Ever dreamed of ditching the traditional 9-to-5 for a more flexible, location-independent lifestyle? Starting an online business could be your ticket to freedom. But where do you even begin? In this post, we’ll break down the basics of online entrepreneurship, from choosing a niche to building your brand.
So, whether you’re a seasoned professional looking for a side hustle or a budding entrepreneur ready to take the leap, this guide will equip you with the knowledge you need to turn your online dreams into a reality.
Online businesses offer a multitude of advantages over traditional brick-and-mortar stores. One of the most significant benefits is the ability to reach a global audience without the constraints of physical location.
This means that businesses can tap into new markets and increase their customer base exponentially. Additionally, online businesses often have lower overhead costs, as they don’t need to invest in expensive storefronts, inventory, or utilities. This can lead to higher profit margins and greater financial stability.
Welcome to Start Your Own Online Business
Welcome to Start Your Own Online Business course & guide! I’m thrilled to have you join us. I understand that you’re looking to improve your life, whether it’s by gaining financial independence, having more free time, or escaping the traditional job market. Building an online business can help you accomplish these goals.Owning a business can be fulfilling, but it demands dedication. This blog course series is designed to equip you with the tools and knowledge needed to build a successful online venture. Let’s get started!
What’s an Internet Business? Defining an Online Business
Maybe you are eager to start building your online business. However, before we get into the details, there is some basic terminology we need to cover. First of all: what is an “online business”?
What is an Online Business? Internet Business? Digital Business?
So what is an online business? Let’s look at that, but first let’s look at what an online business is not.
I’ll use Target as an example.
I’m sure you’re familiar with Target. It is a physical (brick-and-mortar) store, and they have A LOT of physical stores.
In fact, the images here only show a small subset of all the stores they have around the world where you can drive up and physically enter the store. This type of business is considered a brick-and-mortar (physical) or offline business.
However, Target has a website too. Meaning they expanded their store to the online world, using the internet via a website. Regardless, Target is still considered an offline or brick-and-mortar business.
What’s a good example of an exclusively Online Business? How about an online business with a stupid simple business model, while also super duper successful?? A good example of an actual online business that meets this criteria is the Dollar Shave Club.
Now, Dollar Shave Club is a business that opened a few years ago. And what do they do?
They sell razors online. Exclusively online. But there is a difference here. You can’t drive to the Dollar Shave Club and stop there. This is, once again, a 100% online business. This is the type of business I’ll be focusing on in this blog course series – Start Your Own Online Business.
However, if you own a business, a brick and mortar business, and want to expand your online sales, the things you will learn in this Ultimate Guide to Starting Your Own Online Business – Blog Course Series also applies and will benefit you greatly.
Know These TWO Key Online Business Terms
- Online Business: An online business is any business that conducts most of its business (business transactions) over the Internet. In some cases, an online business can also be called e-business, digital business, or internet business.
- E-commerce: E-commerce is the act of conducting commercial business transactions on the Internet.
Technically, almost every business today handles some online sales. Think of a traditional store like Target. Target still operates primarily as a brick and mortar store. However, it also offers products online at Target.com.
Does this mean Target is an online company? Well, Target does some business online, but most of its sales come from offline purchases.
Alternatively, there is DollarShaveClub.com . This company was founded in mid-2011 by two men who were tired of the sale prices of razors and replacement blades. It is the epitome of a successful online business.
What is the difference between terms like e-commerce, online business, e-business, digital business, and Internet business?
The terms e-commerce, e-commerce and Internet commerce are often used interchangeably. Each of these refers to a business that conducts part or all of its business transactions online, that is, it uses the Internet to sell products or services.
This blog series course focuses on building businesses that do most of their business transactions on the Internet—like DollarShaveClub .com. However, everything we will cover also applies to traditional businesses looking to expand online. So if you have an existing business and want to learn how to offer your products and services online, this course suits you too!
Let’s take a closer look at what exactly constitutes an online business…
Key Components of an Online Business
Every online business needs the following technologies and components:
- Website: your “virtual store”, where customers go to patronize your business.
- Web domain name: The unique name that identifies your business; often called URL. Examples: Amazon.com , Walmart.com , and GoHighLevel.com.
- Web Hosting Service: A service that provides web servers that connect your business to the Internet.
- Email Management: A way to collect and manage email addresses and send messages to your customers and prospects.
- Payment Gateway: An electronic commerce service that accepts and authorizes (or rejects) credit cards on the Internet; required for your customers’ online payments.
- Digital Product: a downloadable PDF, audio or video file; a great way to offer a product online because it does not require shipping costs.
- Service: If you are in business, you provide a service; it’s that simple.
- Membership Software: This software allows you to provide a subscription-based offering of information or services to paid members.
Overview of the Key Components of an Online Business
I want to review the key components of any online business. Here we see a visual diagram of the trading strategy for my fictitious business INSANE LOSS.
You need a landing page or a squeeze page where you give someone the opportunity to sign up for free information.
You will also need a website. And to host this website, you need a web domain, the URL or address that you type in a web browser.
You will also need a web hosting solution to host this website online. And then, as they go through your sales process, they can buy something. And when they do, you need a checkout page. And then, one way or another, you need to be able to process the payment using what’s called a payment gateway.
Next, you’ll deliver (send) your product. This can be a digital product, or even a physical product that you deliver with a shipping service provider or send via mail to your customer. Finally, you’re going to need someone to follow up with your customer by either email or text.
This list may seem like a lot right now! Don’t worry. We will address these components as you grow your online business.
So let’s go over some basic types of online business models so you can start identifying which ones to start with for your business.