Mistakes of Beginners in Online Business

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The business has long settled on the Internet. Every year there are new tools and schemes for making money online. Newcomers go to the Internet after learning about the incredible stories of how easy it is to make vast sums of money. But behind the illusion of making a quick buck is some serious work: from developing a business plan to building a quality service.

Expect instant gratification 

"It's worth it to create a website, and clients will find themselves" - until now, it is one of the main misconceptions in the online business. In reality, such success is an exception to the rule. Judge for yourself. According to statistics, by 2019, there were 1.71 billion sites on the global network. And how likely is it that a user will come across your site/website/blog? 

It takes time, energy, and regular financial investments to develop an online business.

Generating traffic doesn't happen by itself and doesn't happen at a moment's notice. Launching an Internet resource is only the first step, followed by lengthy and severe work because the field is competitive. "Believing in a miracle" is a knowingly failed business strategy.

Opening a business without a plan

Many entrepreneurs have a non-serious attitude to online business: they ask why to create a business plan, prescribe a strategy, study the market... if you can open your website and make money. 

You can not develop a business plan for twenty or more pages for online projects, but you still need planning skills. A list of actions will allow you to break down the entire process into sequential steps. With an approximate calculation of income and expenses, you will determine the project's profitability. In the future, you can try to use a pay stub auto generator, which will count all your costs, profits, wages, including taxes. This is a convenient technology that will save you time. From the business description, the idea will become clear who your customers are and what promotion tools to use effectively. One way or another, the entrepreneur should have a business model in advance. If you see a goal in front of you, it is much easier to move towards it.

Starting a business without a "draft"

Back in school, everyone appreciated the benefits of drafts. You can try different solutions, cross out and redo them, and then rewrite in a "blank sheet" the best version.

In business, the scheme works, too, and is especially important for aspiring entrepreneurs. But most people forget or don't have the money for it. Although such a "draft for business" does not require large investments, it allows you to test the idea and business model and gain experience. In a couple of months, you can understand how promising the project is and what is worth fixing and fine-tuning.

focus on everything

Focus on everything at once

"Embrace the immensity" is about this strategy ambitious newcomers adhere to. They want to create a full-fledged project, preferably immediately large-scale (because there is a myth that this is a prerequisite for high income). If an online store, then immediately to 100 items in the range, if the provision of online services, then the complete list of services. But the broader the business, the more expenses, and problems. Such a strategy often leads to the fact that the financial capacity of the entrepreneur ends much earlier than the moment when the business begins to make a profit. 

Another common mistake is that entrepreneurs are trying to save money and take on all the work: setting up the site, communicating with customers, filling orders, promotion, accounting, etc. But the quality of work suffers from the number of functions performed. This approach potentially leads to failure.

One of the success factors is the proper distribution of attention and delegation of authority in the business. It is essential to assess your capabilities and take on the amount of work you can control.

Do not represent your target audience

There is such a thing as a "target audience" in business. These are the people who may be interested in your offer. It is their consumer demand that needs to be taken into account when choosing a destination. It is on them that all advertising should be directed. 

However, many newcomers tend to sell to all - that is, to no one. This approach leads to enormous advertising costs, which do not bring the expected effect. 

Therefore, it is crucial at the initial stage to define the target audience and make a portrait of the potential client: age, sex, social status, interests, income, purchasing habits. And most importantly - what problem the client can solve for your product or service.

Working from someone else's template

There is a strange practice - to try to repeat someone else's success. Like, if some business model or strategy is once "shot," then you can copy it and repeat. But it does not guarantee success but perfectly misleads. In the end, it turns out that for this project, the chosen template does not work - and you have to start over, building an individual business model.

In conclusion

No one business was created in one day. Yes, an idea can be formed in a few minutes, but it takes quite a long time to develop a quality business. So don't try to do everything at once. Make a clear plan of action and move towards it. All great deeds started small.

Source: Business Diary Philippines

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