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Navigating Disputes: Strategies for High-Risk Payment Processing Providers

High-risk businesses deal with a lot of disputes that hampers their smooth operations. Thankfully, high risk processing payment processors like Areto Payment offer dispute resolution strategies and chargeback prevention techniques to deal with these problems. This article will show you ways how disputes can be effectively managed and solved, especially with the help of high risk payment processors.

Key Takeaways

  • High-risk payment processors face problems like high chargebacks and fraud, which require good tools to handle disputes.
  • To avoid disputes, companies should communicate clearly with customers, study data to see where problems come from, and always try to get better at solving issues.
  • Quick action and clear records are key when a dispute comes up. This keeps customers happy and can stop bigger problems.

Challenges in High-risk Payment Processing

High-risk payment processing providers often deal with challenges like high chargeback rates and fraud. These issues come from dealing with industries known for financial risks or purchases that customers frequently dispute.

Because of these risks, these companies have higher fees and stricter contracts. They work in spaces where transactions are more likely to face problems such as fraud detection and prevention, making dispute resolution strategies essential. Handling disputes, after all,  requires a keen understanding of risk management in payment processing and implementing chargeback prevention techniques effectively.

Regulatory compliance adds another layer of difficulty for these providers. Staying within legal boundaries while managing high-risk merchant account solutions demands constant vigilance and knowledge of changing laws.

High-risk sectors also attract more scrutiny and pose a higher probability of encountering transaction disputes that can harm business reputation if not managed well. These service providers must prioritize customer relationship management in payment processing to handle these challenges successfully, ensuring they keep their operations smooth and clients satisfied amidst the potential for increased fraud or charged back transactions.

Areto Payment is a prime example of a high risk processor that offers solutions oriented towards solving the challenges of high chargeback rates and financial instability. We bring expertise to areas where fraud detection and prevention methods are crucial.

Our expertise include managing the tricky waters of payment gateway security measures while keeping regulatory compliance for high-risk industries at the forefront. At Areto Payment, we turn high risk into high reward.

Understanding Disputes in High-Risk Payment Processing

A hand holding a missing white jigsaw puzzle piece over an incomplete white puzzle

High-risk payment processors often face chargeback disputes. This means a customer asks their credit card company to reverse a charge from their account. Chargebacks can happen for many reasons like unauthorized use of the card or if a customer is unhappy with a purchase.

Since high-risk merchants are more likely to see these disputes, it’s crucial for them to monitor and manage them closely.

Having strong dispute resolution strategies becomes critical here. It’s all about minimizing damage while handling disputes effectively. A clear plan helps manage the fallout better—preserving relationships with customers and maintaining the company’s reputation.

Think about it: less disruption means smoother operations and more focus on growing the business rather than putting out fires caused by unresolved issues.

Key Strategies for Handling Disputes

Handling disputes is a big task for high-risk payment processors. It’s key to stop problems before they start. Here’s how:

  1. Pick the right high-risk merchant account provider. Look for one with clear pricing and good reviews.
  2. Understand the difference between high-risk and low-risk accounts. This helps in setting realistic expectations.
  3. Review contracts carefully. Avoid surprises by knowing about fees, terms, and conditions upfront.
  4. Use technology to track transactions. This can spot issues early on.
  5. Keep communication open with customers. Clear information can prevent misunderstandings.
  6. Analyze data regularly to see where disputes come from and fix these issues.
  7. Follow legal advice to stay within rules, avoiding disputes related to compliance.
  8. Consider rolling reserves as a safety net for chargebacks, which are common in high-risk accounts.
  9. Study third-party reviews and expert analyses of service providers to make informed decisions.
  10. Educate your team on best practices for dispute resolution specific to high-risk processing.

These steps help create a smoother process for everyone involved, reducing the chance of disputes dramatically.

Best Practices to Efficiently Manage and Resolve Disputes

Preventing disputes is always the first step. Yet, even with the best measures, disputes can still happen. Here are the best dispute resolution strategies to manage and solve them.

  1. Act quickly once a dispute occurs. Time is crucial in dispute resolution. The faster you respond, the more likely you can settle the issue to everyone’s satisfaction.
  2. Keep all communication clear and documented. Make sure every interaction with customers is saved and easy to find. This helps if you need proof of what was said or agreed upon.
  3. Understand the reason for each dispute. Different problems need different solutions. Knowing why a customer is unhappy lets you address their specific concerns.
  4. Train your team on how to handle disputes effectively. Everyone should know what steps to take when a problem arises. This includes understanding policies on fraud and chargebacks.
  5. Use technology to help manage disputes better. Tools like automated alerts can notify you when there’s a problem so you can deal with it right away.
  6. Follow up with customers after resolving a dispute. This shows them you care about their satisfaction and are working to improve your service.

These strategies focus on quick action, clear communication, understanding each issue, training staff correctly, using technology wisely, and keeping in touch after solving problems.

Leveraging Technology for Dispute Management

Many high-risk payment processors use advanced tools to handle disputes better. These include software that spots possible chargebacks before they happen. Such technology also helps keep track of a business’s dispute history, making it easier to spot and fix issues quickly.

Tools like automated dispute alerts let companies know right away when there might be a problem. Then, they can act fast to solve it before things get worse. This quick action keeps costs down and can even help avoid disputes in the first place.

With the right tech, managing these risks becomes much simpler, letting businesses focus on growing instead of just solving problems.

Case Studies

With the exploration of technological tools in dispute management, we now see how they play out in real-world scenarios. Here’s how technology has made a significant impact on resolving disputes for high-risk payment processors:

  1. High-risk merchant account providers have integrated machine learning algorithms to identify trends that could lead to disputes. This proactive approach allows them to adjust their dispute resolution strategies in real-time, minimizing the risk of chargebacks.
  2. Automated dispute resolution systems implemented by companies like Areto Payment simplify the process for merchants. These systems manage communications with credit card companies and automate evidence collection, making it easier to resolve disputes quickly.
  3. Data analytics tools play a crucial role in understanding the causes of disputes within high-risk industries. By analyzing this data, businesses can implement targeted changes to their processes, reducing the likelihood of future disputes.
  4. Email filtering technologies help businesses prioritize dispute-related communications. This ensures that high-priority messages are addressed promptly, improving response times and customer satisfaction during the dispute resolution process.

Technology streamlines the dispute process and provides valuable insights that help prevent future issues for high-risk payment processors and their clients.

Regulatory Compliance and Legal Considerations

Regulatory compliance for high-risk industries is extremely important to ensure safe transactions. It also keeps costs down both for businesses and their customers. Staying compliant with regulations helps keep transactions smooth and trustworthy.

Areto Payments takes its role high risk processing seriously, especially in following industry regulations. By sticking closely to these rules, we make sure everything is above board and legal. This keeps both Areto Payments and the businesses we work with safe from potential legal problems.

Our commitment doesn’t stop at just knowing the laws—we act on them too. Areto Payment works hard to stay updated with any changes in payment processing laws to ensure they’re always compliant.

This dedication means businesses can trust them for secure transactions and for keeping on the right side of industry standards. It’s a big task, managing this balance between innovation and regulation, but Areto Payments handles it with expertise.

Customer Communication and Relationship Management

Customer relationship management in payment processing is important. Talking to customers clearly and openly is key when dealing with disputes in high-risk payment processing. Since these transactions often face more fraud or chargebacks, being upfront can build trust.

This means sharing information about fees, what the contract involves, and how disputes are handled can make a big difference. As a high risk payment provider, we understand this very well, so we put a lot of effort into making sure communication is smooth with our customers.

By explaining things well, providers can help avoid misunderstandings that might lead to bigger disputes later. It also shows respect for merchant’s time and business, which keeps the relationship positive even when issues come up.

Strategies for Effective Customer Relationship Management in Payment Processing

Maintaining positive customer relationships and preserving business reputation during disputes are essential for high-risk payment processing providers like Areto Payment. These strategies ensure a smooth resolution process and uphold the company’s good standing.

