Starting a business implies taking a big risk. You want to succeed, and for that reason, you need to make sure you do a thorough research regarding the industry you want to focus on. The same happens when you get involved in eCommerce; you need to know what you are getting into. Based on my personal experience with eCommerce businesses, I have come up with basic do’s and don’ts for your business to start growing and reaching your goals. They are composed by simple steps you need to make sure you are taking–or avoiding–when creating and launching your eCommerce business.
Do’s of Getting Involved in eCommerce
One of the most important steps, before launching your eCommerce business, is doing a research on the kind of product or service you want to sell. You should make sure you start by selling a product that is trending and being demanded, for example, if you want to consult for contractors, make sure there’s a sizeable audience that wants to learn how to grow a construction business. This demand means people are buying it because they want, or they need it. You will want to meet those needs and guarantee satisfaction, so they keep coming back to buy from you. However, your research should not just focus on the product. You need to focus on your audience too. Know the demographics you are aiming to attract and create a profile for the kind of customer you want.
Once you have established the product or service you will be offering, you must find a supplier who meets your needs. They should be able to guarantee good quality, low cost goods. Establish a good, long-lasting relationship with a supplier you are able to trust and who you know will always be able to provide the products you need. This will keep you in budget and allow you to spend more in other areas of your business, such as advertisement, which is one of the elements you should be investing on the most.
Don’ts of Getting Involved in eCommerce
There are several don’ts you should be careful of committing when getting involved in eCommerce. However, some of them are more important to remember than others. A few of them you will figure out as your business grows. One of the most relevant ones is: don’t start your business by selling a high-ticket product, because your cost per good will be higher, and it would take over your expenses. When starting your business, you set a budget, and you will want to stay within that budget until your sales grow and your revenue is bigger.
Another one would be, don’t scale too quickly. What does this mean? That it is important for you to know and understand your metrics. Those are very varied from impressions, reach, and engagement to sales conversion rates, customer retention rate, customer lifetime value, repeat customer rate, and refund and return rate. From my personal experience, I believe the key metrics you need to know thoroughly are advertising cost, cost of goods, and revenue. It is particularly important to understand them, because the lack of knowledge can easily mean loss of money when you start advertising.
Finally, you need to remember that it is important to not be afraid to fail. Not every product will be a winning product, which is why you should launch your business with a trendy product that will catch customers’ attention. For that very reason, don’t invest all your advertisement budget in one product. Make sure the planned budget is enough for more than one product, in case you need to shift gears based on your sales and your consumers’ demand. After first launching, give your product time, but if you see it is not selling within the first few days, you will need to change your strategy and adjust to the demographic you are targeting.
These do’s and don’ts are a guide on how to guarantee that you are ready to begin your own eCommerce business and that it is ready to launch successfully. By the time you are ready to get involved, you know there are plenty of online businesses out there which means your already-established competitors list will be a long one. It is for that reason that you need to make sure you are prepared to be different, stand out, and meet the consumers’ demands. Your strategy for getting your goods and selling them needs to be detailed. If you do your research, know your budget, can guarantee good quality products, and understand your metrics, your business will succeed.
Steven Ridzyowski has been a leader in the eCommerce/digital media buying space for over ten years. Ridzyowski takes pride in being self-taught in all aspects of his career. It’s probably why he is such a driven entrepreneur today! He started out of high school, deciding to never go to college and learning advertising blogs with Google AdSense and taking on what would soon become his career and passion.
After a couple of years doing that, Ridzyowski was introduced to affiliate marketing. During that time (2008-2010), cellphones and ringtones were becoming popular, and Ridzyowski became an affiliate in the ringtone niche for a few years. Little did he know, he was paying “influencers” on YouTube to have links for ringtone offers in the music video description, before “influencers” became the sensation they are now.
As he grew and became a successful affiliate marketer, he worked alongside many advertisers and colleagues. Ridzyowski then went on to create his own white label skincare brand, which became one of his pivotal successes.
Between the moment of changing from affiliate marketing to owning and running digital media buying for his own skincare brand, he started to follow trends, learning the ins and outs of digital marketing, spending over $30m in paid digital ads across the entirety of his career. Ridzyowski mastered different advertising platforms, generating income across many businesses in various niches and verticals.
Today, Steven Ridzyowski is focused heavily on e-commerce and marketing, especially with his new agency, which offers a turnkey solution for e-Commerce. Ridzyowski has mastered everything from product research, to product trends, to marketing in all kinds of niches. In the past three years, he has created converting funnels to growing multiple 6 to 7-figure stores with his agency. He has helped hundreds of companies, both large and small, reach their full potential and created an online presence for them. Ridzyowski is also a member of the Forbes Business Council and the Young Entrepreneur Council.
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