IT’S TIME TO MOVE OUT OF ‘PLANNING’ MODE AND DIVE INTO ‘DOING’ – THAT IS, SETTING UP YOUR SHOP IN A WAY THAT GETS YOU SALES!
This is a very practical stage with a fair bit to do, but also the most exciting part as everything comes together.
And by the end of it, you’ll be open for business and will have everything in place to start receiving traffic and sales to your shop.
Something to keep in mind is, 'Progress over perfection, always' – and there’ll be lots of opportunities to improve later on. Perfectionism can be a time killer, causing you to want to get every little detail right. Remember you will have time to tweak or change your business over time, just remember to get the groundwork done and move on to the next step.
In my previous blog, 'The Dream Stage' I outlined my fail-proof system, to help you figure out what to do, when, and in exactly what order, to build your profitable business the RIGHT way.
There are four stages within this system is:
✨ The Dream Stage
✨ The Build Stage
✨ The Grow Stage
✨ The Scale Stage
In this blog, I am going to focus on the build stage. Now don't dismiss this stage if you are an existing business and you think you have this stage sussed. If you don't know your numbers, and your business is lacking structure and a clear pathway then be sure to have a read.
What you should be focussing on at the 'Build Stage' is:
🎯BUSINESS LEGAL SETUP
🎯BOOKKEEPING AND ACCOUNTING SYSTEMS
🎯BRANDING (BASIC VISUAL IDENTITY)
🎯PACKAGING
🎯PRODUCT COLLECTION DEVELOPMENT
🎯PRICING STRATEGY
🎯PRODUCT PHOTOGRAPHY
🎯PRODUCT DESCRIPTIONS
🎯SOCIAL PROOF
🎯ONLINE SHOP OR WEBSITE SETUP
🎯BASIC EMAIL MARKETING
LEGAL SETUP, BOOKKEEPING & ACCOUNTS
It’s super-important to make sure your online business is set up properly with all the legal requirements in place, so you don’t get in trouble down the line – but probably even MORE important is the HUGE mindset shift that goes with it!
Because once you’re all legit, with separate bank accounts for your biz and everything official, you can step fully into your 'Business Owner' shoes and out of the hobby mindset (that would otherwise hold you back big-time!)
I started my online business as a hobby, making extra money for the extra things that I wanted and also to help pay for the kid's school & sports costs.
TASKS TO COMPLETE:
- Know your tax requirements as a business in your country
- Choose the right business structure. For example in AU, sole trader, company, partnership, etc
- Set up a dedicated bank account for your business.
- Have an accounting system. You can start with a basic spreadsheet recording your ins & outs. OR invest in account software like XERO or MYOB.
BRANDING & VISUAL PACKAGING
It’s not the outside that counts, but what’s inside … isn’t it?! The product will sell itself?
Well actually, in marketing, and certainly when it comes to selling online, the outside sure counts for a whole lot too! Your customers don't get to touch and feel your product when they are browsing online. So professional-looking branding and packaging do a few (crucial) things ...
- First, they attract the right buyers to your shop (your ideal customers) and make them fall in love with your stuff, helping to turn them from casual visitors to adoring (repeat!) customers
- They also help you increase the perceived value of your products, so you can price your products & account for your time at its true worth → real profit!
- Plus, they make people remember you, talk about you, recommend you, and come back for more!
Now you don't have to invest thousands to get your branding right, there are ways you can do it yourself as I have done. Packaging also can be so simple yet so effective. I package my products with a greeting card, twine & kraft paper. Have a look on Pinterest and you will see many creative ideas for simple packaging ideas that make an amazing impression.
PRODUCT COLLECTION DEVELOPMENT
Many businesses may start as a one-product business and that is totally fine. But as you grow it is good to keep in mind how well your product collection will fit together or complement each other.
