Tuesday, 28 February 2012

Websites: Making money online?

Constantly I get emails from marketers and other individuals who run their business online. And one thing is clear, they use their website to sell their products, and help others sell theirs. And this is how they use their website to generate an income. They use an affiliate site to get income for their clients and themselves. So how do they do it, how do they make money online, while the rest of the world are working 9-5 trying to make an honest living. What is so special about them that they don't even have to have an office in order to maximize their sales with seemingly little effort. And most importantly, why do so many people trust that they are a legitimate business.

It is a matter of engagement, and when you follow the right kind of research and the right kind of results, anyone can know that you identify a gap in someone's life and offer the solution. Advertising and Marketing firms have been doing it for decades, maybe centuries. This is how trading was initially developed, you had gold and I had corn, I needed gold and you needed food. And industries started forming to fill the gap that is exists not only on a one-on-one basis, but on a mass scale. And the internet and eventually the online industry was formed on a need for mass people to be able to access information and other forms like communication and recently social media and marketing. A website is used as part of this industry, not only to feed people with information, but to additional supplement this service with physical products that can be sold online and shipped to your door, without leaving your home.

Research has shown that 89% of the United States population find buying online easier and more efficient. Someone must be selling to them online and someone came with an idea of transacting money online. A company like Paypal with 6 million transactions daily, has made it possible for people to transact online in a trustworthy manner. You are able to open an account with Paypal and link it to your bank account and have people deposit money into it, if you are the seller, and you can also pay people using Paypal. And this is how you get people to trust that the sale is legitimate, having a trusted brand behind you. Paypal will be able to trace the transaction and if what you bought online does not get delivered, you can trust that they will help you find the fraudsters. And an online credit card software by Visa and Mastercard is incorporated into your website and can transact in a safe manner. Research also shows that more and more products are shipped all over the world using website that sell products. The transaction is immediate and the companies are able to ship the product in record time. And you can not say online transactions without thinking of Ebay and Amazon.

How do they make money online. They sell products that are essential or rather marketed in such a manner that you feel empty without it. They do it just as well on a website like they do it on TV. They will start by listing all the struggles you had with using everyday ways or gadgets, and then offer a solution that is more efficient and very effective. And they get people who are good writers, who are good with 'emotional jargon' and using it to make you feel left out. The second thing that has worked wonders for website sales is testimonials. When you see ordinary people who put their testimonials, you almost feel left behind. And this another powerful marketing tool, make it seem like everyone is on the bandwagon, and you are the only one left behind. Most people purchase, not because the product is useful to them, but purchase because they don't want to be left behind.

Are the people selling you things online special? Off course not. They just saw an opportunity and decided to take that risk, and before all this automated systems that we have today. People used to do it manually, so they would get an order, and they would call the shipping company and follow the whole process manually. But today, the shipping company comes with an online notification and they already come with the reference number issued by the website, and they match the transaction and the company issues the product. And the most important element that is more advantageous than any other business like it, is that customers pay upfront. Sometimes they don't even have the stock of that product with them. And they are able to control the demand with exact numbers and therefore their loses are almost non-existent. Someone saw a gap, and spent money wisely promoting the product online. They also offer other products to supplement their business, and a great way to get your product off-the-shelves, is to say it is a clearing sale, and a time-bound sale.

How do you join a market where people are using websites to earn a comfortable living, you need to do your research and offer people the lifestyle they would like to live with your product. Offer them a solution that is a pain to live without, (or a perception that it is a pain to live without), and the pleasure of living with your product or service. If you ask the right questions, you will offer the right solution, with unbelievable sales growth. Join the 45% of businesses that transact online and increase your base market and definitely increase your bottom line. Websites are doing things more effectively and if this is what you are promising your customers and you are not handling transactions online, you are loosing 6 million people, who are willing to pay you upfront.

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