There are F words in business. We have seen many small businesses on
the internet flourish and fulfil their dream, but sadly we have seen some
flounder and fail because they had the wrong product.
To be successful in a new business:
- Choose the right product or service.
- Learn everything there is to know about the product or service.
- Price it well.
- Arrange reliable delivery.
- Get a customer friendly website.
- Get found at the top of search results.
In this article we discuss choosing products for the purpose of
selling them on the web.
- Consumables:
Products that get used up and need replacing create repeat business.
e.g:
Razors cost little but the blades wear out and need
replacing.
Printers are often sold at a low price, but their cartridges
always need replacing.
Good service in delivering consumables generates repeat business.
This applies to compatibles as well as brand-name products.
The most successful among our websites in this group sell printer inks and
toners.
- Books, CDs, DVDs:
If people know the item and it's authors / producers, they won't mind buying
it on the internet, if price and delivery is competitive.
If the item is a self-published book, CD / DVD, then people need to be able
to inspect it before deciding to order it.
The most successful among our websites in this group sell known
text-books.
The least successful offered home produced CDs
- Artworks:
Prints or reproductions of known artworks can sell on the internet, provided
there is a money-back guarantee if the customer is not happy with the
quality.
If the item is an original by an unknown artist, then it's very difficult to
display its quality on the web to the point of persuading a customer to order
it. Most people would want to personally see the actual artwork.
The least successful in this group offered original oil paintings.
- Brand Name Products, Parts, Accessories:
If they are brand-name items with a manufacturer's guarantee, then provided
price and delivery is competitive, these are the basis for most successful
businesses on the web, regardless what product.
People know exactly what they are getting, and receive a guarantee.
The most successful among our websites in this group sell computers, parts
and accessories, followed by perfumes.
- Services:
Breaking into a service market is very difficult. Exact details of the
service offered must be provided on the website.
A service business often needs to get established and get the first few
customers to provide testimonials, before business from strangers flow
in.
The usual rules of competitiveness and reliability count very much towards
success in the service industry.
The most successful of our service website clients provide wedding cars,
followed by landscaping, then financial services.
Supply:
Get a binding agreement with a reliable supplier, and ensure the supplier
also benefits from selling through your business.
We know one business which
closed down after their overseas supplier started selling direct to their
customers.
Conclusion:
As mentioned at the beginning of this article, other factors must also be
present to ensure a successful business, but choosing the product is the first
make or break factor in starting a business.
About the Author
Ken McKay
designed his first website in 1997 and, through Platypus Websites, has been
building commercial websites since 1999. More information for small businesses
can be found at platypus websites - www.platywebs.com.au
