Published: November 17, 2012
Edited: December 24, 2013
The web is filled with online businesses. It's trendy, it's easy... more and more people have started their own web-based business and more will try in the future.
Starting a business online is easier than ever before.
However, most attempts fail...
It's trendy to own and run an online business. But some things block the vast majority of people from succeeding.
We're listing 7 reasons why most e-business startups fail...
Niche selection mistakes: either the competition is immense in the niche picked or, the niche itself isn't profitable enough (making sure you select the right niche at the beginning is vital - it has to be able to attract streams of potential buyers and, the industry itself must be profitable)
Focusing way too much on user experience rather than optimizing for sales: it's not the beauty of a site that will make profit (although user experience is very important)
Poor metrics analysis and inability to improve on metrics: you must understand your metrics and you must constantly find ways to improve them
Poor or inadequate advertising channels: it's important to use the best channels and enough channels in order to drive visitors to the website
Poor differentiation from competition: before setting up any website - make sure you checked the main competitors (see how their sites look like, how advanced they are technically, what strong points and weaknesses they have - you will have to differentiate efficiently from rivals, so that visitors will chose your site over theirs)
Insufficient adaptation to the new trends: are you aware of the new trends in e-business? You will have to know the terrain well and be up-to-date with the situation - even being a few weeks behind can be a difference between failure and success...
Poor customer service, support: although it depends on the industry you're activating in, it's essential to provide efficient customer support - once you lost a customer, he/she is gone forever (getting back any customer on the internet is like finding a needle in a gigantic haystack!)