10 Reasons Why Online Businesses Still Rock
Private breweries and yoga studios growing popularity is no threat to online businesses. Due to rapidly developing technologies and other crucial reasons they keep booming. Both new eCommerce and mCommerce startups come and go before our very eyes. What makes online business so attractive? These 10 reasons are the most obvious ones:
- Ease of entry.
- It’s cheaper.
- You can keep time-flexible.
- Physical products and services aren’t needed.
- Commission rate is higher.
- Broader customer reach.
- Wide range of opportunities.
- Crucial improvements on Internet.
- Accurate statistics are easily available.
- Future belongs to millennials.
Ease of entry is the main benefit of an online business. You can start with creation of your pages on several marketing platforms and social networks. According to the recent US consumer technology adoption specialists Pew Research Center’s report, nearly two-thirds of American adults (65%) use social networking sites, up from 7% registred in 2005. So, if you want to find out if there is a real interest towards your offer, you can check it with social networks. If you see a sign of success, you may consider creating your own website.
Entrepreneurs are always worried about the costs for their business. One great thing about online business is that it can be relatively cheap. Brick and mortar business requires physical presence, which means you have to pay rent for a place where you can handle your customers, manufacture and store your products, you have to pay employees, and so on. Nothing of that is required by online business. And low costs mean low risks, which allows for multiple experiments and pivots.
When creating your own business and still doing your daily job it’s very important to be able to do the first in your free time. No one knows if your startup is going to succeed or fail (and 90% of startups do), so it’s better to keep the financial security provided by your current job. Online business gives you exactly this opportunity. Many social networks allow scheduling your publications for later, so if you had to publically address your customers during your working hours you wouldn’t need to do it at work. Once you have understood what algorithm works for you, little additional time is required to run your business. Later on, this will give you more time to focus on further development or personal life.
Business is about selling things or services. But to sell something you need hands and materials to produce it, vehicles to deliver it and place to store it.Online business allows you to sell non-physical products such as, for example, eBooks or ads on your website. Same goes for services.
If your online business proves successful, low costs come into play again. For example, if you’re only active on social networks all you have to pay beside taxes is electricity and Internet connection which is already in your bills, no matter if you have online business or not. If you have a website you would also pay about $50 monthly for web hosting which is still a quite tolerable price. So, most of the profit made from selling your goods and services is more than likely to end up in your pocket.
This point is important for those whose products and services are not limited by their local community or their country. Also, you can target very unique and special audience which isn’t widely represented around your place at the moment, but is booming overseas. To sum up, Internet offers you access to more than 3.2 billion potential customers.
Online business offers numerous options. As stated above, you can handle digital products and services ranging from handling real estate to advisory services. Besides, you can always add some elements of brick and mortar businesses.
Technologies keep on getting better, offering ever more opportunities and reducing prices for what was edgy yesterday and is taken for trivial today. Remaining up-to-date with evolving technology will also keep your entrepreneurship sense fresh and awake.
We all know that search engines and social networks collect our personal data. It almost seems scary how much they know about us. Though, they tend to share ever more information with websites and public pages owners allowing them to build up considerably accurate pictures of their target users and scale business growth.
According to Goldman Sachs, the Millennial generation is the biggest in US history—even bigger than the Baby Boom. And the generation is about to dramatically change the market very soon for their prime working and spending years are coming. They live online and they shop online. According to the Office for National Statistics, UK about 90% of people in their 20s-30s purchased something on the Internet the last 12 months.
As you can see, doing business online offers many benefits. But what is most important in today’s digital universe is to be unique. If your ideas and strategies aren’t one-of-a-kind, you risk to get lost among millions of other ardent online entrepreneurs. But you can’t win if you don’t play, can you?
