Practical Internet Marketing – Why Even Your Internet Business Needs to Have a Plan

You have likely heard the saying, “If you fail to plan, you plan to fail”. This is especially true when it comes to your internet marketing business because without a very specific plan of action to follow, you will have no true way of knowing if your business is succeeding.

Being without a proper marketing plan for your business is like a general without a battle plan. Imagine how long a general would be in charge if they had no plan of attack. Well your business is no different. You cannot expect to get sale, gain customers, or beat the competition without knowing how to do it.

Now even the most seasoned military leader went through a process of being battle tested. He had to learn how to fight the battles first, then he applied those strategies in order to win one battle after another. You too must learn the tactics that will propel your business to the forefront of the business battlefield.

Build your internet marketing business (battle) plan.

Here are some basic steps you will need in order to get your business plan started:

Research your business model. Make sure you take the time to understand your own chosen business model. When it comes to internet based marketing, an e-commerce store can be quite different then creating your own informational products.

Learn what your business plan needs. As all businesses are different, so too will every business plan also be different. When you learn your business model, then you can also learn what specific requirements that will meets the needs of your business. Make a list of these needs.

Feeling industrious, write your own plan. A business plan can be quite simple or could read like a government budget plan. Do not make it harder then it has to be. You want to be able to understand it. Write a basic plan in a notebook that you can refer to often. You can always change it as you go.

Have one written for you. If you not an expert, then have a professional plan writer create one for you. This is often only needed if you want to get money from banks, but will still be good to have. Expect to pay a decent price for it, but it is well worth it.

To avoid this in the future, simply always make a plan. Even if it is a simple one.

Lack of planning in your business leads to a lack of growth and a lack of direction. You need to know where your going and how to get there if you want your internet marketing business to be successful. By creating a simple plan of action for yourself, even if it is on a napkin, you get an idea of how your business will work out in the long run and will be in a better position to map out your long term business strategy.

Functions of Business Finance

Strength and soundness of business depends on the availability of finance and competency with which it is used. The abundance of finance can do wonders and its scarcity can ruin even a well established business. Finance increases the strength and viability of business. It increases the resistance capacity of a business to face losses and economic depression. It is just like a lubricant, the more it is applied to the business, the quickly the business will move. Following headings explain the importance of finance to business:

(1) Initiating Business: Finance is the first and fore most requirement of every business. It is the starting point of every business, industrial project etc. Whether you start a sole proprietary concern, a partnership firm, a company or a charity institution, you need ample amount of finance. It is equally important for profit seeking and non-profit activities. It is equally important for a multinational organization and for a free dispensary.

(2) Purchase of Assets: Finance is needed to purchase all sorts of assets. Even if credit is available some down payment is to be made. Mostly finance is needed at the start of business for the purchase of fixed assets. These fixed assets consume a large amount of initial investment of the entrepreneur, so he may face liquidity difficulty in running day to day affairs of the business.

(3) Initial Losses: No business attains high profit on the first day of commencement. Some losses are normal before the business reaches its full capacity and generate enough revenue to match cost. Finance is necessary so that these initial losses can be sustained and business can be allowed to progress gradually.

(4) Professional Services: Certain business need services of specialized personnel. Such personnel have rich experience in specialized fields and they can provide useful guidance to make business profitable. Nevertheless these services are costly. Finance is always needed so that services of such professional consultants can be hired.

(5) Development: Business is always exposed to change. New innovations and emergence of new technologies replaces old techniques out of market. So in order to remain in the market, it is needed to keep the business well equipped with all emerging tools and techniques. This required finance. New technology is always expensive as it is better than others. So finance is needed to purchase new equipment and keep the business running.

(6) Information Technology: Information technology has now changed the geography of the business battle field. The home markets have now extended virtually to other comers of the world. The whole world can be your customer or competitor. To face such a fierce competition, IT is needed. Skills and competency in IT can perform miracles. But finance is again the decisive factor. It is very much needed to incorporate expensive IT products in the business.

