How To Create The Best Products To Sell Online
With only a small number of resources it is possible for an individual to go into business as an online retailer. It would be necessary to have a computer with internet access and an email account.
A person would need to establish a credit or debit facility to be able to pay for any product or service. Some thought and outlay would be necessary to set up a website or sales page and it would be advisable to organize web hosting so that they could operate twenty-four hours a day. The most important consideration and investment of all would be securing product or a service to sell.
Online selling involves three possible options. It is possible to sell physical products such as cosmetics or shoes, to sell downloadable products such as software or e books or else to sell a service online.
Online sellers could operate by selling a product of their own or else they sell other people’s products. By selling their own product on line an operator has the opportunity to reach a huge market and to reduce their capital investment in physical premises.
This can be a very positive move for individuals who have product. People who have no product of their own to sell can still sell online by operating as middlemen.
To do this individual’s could approach another retailer and offer to sell their product online for them for a commission. An alternative would be to sell as online affiliate in the digital market place and receive a cut of profit for every sale made.
A Great Place To Start Is Knowing Your Interest
The online market place is highly competitive and before undertaking any online marketing operation it is crucial that an operator understands their aim and objectives in entering the market. It is essential that they know exactly what product they are going to attempt to secure.
The target market has to be ascertained and the trader must know why they are attempting to attract that market with their product. A marketing strategy has to be thought through and planned.
Success of the venture depends on critical planning and research. Thought needs to be given to the area of the market that is to be secured; for example are sales only going to be made nationally or is it intended to try to secure an international market.
It also has to be established where the product is to be sourced from and again consideration needs to be given to the advantages or otherwise of securing product from the local market or else attempting to secure product from overseas which may be cheaper but comes with added hurdles such as import restrictions and administration.
Online retailers who are considering selling physical products need to consider the choice of the product to be sold very carefully indeed. One basic consideration should be to look for product that is not fragile and is easy to transport and ship.
The size of the product is important too as it is in the retailer’s interest to select product that won’t take up too much space. In order to make maximum profit from sales, product should be selected that has an ambiguous value.
Electrical items for example don’t have this and potential customers can readily assess their value but other items such as instructional materials or keepsakes are hard to value. Coupled with this it would be of interest to select product that has a certain timeless quality and will not date on the shelf. High fashion garments and electrical items for example do not meet those criteria.
Selling Someone Elses Digital Products- (Affiliate Marketing)
Individuals who want to venture into online selling but have no physical product of their own to sell could well investigate sourcing digital product to sell from a provider as an affiliate. One such provider is Clickbank.
Clickbank is in fact a privately held online marketplace for a thousand of digital products. Digital products are products or services that can be delivered online such as eBooks, memberships and software. It is possible for a person to sell a product to Clickbank or to buy from Clickbank or else to promote product.
Clickbank serves as a connector between digital content creators and affiliate marketers who promote the products to consumers.
There are advantages to be had by selecting digital products to trade online. Digital sales for example are made instantly and commission payments are received quickly.
There are also very large volumes of stock and an enormous range of items to be selected. Last year Clickbank had over 46,000 different products to offer to its affiliates so there is a lot of choice.
In order to assist affiliates to make a suitable selection the products for sale are listed in popularity across a number of categories. Products are ranked by their productivity score which is based on affiliate sales.
If a product hasn’t had a valid sale in eight weeks it falls out of the market place. This makes it easier to ensure that you are not buying a dud.
Another feature of the Clickbank system that might help a potential affiliate decide to purchase or not is that there is a feature of the programming that allows key word searching.
Keyword researching on products will allow a potential purchaser to obtain extensive information on commission’s sales for the product and its ranking thus making it easier to make an informed decision whether or not to proceed with a purchase.
Amazon is the world’s largest online retailer and as such is an enormous source of potential product for individual’s considering venturing into online marketing. Amazon provides a complete range of physical products ranging from tiny to enormous, from cheap to expensive and the whole gamut in between.
With such a range of merchandise available it ought to be possible to find the physical products to purchase or else alternatively to make use of Amazon merchandise to stock an online store.
Amazon could be used to purchase actual merchandise to sell online independently. There are advantages to doing this. Amazon operates with extensive catalogs and product descriptions.
Product has good visual merchandising and pricing. There are very transparent statements made relating to replacements and warranties and exchange which should be considered before purchasing.
Consumer information and product reviews are also readily available. All the above could be employed to make informed purchasing decisions.
The disadvantage of purchasing product through Amazon is that by doing so an online trader immediately places themselves in direct competition with Amazon and their pricing.
To overcome this it would be necessary to select items that have an ambiguous value such as keepsakes to avoid obvious comparisons.
Amazon itself offers a method of overcoming the issue of being in direct competition by allowing online retailers to become an Amazon affiliate. The affiliates undertake certain administrative procedures and give in banking details and are then able to select a range of product to place in their own online Amazon stores.
They are required to set up their website and formulate their own product descriptions and pricing and the affiliate is rewarded for sales that are made within the store in the form of a commission.
Amazon could be used profitably by anyone considering online selling.
Research Your Competition-
Being involved in online selling means that a person will be operating in a highly competitive retail market. In order to keep abreast or better, to keep ahead of the competition, it is vital that the online retailer is well-informed about the success or otherwise of rival product.
Firstly it will be important to know what product is out there that is targeting the same market that the online retailer is aiming for. Similar product should be tracked down.
In order to do this there will need to be frequent excursions to retail outlets to analyze what is for sale within them. All advertising media should be carefully scrutinized for rival product.
Examinations should be made of magazines, newspapers, fliers, on line, catalogs, radio and television to detect similar products being marketed.
Once similar rival product has been found there needs to be a careful note made of how it is being marketed. Checks should be made to compare the rival product to the online seller’s own interests. Any discrepancies should be noted.
Is there a difference in price between the products? Is the quality the same? Are the packaging and shipping terms similar? How does the marketing compare with the online seller’s own? Is the product promotion more appealing and likely to attract more potential customers or not?
After there has been an analysis undertaken of the rival product it may well be necessary for the online retailer to undertake a review of their own marketing and product.
It is vital that their product is at least as good as that of the rival interest, selling at a similar price and is actually targeted successfully to the same market. This review may well mean re pricing, drawing up a different advertising campaign or redesigning a website.
In order to succeed as an online seller and to continue to remain successful it is important so make sure that the product being sold is what customers want and comes at a price that the customer is prepared to pay for it. In addition everything has to be done to ensure that the product is easily accessible to the market and that the product can be readily found and purchased.
Market Research Is Key-
Research is the key. Constant research has to be made of the market to determine what it is that they are seeking.
- What sort of products do they want to purchase?
- What properties should it possess?
- How much are they willing to pay for it?
- Who has that available in the market already? If it is not there already can it be designed and sourced from somewhere?
- Is the online marketing going to be able to provide what is needed to stay ahead of the competition?
It may be determined that rival pricing undermines the product being marketed and perhaps re pricing has to be investigated or even sourcing product more cheaply from elsewhere in order to remain competitive.
If it is determined that the target market is not being reached then it may be that the website will have to change and naming and wording altered to ensure much greater hit numbers. Visual advertising should be improved. Not succeeding in reaching the target market will mean that the whole marketing strategy needs to be redrafted to ensure that to product is being exposed where it should be.
Finally if it appears from the research that the market is flooded with similar product and there is nothing that can be done to make it better received then it may well be that the product mix is wrong for the online marketer and they need to source something else.
Constant reviewing and checking will ensure success.
To your great success in your online business journey, Bob@Lurnprofit
Please leave any questions or comments below.