It’s really important from a marketing standpoint to make sure they make sense as a collection
When you understand what makes a great product collection, your stuff will not only sell like THE most delicious hotcakes, but you’ll also increase your average order value (yay more income!) – because customers will see how well “product A” goes with “products B, C + D ...” and end up buying them all!!
PRICING STRATEGY
When you have a hobby, you spend money to create the things you love to make.
When you have a “bobby”, you’re selling your stuff and making just enough cash to cover your costs.
It’s only when you have a real business that you make a profit from selling your products. In fact, without profit, there is no business … only burnout ;-)
And the key determinator in where you fall on this little “hobby–bobby–business” scale … is your pricing strategy. When you’re deciding on your pricing, of course, you need to take into account how
much it costs you to make a product, and how long each one takes to create so that when you sell, you actually make money.
But you also need to think about how your pricing fits with your branding and marketing.
Because pricing your products correctly can help you attract the RIGHT buyers, and therefore help you make more sales and more money.
And NO, I don’t mean you should just CUT your prices massively to out-compete other products in the market and sell more! Not at all!
Instead, you need to use what you figured out about your ideal customer and your brand values in the Dream Stage to craft a pricing strategy (based on math – not just your best guesses!) that will work for you and your market. So you can be confident your prices are competitive AND profitable.
PRODUCT PHOTOGRAPHY
Poor product images in your online shop are going to mean fewer sales – and they also make it harder for you to charge the true value they are worth, because you look more like a 'crafty shop' or hobby.
Your product photography affects your brand image, your sales, AND your bottom-line.
These days everyone and their mother has a professional camera in their pocket, as part of their smartphone – and they’re posting their gorgeous images all over social media. Which has raised the bar A LOT as far as people’s expectations of photography are concerned!
But the GOOD news is, you ALSO have a professional camera in your pocket, quite probably! And with a little practice and guidance, you too can get the classy images you need. There are also amazing Mockups available for artists & designers, which help you present your products in a simple & professional way.
Yes, it may take a while to get up to speed at first, but I’m here to tell you that’s TOTALLY normal.
And since professional-looking product images are going to be crucial to the success of your shop (both in this stage) and for your marketing during the Grow Stage.
PRODUCT DESCRIPTIONS
When looking at an item in a physical store, customers can pick the item up, look at it from all angles, touch and feel it, and even try it on. They can’t do that when shopping online. So it’s your responsibility to replicate that experience as much as you possibly can. Product images can do a lot of heavy lifting in terms of getting buyers interested in your items. Not only that but 80% of people remember what they see, compared to 10% of what they hear and 20% of what they read.
However, it’s the product descriptions that will help close the sale.
A product description is a type of marketing copy (words) that includes information about a product and its benefits, functions, and features. They are designed to educate potential customers about the benefits of your product while encouraging or enticing them to buy it.
Though there is no one right way to create a product description, the best product descriptions are often punchy and to the point, including information about the problems the product solves as well as how it benefits the user.
ONLINE WEBSITE SET UP
Before you set up your shop, of course, you need to pick the right platform for you. There are many choices on the market for an eCommerce website platform – Shopify, WordPress, or Wix.
Once you’ve decided, then it’s about setting up your shop to get the BEST conversion rates possible (aka: sales!) – which means putting together your website copy - homepage, about page, product descriptions, shipping options, social proof/customer reviews and optimising your website to convert once you launch.
Always keep your customer in mind when putting together your website as they are the ones who will be buying.
BASIC EMAIL MARKETING
One of the tasks I failed to do when I first launched my store was to set up basic email marketing.
This included:
- Abandon cart email series
- Welcome / Website Lead Magnet Email Series
- Nurture email series
- New customer email series
There are more but in my opinion, these emails should be set up before you launch your store. The importance of building your email marketing list is because your business owns that list.
It is a way to communicate with your customers without relying on the Facebook or Instagram algorithm to be nice to you.
The Build Stage contains a lot to do but if done right, it will set you up so you can concentrate on selling your products and services online once done.