(7) Media War: The advertisement and promotion have now become a vital elements for the success of business. The way a businessman approaches a customer and convinces him to purchase his product has become more important than the quality of product. With advertisement on International media, a businessman can reach the minds of millions of people around the globe. However, advertisement is a luxury which every business can’t afford. Huge finance is required to meet advertisement expenses.

(8) Resource Management: Finance is very essential for efficient resource management. Resources here include capital and human resources. Maintenance of plant and equipment and training of employees all need finance. Establishment of new industrial units, expansion of plant capacity, hiring of well learned skilful laborers – all
these factors can lead to huge revenue but at the first place they need finance to start with.

(9) Stock Investments: These investments are those which are made to hold ample stock of raw materials in hand. Bulk purchase of raw materials is profitable in a sense that purchase discount can be attained and there is no danger of production halts. So companies most often hold huge amount of stocks and raw materials. But such an investment can be made only if a company has sufficient capital or finance to carry out its daily operation easily besides holding huge stock.

(10) Combating Risks: Everything is exposed to one or more risks. A business is also exposed to variety of risks. These risks include natural hazards, burden of any huge liability, loss of market or brand name etc. Finance is needed to make business powerful, so that it can sustain occasional losses and liabilities.

8 Business Pitfalls to Avoid

How can you increase your chances of achieving business success? By winning the lottery or inheriting oodles of money? Whether you are an established entrepreneur or you are just starting out in business you need to realise and accept that there is no quick fire road to success.

However when you take steps to avoid the cracks (pitfalls) in the footpath you stand a better chance of paving your way to business success.

Here are the 8 Pitfalls to Avoid:

  1. Success Breeds Success. Do you think you know everything about business? Have you realised yet that you don’t have all the answers? Become an effective and profitable business by seeking advice from people who have already achieved great success. Let’s face it they have done the legwork. Connect with highly successful achievers and absorb all the experience and knowledge you can.
  2. How Big is your Vision?Did your business start out as a small idea? Has your small idea grown, changed or evolved? How much impact is your small idea making toward to future? Think big from the start. See your business at varied intervals – five, ten, twenty years. Ask yourself – What do I want to achieve and How will I be remembered? Believe in your vision and make it happen.
  3. Who is your Market?Before you rush headlong into your business you must research your market. Never assume that you know who your target audience is or what they want. Assume and you may miss the biggest opportunity of your life. Understand what your market needs and adapt as your business grows.
  4. Don’t Ignore Social Media. Not entered into business battle with social media yet? Admittedly social media is the talk of the town – it’s in the moment, right now. But is it necessary for my business you ask? Quite simply yes. Social media used in a targeted way can be a very effective marketing tool. Learn how to use it and choose what suits you best.
  5. How Do People Get to Know You?Your brand is your reputation. Your brand is your personality. Your brand is what others think of you. What does your brand say? Make sure your brand meets with your standard, your expectation and delivers the identical message and service to each and every client you do business with.
  6. Look after Loyalty.Heard of the 80:20 rule? That 80% of your work comes from 20% of your customers. And who are these customers? Existing, loyal people who have established a long-term, ongoing relationship with your business. Don’t overlook these people and only focus on attracting new customers. Stay in touch with them and show your care and appreciation for their loyalty.
  7. Improve your Business.Ask for feedback. How else can you manage any issues that arise? How can you change if you don’t even know there is a problem? Or do you think that you are doing everything right?Request honest feedback at random intervals or as standard with all new customers. Learn, improve and achieve better results.
  8. Plan your Finances.What is the main reason why most businesses fail? Poor financial planning and negative cash flow. Start your business with a plan, follow your plan, adapt your plan, and watch your business thrive. Manage your money well; over-estimate your expenses and under-estimate your income. Surely you’d rather have more money than not enough?