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If you’re thinking of starting an online business. Then this post is for you.
Starting a new business can be exciting. Yet it’s not easy. There are many important decisions to make. Such as, what business to start. What products to sell?
Suppose you’re thinking to start your own online business in 2023. Then keep on reading. In this quick yet simple blog post, I will share the key steps you should take to get started with your online business.
Some of the topics that we will cover in this step-by-step online business starter guide post are the following but are not limited to:
- How To Start An Online Business in 2022
- How to Find a Profitable Niche?
- What are the different types of business models?
- How to do market research before starting a business
- How to find the target market for your business
- What kind of online business is most profitable
- Which online business is best for beginners?
The best thing about starting an online business is that you don’t need to have the most innovative idea. Some of the best businesses in the world become huge successes not by starting something new but they took what was already in the market and making it better. The best secret here to starting any business is knowing what uniqueness you bring to the table. Every business solves a problem. Think of what skills and knowledge you have and then leverage them to help solve the problems for your customers.
Table of Contents
- How To Start An Online Business in 2023
How To Start An Online Business in 2023
Every year, there are more and more businesses launching online. If 2020 had taught us anything that would be to have an online presence for your business. Even businesses that were operating offline, are now expanding their presence into the online space.
What is an online business?
Online businesses are those businesses that deliver products or services online. This includes eCommerce stores, service-based businesses, online brands, and content creators.
Which business is best Online business or Offline?
Although both are businesses, one is operating online and the other offline but they have a huge difference.
Compared to the physical store, online businesses have a low upfront cost, they are easy to set up. Don’t require physical manpower. You are not limited by your location. You can reach anyone in this world. It can run 24/7. It’s easy to scale and it can be started with a low capital cost.
Here are 5 key steps you should take to get started with your online business
Step 1: Pick A Niche:
When it comes to running a business you need to be as specific as possible. The more you niche down, the more chances are for your success. Having a specific niche helps you build a brand and it’s easy to grow your audience.
What is a Niche?
A Business Niche can be defined as a specialized segment of the market for a particular kind of product or service.
For example, fashion is a business industry. A niche business would be an eCommerce brand offering eco-friendly fashion wear for kids.
Why Niche is Important?
In order to have a well-established online brand, it is crucial for small businesses to have a niche.
Some of the key benefits of having a niche are:
- Niche helps you establish a loyal customer base: Helps you define a specific target audience who wants your products and services.
- Narrow down on the competition: When you have multiple niches you will be dealing with various businesses that are in those niches. You can limit and narrow down your competition when you have one specific niche.
How to choose a Niche?
When it comes to picking your business niche. You need to consider 3 things.
- What interests you?
- Think about the things you’re passionate about. What do you like doing? What makes you tick? Things you can talk about in an endless conversation. What do you feel you’re an expert in? Things that you enjoy. Write it down whatever comes to your mind.
- What you’re good at
- The skills you have. something which you have learned or developed over the years.
- What can make you money?
- In this step basically, you are validating your niche. You could pick a niche that you are passionate about and good at yet it may not make you money. When it comes to business, it is important you choose a niche that will make you money. This brings me to my next point, How to find a profitable niche?
How to Find a Profitable Niche?
Once you have listed out some of the niches, the next step is to find out which of these have the most potential to turn into a profitable online business.
You can do this by doing a quick google search. Is the topic popular enough? Are they any competition? What types of businesses are already there in your niche? Answering such questions will help you evaluate your chosen Niche. If it is good enough you build an online business.
Once you have a certain idea about which niche you want to start your business, next is to list out all the possible business ideas you can work on.
Step 2: Choose a Business Model
Once you have your business idea the next thing is to know how to make money out of it. This step helps you to monetize your idea. Transforming an idea into a business.
What is a business model?
In simple terms – A business model of a business describes how a business generates its revenue. This is how your business makes money and it is possible for a business to generate revenue from more than one source.
Here are five types of online business models to consider:
E-commerce business:
In this business model, you set up a website that is equipped with buying and selling physical or digital products online. A business can process orders, accept payments, and manage shipping, logistics, and customer service.
For example, Amazon, and online boutiques.
Service-based business:
In this business model, you offer a particular service either a skill or a solution to another.
For Example; pest control, cleaning service, plumbing, etc.
Software as a Service (SaaS):
In this business model, you develop software or an application where you charge people to use it. Either as a subscription or as a one-time fee.
Freelancing:
In this business model, you provide a service to other businesses or individuals using the skills you have, such as writing, digital marketing, designing, programming, etc.
Affiliate marketing:
In this business model, you promote other businesses either their products or services, and receive a commission for each sale you make.
Step 3: Define your customers:
This is where more small business owners make mistakes. They try to sell to everyone.
Not everyone is your customer.
Selling to everyone = Making no sales at all.
The more you define them, the better you can connect them with your brand. Who are they? Why would they need your product?
Step 4: Branding:
This is what makes your business stand apart from the competition. Your brand should reflect your customer profile. Think about the look and feel of the brand. What is your brand voice, and how are you different from the competition?
Step 5 – Plan it out:
You can’t execute a task if you haven’t planned it out. This is where most small business owners don’t get past – I have a business idea phase.
To run a successful business you need to follow a well-thought-out plan step by step. Knowing what to do and when. Strategically define your goals and work towards achieving them.
No matter which stage of business you are in, even if you are just starting out or already running your business, you need to have a business plan and keep updating it as you go.
This is a Step by step guided business plan template for online business owners. The guided prompts in the template will help you organize your business idea and get clear on your goals.