  1. Act fast to address customer concerns: Quick responses show customers they are valued, reducing frustration levels.
  2. Offer clear explanations: Transparency about the dispute process helps set realistic expectations.
  3. Use polite and professional language: Respectful communication can ease tensions and foster understanding.
  4. Provide multiple contact options: Letting customers reach out through phone, email, or live chat ensures convenience.
  5. Follow up after resolution: Checking in with customers demonstrates commitment to their satisfaction.
  6. Train staff regularly: Ensuring team members know how to handle disputes effectively minimizes errors.
  7. Listen to customer feedback: Understanding common complaints can help prevent future issues.
  8. Utilize technology: Employ fraud protection tools to catch issues before they escalate into disputes.
  9. Keep records of all interactions: Documented conversations can clarify misunderstandings and provide legal safeguards.
  10. Adhere strictly to regulations: Following industry standards protects against legal complications and builds trust with clients.

By implementing these strategies, high-risk payment processors can navigate disputes efficiently while maintaining strong relationships with their customers and protecting their business reputations.

Data Analysis and Continuous Improvement

High-risk payment processing providers use data analytics to spot trends and deep reasons behind disputes. This smart move helps them see what often goes wrong. By doing this, they can fix issues before more problems pop up.

This approach isn’t a one-time fix; it’s an ongoing effort to fine-tune strategies and tools for dealing with disputes more effectively. Using data analytics, high-risk payment processors can see trends and improve their methods continuously.

This cycle of learning and improving helps keep fees in check despite the higher risks and strict rules that come with serving industries known for high chargeback rates and financial instability.

Conclusion

High angle shot of a hand attaching a piece of the puzzle to three more puzzle pieces

High-risk payment processing providers have a big task in keeping disputes low while sticking to tight rules and high costs. Effective fraud protection is key for these businesses to thrive.

High risk processing payment providers like Areto Payment focus on this challenge. We use data and clear rules to help high-risk businesses run smoothly without fear of disputes ruining their reputation or finances.

We delivers dispute resolution solutions that help merchants in high-risk sectors manage conflicts better. Our services are built to give you the tools and backing required to deal with disputes head-on.

Process with Areto Payment today to keep your transactions safe and secure!

FAQs

1. How can providers navigate disputes in high-risk payment processing?

Providers can navigate disputes by implementing effective risk management strategies, using robust fraud detection mechanisms, and understanding the dispute resolution process thoroughly.

2. What are some strategies for high-risk payment processors to manage risks?

Strategies include adopting advanced fraud detection tools, developing comprehensive chargeback prevention plans, and staying informed about industry trends and regulations.

3. Why is navigating disputes essential for high-risk payment processors?

Navigating disputes effectively helps protect businesses from financial losses due to fraudulent transactions or unnecessary chargebacks. It also ensures smooth operations while maintaining customer trust.

 

References

 

Staff P. Dispute Resolution. https://www.pon.harvard.edu/tag/dispute-resolution/.

Payment Dispute Handling in Customer Service is a Peace of Cake for AI. https://beam.ai/use-cases/payment-dispute-handling-in-customer-service-is-a-peace-of-cake-for-ai.

Todapay. Introduction to High-Risk Payment Processing – TODAPAY – Medium. Medium. https://medium.com/@todapay/introduction-to-high-risk-payment-processing-acd113005ee0. Published April 8, 2024.

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Identifying the Ideal High-Risk Payment Processor for Your Business

Finding the right high-risk payment processor can feel like a big challenge for high-risk business owners. Traditional payment processors usually don’t want to work with such businesses because of higher risks. This is why a high-risk payment processor is your best bet — but finding the right one might still be a struggle. Through this comprehensive guide, you will have a thorough checklist you can use to pick the right payment processor that fits your needs.

Key Takeaways

  • High-risk businesses must find a payment processor that deals well with chargebacks and fraud. As they face higher fees and strict rules from processors, they need to commit to a high risk payment processing company that offers customized solutions is very important.
  • Important features that high risk businesses need to check in payment processors are strong fraud prevention strategies, dedicated customer support, strict compliance with regulations, offers a wide variety of payment options, and comprehensive status reports.
  • Areto Payment can be a good choice for high-risk merchants. Some of the services they offer are strong security, strict regulatory compliance, and fraud prevention with advanced tools.

Challenges in Finding a Reliable Payment Processor

High-risk businesses often struggle to find a reliable payment provider because traditional banks usually don’t want to work with them. Due to their high-risk status, they have limited choices in payment processors, which usually impose higher fees and stricter contracts.

Secure payment processing is tough for such businesses because they need experts in chargeback protection and fraud prevention. High risk merchant accounts also need customizable payment solutions that can handle global payment processing efficiently.

That’s why choosing a reliable payment provider is important for high risk businesses to efficiently manage the challenges they face. However, they might struggle to choose a payment processor that caters to the nature of their business or has enough expertise in dealing with the issues they have at hand. High-risk payment processors also usually come with higher fees and stricter contracts.

So, when looking for a dependable high risk payment gateway, a high-risk business always has a long way to go before finding the right one.

Understanding High-Risk Payment Processing

Hand swiping card in NFC device

High-risk payment processing is meant for businesses that often struggle with high chargeback rates or fraud attacks. Banks and financial groups see these businesses as risky, so traditional payment processors usually don’t deal with them. High-risk payment processors come in to save the day for these businesses, bravely helping keep operations running smoothly.

High-risk businesses often deal with higher processing fees. For these accounts, fees can go up to 1.5% plus the interchange rate. This is a big jump compared to only 0.3% for standard businesses. On top of that, they also face tough rules that other companies don’t worry about much.

Chargebacks are another big problem for high-risk merchants. Each can cost between $20 to $100, which adds up quickly. If a business gets too many chargebacks or sells more than expected, some payment processors might stop their transactions altogether.

These challenges make running a high-risk business tougher, and careful selection of a high-risk payment gateway that understands these unique needs is essential.

Key Features to Look for in a High-Risk Payment Processor

Choosing a high-risk payment gateway can get tricky, but not with a comprehensive guide. From fraud prevention to extensive reporting, here are features you need to watch out for when picking a high-risk payment processing company to commit to.

On Security and Compliance

Keeping your business safe is highly important in high-risk industries. Strong security measures and PCI compliance are must-haves to guard against data breaches and fraud. For businesses in these sectors, choosing a high-risk payment gateway that goes beyond the basic requirements to ensure that customer information stays secure is critical.

Areto Payment takes security and compliance very seriously. By partnering with PCI-compliant cloud providers, we make sure your payments are safe and protected against fraud. Our deep understanding enables them to offer services that fit exactly what each high-risk business needs.

With extensive knowledge in high-risk payment processing, Areto Payment provides a secure environment for accepting, processing, storing, or transmitting card payments. When looking for a payment processor to commit to, this is the kind of processor you should choose.

On Chargeback Protection

High-risk businesses often feel the sting of chargebacks more sharply than others. Chargebacks can quickly pile up, eating into profits and damaging relationships with payment processors. To prevent this damage, effective chargeback protection is crucial to keep these costs under control, coupled with strong fraud prevention.

Providers like Areto Payment specialize in offering high risk industry solutions customized to these needs, including advanced fraud detection tools that help minimize chargebacks. Choosing the right processor isn’t just an operational decision for companies in high-risk sectors—it’s essential for survival.

On Fraud Prevention

Fraud can hit hard, especially for businesses considered high-risk. Top-notch fraud prevention tools are a must-have for high-risk businesses to spot problems early and mitigate them before they escalate. High-risk payment processors like Areto Payment step in to help high-risk businesses deal with fraud attacks through smart and efficient high risk industry solutions.

We use cutting-edge systems to catch fraud before it happens, protecting your business and your customers. Areto Payment offers this level of care and safety by setting aside part of every transaction as a shield against unexpected financial hits, which could range from 10% up to a set cap.

By strictly monitoring data and using state-of-the-art fraud prevention strategies, Areto Payment keeps your money safe by detecting signs of trouble before they happen.

On Customizable Solutions

Businesses in high-risk industries deal with unique challenges, such as stricter requirements, higher costs, and fewer choices for payment processors. This situation demands payment solutions that can adjust to their specific needs.

Traditional options often don’t fit. High-risk businesses need systems that can handle their complex situations without adding unnecessary hurdles or expenses. Flexible and customized payment solutions are a lifeline for these companies, allowing them to manage excessive fees and navigate limited processor options more smoothly.

