
10 Steps to Testing the Viability of Your Online Business
The economic recession is pushing more and more people to consider self-employment. Starting an online business is a very low-risk way to put your toe in the entrepreneurial pond because the start up costs are minimal, the overhead is low, and the returns can be high. Despite these benefits, however, an online business is just like any other and needs to be thoroughly researched before starting to determine if there’s a need in the marketplace and how viable the business idea is.
The Internet is rife with exorbitant claims of how much money can be made as an online entrepreneur and that you can be rolling in the dough by next week. Remember, most “overnight” successes are 1, 2, or more years in the making, and online businesses are no exception to this rule.
How do you determine if your online business idea will sink or swim? Here are 10 steps you can take to test your idea without breaking the bank:
1. Research:
Comprehensive research is always the first step for any business idea. Brainstorm a list of keywords someone might use to find the product/service that you’re offering, and then use a keyword tool finder to see how many searches have been done on these keywords. The keyword tool will also make suggestions of related keywords to try. Once you have a list of keywords, conduct searches (use quotation marks around your search term for stronger results) in Google, Yahoo, and MSN to see who else is out there. Evaluate the popularity of the sites you discover by checking out their Google Page Rank and Alexa ranking. Use the same keywords to see if articles have been written about your topic in the major article banks. You’ll uncover your competition in this research, as well as potential strategic alliances. Employ a powerful bookmark program to help you track your research results.
2. Monetize the idea:
After completing your research, have you discovered enough competitors in the marketplace who are making money from doing something similar? If so, how are they making money — is it from the sale of info products, consulting services, subscription to their site, advertising, etc? If you don’t see much competition, that usually means one of two things:
a. There’s not enough demand for the product/idea or
b. You’re ahead of the curve in seeing the profit potential.
Unfortunately, in most cases, that result means that there’s not enough demand for your idea in the way that it’s been presented.
3. The “so what” factor:
From your research you should be able to clarify what it is that you’re offering and what group of people need what you’re offering. In order to be successful, your offer must pass the “so what” factor in light of your competition. To take this test, you must successfully be able to answer the following question after telling someone what you do, “So what? How is that different from what x, y and z are offering?” You can answer these questions best if you review the benefits of what you’re offering (the What’s In It For Me) rather than just a listing of the features, and if you can speak from the heart about your idea. An online business will take time to manage and develop, so you want to settle on something that you love. If you don’t enjoy what you’re doing, you quickly become a prisoner in a prison of your own making.
4. Industry information:
Set up Google Alerts for your industry keywords and track them from info posted on websites, blogs, and newsgroups. Reviewing the alerts you receive over the next few weeks should help you expand your view of the problems/issues with your subject, help you see the “movers and shakers” in the industry, and help you discover other places (blogs, discussion forums, social networks) where your target market hangs out online.
5. Test the waters:
The easiest way to test your idea is by creating a blog. Buy a keyword-rich domain name for the blog and map your blog to that domain. Then begin to blog about your insights on your topic, or reprint articles others have written on your subject. The idea here is to begin to establish your online presence and your online brand.
6. Build a list:
Once you’ve got a blog set up, you need to begin to build your marketing list. The easiest way to do this is to create a free giveaway on your site (eBook, video, report, audio recording) and a form for the visitor to input his name and email address to receive your giveaway. Your privacy policy should be readily available to them and outline how you’ll use their info and what they can expect to receive from you. You’ll also need an email marketing service or shopping cart service to manage your list.
7. Crown yourself the expert:
The only way to become an expert in an area is to believe that you are one. By virtue of the research you’ve already conducted, you know more than a large percentage of your target market. Therefore, don’t hesitate to begin to refer to yourself as an expert in your industry
8. Drive traffic:
Once you build your blog, they (visitors) won’t come without some encouragement. Create profiles on prominent social networking sites like Facebook and Twitter. Start writing articles about your topic and submitting those to article directories. Discover if your target market hangs out on niche-specific social networking sites and start networking there. Interview experts in your industry and release the interviews as a podcast. Create a weekly email ewsletter to stay in touch with the prospects on your email list. Create powerful inbound links by getting your blog listed on various blog and website directories.
9. Implementation time:
Rome wasn’t built in a day, and neither is a successful online business. Allow at least three months to give your idea a test run and evaluate it after that time. Have you been able to build a list? Are you getting traffic to your site? Are you attracting the attention of others in your industry? If so, you’re ready to move to the next step.
10. Move forward:
If you determine that your idea is viable, what’s next? Creating info products or a membership site? What are your longer term goals to develop this idea into a business? The best way to harness all the info that you’ve collected thus far is to create a business plan. It doesn’t have to be complicated — it can be only one page, in fact. What you need to commit to paper is your offer, your target market, your ongoing goals for how to monetize the idea, and an outline of how you plan to grow the business over time.
