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Can A Little Online Business Succeed?

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As you get into the nitty gritty of starting your own Internet business you may find yourself being overwhelmed. You might feel as if your business is too small and it can't compete with the big businesses on the Internet. Many people feel this way when they try to register a domain name and find it has been taken. Then they find out that their next twenty choices have also been taken. This is all part of the learning curve of starting your own Internet business. Realizing that someone else has thought of your idea before you only forces you to become more creative. This is good because the people who are the most innovative are the ones the end up making the most money on the Internet.

The best thing you can do as a small business is try not to compete with the big chains at all. The main reason that most independent non-virtual business fail within the first year is because they tried to compete with the huge chains. In the "real world", a good example of this is the corner market store that can't compete with the big shiny Wal-Mart across the street.

The same principle is also operative when it comes to opening your own Internet business. If you are a newbie you are much better off trying to hook yourself up to an ebusiness that is a known quantity rather then try to fend of the omnipresence of the Internet Giants on your own. This is done linking to the big players at the top of the Internet food chain.

It may also surprise you to know that it is not necessarily the biggest companies on the Internet that turn a profit. The richest sector of the Internet that can count growth of their profit percentages in double digits are not the super-large companies but rather the small home based business sectors. This is because those big online companies cannot provide the customer with the intimacy and one on one service that is so part of being a human consumer.

Studies have also shown that people prefer to work with a simple little site rather than a big complicated one that spasm them with email. If you really want to beat these big guys then provide one on one customer service. At most of them you have to wait weeks to have an email responded to.

Airline reservations systems have been online since the 1960s. Adding a Web interface to those computers turned out to be a profitable business move for businesses such as Expedia, Orbitz, and Travelocity. This is a perfect example of how the simplest of information sites turned into an online giant.

The other unexpected Davids against the Goliaths turned out to be online communities. Often these online communities also masquerade as retailers. The sites that saw success were the ones that functioned as information centers, that were interactive and that gathered people together in pursuit of information about one subject. Both myspace.com and facebook.com are examples of this principle in action.
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