Internet business review - without the fluff

It was late on a balmy summer's night back in 1992 that I first heard the bit of advice that changed my business life forever. I was having a drink in my favourite bar with Thommo (the owner) and a few other friends.

The bar was slowly winding down after a busy few hours and the talk turned to business and, specifically, what was the difference between success and failure. And what made the difference between those mildly successful and those hugely successful.

Thommo had been around a bit and, being the clever fellow he is, had closely examined those who had been not only successful in business, but enormously successful.

My friends and I gave our theories before Thommo stepped in and said, "Okay guys, listen up. I've been around a bit and seen a lot. I've seen people make fortunes and seen people just as smart, struggle along. The secret of being successful in business, and making huge money, is this...

"You have to be in the game."

Now I've been around a bit and probably have now seen a bit more than even Thommo. And it is still the one bit of advice that I always come back to.

You simply cannot be a success in business if you haven't got a business. But it's more than that. A lot more. You have to be in the right sort of business.

You need a business where you can leverage what you have. It might be 100 employees. It might be 10 retail outlets. It could be anything.

You have to be in the game.

You have to be in the game where you have the chance to make it big.

And one of the easiest ways to learn is from someone who has been there and done that. Someone who has seen the pitfalls, tried everything and knows exactly what works (and why).

Marketing "theories" and "concepts" aren't enough.

You've got to review, analysis, understand, and model businesses that are already thriving. And contrary to what most people will tell you, you don't have to be a computer genius to succeed. It just is not that difficult - follow the rules, guides and principles that others can show you and you can benefit BIG TIME.

I've seen plenty of business models

As a Marketing Consultant I've had the opportunity to take a look at a huge number of businesses from the inside. I've seen every conceivable business model. I've marketed retail businesses, wholesale businesses and service businesses. And I have come to this conclusion.

The best business model I have ever seen is an Internet business.

Working as a Marketing Consultant I've been aware of the saying, "Those that can do, those that can't teach." So I think it's important to let you know right here that I do know what I'm talking about!

Aside from running a very successful web development business, my company also operates Internet shops. And the Internet shops are hugely successful.

Test, test and test

I have devoted thousands of hours, and thousands of dollars to building web sites and Internet shops. Testing and testing until they were perfect. Tinkering with sophisticated marketing techniques to gain the biggest advantage.

It doesn't come easy!

(My favourites are those people on Internet forums who ask for advice on how to start an Internet business, then you find out the business they start is "How to make money on the Internet" without ever having done that themselves!)

When one- (1) of my web shops first started to 'go' I was literally laughing all the way to the bank. I simply couldn't believe how easy it was, once I had everything in place. I thought it was just too good to be true. Until I did the exact same thing with my next shop and the same thing happened!

Quite simply an Internet business is the easiest, best and most profitable business model I have ever seen!

One of our sites did hundreds of thousands of $ sales in two- (2) hours. Once that couple of hours were up, the sales continued online for about four- (4) weeks. The fax didn't stop (there's a hint right there: accept orders via fax. About 9% of your customers will prefer to fax their order) and the orders kept coming.

That site continues to go very, very well and here's the thing. The site is managed completely by one- (1) person. Part-time.

Here's a quick rundown on how the site operates. The visitor comes to the site (mainly through search engines) buys the product and goes on their merry way. Here is what happens next.

Mel, the manager, opens up a piece of software and presses the 'Import orders' button. All of the orders, whether it be 1 or 1,000, are automatically imported into the system.

Mel has the entire site systemised

Mel then presses the print button and the orders, with a packing slip and receipt, churn out.

The paper Mel uses for the orders is perforated so she can easily separate the receipt to place with the order and includes a peel off address label. She then takes the orders into her packing room, packs up the orders (most are pre-packed) and pulls off the sticky address label, places it on the parcel and it's all done.

(The banking is already done, as the credit cards are processed automatically.)

Mel aims for about forty- (40) orders per day. She can pack and post thirty- (30) orders an hour. Add another two- (2) hours for the web site marketing and answering emails. The average order is just over $50. I'll let you do the math on that one.

A quick point here. If you think that the site that made all that money in two- (2) hours was an exceptional site with all the bells and whistles, think again! The site design cost me 20 cents! That's right, 20 cents! (I purchased 100 template web sites for $20).

Real-life Case Study #2

A client was operating a fairly large sports event. The web site was not considered a big part of the event, attracting only 780 visitors per year. After my company redeveloped the site we now have this situation.

• Site has 220,000 visitors per year
• Site generates substantial income from banner advertising
• Site generates income from ads in the quarterly newsletter
• 60% of the event participants register for the event online, saving thousands and thousands of $$$ in administrative fees

I know what you're thinking!. You're thinking that if it is so easy then why aren't I concentrating on developing more and more web shops. Well, I am. My company is developing three- (3) shops as I write this. Those three- (3) shops will be automated to the extent that I have an absolute maximum of five- (5) hours a week to work.

There is no danger of there ever being too many web business. One thing that I've learnt through my marketing career is that marketing makes the difference.

So it makes sense to learn about marketing

The reason you are reading this might be that you have had enough of your current circumstances. Fair enough. You may not enjoy your current job. That's okay too. You may be looking for a new challenge. Fine.

An Internet shop can be the answer for you.

It's worth a look. Research. Work hard. Pick just one or 2 people who know they they are talking about and follow their advice.

Then do it.

Brendon Sinclair