It’s not too late to get your start in an online business. Don’t be distracted by the false promises of quick wealth overnight. Success takes time and planning, so invest some planning and research time into your business idea. That’s the strongest foundation you can create for yourself to become a successful online entrepreneur.
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Need to increase website revenues this month? Affiliate programs have been a boon for the Web and a salvation for many Web-prenuers since the beginning of the commercial Internet. There are an endless number of ways to generate revenue from affiliate programs — and just as many sites and solutions to choose from. So finding a reputable and quality program that works within the scope of your business model is a serious challenge. Choose wisely and ’Net riches are yours. Choose poorly and you may be wasting your time, energy and resources. There are more fly-by-nights in this industry than anywhere else.
Website Services Magazine has put together the following list of 50 of the most popular affiliate industry sites on the ’Net — from directories to wildly popular individual programs. Research for this report is provided courtesy of Ranking.com — the Web’s largest provider of website popularity metrics
and detailed website information on over one million online destinations.
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The Web Store: http://www.LinkWebServices.com/mm5/merchant.mvc
The powerful capabilities of organic search engine optimization (SEO) are now a highly sought after marketing tool by many companies that want to alert customers to their products or services by focusing on certain keyphrases that highlight these offerings. And though SEO has embarked on a meteoric rise in the past few years, other non-traditional forms of marketing are now gaining a great deal of well-deserved credibility as well. More and more marketers are using paid ads to hone in on a potentially profitable client base, while other more traditional channels, such as PR and print ads, appear to be becoming somewhat less effective.
In a recent study (1), Forrester Research found that interactive marketing spending will reach nearly $55 billion by 2014, representing 21% of all marketing spend. And the fact of the matter is that marketers are continuing to place more stock in newer forms of marketing and social media, leaving many higher-ups to wonder if it is time for them to include these channels in their own marketing mixes. And with the help of your search engine optimization company, it’s possible to achieve outstanding rankings and results!
What follows are some common considerations that should be analyzed prior to the launch of an SEO campaign so that you will know what you are getting into, what you will need from your own team and your prospective search engine optimization company, and how to most effectively pursue this particular form of marketing.
Achieving Buy-in
Search engine optimization is unlike many traditional forms of marketing in that several departments must be involved in order for the SEO campaign to be successful. Apart from the obvious need to get buy-in from upper management (unless, of course, you are upper management), you will also need to get buy-in from your sales department and, very importantly, your IT department before pursuing the powerful capabilities your search engine optimization company can bring to the table.
Upper Management
While a well thought out, highly targeted SEO campaign is becoming an increasingly popular marketing tool, many “old school” bigwigs are uncomfortable pursuing something that is completely foreign to them. This is not an indictment of the individual – keep in mind that the traditional marketing methods that the company has likely relied upon (trade shows, direct mail, print advertising, etc.) have been relatively unchanged for decades.
While these traditional marketing channels may have remained relatively stagnant, the allocation of spend for them has not. According to a 2008 SEMPO report, more marketers are shifting their budgets to search rather than spending it on the more traditional channels of the past. Nearly 26% of advertisers shifted budget for print magazines to search; 23% from direct mail; 18% from print newspaper; 15% from website development; and 7% from email marketing.
One of the reasons for this is obviously the effectiveness of the channel. In the same study, SEMPO found that respondents viewed online marketing efforts as their strongest tactic or best ROI. 63% of respondents saw paid search as the best return on investment in terms of marketing or advertising efforts; 49% for organic SEO; 43% for email marketing; 12% for conferences and exhibitions; 11% for public relations; and 6% for print magazines.
Another reason for the shift in marketing dollars, which can be used as ammunition when you are trying to convince your higher-ups to go with a search engine optimization company, is the ultimate accountability that goes along with online marketing: the data that indicates success or failure of your SEO campaign is of the black-or-white variety.
When describing the effectiveness of a company’s marketing strategy, there is often an old sentiment tossed around – “I know that half of my marketing is not working, just not which half.” Because of the analytics involved in search engine optimization, your company higher-ups can take comfort in the fact that this is not another marketing initiative that will self-perpetuate indefinitely – the metrics involved in your SEO campaign will demonstrate that it is working, justifying the continued expenditure.
When trying to get buy-in from upper management, you also have a formidable weapon in the actions, or inaction, of your competitors. If your hated rivals are actively embracing the tools offered by a search engine optimization company, there will be a tendency among upper management not to want to let them get too far ahead. If none of your top competitors appear to be actively pursuing this channel, your company can gain traction before your rivals do and thus gain the competitive edge. Whichever the case, it is now much easier to present a compelling argument to pursue an SEO campaign.
