Register Domain Names - Web Hosting Registration Services

Is a Small Business Web Site a Wise Investment?

One of the greatest pitfalls in e-commerce is Field of Dreams thinking, the notion that all one has to do is "build it (a web site) and they will come."

"I can't think of anything further from the truth," Ron Scott, a Riverside, California web designer, says. "Even if we develop an attractive, content rich web site, that is no guarantee that our client will generate enough sales, let alone traffic, to justify the expense.

"There has to be a market for a company's products and/or services in the first place, and then it has to be properly promoted", he went on to say.

This is why the firm recommends their small business clients answer a number of questions directly related to the development of a sound business plan before they open their checkbooks.

1. Have you adequately defined your market reach? Do you offer products and/or services that will be of interest to an international, national, regional, or local community? The larger your target audience, obviously the greater your probability of success. Could you add one or more products or services that would broaden your reach?

2. What is the global demand for your product and/or service? Do you have any idea how many internet inquiries are made about your product and/or service? For an answer to this question, Scott recommends visiting the "Pay for Performance Search" page listed under the heading "Products and Services" at Overture.com. Enter a keyword or keyword phrase you might use to find information about your product and/or service in the search engine suggestion window at the bottom of the page. In addition to finding out how many inquiries were made the previous month using that keyword or keyword phrase, you may find a dozen or more related terms and the number of inquiries made about them as well. Add the number inquiries and this will give you an idea just how much interest there is in your product and/or service.

If your reach is local or regional, be sure to incorporate the names of cities in your search terms. Pay-for-performance programs sometimes do not allow local or regional advertisers to use generic terms because their services are irrelevant to a more global audience.

3. How many of these inquiries actually come from your target market? Let's assume you do business in Los Angeles and your target market is Southern California. If 85% of all inquiries originate in the United States and that 7.1% of those live in Southern California , then the potential market in Southern California represents 7.1% of 85% (6.1%) of all inquiries using any given keyword or keyword combination.

To calculate the proportion of inquiries in any market area, visit the U. S. Census Bureau's web site. There you will find population projections you can use to estimate the number of inquiries that are likely to be emanating from within your market area.

4. What is your likely market share? Of those consumers actually making inquiries from your market area, how many are likely to visit your site, let alone make a purchase? Assuming that the content of your web site is inviting enough to motivate visitors to either purchase your product/service or to at least make an inquiry, what percentage are actually going to become customers? A 1% return is reasonable expectation if you are in a competitive market and you have a competitively priced product and/or service. Obviously, the more unique your product, the more the higher this percentage is likely to be..

5. How many sales will you have to make to recoup the cost of development and promotion, if only 1% of your visitors take advantage of your offering? For arguments sake, let us assume that it will cost you at least $100 to reserve a domain name and to secure a host, $500 to get a 10 page site designed, and that you budget at least $100 a month on promotion. How many net sales will you have to make to recover these costs? Put another way, how many sales would you need to start making a profit?

6. Do you know who your on-line competitors are? If you don't, go to any search engine, enter a few keywords related to your industry and see who appears on the first page. Visit a few of them. What is their message? What do you see as their strengths and weaknesses.? What do you like or dislike about their sites? How could you make your offering more attractive or enticing?

7. Can you be competitive? Knowing what your competitors are offering, can you realistically expect to compete with them, especially when it comes to pricing? Internet inquiries generally come from individuals looking for a deal so they are price sensitive. Do your competitors actual provide pricing or to they ask visitors to make an on-line inquiry or to call for a quote? If you are in a service related business, what are you going to have to do to compel visitors to act once they visit your site? What can you do to separate you from your on-line competition?

8. How unique is your product and/or service? Do you have a unique offering, or are you in a highly competitive industry? Obviously, the more unique your offering, the easier it is going to be to get exposure and the greater your potential is going to be for success.

9. How are you going to promote your site? One of the greatest misconceptions in e-commerce is the notion that to succeed all one has to do to is submit a site to search engines. This, unfortunately, is the full extent of marketing for far too many web sites and rarely gets the job done.

One of the primary considerations when it comes to search engine placement is popularity. The more sites linking or referencing your site, the higher page rank it will earn. It is fairly inexpensive to get a link on a wide variety of permanent directories, but it takes more than directory links to significantly increase a site's popularity. If you or your webmaster don't take the time to negotiate link exchanges with non-directory related sites, especially those who have high rankings, you are not likely to gain favorable positioning in any but the most insignificant search engines.

10. What have you budgeted for promotion? If you cannot afford to promote your site, you might as well forget spending money on its development. To get a quick idea what it might costs to promote your product or service on line using a pay-for-performance advertising program, visit Overture.com again. Enter one of your industry related keywords in Overture's internet search window on the company's home page.

When the results appear, click on "View Advertiser's Max Bids" link that appears to the top and right. The highest bidder wins the top sponsored position on Yahoo, MSN, CNN, Alta Vista, InfoSpace, Overture and a dozen or more minor search engines. The top three sponsored listings will appear above normal search results at the top of these search engines whenever the surfer uses keywords or keyword phrases the advertiser has bid on.