This kind of support is exactly what Areto Payment offers to make it easy for high-risk merchants to get what they need. We offer flexible solutions customized for high-risk businesses to make sure that they cater to all your needs and wants, ensuring the better company operations and solid customer-merchant relations.

On Comprehensive Reporting

For high-risk businesses, detailed reporting and analytics are crucial in keeping things secure. It gives them a clear insight into transactions, chargebacks, and potential fraud activities, which helps them make informed decisions quickly. They can spot trends, identify risks early on, and take action before small issues turn big.

Good reports also mean a business can prove it maintains healthy cash levels and manages chargebacks well. High-risk merchants often face tougher scrutiny; thus, showing you’re on top of your finances with solid data backup sets you apart. Plus, being transparent by sharing all relevant info during the application process boosts credibility with processors like Areto Payment, which values openness.

In return, Areto Payment offers powerful reporting tools that use advanced analytics, such as descriptive, diagnostic, predictive, and prescriptive analytics. These tools help high-risk businesses understand their data better, highlighting areas that need attention to reduce chargebacks and fraud.

With our extensive and clear reporting, managing a high-risk business gets simpler and more efficient.

On Global Reach

Global payment processing lets high-risk businesses accept different currencies from customers worldwide. This ability opens up a vast market and may lead to more sales and money for these companies, which usually rely on international sales. With global reach, merchants can easily connect with customers far beyond their local areas, breaking down barriers that once limited their growth potential.

This capability is essential in today’s economy, where buying and selling across borders has become the norm. High-risk industries that tap into this global network can navigate regulatory challenges more efficiently while expanding their customer base significantly.

Such expansion is not just beneficial; it’s crucial for survival and success in the competitive world of high-risk commerce. This is another field in which Areto Payment can help high-risk businesses by offering international processing services. On top of that, we pair it with robust fraud prevention tools, chargeback management support, and strict regulatory compliance.

On Integration and Compatibility

Seamless integration with existing systems is crucial for high-risk merchants to manage credit card transactions smoothly. Unfortunately, high-risk businesses face caps on how much they can process, which poses a struggle for reducing chargebacks and keeping cash levels healthy. Tracking and managing each sale is crucial, requiring a system that works hand in hand with what’s already in place, ensuring everything runs without a hitch.

Areto Payment makes it easy for businesses to connect their systems through APIs and virtual terminals that work well with many e-commerce platforms. This means businesses can add Areto Payment to their websites without problems.

These tools help move data smoothly, cutting down on duplicate work. With seamless payment gateway integration, companies can handle more sales without worrying about their systems not working well together.

On Dedicated and Responsive Support

Areto Payment knows how important it is for your business to have help whenever you need it. That’s why we offer customer support all day, every day. You can count on us to be there with a quick response and the right answers.

Their promise is simple: provide customer-first support always. With dedicated account managers and 24/7 service, Areto Payment ensures your queries are handled swiftly and efficiently. This level of dedication sets us apart in high-risk payment processing.

We also stand out with their competitive processing fees and gear, making it much simpler for high-risk companies to get started or keep going strong. In an industry where costs can quickly stack up, finding a provider that understands the importance of affordability and quality service is rare.

Areto Payment bridges this gap brilliantly, ensuring businesses don’t have to compromise on either front.

Areto Payment as Your High-risk Payment Processor

Areto Payment ticks all the boxes for what high-risk businesses need in a payment processor. We offer strong security, handle chargebacks well, and provide support any time you need it. We also enhance system security and complies with PCI DSS standards to ensure data and transaction security. On top of that, we offer support for global payment processing, allowing you to peacefully expand your business across countries.

With our extensive experience in high-risk payment processing, Areto Payment stands out among other processors and guarantees excellent service to its clients in high-risk industries.

Conclusion

Person paying using nfc technology

Selecting the right high-risk payment processor is crucial for businesses facing unique challenges. This is why they need a high-risk payment processor dedicated to solving industry issues, chargeback protection, fraud prevention, and offering customizable payment solutions.

Areto Payment is a top choice for your high-risk payment processing needs. With our comprehensive approach, we addresses the unique challenges faced by high-risk businesses by offering secure payment processing, advanced fraud prevention, chargeback protection, and seamless payment gateway integration.

Choosing Areto Payment means embracing security, compliance, and global reach. To learn more about what they can do specifically for your high-risk business, don’t hesitate to contact Areto Payment today!

FAQs

1. Why do I need a special payment processor for my high-risk business?

High-risk businesses need particular processors because regular ones may not accept them due to their higher risk level.

2. How can I find the right high-risk payment processor?

Look for one that offers services tailored to your type of business and understands your specific needs.

3. Will it cost more to use a high-risk payment processor?

Yes, high-risk payment processors often charge higher fees because they take more risk by working with you and dealing with harder problems that require complex solutions and strategies.

References

WebPays. High Risk Payment Processors: Industry Challenges explored. https://www.linkedin.com/pulse/high-risk-payment-processors-industry-challenges-explored-webpays-mgrnc?trk=organization_guest_main-feed-card_feed-article-content. Published June 24, 2024.

MerchantE. 5 features every High-Risk business should seek in a payment processor. https://www.merchante.com/blog/5-features-every-cbd-business-should-seek-in-a-payment-processor.

The Credit Card Chargeback Guide for Merchants: How to Dispute Chargebacks with Payment Processors and How to Prevent Them. Fingerprint. https://fingerprint.com/blog/how-major-payment-processors-handle-chargebacks/.

HOW TO USE DROP SHIPPING TO START AN E-COMMERCE BUSINESS: ULTIMATE GUIDE

Perhaps you have been contemplating whether to venture into a webshop business or not. Starting an e-commerce store requires hard work and many steps and decisions that need to be done at the right time.  

Doesn’t it feel like too much task to handle? It should. You need to have a good understanding of key things such as logistics, fulfillment, and marketing, and so on to get started. But these are not the only important thing to look out for, you need to conduct a detailed research on what you want to venture into. 

GETTING STARTED WITH DROP SHIPPING. 

Sometimes all you need is to get started. This is where drop shipping comes in as a brilliant idea for an e-commerce business. Drop shipping offers you an affordable way to get into retail. Simply, the idea is that a wholesale supplier or drop shipper offers you an option to sell a set of products without having to buy them initially. They also do the hard task of storing, packaging and shipping items to the customer.  

Drop shipping is an ideal business for the “solopreneur” or the lone ranger who prefer to get work done on their own with limited time and capital. While it doesn’t take a great deal of money to start a drop shipping business, you will definitely need to put in the hard work to make your first sale.  

Searching through thousands of web pages for the right product to sell can be daunting. Then, you need to go back again and find the right supplier to partner with. Also, remember you have to convince the supplier to partner since you’re just starting out. Only then will you be in a position to make your first sale. 

So, if you have already decided to venture into drop shipping, this article is for you. Here you will know how to identify the right products, how to get the best suppliers and how a working relationship with them. 

Let’s dive into the details. 

  • Choose a Niche

By now you must be excited to venture into drop shipping business. You have put in the energy and capital ready to get things started. So far so good. You will need to keep up that energy and even more, this is the time to do all the research. It may seem boring and tiresome but it’s extremely important if you want to propel your business to success. Also, you don’t want to spend the next few weeks working hard on a new idea only to find that there’s no market for your product, or there’s too much competition.

Do your research and find the right mix of niches that will help you come up with a good product to sell. Remember, as a drop shipper, your fellow drop shippers are not the only competition you have, you are in the same race with large and well-established online retailers like Walmart, Office Depot, and Best Buy.  But despite all the advantages they may have, they also have weaknesses. They sell almost every variety of product, while the drop shipper can concentrate on a certain set of products.  

  • Research For Contact Suppliers 

Having identified the right product to sell, spend time searching for suppliers that drop ship your product. It will also be good to check out some of your competitor’s suppliers who deliver products that make them good money. Instead of taking a big risk of unknown partners, use this information to your advantage. 

If you decide to do your research, you can use Google to find the product. Scroll through the web results and pick specific stores that drop ship your product. In most cases, the drop shipping companies will not have any physical location which can be found on their “about us” and “contact” pages. This is a good trick to save time. Once you identify these stores, write down all their supplier’s detail into a worksheet for future research. Repeat the same process until you find a good of product suppliers you can contact for drop shipping. 