Sales Department
There is often a mutual suspicion and distrust between sales and marketing, but in order for your SEO campaign initiative to be as successful as possible, you should involve sales in the process of selecting a search engine optimization company as early as possible. Achieving buy-in from the salespeople is critical in making certain that the leads that are generated from the website are followed up on as diligently as they should be. By asking sales to assist in important areas of the SEO campaign, like creating an ideal prospect profile and helping to identify targeted keyphrases (after all, they talk to your prospects more often than anyone), you should be able to ensure that when the leads start coming in, your sales team will believe that leads from the website are high-quality and worthy of their immediate attention. After all, without increased revenues, the SEO campaign is not a success – and your salespeople will play a crucial role in determining this.
IT Department
This can be your most difficult challenge. Unlike most other forms of marketing, search engine optimization is a mixture of marketing and technology. Without achieving buy-in, or at least acceptance, from the IT team prior to the launch of an SEO campaign, you are likely to run into problems. IT teams can be particularly protective of their “turf” and may be reluctant to hand over information to your prospective search engine optimization company. This is not inherently bad (it obviously shows dedication to the job), but it can make things difficult when your search engine optimization company is requesting that changes be made to the company website or that analytics platforms be introduced (to name only two likely scenarios).
If you are not used to dealing with your IT department, it would probably serve you well to involve your prospective search engine optimization company in the process of achieving buy-in with them. After all, the vendor should have years of experience in approaching these situations without ruffling feathers. If you choose to approach IT yourself, make it a point to let them know that they will receive a fair share of credit for the success of the initiative and involve them in how you are defining success. This may be enough to win them over to your side.
Leveraging Your Assets
Search engine optimization is not something that should be done in a vacuum if you wish to achieve optimal results, nor is it a discipline in which it is necessary to start from scratch. Many of the pieces necessary for a successful SEO campaign are already in place – it is simply a matter of identifying them and using them (and your search engine optimization company) to their full potential.
Your People
While your search engine optimization company should take the time to understand everything that it possibly can about your business before embarking on your SEO campaign, nobody will ever understand your business better than you and your colleagues. This is why it is important for your search engine optimization company to help you to utilize key people that are vital to the success of the initiative, including people outside the marketing department.
Sales
Salespeople are the front line of your organization – the people who know how to talk to your prospects and understand what is involved in their decision making processes. When it comes to collaborating with your search engine optimization company on keyphrase selection (finding the phrases that will bring highly-motivated prospects to your site), your sales staff can be invaluable. Many companies have names for products or services that are very popular internally but very rarely used on the street, so targeting these phrases during your SEO campaign will not bring you the type of traffic that you seek. Your salespeople (at least the good ones) know how your prospects speak in the real world. A good search engine optimization company will help you to utilize your sales staff – and ensure they feel involved and enthusiastic about the SEO campaign in the process.
Customers
Customers can also be invaluable when it comes to selecting the keyphrases to target for your SEO campaign. Many companies are surprised when they enlist the help of a search engine optimization company to begin a campaign only to discover that their customers do not speak the same language that they do. This is common across just about every industry – most people are very intimately involved in their industries and use proprietary names, acronyms, and other verbiage that is, at the least, confusing to an outsider. Anyone who has ever been dragged along to a work function by a spouse can attest to this – it often sounds as though the employees are speaking animatedly in a foreign language, leaving the reluctant spouse to fend for him or herself. In short, talk to your best customers. Ask them what they would type into a search engine if they were looking for a company that provided what you offer. You will almost certainly be surprised by the responses.
Company Experts
Almost every company can boast that it has industry experts on staff – the ones who design products and services, the ones who implement them, etc. Yet very few companies take advantage of these experts to promote the company as a leader in their respective fields. Since search engines place a premium on valuable, educational content, leveraging your company experts to create articles and whitepapers for your SEO campaign is an excellent way to attain search engine rankings while also providing something of value to your site visitors. Adding this type of content throughout your SEO campaign also allows you the luxury of educating your prospects online so that they will be further down the line in the sales cycle when they eventually decide to make contact.
