Introduction
Running a traditional business is like a brick and mortar business, which usually carries with problem of overhead cost and logistics.On the other hands, running online business is more or less similar to running traditional business that still needs to handle all kinds of those customer support and fulfillment. However, the main difference is that online business does not need to open a physical department store to attract customer, so, it saves a lot of money for rental and decoration of store.
Comparison between traditional business and online business
To compare the operation steps between traditional business and online business is as below:
| Steps | traditional business | Online business |
| 1 (same) | Seek for winning products to sales | Seek for winning products to sales |
| 2 (same) | Setup a merchant account to authorize for trading the products | Setup a merchant account to authorize for trading the products or join affiliate program |
| 3 (diff) | Setup a department store to attract customer | Setup a web site or online platform to attract customer |
| 4 (diff) | Setup Marketing Campaign and Advertisement to promote products | Setup Sales Funnel, Marketing Campaign and Advertisement to promote products |
| 5 (diff) | Employ salesman/saleslady to handle customer request |
5.1 Employ salesman/saleslady to handle customer request for merchant 5.2 if you join affiliate, some affiliate company will handle customer request |
| 6 (diff) | Handle logistics to purchase, store, sell and delivery products |
6.1 Handle logistics to purchase, store, sell and delivery products 6.2 if you join affiliate, affiliate company will handle logistics |
| 7 (diff) | Handle after-sales Support or customer complain |
7.1 Handle after-sales Support or customer complain 7.2 if you join affiliate, affiliate company will handle after-sales support |
According to operation steps comparison table, step # 3 is the main difference. For steps #5 to 7, you can get some benefit by using affiliate service which I will describe in another article “What is the best Business Model for internet marketing – your own business VS Affiliate ?” as link <<HERE>>.
Prerequisites for Running Online Business
Running online business needs other kind of skill-set which is difference from traditional business. You needs to spend a lot of time and effort on online business to build a website, write copy, create a “how to” eBooks etc. If you do not good to work on multi-media, such as writing articles, graphics, taking photo, produce video, etc, you may find it is very difficult to attract customer. For example, you need to create an attractive articles or photo to promote your product in web. However, if you like it but just do not know now, it does not matter because you can easily learn from classroom lesson or online lesson. Hence, online business has its pro and conv, you can think whether or not you are suitable for online business.
Bonus
One of the proven New Business Model for online marketer is this Internet Market Revolution’, click link <<HERE>> to find detail.
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