In the current era of industry 4.0, the concept of doing business has also been required to keep up with changes by utilizing all digital business sources. Based on data from Ipsos Global Trends 2021, 73% of Indonesians think that shopping online is easier than shopping at offline stores. This is supported by world conditions that are currently still struggling against the Covid-19 pandemic where people are encouraged to reduce activities outside the home. However, in the future, the concept of doing business online is predicted to continue to grow and be in demand by many people.
On this occasion, the BFI Finance team will provide tips for BFI friends who have a business spirit and want to start an online business. How do you start an online business from scratch? What do you need to learn and prepare for? Here are seven ways to start an online business in the style of BFI Finance that you can try!
7 Ways to Start an Online Business
1. Know Market Needs
The first way to start an online business is to know what the market needs at that time. Your product must be able to be a solution or answer to problems that occur in the market. That way, there is a possibility that your product will have selling power by consumers. Whether or not your product is accepted in the market also depends on the uniqueness of your product compared to other businesses in the same industry.
There are several ways to find out the needs that occur in the market, namely by conducting simple interviews with several potential customers or by conducting a series of product tests. It is also useful in planning the short and long-term strategy of your online business.
2. Competitor Research
The next way to start an online business is to do a competitor analysis. The importance of this competitor analysis is to find out the strengths and weaknesses of the competitors. The results of this analysis can be used to enrich the products you sell.
The easiest way to analyze competitors is to look at the products they sell on social media or e-commerce platforms. Through this media, you can see reviews from several customers who have used their products. For example, there is a negative review regarding the safety of product packaging that is packaged randomly and not neatly. You can take advantage of this opportunity by making your product packaging safer by providing bubble wrap and packing it neatly.
If you want to use a more advanced competitor analysis, you can use the 5-Porter Analysis method, which is a competitor analysis that includes:
- Threats of New Entrants
- Bargaining Power of Supplier
- Bargaining Power of Buyers/Customers
- Threats of Substitute Products
- Competitive Rivalry within the Industry
3. Choose the Best Online Business Supplier
Quality products come from quality raw materials as well. You can get quality raw materials from the best suppliers. Indeed, finding good quality and suitable supplier requires more effort. You can choose from 3 to 5 suppliers for comparison. You can consider in terms of price, quality, and availability of raw materials. All of these components can be used as an assessment in choosing the best supplier for your online business.
If you don't want to bother choosing a supplier, you can use the drop shipper/reseller system. Through this method, you have got finished goods that are ready to be sold.
4. Create Your Brand's Trademark and Logo
A logo is an identity attached to your product. So, create a logo that can properly represent your online business. If you find it difficult to create your own logo, currently there are many product logo creation services with varying prices. In addition to creating a logo, create a slogan or tagline for your product. Make a slogan with a sentence that is not too long so that it is easy for customers to remember. And make it as interesting as possible.
5. Create a Website or Social Media
The existence of digital assets such as social media and websites is currently very much needed. Website or social media is an important means for customers to know your products and product advantages. Through websites and social media, you can also find out the characteristics and behavior of customers which can later be used as your marketing strategy. The first step you can try is to first create a social media platform such as Instagram, Facebook, or Twitter. After the development of your business, you can add website digital assets as a means of sales promotion.
No need to worry, there are also much social media management and website creation services that you can find with varying service prices.
In addition, creating an online business account on an e-commerce platform is also a step that you can try.
6. Give Attractive Promotions
After you create a social media account or website, you can provide attractive promotions and offer them through these digital assets. For example, you can provide a 50% discount promotion for the first 100 customers who follow your social media accounts. Alternatively, social media such as Facebook and Instagram offer paid advertising features that you can use to promote your account or offer attractive products to get greater exposure from customers. Advertising on these platforms can generally run with a budget starting from IDR 20,000 per day.
If you choose to use the website as a means of promotion, you can also use paid advertising provided by Google, namely Google Ads. Like advertising on social media platforms, you can also adjust your advertising budget starting from IDR 50,000. If you want to optimize your promotion without going through paid advertising, you can use the SEO (Search Engine Optimization) optimization method. It all depends on your online business needs.
7. Consistent and Never Give Up
The process of doing business certainly does not always bear fruit. There are times when the promotions that we provide do not provide the expected results. Or, the costs incurred are greater than the income each month. The last way to start an online business is to be consistent in trying and never give up on every process. Conduct regular evaluations to find out the mistakes of the business activities that have been carried out. It's a good idea to consult with a business partner who is more experienced than you. This quote may be able to help you in business: "Behind failure, there are two advantages, namely the advantage of learning to find other ways and the advantage of strengthening mentally".
Those are the seven ways to start an online business that you can apply. The point is don't be afraid to start and fail, BFI friends. If you need funds as capital to open an online business, you can apply for a loan guaranteed by a BPKB Motor, Car, or House Certificate through BFI Finance. Our team will be happy and alert to serve your needs. Visit the nearest BFI Finance branch or you can apply for financing online by filling out the following form. Take care of your health and always obey the health protocol, dear BFI friends!