Starting an online business is somehow just the same with starting a brick-and-mortar business in various ways. Just like a with a storefront business, you also need to make a business plan, get funding, have products, employ marketing, and work hard in order to start up a business online. However, there are some aspects that are really different when running an online business that would-be online business owners must understand and prepare for.
If you are planning to start an online business, then you must first know the most common types of online businesses you can try. The type of online business suitable for you will depend on many factors like the particular kind of business you want, the products you will be selling, and of course, your funds.
Four Most Common Types Of Online Businesses
When it comes to online business, one of the most direct forms is the eCommerce site. These are the types of online businesses that are self-hosted. Products and goods of the business are sold directly to the customers from the business website. This is the most recommended type of online business if you want full control over your store. You’ll have control in almost all aspect of the online business development especially on the initial stage like web development and designs, customizing the look and feel of your site, web hosting options, marketing tools, and more.
However, choosing a self-hosted business site is also more complicated compared to other types of online businesses. If you prefer this option, you need to make sure that your eCommerce site is properly setup and designed, and can provide the best user experience to customers.
Starting an Etsy store is a very good option for beginners who are just starting in the online business world. Setting up and Etsy store is very easy and will allow minimal customizing option on your site’s layout. However, with an Etsy store, business owners must still pay for the Etsy interface.
One important element to consider before you open an Etsy store is that Etsy store is an online selling site developed for handmade items. If you are planning to sell handmade and creative stuffs like handcrafted items, your own arts, vintage items, Etsy is the perfect online business site for you. But, if you are planning to sell mass-produced products, then starting an Etsy store may not be a really good decision since Etsy does not welcome mass-produced goods in their site.
Just like with an Etsy store, setting up an eBay store is very easy since you won’t have to build your own website and do the time-consuming customization processes. With an eBay store, the easy setup already includes a complete store features like a shopping cart software. However, that would also mean minimal control and customization options for you as a store owner.
But compared to Etsy, you can sell almost anything in eBay from vintage stuffs, collector items, foods, appliances, and more. Before starting an eBay store, make sure to check the items that are not allowed to be sold in eBay to make sure that you are starting the right online business.
Service-Based Online Business
Online businesses selling services are also growing and becoming in demand. Service-based online businesses are the types of online business that do not sell physical goods but services like consulting. Service-based online businesses usually set up their own eCommerce site so they can present their services to more target customers online. These kinds of websites are usually self-hosted just like the common eCommerce sites that sell physical goods making the development of the whole website more complicated but also allow business owners more control over their website.