Focus on your business website, not just alternative market places

It’s tempting. Your business is struggling to meet a sales quota and marketing efforts don’t seem to be making a difference. Alternative market places allow most businesses not just the UK, but globally, to make instant sales.

This is particularly true of those that are in the early stages of learning how to start their an online shop, but actually turn their small business idea into a long term profit generator. Once you realise starting a shop is not easy, you’ll start to hone in on what really makes your business work.

No expensive marketing campaigns to deal with and the seller doesn’t even need a website!  It’s a no brainer, right? Wrong!

There is always a catch!

Fees! More and more businesses are spending time and money listing items and managing their inventory on alternative market places, such as eBay and Amazon.

The fruits of their labour may seem worth the effort now, but in the mean time, their neglected website, remains stagnant. They are relying on a source of income that is unstable and doesn’t brand their business. Their business is being controlled by alternative market places that are ripping them off!

Get banned (it happens) or stop listing items; the income disappears. What’s left of the business? A useless website, thanks to efforts being allocated elsewhere.

Here is a quick break down of fees on Amazon UK and eBay UK. As you will see, it leaves the seller with very little after they have paid all costs. Lots of effort; minimal gains!

Amazon UK

Pro-merchant monthly fee: £28.75

Sale fee (average, excluding Kindle accessories): 12.65%

Cost of £50.00 sale: £6.33

Cost of 30 sales including monthly fee: £7.28 per sale

eBay UK:

Buy-it-now insertion fee: £0.99

Buy-it-now sale fee: 10%

Cost of a £50.00 sale: £5.99

If you’re starting a shop, you’ll already have lots of fees to content with, don’t add to them!

The price war

Blog posts throughout the net will reveal price wars that are currently happening; they are on-going! The reality is; alternative market places have no barriers to entry. For this reason, they are the worst place to sell items, for those trying to demand a premium price. Prices from sellers are continuously driven down.

Hocus-focus

As if by magic, many businesses are snowballing their way to success with their e-commerce stores. They focus on email marketing, blog posting; anything to keep their consumers engaged.

Focusing on a website as a prime income generator is certainly the key. These alternative market places are great to increase revenue slightly, or even awareness, but they are not income streams that should be focused on, or relied on.

Don’t bomb out! Learning how to start a retail business online is not easy, but it’s worth the time and effort that you’ll have to put in, in order to be successful.