Based on which niche market you have chosen products, you may or may not find suppliers who have that kind of product. This is why it’s important not to disregard other niche markets you had suggested, as they may be used as a backup in case you don’t find any suppliers for your current products. 

  • Create Your Store/Website 

You need to have a store or website before you partner with the suppliers. They are aware that talk is cheap, so they need to see your talk match your actions and that you can execute what you have promised. 

A quick tip I can give you when it comes to this part of the process is not to focus too much on your store looking perfect because it never will. Your aim is to build a brand that people can trust.  

If you’re not a computer guru, there’s no need to panic. Actually, you don’t need high-level knowledge of coding or site building to create a good drop shipping website. There are several E-commerce platforms that make the experience easier with just plug-and-play. A good example is Shopify that offers an easy-to-use experience for an affordable price. You can also prefer other companies such as Bigcommerce and Magento. 

Your site is actually the shop where you update products, optimize the layout, add new appealing features, and so on. It should be a work in progress. Remember, you’re about to build a great foundation and framework for a powerful brand, so make it worth it. 

  • Select Products to Sell and Create Brand Pages 

Now that you have a good site up and running, you’ll need something to sell. So define the specific products you intend to sell. Also, you need to show your suppliers how their products will look in your store. In fact, it will be easier to partner with a supplier if they see their product on display on your site. This is an indication that you’re ready to start a business. 

The next step is to create relevant pages for each of your suppliers. Good and quality content will make customers spend much time on your site.Also, don’t forget to include user reviews of your supplier’s products. Most drop shippers rely on two sources of user review. They go for the public ones that are results monitored by a third company and include them into their systems. On the other hand, they’re those that go for the already-curated reviews from the manufacturer. New drop shippers can also collect their own reviews from companies such as Trustpilot and Testimonial Guard.  

  • Register Your Business and Get a Tax ID 

By now things may be running smooth and excitement may set in, but it’s easy to forget. You need to form and register your business as per the government guidelines. Also, get a sales tax ID especially if you’re in US or Canada. Applying for a tax ID is easy, you can do it online or visit your local county clerk’s office. Just go to Google and type “(your state) + sales tax ID.” 

Suppliers will need you to have an EIN (Employer Identification Number) accompanied by a Sales Tax Exemption Permit before partnering with you. The process of getting a sales tax exemption permit differs with the state, so you may speak to a tax professional to help you with the process. 

  • Launch and Promote Your Business 

Finally, you’ve got everything set and ready to launch your site. Take time to reflect on the progress you’ve made. You took the risk and put in much time and effort, so you should be proud of what you have accomplished so far.  

Having a set launch date will show the supplier that you’re ready and they need to get their products on your store on time. Furthermore, they wouldn’t want to breach the contract and risk having their competitors’ products in your store. During this time, you will have a clear timeline on when the products need to arrive, you can make follow up calls, and ensure all contracts are sent on time.  

From here, you can go on and promote your store to attract more traffic. This will not be easy, but it’s worth taking time to identify ways to get people to visit your store and buy. The main tactics that can help with this process are; 

  • Search Engine Optimization (SEO) through keywords research, optimization of web pages and building backlinks for your store. 
  • Social media such as Facebook ads with a clear Call to Action (CTA) 
  • Content marketing which is a marketing approach that aims to use valuable and consistent content to attract customers. 

When you combine these three aspects, you will be able to build a powerful customer base. 

CONCLUSION 

At this point, you have undertaken the right step to start a drop shipping business. It feels good, but this is not a signal to get too comfortable. You have a store ready and you need to run it properly. 

Continue learning how to make your drop shipping business better by getting the right product, creating relevant content, working on your SEO, and promoting it even more. Also, develop a strong relationship with your suppliers and keep tabs on the specific products you’re offering. Taking these key points into consideration will help build a successful business.  

Good luck and we hope you build a successful drop shipping business using our guide. 

How to Sell Make-Up and Cosmetics Online: A Basic Guide

You must agree starting your own online cosmetics shop is difficult. Do you agree?

Yes, you do that is why you are here. When searching for a lipstick online the search pops up 200 different brands available online. The truth is that any one of those products might sell 20 different brands of lipsticks. All of them promise long lasting effects without the need of touching it up during the day. Therefore, as a customer you are stuck with a problem there is too many to choose.

However, for a budding make-up and cosmetic entrepreneur entering the beauty market, this is a challenge. The question is, “Is there really room for one more Cosmetic retailer online?” As a newbie, how are you going to stand out in this crowded market and still entice users to buy from your cosmetic shop?

Well, we have the answer right here on how to sell make-up and cosmetics online by using our basic guide.

How to Sell your Make-up and Cosmetics Online

Whether you’re planning to sell brand-name cosmetics or creating your own unique make-up brand, the internet is a wonderful place to start your business. Now, do not get us wrong, it is an easy way to get your brand out there, but not as simple as posting it to the internet and hoping for sales to roll in. It takes hard work and dedication with loads of patience to get results.

However, there are some simple steps you can follow to achieve great results. Using the internet reaches millions of prospective clients. Let us give you an insight to some great secrets to help you out:

1. What do you plan to sell?

Yes, we agree the beauty industry is huge, but you too can enjoy a slice of the pie. First, you need to get yourself a mug of Joe and ask yourself the following questions:

  • Is your idea different from what is currently available on the market?
  • Have you recognized the market you plan to sell your products and how are you going to reach them?
  • Do you know what the emerging trend is?
  • Are you trying to create a new trend around a product already sold online and how will your branding help you to achieve the goal?

If you have answered the question above, then it is time to take the next step in getting your cosmetic shop up and running.

2. Are you making, manufacturing, or selling white label products?

Making products – making certain products at home is simple like bath products and lip balms. The important thing is to document the process, making sure your product formulation stays consistent. Whether you are using your kitchen, remember to follow local guidelines in manufacturing cosmetics to avoid any issues with authorities.

Manufacturing from scratch – here we’re talking about making the formulation from scratch in a facility designed for manufacturing cosmetics. Certain products you can make at home while other makeup brands such as mascara need the help of chemists to get the right formulation. Here you can look at a list of cosmetic manufacturers available in the USA, as an example.

White Label – these are items generically manufactured and only has minor customization in the color and fragrance. This type of products packaged under your own branding. These are great options for novelty concepts and unique brandings. For instance, if you have a butterfly themed store, your private label on lipsticks will be butterfly packaging. Here you can find reading material available from the Private Label Cosmetics Manufacturer Directory.

Re-sell – here you can sell multiple brands available to give your customer a great shopping experience. Think of organic products, local brands, or natural products.

If you are not interested in any of this, hold on tight, there is a section later on about drop-shipping that might be of interest to you!

3. Think of the packaging

This is another important thing to consider as packaging represents your brand. Further, it protects your cosmetic items from breakage. With the correct information on the packaging, it communicates important information your customer needs to know from:

  • The expiry date
  • Ingredients used
  • And usage instructions

More importantly, each country has their own set of governing rules when it comes to packaging, especially beauty products. The best place to start is with your local government for the best information. Here you can contact look at the Cosmetic Labeling US Guide for more information related to labeling your products. Further, read the FDA Authority over Cosmetics to get a better idea of how cosmetics are not FDA-approved and only FDA-regulated if you are based in the US. Every market has its own variation of the FDA, and quite difficult to list them all here.

4. Set Up Your Online Shop

You may wonder where you go to now, as there are loads of places you found online to start up your online shop. We are here to tell you, “Do not stress about it.” We have the solution for you available here. One of the most widely used options is to start up your own online store and another is using a 3rd party online marketplace.

