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Common Mistakes People Make When Starting an Online Business

Common Mistakes People Make When Starting an Online Business

If done correctly, creating an online business can be your ticket to wealth and success. However, the ticket does not come free of charge. Don’t fall into the trap of thinking that just because your business is online that it won’t take any effort to run it. Creating any business is hard work, and there are many pitfalls along the road to success that can swallow you up at any time if you’re not careful. Be cautious not to fall into any of the following traps:

1. Not knowing your audience

This should go without saying, but I’ll say it anyway. Before you even think of going live with your business, make sure you’ve done your homework. You can’t just put a product out there and hope for the best. You need to know who your target audience is. Know your demographic, their interests, their needs, and what they can afford. Leaving even one of these details out of the equation would be a crucial error that may lead to the downfall of your company.

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2. Worrying about insignificant details

There are definitely minute details you’ll need to focus on when starting an online business, but some things can take a backseat until you get off and running. For example, leave almost anything related to aesthetics until after you’ve established a customer base and are generating some income. Don’t worry about creating a sweet looking logo or business card before you start making money. Remember what Google’s original homepage looked like? I mean, it still is pretty simplistic today; but the service is incredible, which is what made the company so successful.

3. Spending too much too quickly

You’ve likely taken out a decent amount of loan money to start on your new venture, but keep in mind that this cash is going to run out much quicker than you realize. While you do have to spend money to make money, there’s no sense in putting all your eggs into one basket hoping for a major payoff. Be as frugal as you possibly can while starting out; once you start generating income and repaying the money you’ve borrowed, you can start spending on the extras that will help your business flourish.

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4. Undervaluing your product or yourself

Obviously, you’re going to want to attract customers any way you can. But don’t sell yourself short in an attempt to lure customers. Price your products or services with integrity. Think about it: if you underprice your products just to create a customer base, then jack up the price once you have your audience hooked, do you think they’ll stick around much longer? Not only that, but by underpricing your product, you’re sending a message that you don’t think much of what you’re selling. Make it affordable, but don’t undercut your competition to make a quick buck.

5. Ignoring your customers

As I’m sure you know, “the customer is always right.” If you don’t live by that maxim, your business is going to suffer. Your customers will tell you what they want. Listen to them. Solicit their advice through surveys and social media interaction. While you definitely want to have integrity within your company, don’t be so rigid that you ignore what your customers want, and end up losing major profits in the interest of “staying true to yourself.”

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6. Underestimating the time and effort it takes to succeed

As long as we’re discussing cliches that have been driven into the ground, let’s use one more: “Rome wasn’t built in a day.” An online business is no different than any other. Like I said, you can’t just assume that your product will go viral and you’ll end up an overnight millionaire; it’s just not going to happen. You need to stay diligent every single day if you want to experience true success. Throughout your first year (or even the first couple of years), you’re going to have to eat, sleep, and breathe your business. Get used to it!

Featured photo credit: Happy family mother and baby at home using laptop computer/evgenyatamanenko via farm1.staticflickr.com

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Last Updated on June 13, 2019

15 Best Entrepreneurs Books to Start Reading Now to Be Successful

15 Best Entrepreneurs Books to Start Reading Now to Be Successful

Knowledge is power, and you’re going to need a lot of it if you’re going to be able to steer your business to success.

Without further ado, let’s take a look at the 15 best entrepreneurs books to get inspirations about success and grow your business.

1. Think and Grow Rich by Napoleon Hill

    This book has been dubbed the Granddaddy of All Motivational Literature, and it was actually the first book that gave a prescription of what it takes to be a winner.

    Napoleon Hill draws from the stories of millionaires like Henry Ford, Andrew Carnegie, and Thomas Edison to illustrate the principles he put forth.

    Get the book here!

    2. The Lean Startup by Eric Reis

      A lot of startups end up failing, but many of these failures are actually avoidable. The Lean Startup provides a different approach that is now being adopted all over the world and changing the way that companies are developed and products are being launched.

      In The Lean Startup, Eric Reis describes what is required for a company to penetrate the fog of uncertainty in order to discover a path to a sustainable and successful business.

      Get the book here!

      3. The E-Myth Revisited by Michael E. Gerber

        In a revised edition of the 150,000-copy bestseller, The E-Myth, Michael Gerber refutes some of the myths that surround starting your own business and shows just how commonplace assumptions can end up getting in the way of being able to run a successful business.

        Gerber succeeds in walking the reader through the steps that occur in the life of a business, from infancy, through the pains of growing as an adolescent, to the perspective of the mature entrepreneur.

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        Get the book here!

        4. Rework by Jason Fried

          Most of the business books that you get today will give you the same advice: draft a business plan, study the competition, look for investors, and all that.