Your Content
Now that you have learned how to effectively make the best use out of your colleagues, it’s time to take an inventory of the content that is available to you for your SEO campaign initiatives. As mentioned previously, valuable content is held in high regard by engines and visitors alike. Often, however, much of this content never finds its way to the company website for whatever reason. Your search engine optimization company should help you to identify this content, which can include the following:
Whitepapers
Does your company have whitepapers that are used during presentations, at tradeshows, and in other areas but that are not available on your website? If so, you are missing out on a great opportunity to promote your expertise, educate your prospects, and impress the search engines. Most of these whitepapers can be optimized during the SEO campaign for maximum search engine benefit with minimal changes. Even older whitepapers can usually be dusted off by your search engine optimization company and brought up to date at a fraction of the effort that would be involved in creating a new one.
Articles
Similar to whitepapers but typically shorter, articles written by your company experts can be just as beneficial as whitepapers when added to the company site and for the same reason. Unless you have signed away the rights to any articles to the original publishing entity, there is no reason why your search engine optimization company cannot use them on your website for marketing purposes. Older articles, like older whitepapers, can typically be updated with minimal effort.
Press Releases
Your company press releases can also be optimized and utilized on your website. In fact, optimizing press releases prior to their distribution on the newswires is also a good idea. Unlike whitepapers and expert articles, it is usually unnecessary for your search engine optimization company to go back and update press releases during the SEO campaign, since they are historical in nature.
Offline Marketing
Almost every organization has offline marketing materials that are used at trade shows, in sales presentations, or in direct mail. Since this material has (usually) already been vetted by the marketing department, it is usually fit for consumption by the general public. Often, however, these materials are left to rot once they have served their offline purpose, when they could easily be repurposed by your search engine optimization company and used to great effect on the website. Of course, there may be good reasons for this – you may not want to give away your best sales pitch to your competitors by making it public.
Unique Challenges
Although it is wise to make the most out of your existing assets when you are launching an SEO campaign, you should also be aware of some of the unique challenges that are inherent to the online arena. Keeping these challenges in mind as you begin your SEO campaign can make a large difference in your results down the road.
Understanding Searcher Behavior
In marketing, it is accepted that one must grab the prospect’s attention with a compelling message in order to maintain his or her interest. On the Internet, this is paramount. People who are using search engines are, by definition, in a “searching” mode. While this is of course obvious, it is also important to remember that in no other form of marketing is it easier for the searcher to abandon your attempts to attract his or her attention and look elsewhere. Your competitors are a simple click of the ‘back’ button away. In fact, a recent study shows that the average visitor to a website stays for less than three minutes – hardly enough time for him or her to be sold.
Searchers have been conditioned, by the sheer amount of information available, to be impatient when they do not immediately find what it is they are seeking. What does this mean? It means that your pages should offer immediate insight on the common problems that your customers face. If you cannot communicate, within a few seconds, how you understand your prospect and how you are different from the myriad of other firms out there, you have lost them, perhaps forever. With help from your search engine optimization company, take a close look at every page of your website. Do you focus on the user, or do you focus on your company? Do you immediately engage your prospects with your knowledge of what particular business challenges they are facing? If not, it may be time to rethink the most prominent marketing message on your individual pages and devise a new action plan for your SEO campaign.
Redefining “Competition”
Almost every company has a list of four or five companies that it considers to be its primary competitors. These are generally the companies that it believes offer products and services most similar to its own. Often these companies steal employees from one another, and they seem forever concerned with what the other is doing.
On a search engine, however, your definition of competition should be broader. It should include any company that offers the same products or services as your company that outranks you for important terms. Whether or not these companies are on your immediate radar is immaterial – a searcher will not know the difference, nor will he or she care. The Internet is, by and large, a vast and level playing field. There are quite possibly companies that you have never heard of using the Internet almost exclusively to promote their brands. It is important to watch out for these competitors as well as the ones you and your search engine optimization company currently track.
The Role of Patience
Unlike with most marketing channels, search engine optimization has many variables that will be outside of your control and the benefits will not be immediate. Simply put, it takes time to properly optimize a website for optimal search engine performance, and there are no guarantees as to when the engines will re-visit your site and reward you for the efforts of your SEO campaign (although, if you select the right search engine optimization company and play your cards right, it will happen).
The obvious downside is that an SEO campaign can take time before you begin to see your ROI, and unlike most other forms of traditional marketing, the timing can vary greatly. The upside, which people who successfully engage in an SEO campaign realize, is that the ROI is typically much greater than other forms of marketing. It is also important to remember that working with a search engine optimization company is a longer-term investment, which, like other longer-term investments, takes time to mature. If you spend marketing dollars on a print ad, that ad will only be effective for as long as the publication is in the public eye. If you buy banner ads or use pay-per-click advertising, your presence will decline once you stop paying. But a website that’s been properly optimized by a competent, knowledgeable search engine optimization company will likely bring you traffic for years to come.
Works Cited
1. U.S. Interactive Marketing Forecast, 2009 – 2014
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