The most rewarding is definitely starting up your own online store. It takes that little more effort into finding the correct setup but it is not as complicated as it seems. A few things to consider:

  1. The design is important, but to start, simply go to Theme Forest and pick an awesome design for just EUR10, it is crazy true but I promise you, you will find a super responsive design for your shop. It would work great on mobile, PC and tablet – just want you need.
  2. There are tons of platforms out there that allow you to create an entire store with a few clicks, but, they end up charging a lot, a lot in terms of fees – some retain a % of your revenue, which is not good. WordPress is the answer. Use a hosting provider that provides an easy install of WordPress for less than EUR 7 a month (such as Dreamhost). Upload the WordPress design theme you purchased from Theme Forest – and voila! Other eCommerce platforms that deliver this kind of service can charge easily EUR30 + a percentage of your revenue. Such a simple setup won’t cost you more than EUR25, which includes a domain name!
  3. Shopping cart – you need a shopping cart of course.WooCommerce is a plugin you can add to WordPress. It will add a shopping cart to your store in a few clicks.

This is a 1st rated e-commerce website with the best templates available created around makeup and cosmetic retail online. It will only take you a couple of minutes to get started and you have 14-day to enjoy playing around on the site before you actually commit. To help you out further, you can use the EasyTabs app to create tabs on your pages making it less cluttered.

5. Do not forget to enhance your pages with images

Use large and clear images to enhance your product pages with a clean background. You could do the following when using Shopify as your marketplace:

  • You can check out the Shopify app store for great apps to use
  • Use the Lookbook app to display large lifestyle images on your site
  • Use the EasyVideo app to embed video content into your pages
  • Give your customers a virtual reality try to experience what they are buying before actually buying it with the Makeup Magic Mirror
  • Choose a great theme from the theme store at Shopify

6. It is time to start marketing your brand

There is one thing we can agree on the beauty markets challenging. This is why the next step is very important you need to market your brand. The fact remains that social media is the best marketing strategy available online this includes product reviews. Word of mouth is the best marketing tool to get your cosmetic brand known online. You can:

  • Work with beauty influencers such as bloggers, Instagrammers, and vloggers – you can do this by sending them a product for a review.
  • Invest in creating natural and unique content with lifestyle photos, video shoots and feature them on Instagram
  • Look at an app like Social Photos to showcase your products when used on different face shapes and skin tones and remember to use that #

Marketing your brand is the best solution to ensure your cosmetic online shops noticed. With the word of mouth from customers using your product, it can only lead to a great customer experience and growth in your business.

7. Make use of a drop shipped service 

With a drop shipping service such as Oberlo, you can import products directly into your own e-commerce store and have it shipped directly to your customer. The benefits are outstanding as you can:

  • Add your products with ease and ship it out to your customer with a few clicks and the great news is it works with your Shopify store
  • You can spend more time on growing your business as Oberlo fulfills orders automatically
  • With the app, your inventory and prices are kept up-to-date with the auto-updates in place
  • While editing your products it changes the titles, images, and descriptions
  • Further, it creates pricing rules and prices your goods in bulk
  • Easily keep track of the orders with the shipment tracking and offers you the use of multiple user accounts to run your online store
  • You can keep track of your sales on the costs dashboard and you can import products with the fastest delivery times with the ePacket filter

 

8. Now that shipments taken care of the next step is the customer service

Customer service is very important and you can expect comebacks and deal with refunds. Now do not get stressed out again. The fact is that cosmetics are a personal preference and not all colors work well for different users. This is where a rock-solid return policy is important. You need a convenient process in place to make your customers return painless and seamless. There are different apps available you can use, but the one from Returns Center by Aftership keeps track on returns. Further, it notifies customers throughout the entire process. If you have opted to use Oberlo, the app has the same features available as the Aftership app.

9. Start selling 

Finally, you have set up your makeup and cosmetics online store, but the work does not end here. You can make someone’s day with your unique beauty products and you are paid. Luckily, for you if you decided on the Shopify option they have secure payment methods in place to use. On the other hand, if you decided to set up your own e-commerce shop, make sure to find a safe and secure payment method for your clients to use. PayPal is a great solution to use, but there are other options available:

  • Visa Prepaid cards
  • MasterCard Secure Code

10. Keep growing your business 

Remember selling your brand does not end here you need to take it to the streets. Whether you have an online cosmetic shop, IRL brand experience is rewarding. Interact with your customers and present them with access to your products you sell. You can do this by:

  • Present your customers with a pop-up shop that consists of a mini-makeover or a tester bar
  • You can rent a temporary space and set up your products to make users aware of your products you are selling online
  • Visit flea markets by renting a stall
  • Or you can sponsor events and fashion shows to use your products available on the models

Final thoughts

Ready steady go, the time has come to launch your beauty brand. We know it is scary and it has taken hard work, sweat, and loads of tears. That is normal but you will get over the mental block. Sharing your makeup brand is just the start and no, it will not be perfect from the start. As your business grows, you learn your customer’s needs and with it, you will grow. Are you selling your cosmetic products online? Please feel free to share your personal experience in the comments below.

HOW TO CONVERT A HOBBY INTO AN ECOMMERCE BUSINESS

 

Wondering how to convert your hobby into a sustainable, full-fledged, and profitable business? Think it’s hard? It should not be because you have landed on the right page. It’s not an easy venture to convert your hobby into an ecommerce business, but with my entrepreneurial inspiration, I will steer you in the right direction.

Are you too involved with your hobby? Many in your category fail to build anything substantial from their passionate hobby. The reason is they never pursue their ideas in the perfect way. The e-commerce landscape is bumpy and your path to success will only be illuminated if you get the basics right. Let me guide you through the steps.

#1. SELF ASSESMENT

This is the first and very important step in your quest for success. The reason you are turning your hobby into a business is to make money. Period. Of course, the idea is truly exciting, but many starters fail because of rushing into it. They say hurry hurry has no blessing, the wise men said. If you want to excel take your time to carefully evaluate all your personal conditions.

Be brutally honest with yourself. Do you think your hobby will survive customer scrutiny and financial pressure? When the environment is hostile, will you accord enough time to your business? When the going gets tough how will you balance it with other responsibilities like your family and day job?

It’s a daunting task bearing the financial burdens and working to a strict schedule of a startup. You could end up hating your hobby. Consider the following factors before making any other decision;

  • What do your finances look like? 

How much have you set aside for this project? Can you quit your day job to pursue the project? If according to your projection, the money set aside cannot sustain you for 6 to 12 months, keep your job. Make the transition easy, gradually drop to a part-time job, until your business starts to generate revenue.

  • How much time are you willing to accord the business?
  • When they going get tough, do you have a robust support system. Be on the same page with your partner, family, or a close friend who you can rely on.
  • Are you confident enough about your product/hobby?
  • Are you equal to the challenge? Regardless of how much you love the hobby, it’s going to be a challenge.

#2. MARKET RESEARCH

Do you know your target market? You do not want to enter the scene only to find your hobby or its resultant product generates no interest. Research your target market and ensure people have interest in the products you are about to introduce. If you hit the right button, your hobby will seamlessly convert into a great business without even noticing. Analyze your target audience and your possible competition in the intended market. Here are some valuable tricks;

  • Use keywords and hashtags to assess the amount of interest the hobby will generate.
  • Come up with a generalized or fictional representation of your target customers. This will make it easier for you to understand your ideal customers and relate to them as human beings.
  • Identify the trends in your field.
  • Find your biggest competitors.
  • Check the laws and licensing

#3. CHOOSE A BUSINESS MODEL

Are you scared off? If not yet, congratulations! The next step is selecting your business model. This is not easy but it’s crucial to make the right decision. The business model affects your profits, tax rates and liability when the road gets tough.

One of the easiest models for many startups is the sole proprietorship because:

  • It easy and inexpensive
  • Gives you complete control
  • East tax preparation and reporting

However, you will be required to shoulder all the liabilities and it will be difficult to raise funds. In addition, being all alone in the business can be very stressful.

Alternatively, you can pursue your dream in a partnership or a limited liability company if you want to protect personal assets. Choose a model based on your preferences, personal condition, and financial circumstances.

#4. CREATE A BUSINESS PLAN

So far so good, if you have not given up, you got the right attitude to set the business rolling. A good business plan will not only help you navigate through the early business days but it will also let you visualize the whole journey. It will be a necessity when trying to raise funds to buy equipment, purchase inventory, or hire staff. To come up with a comprehensive business plan follow the following guideline:

  • Where will the finances come from?
  • Why and how are you planning to do this?
  • What is the workflow?  How long will it take to create the product or provide the service?
  • Any plan to expand the business in future?
  • Have do you set the pricing?
  • Based on the above factors, what your expectations? When do you think the business will break even?

