Studies have shown that 90% of online businesses fail in the first few months. So, 9 out of 10 online businesses fail. The good part is, most of these online businesses start with a shoestring budget so not all of these people are losing a lot of money due to this failure.
However, 90% is still a big number. If you are planning to start an online business, you should know the most common mistakes people make when trying to earn online income.
The first thing that came to mind, when you hear that 9 out of 10 businesses fail in the first few months, is the fact that it is too early to evaluate a business for success or failure. Why would you start and label a business as failure in just two or three months? It can take at least 6 months or a year before a business can make its mark. For example, SEO efforts will take 6 – 8 months before you get any traffic. It’s the same with social media or paid ads. So, whenever you are planning to launch an online business, you should ask if you have the patience and budget to last for at least 6 month?
Trying to be a one-man army:
The best part about online business is the availability of tools and platforms that allow you to do everything on your own. For example, you can launch a professional looking website without knowing how to code by using WordPress or Shopify. You can create social media posts, videos, content, and everything else, all on your own. However, that becomes the downfall for most businesses because the business owner is trying to juggle so many balls. It is important to focus on hiring the right team and delegate tasks.
Not self learning:
On the other end of the spectrum are people who just leave everything on others right from the day one. They will hire an SEO agency or PPC team and simply accept what they are telling them. Self learning is important because you need to know the ins and outs of all these marketing and sales mediums before you can make the most of your team and resources. Spend some time reading websites and blogs that share advice. This website is a good one but you can find many more.
You cannot conceive and create a system:
You can spend a few months working late at night but you cannot do it forever. There are so many instances where the business owner or founder has to go through work related burnout after a few months. Any business that relies heavily on just one person is bound to fail because that one person can lose the motivation or energy to keep going. So, it is important to create systems and have your business run on autopilot.
Not using the right tools:
There are so many tools out there that can save you so much time in terms of marketing, competitors analysis, emails, lead generation, or lead nurturing. In their bid to save as much as they can, new startups try to do everything manually or with free tools. Problem is, you might save a few dollars but you will end up wasting hundreds of hours that you could have spent elsewhere. No matter what you are trying to achieve, make a search and compare the available tools. You will be amazed at how convenient some of these tools are.