These questions are not all inclusive, but they do provide food for thought. Hopefully, they will help those interested in establishing a web presence a better idea of what will be needed to achieve a predictable degree of success as well as a reasonable return on investment.

If you would like more information, visit http://www.websitetutoring.com.

About The Author

Ron Scott is a web designer who spends half his time teaching small business owners how to design and maintain their business web sites in-house.

rs@websitetutoring.com

MORE ARTICLES:

First-of-Its-Kind Sales Success Book Launches to Rave Reviews: Take the Cold/Biz Web Secrets Shows How to Find Hidden Information and Use it to Build
SBR Worldwide, LLC today announced the official launch of its unique sales success book and program, Take the Cold Out of Cold Calling, by Sam Richter. The book, along with its corresponding CD-ROM and Online Resource Center, teaches Web search secrets to find the inside information on companies, industries, and people, and then how to apply what is found to ensure relevant solutions and long-term client value. The book is being heralded as a "must have resource" by some of the nation's top sales experts, as it perfectly complement any other sales book or sales training program.

A Simple Step To Making Money On The Internet
Whenever I hear people saying that making money on the internet is easy, I automatically flinch. Until recently most of my efforts to make money on the internet were frustrating. I have to admit that I am somewhat gullible simply because I really wanted to work for myself and make a decent living.

Website Builder - Quick And Easy
You've just decided to get a website, congratulations! The only problem will be just how to do this. You've gotten a domain name for your site and have a space to put it online but how on earth do you actually make it work?

MKTG Services Introduces Two New Auto Trade Scores to Help Marketers Identify Potential Auto Buyers for ITA Offers
MKTG Services, a leading provider of highly effective and measurable marketing solutions, has developed an Auto Buyer Index to help marketers identify potential auto buyers. These highly predictive new indices are part of the MKTG Real Insights Risk Assessment products, and are available for selection from MKTG's online Real America Consumer Database.

Web Design And The Psychology Of Colors
Web design is not an easy task, especially if what you need is to create a business website in plain HTML, with a very simple layout, easy to navigate, fast loading and, above all, distinctive. To reach this purpose web designers don?t have too many options. Typically all they can do is blend colors harmoniously to create an appealing website that combines attributes of simplicity and logic while providing valuable content.

Ashley Ford Sales Launches New, Improved Website
New Bedford dealer making it easier for the automotive consumer to find exactly what they're looking for.

HughesNet Is The Obvious Choice For All Of Your Broadband Internet Needs
There Are Lots of Advantages to Surfing the Internet with HughesNet . In many ways satellite technology is the ultimate communication technology, so it's really no wonder that it would also be the ultimate technology for providing access to the Internet. In fact, HughesNet has made satellite Internet connections accessible to a variety of home and business users all over .

Whats In A Name: Selecting the Right Business Name
With all that's written about selecting a domain name, I thought I would address the ART of selecting a name for your business. It's by no means an easy task or one that should be taken lightly.

Cambridge Who's Who Etienne Prophete Names Professional of the Year in Spiritual Services
Etienne Prophete, pastor and executive director of Eglise Chretienne Haitienne de Palm Beach/Haitian Christian Mission, Inc. has been named Cambridge Who's Who Professional of the Year in spiritual services.

Internet Banking ? Banking With A Click
In the past, people often rush to the bank for last minute deposits or withdrawals resulting in long lines at the teller?s booth This was very inconvenient for most of us

Woman Entrepreneur Kelly Cutler of Marcel Media to Speak on Social Networking, Web 2.0 at "Stanford Conference on Entrepreneurship"
Marcel Media founder Kelly Cutler invited to present at a conference to be held during Entrepreneurship Week. She will serve on the "Monetizing Web 2.0" panel and present information on trends in social networking, technology advances, and outsourcing. The presentation will be on Wednesday, February 27 at Stanford.

SES Chicago: SEMPO to Exhibit and Participate on Digital Shelf Panel -- SEMPO Hosting Event on Monday Evening, December 3, With Google,
The Search Engine Marketing Professional Organization (SEMPO) today announced that it is exhibiting at Search Engine Strategies (SES) conference in Chicago, December 3-6. In addition, Dana Todd, a SEMPO board member, is participating on "The Digital Shelf" panel. SES Chicago is being held at the Chicago Hilton Hotel.

StoryLink? Social Network Website for Screenwriters and Filmmakers is Launched Includes Online Marketplace for Creative Services
StoryLink is the only online destination that combines the crafts of screenwriting and filmmaking in one community. StoryLink offers members countless opportunities to network with professional and aspiring creatives and to promote, share and market their materials or services. A unique feature debuting with this launch is the Services at StoryLink area, which allows members to hire expert freelancers and professional firms geared toward their creative needs. Members also have exclusive access to a comprehensive list of workshops, contests, seminars, retreats and lectures.

Orlando Theme Park Capital
Although probably the theme park capital of the world, a vacation in Orlando, Florida does not mean these are the only attractions to keep visitors amused. In fact, Orlando has such a diversity of attractions that many travel books have been written just about this one location alone. Everything a visitor could possibly want is here and the reason why people return year after year.