#5. TIME TO GET LEGAL

Everything is almost falling into its place, but you are not yet done. Prepare for the tedious paperwork, this is crucial if you miss a step the government will be on your back. Some of the most important things to get at this step include;

  • Employee Identification Number (EIN): this is important for tax purposes and it will be required in your business transactions.
  • Business checking account: this the central checking account where all your business transactions and finances will run through.
  • Business credit card: you will like the reward system that comes with the credit cards.
  • PayPal account: this account should be tied directly to the business. You will need it for your online transactions.

#6. FIND THE RIGHT MARKETPLACE

You are almost at the tip of the ladder, but you will have to choose the right marketplace. The modern marketplaces are great because they offer free traffic. So will have the freedom to trade without worrying about SEO or marketing. However, the platforms will charge you for selling on their sites. Nonetheless, they are the best way to establish your foothold in the ecommerce arena. Some of the most common marketplaces include Amazon, DaWanda, Etsy, Handmadeology, Zibbet, Aftcra, and eBay.

#7. ESTABLISH YOUR ONLINE PRESENCE 

Now that you have successfully converted your hobby into a business, you need to establish an online presence. Social media is an excellent platform to raise your brand awareness. If you go the social media way observe one simple rule: keep it professional. You should also be smart if you want to generate viable traffic.

SUCCESS STORIES

Some of the most popular people who made a great business out of their passionate hobby include;

Bill Gates

Bill Gates was a 13 years old boy when he took up the art programming as his hobby. He raised money by selling a rummage to buy the resources he required to write a tic tac toe game. Bill Gates perfected his art and developed an algorithm for sorting pancakes while still at Harvard University. He converted his hobby into Microsoft after dropping out of college.

Walt Disney

Walt is the most popular hobbyists. Out of his passionate hobby of sketching and doodling, Walt made a multi-billion dollar business. Though the man is gone, the Business created continue to do well almost fifty years after his death.

At the age of four Walt Disney was drawing pictures and at seven he was selling the pictures to relatives and friends. All through his formative years, Walt kept pursuing his hobby even while attending a Chicago art school. Walt later launched his career in film production, theme park design, and animation.

Debbi Fields

Using the money she earned working as a young ball girl for Oakland A’s, Debbi started making cookies. 10 years later, she started selling them in a retail shop. Her business recorded an instant success and helped her to establish over 650 retail bakeries in the USA and over 80 in other countries across the globe.

Pamela Love

Pamela love has demonstrated that you can easily convert your little hobby into a big business. She spent many hours during her preteen to making bracelets from toothbrushes. She would bend the toothbrushes into cufflike shapes using heat. 20 years later, Pamela Love converted her hobby into a multi-million dollar jewelry business. Some of her best items feature in some of the top fashion magazines like Elle and Vogue.

CONCLUSION 

At this point, I believe you have taken the right steps to transform that passionate hobby into a multi-billion business. However, setting your business rolling marks the start of the whole tussle.

Hobbies help people to pass time, but it takes diligence to separate your heart from reality. Control the love for your hobby and don’t allow it to shadow the harsh reality ahead of you. Though the business idea originated from your hobby do not sit back comfortably thinking it will be a good business. There is a lot you need to learn to keep the business buoyant.

 

Critical eCommerce Failures You Need to Avoid

Common Critical eCommerce Failures and Mistakes You Need to Avoid

Everyday eCommerce Businesses face different confrontations online. One of the biggest challenges you face is to get your product sold, as this is the sole purpose of starting an online shop right. However, did you know an e-commerce store is not only about sales conversion?

What your e-commerce store does is open up doors to a new world not only for your products but makes your brand known globally for all to see. To help you face the difficult challenge of getting your brand known we are here to help you avoid disappointments made by many other online businesses.

We have identified critical eCommerce failures you need to avoid, and the best procedures to follow making your online business a winner.

Avoid these mistakes and generate sales

Do you have an e-commerce online shop or are you starting out? No matter what your needs are by avoiding the following mistakes you can start generating sales in no time. The secret is to pay attention to the development and maintenance of your website by avoiding the following mistakes:

Avoid choosing the incorrect platform 

This is critical as choosing the incorrect platform leaves you vulnerable and you need to choose a platform that sells in the best possible manner. You can find many free trials available from great e-commerce platforms such as WooCommerce, Magneto, and Shopify to name a few.

Another important factor is to strategize making sure each part is outlined and in the best interest of your company online. This you can do as follows:

  • Recognise your buyers and market
  • Request feedback from customers
  • Make sure every process is transparent
  • Target your mobile audience
  • Think Social-media
  • Make sure policies are in place
  • Ensure you provide your customers with a great service and support

These are only a few important steps to help improve your online business online. However, there is one more thing. Have you ever used an online shop only to find the images of products are misleading or you can barely make out what it is? You have!

What happens you are not interested in buying the product, as it is not aesthetically pleasing? Make sure you have clear images available for your customer to enjoy a visual shopping experience leading to sales.

Add Trust Factors

Imagine, you are buying a pair of shoes from an online shop and there are no trust factors in place. Are you going to buy with your credit card from them? No, as they have not built a trust with their clients. Make sure your clients can trust using your e-commerce platform by enhancing it with the Terms of use, Privacy Policies, SSL certificates, and Refund/exchange policies.

Ensure clients that their details kept confidentially and keep your platform design simple. Make sure product categories are easy to navigate through and align your CTA with the content. Further, you can add a section for product reviews as well.

Prevent Long Loading Times

There is nothing more frustrating than trying to view a website and it takes forever to load. If this happens, you have already decided to move on to the next available business displayed in the search engine.

Prevent this from happening with your e-commerce platform, as your customer will get as impatient as you do when waiting for pages to load.

You want instant gratification when shopping online and so does your customer. The platform needs to run at an optimal speed as this prevents you from losing potential clients.

Prevent Long Checkout Processes

Why do people use online shopping, because they can buy stuff in the comfort of their home? Further, they can avoid standing in long checkout lines at shops. So why should your online checkout process be so long? Avoid this from happening at your e-commerce shop, as clients want their purchase to happen quickly.

Keep the checkout process short and sweet, as this will ensure the customer returns. Make sure the customers billing and shipping information handled as quickly as possible and provide them with a confirmation to finalise their purchase.

Avoid displaying incorrect information

As your website reflects, your brand and business provide them with grammatical free errors. Make sure the products you are selling have the correct information as displaying incorrect information can harm your business in the end.

Make certain to display your business information, with a company logo, contact details and more. This builds a trust between your company and a client.

Provide an Excellent Customer Service

When a customer cannot reach you, they lose interest in your business and go elsewhere. Try to provide contact times and respond to customer queries as soon as possible. Set up a chat service where possible as this offers clients the best service possible.

Prevention is better than cure

Avoid spamming your customers

Have you opened your mailbox lately, only to find it is full of spam emails? What do you do with this mail you trash them? Using e-mail marketing is an effective way to advise your clients on new products and information.

However, as you do not like receiving the same mail over and again avoid doing this to your client. If you want to use e-mail, marketing personalises the email to your client. Send information based on your customers’ needs.

Avoid using too many POPUPS

Did you know you only have 15-seconds to keep a potential client mesmerised in buying your products? How does one do this with POPUPS as it allows new customers to receive important information about your product and you receive their personal details?

Nevertheless, there is a downside, as you know how frustrated you can get when these POPUPS keep popping up. Keep your customers happy and avoid overusing this feature.

Remember the free goods

Everyone likes a freebie even you. Never deprive your customer of free items such as specials, discount, and free shipping. Offering free shipping is one of the best marketing strategies as the sales from your client is most likely to happen more often in future.

Never underestimate mobile technology

Moreover, never think too little about mobile technology, as it is the future for your e-commerce business online. More people are using their mobile devices to make online purchases and you can reach a wider audience when making your website mobile friendly.

Final Thoughts

Lastly, never underestimate the power of social media, as this is the best tool to use for marketing your products online. Promoting your products on different social media platforms is a serious task. You need to be cautious not to oversell your products and services. Maintain the loyalty of your followers, customers, and fans and do it the responsible way.

