily on your market, on your products, on discounts, on price, etc. Just as a tip, don’t think in terms of offline businesses. Let’s say you have a regular store and for every 10 persons entering your store you make a sale!Well, it won’t happen in the online environment. Depending on how targeted your traffic is, it may take you 10000 visitors to sell a product or it may take you 50. Pretty large range, I know, but that’s the situation.I can tell you that the more targeted the traffic is, the more you’ll sell. I have a site selling a particular baby product and I sell a product every 100 people visiting the site, which is pretty good and I have another site where I sell a product every 1000 visitors, offering discounts and other advantages to go with the sale. (Research needed here too)
- How are you going to bring those visitors to your website? Another one that you will need to figure out for yourself. I will explain you various ways to bring visitors to your site, but you will need to tweak this to match your site and your market. It will be a never-ending story and a long road to go, but you will learn a lot on the way!
These are just a few points I suggest you think about when building an online business, it will make your life easier.
I learned it the hard way, I started quite a few websites without thinking about such things, and I must admit sometimes I get carried away by my enthusiasm and also have the impulse to start a website thinking well, I’ll see on the way.
That’s always a bad idea. Think about it this way: you want to start a website selling shoes, you put it online, but you don’t succeed to bring many people to your site or to have sales. After a while you decide to turn your site into a niche store, selling only leather sport shoes. Changing the site, reorienting it, will be a difficult task, more difficult than doing it from the start. It will need people to get used to your site, search engines will need time to reposition your site in search engine results sets, etc.
Just a few basic things, not fancy, but on the long term you will come to thank me for reminding you this! You will see!
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A lot of times I have heard people around me speaking about launching a site to boost their business.
