Today when we look around ourselves we can see a plethora of online businesses working successfully. Billions of dollars are invested in online business every year as today selling online is the new key to establish your business globally. There are plenty of opportunities to grow and earn money through an online business. But its well said that nothing comes easy and you don’t learn if you do not commit mistakes and learn from them.
So, here are the “10 Most Common Mistakes” the new age online businesses do while conducting their business online.
Little Or No Passion for Your Business
When you start a business just for the lucrative benefits you saw in its idea but you are actually not passionate about it, you will eventually end up wasting your time and money. As every online business requires passion and enthusiasm for its successful functioning. Lacking which will make you feel tired of even the most important tasks which will ensure its growth. You will not pay attention to little yet key factors to establish your business in the online world.
For example – You have launched a new online T-shirt designing store as a lot of youngsters and even the adults are into customized T-shirts but you are not passionate about business. So now when you design you actually don’t want to design the best, you don’t pay attention to feedbacks and mistakes to enhance your customer’s ultimate satisfaction with your product and you will eventually see your potential customers lacking interest in your business as they will move to the best competition you have for services and leave you.
So, you should be passionate about what you are going to launch online as your business opportunity.
“Analysis Paralysis – Taking too much time to take your business online
You must have heard of this phrase,” timing is everything”. When you spent too much time on perfecting your business idea for execution by over analyzing and research, you might get in a situation called “analysis paralysis” where you give a too much focus on proper execution of your business idea and do not realize the fact that during this time your competitors might be targeting well and converting your target audience into their customers. Evaluation of a business opportunity is a good idea but do not spend too much time that you actually miss the best time to launch it.
Goal Without a Plan Is Just a Wish
Most of the online businesses commit this mistake commonly, “Not having a proper outline to start their business”.
Devising a proper plan is one of the most essential and key components for the success of a business. It will not only help in a proper execution but will also protect from being lost.
Setting realistic goals , executing them with a proper plan, and then tracking them are the key essentials for a goal to be achieved. But most of the time businesses do not pay attention to the analytical part while evaluating results. They often fail to understand the reasons for success or failure. Using analytical tools for tracking the execution part is needed at every step to evaluate what is working to achieve a goal and what not. It will not only help in improvising a plan but will also save money which startups often waste over unnecessary actions that do not yield results.
So, having a well thought and properly designed plan is essential for the proper execution of a business plan along with its monitoring via analytical tools to achieve a goal.
It will also help in pitching the idea to investors as they will know how their funds will be used and for what.
Expecting Overnight Success
Building an online business is also difficult as it is in the offline world. It will require genuine efforts, time, patience, etc. to flourish. Just because a few businesses make a quick profit in less time due to their business model or market situation it is not wise to think that it will be achievable in every business idea. A lot of businesses make losses at the start and try to survive the hard and competitive market environment through their tactics and plans until they start making a profit. Lets see the seo example for this.
For quick Success it is often seen that the companies heavily rely on paid seo services for quick results in getting a higher rank in the search results which take their opportunities away to derive profits from organic traffic in the long run. As organic traffic comes from people researching a purchase. These are most likely to convert into sales if you optimize your website and its content over time and try to rank better without paid ads, as this organic traffic can provide loyal customers if you thrive with your quality rather than forced clicks through paid seo.
Prepare your plan and be ready to work hard. Shortcuts may help you in the short run but developing your brand value with quality will definitely help you succeed.
A Business must define the target audience for their business well and good in advance in order to prepare a strategy to market the product or service they are offering. Not “everyone” will be an ideal customer for every business. A business must find a niche audience who can utilize their product or service best to fulfill their needs.
In the findings of a study two major reasons came at the top amongst others for the failure of a startup :
#Reason 1 – Many Startups Fail because there is no market for their offering. Therefore identifying your target audience is one of the first steps. If there is no market for your startup offering you must think of something else before investing too much time and money.
#Reason 2 – Some of the startups also failed because they ran out of funds because of investing too much on the wrong target audience.
This tells us how important it is to know your target audience well and better in advance.
By defining the right target audience a business can perform better and can flourish even in a cut-throat competition within the market.
Do Not “Ignore” Competition
Yes!!!!, They are present in the market, “competitors”.
When you launch a business online you should consider the competitors and analyze their activities. What they are doing good, What they are doing wrong, Which is the most attractive selling point of their business. All this will help you to make a strategy and come out with key solutions to offer to your target audience in order to draw them to you from your competitors.
Ignoring the competition can be bad for your business as they will be doing something better and customers will approach them and why not????. We all want our money to buy the best product or service it can.
Poor Website Optimization
No matter how good your product or service is if your website doesn’t load fast (within 3-4 seconds), if there are no ‘CTA’ on every page you will miss your chance on sales as the customer might not like the experience and click away.
So the mere existence of your business’s website won’t help you make sales. You will have to optimize in order to give a better experience to the consumer when they visit.
Overspending And Underspending
An online business can get a start with a small investment, one does not have to overspend for anything and everything which is going to be used in a business from tools, software to marketing help. There are always ways that are not costly and are equally effective as a costly one.
On the other hand when you own a small business and do not spend much on anything will eventually limit your success. Underspending every time is not a good idea.
Also, it is often seen that brands are more reactive rather than being proactive in their approach. As reporting of the spending is fragmented and by the time they analyze the report and take necessary decisions & correcting measures a large part of the budget is already spent on an unproductive activity. There are various methods and tools in the marketing technology to get instant reports which can help you track the spending at any point and help taking necessary measures as fast as possible.
It will be better if you plan your budget and research enough to find the best and effective resources to help your business.
Neither Overspending nor underspending but the right spending will do the magic.
Absence Of Creativity
Unlike offline marketing, you are just a click away from conversion. So being creative in your marketing campaigns is very important. Online businesses need to be telling the story of their brand in a creative and unique way in order to attract the target audience to engage with the content and finally getting converted into a customer.
But most of the online businesses often fail to tell their story in a creative manner through various means which leads to an ineffective campaign wasting money, time, and efforts.
Having creative ways to tell the story of the brand can help a business attract a lot of potential customers.
Becoming “Too” Isolated
When a team becomes too isolated in their work style it gets difficult to have proper coordination between PR, Marketing, Sales, etc. which leads to a lot of wastage in terms of funds, synergy, etc. It also leads to delay in effective and timely decision making which ultimately affects the growth of a business.
Also, small business owners need to network with fellow entrepreneurs and try not to become too isolated as this deprives you of support and ideas. Both online and offline networking with people who are self-employed.
Try to devote some time to business-related activities and for building a team for future success.