How to Run a Successful Online Business 

The idea of running an online business, whether as an additional stream of income or as your only source of income, is not a novel idea. Every month in the United States, over 540,000 small-businesses start up.

Small businesses in the United States have grown 49 percent since 1982, creating 8 million new jobs over the period while large businesses cut 4 million jobs since 1990.

In addition, small businesses created 65 percent of new jobs since 1995, reaching almost 28 million in the United States alone.

What this means for you as a newcomer to the industry is that in order to be successful you need to stand out from the crowd in some way, or be very competitive in the market from the start.

To give yourself the best chance of success, a lot of work and effort has to be put in, and our step by step Ultimate Guide to Selling on Amazon can help you along the way. But before you get into the details of the guide, here are a few tips to get you started.

Researching the Wholesale Merchandise Market is Key

Maybe your goal is to buy wholesale merchandise to sell online, but simply buying cheap merchandise and selling at retail prices will not do the trick. Doing some research on market dynamics, trends, in-demand products, undersupplied segments could unveil what products you could start with and where to place them.

In addition to market research, finding the right products to sell and the market segments to fill, marketing your product will help you get the best return on investment.

Your first focus should be on finding a specific niche market to tap into. Finding a niche market is not easy as barely any market segment is left uncovered. But there are pockets of lower supply and your goal should be to find them. Step one in finding your niche market is to write a list of merchandise you would be comfortable working with. Whether it is musical instruments, electronics gadgets or home decor items, put everything down. Then go through the list and see if any of your preferred markets is showing signs of undersupply as these are the best options to start.

Your next goal is to source quality merchandise, wholesale merchandise, liquidation merchandise, and make sure to provide top quality service which is also great marketing for your business. Good customer service will result in good client reviews, which are very important.

Finding quality merchandise that is cheap enough for you to stay competitive in the market could be the toughest part of the job. You will come across a number of suppliers promising the cheapest stock of the highest quality, but failing to deliver. This is because there are a lot of cases of misrepresentation, online scams and attempts to offload broken, damaged goods without worrying about customer satisfaction.

This is why learning how to find the right supplier is key, because the right supplier will have the right merchandise for you. Always look for customer reviews of any liquidation company or wholesale supplier online, see if they stock from major retailers and manufacturers, and are able to offer you goods from named sources, like Walmart pallets, and always request a detailed manifest for each and every wholesale pallet you plan to buy, before handing over the cash.

Buying Pallets of Merchandise is Half the Job

Sourcing quality wholesale or liquidation merchandise, listing the products online, shipping them takes time, and could drive your operation to a halt if you can’t handle it properly. The next thing to focus on is streamlining the processes.

This means having a great business relationship with your wholesale supplier or liquidator. This benefits you in more ways than one. Firstly, all suppliers appreciate a returning, long-term customer and often reward this loyalty with flexible payment terms, lower prices, better shipping options. If you are looking for your liquidator to cut down on delivery costs, have an open conversation about it. But securing favorable terms and a steady influx of merchandise becomes pointless if you can’t handle the goods, have no place to store them, or are running behind with your shipments. This does not bode well for your reputation and means you should look into hiring help to handle the part of the business that you can’t attend to.

Your relationship with the liquidator or wholesale supplier will often grant you access to top quality merchandise before it is displayed on the website or in their warehouse. However, since liquidation companies mostly handle customer returns, refurbished goods and liquidated merchandise, make sure you check the condition of the items you intend on buying. Top companies will provide you with detailed information. If information is lacking, leave that supplier behind.

It is essential to make sure your customers don’t have anything to complain about regarding product quality as well as your services. Try making their experience on your Amazon or eBay store or your own website as easy and as pleasant as possible.

Also, you have to treat your online business as if you are running an offline business or managing a physical store. In addition, make your business decisions as if you are already at a high level in order to bring your business forward and never wait for your business to grow itself.

Your goal, in addition to buying quality wholesale merchandise at low prices to earn on markup, is to find a specific thing that will make you stand out from the competition and get noticed by the customers. Price alone is not always what drives your business forward. Very often, customers will shy away from products that are too cheap, thinking something must be wrong with the listing or the product. That is why you should also always keep an eye on your competition and set your prices accordingly.

Speaking of customers, they should feel like they are part of your business, so make sure there are personal touches that others can relate to. The main force behind the success of your online business is within you. Putting in the hours and hard work will lead to success.

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Henley Johnson

Henley currently works as a sales representative for Direct Liquidation, assisting businesses with product sourcing of liquidated merchandise from the largest retailers in the world. Whether you are looking for a pallet or a truckload Henley is here to help you grow your business.

View Henley’s Bio on YouTube.