Once you have used all the above tips to prevent commerce mistakes, make sure to set up a Search Engine Optimisation strategy for people to find you on Google. Have a solid SEO plan in place by using the correct keywords on your site, products, images and more.

Further, measure your performance on a regular basis by checking your key figures such as products sold, total visitors, and revenue. This is where you need to get your business on board with Google Analytics and crucial to making a success of your e-commerce business online.

Don’t forget to check out some more tools that can help you grow your business. Read our article about top tools that will help you grow

How to Win a Customer

Essential Tools to Attract Customers in E-Commerce Businesses

Planning to invest in an online store anytime soon? If this is your new adventure, then it is crucial to understand how important it is to succeed without attracting clients to the business. Maintaining customers is not easy too. This task can be time-consuming and challenging. However, with the following tools, you will attract customers without spending a lot of money. To win a customer should be a priority for business owners.

Make your store beautiful

In online businesses, investors should understand the importance of having an attractive website.  This site serves as your store. When it is ugly, it will only drive your customers away.  As a modern businessman, you have to be aware that a client chooses to purchase your products and services just three minutes on your site. Experts say that the first impression matters a lot. When a visitor to your site is not impressed, then they will not buy any product. Most of the disappointed clients will not visit your store again. Your website is your online representation. Always try to make it professional and beautiful.

 Social media

Social media is a vital tool for any online business.  The social media platforms give people in business a channel for free promotions. Although you will have to pay if you are planning to publish ads, owning a social media account is free. These accounts come with a lot of benefits. If you want to take advantage of social media, you have to understand the importance of great content. With marvelous content, these activities will serve as the best marketing channels without any financial expenses. Here are easy tips to help you attract new customers using social media:

  • Engage your users: always ask them questions and ensure that you reply to their comments. This will be the perfect way to attract their attention.
  • Post regularly: if possible, post something on your social media platforms every day so that your customers do not forget about you. However, if you post content just because you must, it ends ups bringing a negative effect.
  • Use graphics: individuals who prefer to post with images get more engagements compared to those who do not.
  • Select the best channels for your online business. It is crucial to focus on Pinterest and Facebook because they always drive a lot of traffic to e-commerce businesses.

 Win a customer with customer care

Customer care means everything in any type of business in the modern times. As a businessperson, it is good to remember that there is no better promotion that your satisfied customers.  Always work hard to make the experience of purchasing from your store unforgettable in a positive way. A study conducted by Forrester indicates that most people will abandon an online transaction when the business owners do not address their concerns or questions in time. If you want to attract a large clientele, then you must reply to all their inquiries and comments as soon as you can.  Timely responses play a fundamental role in e-commerce transactions.

You should never underestimate the power of your customer care. Seventy percent of the clients will not come back if they feel that they are not treated well.  The customer service you give will determine if the customer will come back. Ensure that the client is completely satisfied by the services you are offering. This can be achieved by being nice, competent and helpful.

 Promos

It is a proven fact that everyone loves getting discounts and promos. Win a customer with some promotions. A study shows that the amount saved makes customers happy. The psychological mechanism in the process plays a vital role in the success of this strategy. Some companies propose free shipping their customers, and they end up attracting very many clients.

Discount coupons work efficiently too. These can be offered to the new customers because of making a purchase in the business.  It is important to award the most loyal companies in business by giving special offers. Your customers will feel appreciated and special, and they will come back in the future.

 E-mail marketing

Although email marketing is very cheap, it is one of the most useful tools to attract new customers in an e-commerce business.  A survey by Epsilon shows that a large group of people have a positive attitude to the online firms that send them different types of emails.  During the study, seventy percent of the respondents said that they remembered the emails received from companies whenever they went shopping.  The survey results confirm the benefits of email marketing to the online stores.  Experts recommend the following:

  • Send emails whenever you have promos and sales.
  • Let them know about concerning the arrival of new products by sending them an email.
  • Inform when customers purchase similar good and services. This will make them eager to make more purchases.
  • If you notice that some client has not been active in purchases for a long time, send them an email, offering a discount coupon to encourage them to revisit your site and make more purchases.
  • Always send tips or any stylizations that are related to the products and services. This is one of the tried and tested methods of inspiring clients and also make them visit your online website more times

Find out more about how to set up an email marketing campaign  and check out some tips for killer marketing campaign in our previous blog posts. Win a customer with some of our tips.

Consider the subscription business model

Subscription business model has proven to be one of the most effective ways of retaining customers. Experts say that online customers are the lazy consumers, and they always search for the convenient and quick ways to purchase new products. Businesspeople who sell the products that are used regularly used such as coffee, flowers or cosmetics, it is important to offer subscriptions.

 Show that you care

Always listen to your clients. Answer all their questions and try to exceed their expectations. This will be the perfect way to stand out from the competition. Show the customers you care by giving them the best online shopping experience.

E-commerce businesses have become very popular in the modern world.  Investors do not need millions of money for marketing so that they can attract new customers. The most crucial thing is always to be creative and use the right channels.

 

Essential Email Campaigns Every Ecommerce Business Must Have

Email marketing is considered to be an efficient and affordable way of growing a business and increasing ROI. According to a recent study, every one dollar spent on email campaign brings an average return of forty-five dollars. However, if you want to see these results, you must reach all your clients first. Fortunately, it is not rocket science to achieve this mission. Here are some of the email campaigns every e-commerce company should use to reach customers and increase sales.

New stock notice

If you want to drive more revenue in your business, then you have to encourage repeat purchases in your business. Experts say that it costs five times to get a new customer than it is to acquire a new one. The best way to encourage repeat purchases from clients is by keeping them updated when you bring in new products in your store. Whenever you have brought a new product, send the consumers an email.

Targeted Campaigns & Newsletters

Sending your clients email newsletters has always been considered to be a powerful method of keeping customers up to date with some of the latest promotions and products in your e-commerce company. This method is also perfect for making new customers come back and make more purchases.

What makes this newsletter efficient is the targeting used. When creating a newsletter for your clients, then it is important to keep in mind some practices so that you can win the heart of your customer. Always position the most important information at the top of the letter. Different studies show that attention drops as individuals read your email. Placing your information at the top will ensure that you have the highest clicks.

Review Request Email

Businessmen who have done well in online stores understand the importance of customer reviews on their sites. This is one of the proven ways of significantly increasing conversions in the business. Experts say that items with reviews have a ten percent higher conversion rate.

When a client purchases a product from your online store, it is always crucial to send them a special follow-up email, requesting them to leave a review of the item on your company website. This email marketing strategy is successful because of the single focus of the email. When writing a review request email to your clients, have the following in mind:

  • Always ensure that it is automated. It is possible to send a campaign manually after you make every purchase, but it will consume a lot of your time and resources. The most efficient way is to set up an automated email that will go automatically to all the customers making purchases from your store. This will make everything easier for you.
  • Offer your clients an incentive. Although most people will click your website and leave some comment even when they do not get an incentive, it is always paramount to offer something to motivate the consumer to leave a review. This can be achieved by

providing discounts on future purchases. The discount will encourage the client to make more purchases.

Birthday email

Birthdays are exciting times for everyone. During these days, almost everyone is willing to give themselves a treat. Did you know that sending an email to your clients on their birthday makes them feel special? Setting up an individual automated birthday email to your customers. Especially with a birthday offer will make the customer feel valued and part of the business. The gesture will also make the customers return to your store and make more purchases. To achieve great results when using this strategy, keep these practices in mind.

  • Automate the email always. It is impossible to manually try to send a birthday message to all your customer every year during their birthdays. It will be an organizational nightmare for your business. However, having an automated email campaign can work wonders. The email can serve the company for years.
  • Use beautiful images. If you want people to increase their desire for an item, then it is crucial to use beautiful imagery. Some of the modern most successful online stores have done well because they used professional shot images in their email campaigns. Whenever you are making a special offer to an individual on their birthday email, always include a beautiful image to capture their attention. The image will increase the motivation to get the offer you are giving.
  • Use an action oriented button copy. Many people in business use some genetic words on their buttons such as claim now. However, going for a term that is action oriented and focused like, Get your Chocolate Cake.

