How to Start an Internet Business
Steps to Start an Internet Business
1. Understand what a business online
The first is to clarify that a business online is as he says, a “business”. The website is the tool we use, but you need to see it as a business “virtual” to make the best decisions about how to generate revenue through it.
Speaking of it as a business, we have the capital investment is very low, since it takes just a web domain, hosting account, email account and go.
However, there is one factor that few entrepreneurs and consider the risk. Risk is the probability that an internal or external factor affecting the business and the business fails. On the Internet the risk is high and I’ll give an example. Say I’m interested in being number 1 in the term ” Business Ideas “. And my business is based entirely on the money I earn advertising from Google. However, new sites come easily, and then one day change the 2nd. place. The mere difference of being in first and second represent thousands of dollars! And find out what was what you did wrong or what can improve not always easy. This example is true, more or less by the year 2008 when I started this page 100Negocios, an Argentine site was the leader in google (search appeared in no. 1), and gradually a friend’s page (1000 Ideas Business) was gaining ground and is now the number 1. Therefore, the stakes are high one day earn thousands of dollars and the other losing everything.
2. Knowing what your passion
Having a passion (ie, a topic that interests us or we like) is basic to start a business online . Many people even have their website because they love a subject, no matter if they make money or not.
It is therefore essential to know what you love. Some of the tasks or activities that represent a business online are:
Write articles frequently on the topic: If you are interested or work on it, fine. For example, among the many pages you start, it was this of 100Negocios which surfaced of all, since I am a degree in ADMINISTRATION and is a subject I know well.
Knowing your keywords: Keywords are the search phrases in Google. When you write for example ” internet business “, will appear 10 results per page. If you do not know your subject, you can not know the keywords you need for your site.
Be aware of news of the issue: It is essential to be updated in the field. In my case, every morning I read the news business to find out what’s happening in the world of business.
3. Finding a niche
Once you define your passion, you have to find a niche market that you can enter. To do this, you first have to research keywords related to the subject, and define what you’re most likely to 1) get to be No. 1 in search and 2) generate income for this keyword.
For example, the keyword ” business “just in Mexico has 368.000 monthly searches. If you go deeper, the “term” business ideas “is 8.100. This is a dramatic change, since in the search business, you will compete against corporate sites as national newspapers and magazines.
The second point to generate income by keyword, is important. Generally, those who start a blog or a website start making money with Google Adsense.
However, there will be people who want to sell a physical product, a service or an intangible product. For example, in my case I develop and sell online courses. So I’m not interested in the aspect of advertising (it is a 2nd. Income), but I’m looking for keywords and ways to promote my online courses.
4. Determine your source of income
There are several ways to create income to start a business online . Each has its pros and cons discussed below:
Entry 1: Advertising
Pros. Advertising is ideal to start a business online. Through Google Adsense, you open an account with them and you can paste a code to your page, where ads appear promoted by Google.
Contras. At the beginning does not generate much money, and if you break one of the rules of the ethics code from Google, goodbye to your advertising. A second factor is the high degree of competition that makes you have to be constantly updated with new articles your site fresh and original content.
Entry 2: Selling a physical product
Pros. The internet is great for promotion. If that is your intention, you’re on the right track. By having your website, you can make quotes, orders or connect with a wider market.
Contras. Selling a product online is totally complicated. From my experience in Latin America there is still no culture of buying online. This is partly because there are few places like Mercadolibre.com, no access to credit cards to pay online, and there is much suspicion (wrong) to buy online.
Entry 3: Sell a service
Pros. You may want to offer your services on the Internet, such as a virtual assistant, or perhaps a consulting service of a specific turn. Like selling a physical product, you can have more contact with a lot of potential customers.
Contras. If you sell a physical product is complicated further with respect to services. Since one payment and not get something tangible in return, little sales conversion online shopping services.