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The Reality of Online Business

Author: Aaron Goldberg

At this point, you should already have a ecommerce websitedeveloped. You might be getting co-workers, friends, family, and some occasional other visitors on your website. This part may scare you, but there is more to being successful online than just owning one of the millions of websites that are on the internet.

Disadvantages to Being Online

1: You must market your website

This is not like brick and mortar companies. Often times, you can build a restaurant in a local town. The word will quickly spread and people will see the sign as they drive by. Many times you might just get traffic from people who are curious as to what the business has to offer. This is not the case online.

A similar scenario would be if you were to build your business in the desolate desert where no one would see it. Instead of relying on the curiosity of people, you have to compel them to come. This is where marketing comes into play. Through marketing, you can move your business from the desert to Broadway in New York City.

2: You are in direct competition with more businesses. In a small town, you might be the only business nearby that sells motorcycles. You do not really have much competition. Everyone who wants a motorcycle will normally find their way to your store. Online, this is not the case. You are competing against the biggest companies to sell your products.

3: It is a never ending process

Just like your brick and mortar business, you will constantly be working on improving the performance of your online store. You will need to find out what works, what doesn't work. You will have to capitalize on the market changes.

Advantages of Being Online

1: You have the ability to market your products to many more people

You might sell one or two motorcycles a day and that might be very good business for you in your brick and mortar company. Lucky for you, you now have a marketplace that is ten times larger than what you did have. Instead of selling your product to your metro area that has 100,000 people in it. You have the opportunity to get your product to the 100,000 people that are looking for your product on a daily basis.

2: Very little overhead expense

Running an online business is very inexpensive in comparison to brick and mortar companies. With brick and mortar companies you will be paying for location to store your products and do business, utility bills, you have to be there to keep the doors open. An ecommerce store will allow you to stay open 24 hours per day, even though you may not be directly at the computer. You will also find that a small web hosting fee and a mediocre marketing budget is much less expensive than what you are already paying to keep your doors open.

3: You can compete against larger businesses

Luckily for you, you do not have to have one hundred employees, a huge marketing budget, and sell overpriced products to compete with the bigger companies in your market. Instead, with a smaller budget you can do quite a bit online. You may find that you are taking business away from your other competitors if you are spending wisely. Just like you, it no longer matters that they are on a busier street in a bigger neighborhood. You are both online and you can directly compete against them and build up your business.

About the Author:

Brought to you by Aaron Goldberg. Aaron is an advocate for Interspire, a provider of ecommerce shopping cart software, content management software, email marketing software, and other web software solutions.

Article Source: ArticlesBase.com - The Reality of Online Business

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