Abandoned Shopping Cart Email

Experts say that online shopping carts are abandoned sixty-seven percent of the time on different e-commerce sites. As a business person, never take this personally. Online shopping carts are abandoned for several reasons. However, there are ways of retrieving the forgotten shopping cart. Always send your clients an email shopping cart reminder. These reminder emails have worked effectively for most e-commerce businesses in the world.

Thank You Email

Consumer email campaigns are considered to be very effective. They are as simple as sending a thank you note. These type of emails are known to be the best way of building and maintaining healthy relationships with your online customers. Whenever you are creating these emails, it is always good to thank and praise them for purchasing your product or service. It is also crucial to appreciate the clients for leaving a review or subscribing to your services. We all love to be appreciated, so always show some gratitude to your customers and subscribers. This simple gesture will make them feel better and come back for more purchases.

Email marketing is one of the most powerful methods of online marketing. However, you must use it effectively if you want to get good results at the end of the day. Individuals who have used these campaigns in the past say that they increased their profits and sales significantly. Most of them retained their customers too.

How to use LinkedIn to boost your eCommerce Business

We all are familiar with how challenging it is to have an eCommerce platform. Finding the right customer leading to conversion is an ongoing process. Did you know you could use LinkedIn to boost your eCommerce business online?

Yes, everyone associates this popular podium online with others in need of a job. To some extent, this is true. That is why it is so effective and packed with great features producing awareness for your business.

Let us tell you a secret!  Let us show you how to use LinkedIn to boost your eCommerce business. Here is how you can get warm leads with LinkedIn, by sticking to the following advice:

Make an Impact

To make a strong impact the first 7 seconds counts. What is the first thing your prospects will see? Your LinkedIn company profile page and you need to set it up for success.

Start by creating your profile and display important information related to your business. Make certain the followings kept up to date:

· Contact details

· Business address

· Your logo

· Number of employees

· Links to your website and blog

· Keep media pictures up to date

· Videos as they make your page stand out

Infuse style and personality into your page and highlight all your accomplishments. Ask for recommendations as this helps to enhance your business. Add inspiring descriptions telling others about your trade. Create, a call to action, explaining how they can enjoy your products and services.

Be exact with your call to action something simple like “Lose Weight in Less Than a Week” — Click HERE! Stay connected with them.

Define Your Customer Audience

LinkedIn provides you with an amazing search, to filter and define your customer audience. View your target audience by company, location and more. The best part is you can save your search and get email notifications on a weekly basis with important leads to follow up.

Build a Fan Base

As with the majority of social media groups, other businesses and consumers can follow you. Build a fan base, making sure they receive updates on promotions, new products, and blogs available. Be active on LinkedIn as this helps to increase your presence.

Join the different groups available, network, send messages, and comment on posts. The importance is this helps you to keep an eye on other businesses and receive regular company updates. The other great feature you can use is LinkedIn Pulse providing you with the latest news.

Use it to publish articles related to your eCommerce business as this leads to prospects.

Use the Features on LinkedIn

With the many features available on LinkedIn, you can use them to your advantage:

1. The add connection – use this feature to add contacts. This helps you with suggestions of whom to connect with.

2. Make use of the old piled up business cards and put them to use on LinkedIn

3. Connect with family and friends as this boosts your network and is great for marketing. Connecting to friends and family on Facebook is one of the best marketing techniques to use on LinkedIn.

4. Meeting someone new on LinkedIn is amazing, so add them to your contact list as this leads to more business.

Reflect Your Brand

Now you have built a following it is time to give your fan base awesome content. You need to reflect your brand by showing them personality. Talk a little about your business and share important content related to the products you sell with helpful information related to it.

How? by using the share and update section available. Here you can link content to your online store or share mind-blowing videos about your products. Your followers see these updates. Disclose content that is valuable and related to your e-commerce network.

Leave the sales pitch for later they are boring and make it conversational.

Network and Connect

The sole purpose of using LinkedIn is to network and connect with other people. Network, with everyone as you never know who will become your customer. The first step is using the platform free, but by using the Premium account available gives, you access to powerful networking tools.

You receive expanded profiles and can view other people’s profiles visiting your page. Other ways are to find groups that work for you and stay with them. Figure out what groups work best for you and interact with them.

Stay in contact with people on your connection list as this leads to great opportunities once they arise. Networking is a time-consuming thing and takes time. Stick to it for a few months and you will reap the benefits as you meet new people and groups.

Create your own Industry-leading LinkedIn group

Another effective way to get networking and drive traffic to your e-commerce business is to start a group. Whether you sell sports items, health products, and more start a group network with helpful information related to your product.

Present customers with a value such as free samples, advice, webinars and more. This keeps your audience wanting to come back for more. However, it is important to identify your audience and create a name for your group communicating the topic.

Reach out to your connections, inform them you have started a group, and do something special for those joining your group.

Be Energetic and Become Active

To become an effective online business and develop strong connections to boost sales, take part in the LinkedIn Question & Answers page. Here users post questions to get answers and best not to exaggerate your brand.

Answer users’ questions without pitching your product or services. Always look for questions you can answer with knowledge and be concise. Reply to people by using the “reply privately” button to advise the person you have responded to their question.

Present them with a courtesy call to help solve their problem and present them with further help if needed.

LinkedIn powerful Analytics feature

Keep track of your progress by using the LinkedIn Analytics tool available in the page statistics section. Here you can monitor viewers on a month-to-month basis by their demographic. This helps you to tailor your content according to your client’s needs.

Patients is a Virtue

Never expect overnight results as it takes patients. Keep your page up to date, interesting and useful. Building a network for your eCommerce business can take months, however, once you have your audience LinkedIn works for you. The importance of the platform is to use it to generate sales and add significance, leading to new customers directed to your business online.

Top 10 marketing tools that will help grow your business

As the e-commerce business grows, several nifty e-commerce support tools are also on the rise. Marketing tools, metaphorically speaking, are your daily hammer and screwdrivers that you must own in order to efficiently grow your business. Here I outlined the top 10 marketing tools that will help grow your business.

Open Data

Most of the applications today are relying on the usage of open data. Open data is an information that is freely available to every person, and that is a great way for your business to engage with the wider audience.

Facebook Lead Ads

A powerful marketing tool. Instead of taking your potential customer away from this social platform when they click on the ad, Facebook Lead Ads gives you the opportunity to create pop-up based forms while the potential customer is still on Facebook. This pop-up form is already filled with user’s information from Facebook, and all he or she has to do is just review it, click on it, and keep doing what they do on Facebook. This way, the user does not have to go through a demanding process and leave their comfort zone on Facebook news feed, while you get to receive the information you requested.

Live Stream of Video Content

You can gain a big advantage on the market if you use live streaming for the promotion of your products and services on popular social networks like Facebook or Snapchat.

Canva

Use Canva for getting a great design. If you have a strict budget for your marketing campaign, but you need great designing elements then you should take advantage of Canva. This great marketing tool is ideal for creating visually appealing content that you can use on social media. It is a very easy program to use and offers great advice about ways for conducting marketing campaigns. Check out more about Canva here.

Spaces

to build free brand logos. Branding is an important step in marketing campaigns and logos are important parts of branding. Spaces free logo maker has a large library of icons, font classes, and frames which you can use for creating a great logo that will represent your brand.

Post Planner or Buffer

Use one of these two great tools for manageable social media marketing. This effective tool helps you in planning and scheduling posts for days or weeks in advance for all social media platforms.

Trackr

Trackr is an influencer marketing tool.  There are many nice tools that help you contact, manage and track influencers. Take advantage of this marketing tool to improve your business marketing plan and reach the people who can help you boost your brand.

HARO

We all know content is King! Boost your content with HARO. This marketing tool is very useful and efficient, helping you to enhance your content with some expert quotes. HARO connects the content writers with the experts in order to provide original and high-quality quotes for blogs, topics, and articles.

SumoME

Use SumoME for growing your e-mail contact list by collecting data from your website users.  Their heat map feature is a great tool for learning how to improve the content of your site, and most importantly, it is free of charge.. and this is why this tool is included in my top 10 marketing tools!

Trello

Use Trello if you are just starting your business. This free-to-use marketing tool has many helpful features like due dates and checklists that can help you organise your campaigns.

And this ends the brief list of my preferred top 10 marketing tools

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