          However, Rework shows you a more effective, easier and faster means of succeeding when running a business. By reading it, you’ll be able to know why some plans are harmful, why you don’t really need to get investors, and why you’re better of shutting out your competition.

          Get the book here!

          5. How to Win Friends and Influence People by Dale Carnegie

            This is one of the most successful motivational books in history, selling well over 15 million copies since it was released in 1936. The book is timeless, and it appeals to businesses, self-help startups, and general readers.

            Carnegie believes that a lot of successes come from an ability to communicate rather than having brilliant insights. In his book, he teaches how to value others and make them feel appreciated and loved.

            Get the book here!

            6. Outliers: The Story of Success by Malcolm Gladwell

              Through this amazing book, Malcolm Gladwell is able to take the reader on an intellectual journey through the world of ‘outliers’. He asks the question of what truly differentiates high-achievers.

              His answer to this question is that we tend to pay too much attention to what successful people are like, and less attention to where they are actually from.

              Get the book here!

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              7. Rich Dad, Poor Dad by Robert T. Kiyosaki

                This is the best personal finance book ever written. It tells the story of Kiyosaki and his two fathers; his real father, and that of his best friend (his rich dad), as well as how the two men helped him shape his opinions on money and investing.

                It refutes the myth that you need to earn high to become rich, and it distinguishes between working for money and having money work for you.

                Get the book here!

                8. The Ascent of Money: The Financial History of the World by Niall Ferguson

                  Niall Ferguson, in this book, follows the money to tell the story behind the evolution of the word’s financial system, from the beginning way back in ancient Mesopotamia to the latest occurrences in what he had dubbed Planet Finance.

                  Fergusson also reveals financial history as the backstory behind our very own history, with an argument that the evolution of debt and credit is as significant as the history of technological innovation and the rise of civilization.

                  Get the book here!

                  9. Liar’s Poker by Michael Lewis

                    Michael Lewis landed a job at Salomon Brothers after getting out of the London School of Economics and Princeton within three years, he had risen to the rank of bond salesman, making millions for the firm and cashing out steadily.

                    Liar’s Poker is the amalgamation of these years — a look behind the scenes at one of the most turbulent times in American business. His book is Lewis’s account of an era where greed and gluttony were the order of the day.

                    Get the book here!

                    10. Drive: The Surprising Truth about What Motivates Us by Michael H. Pink

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                      A lot of people see money as the best motivator. Michael pink says it’s a mistake.

                      In this provocative book, he asserts that the secret to high performance anywhere is the need to direct our lives, to learn and create, and to do better by our world and ourselves.

                      Get the book here!

                      11. Getting Things Done: The Art of Stress-Free Productivity by David Allen

                        Outdated methods don’t work in today’s world. In this book, Allen shares some awesome methods for stress-free performance that he has shared with thousands of people all over the world.

                        His premise? That productivity is proportional to your ability to relax.

                        Get the book here!

                        12. The 7 Habits of Highly Effective People by Stephen R. Covey

                          In this book, Stephen Covey presents a holistic approach for overcoming both professional and personal issues. With insights and anecdotes, Covey presents a way to live with integrity fairness, service and dignity.

                          Get the book here!

                          13. The 4-Hour Workweek: Escape the 9-5, Live Anywhere, and Join the New Rich by Tim Ferriss

                            In this book, Ferriss dishes on the tips he has learned from studying the New Rich, a subculture of people who did away with the deferred life plan and mastered time and mobility to developed luxury lifestyles for themselves.

                            If you’re looking to make your way in this revolutionary new world, this here is your compass.

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                            Get the book here!

                            14. Delivering Happiness: A Path to Profits, Passion, and Purpose by Tony Hsieh

                              The CEO of Zappos shows how a unique kind of corporate identity can help deliver a huge difference in the way results are being achieved — by creating a company that values and delivers happiness.

                              Get the book here!

                              15. Losing My Virginity: How I Survived, Had Fun, and Made a Fortune Doing Business My Way by Richard Branson

                                From Virgin Atlantic Airways, Virgin Records and V2 to Virgin Cola, Virgin Megastores and a wide array of other companies, Richard Branson is the rockstar billionaire that a lot of us want to be.

                                Branson, however, did business by following a simple philosophy:

                                “Oh, screw it, let’s do it”

                                Losing My Virginity is an unusual, borderline outrageous autobiography of one of the greatest business geniuses in the world. Branson and his friends named their business “Virgin” because that was what they were — virgins at the game.

                                Since then, he’s written his success rules, creating a global business that has no headquarters, no management structure no corporate identity as it were.

                                Get the book here!

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                                Featured photo credit: rawpixel via unsplash.com

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