5 Steps to Survive (and Thrive) in Your Online Retail Business

I started in retail when I was 13 years old. My first job was in sales at Pal’s Music Company, my neighbor’s father’s record store in downtown Hattiesburg, Mrs. Sales was a simple thing then. A customer, usually, had heard a song on our local radio station, WXXX, and would come over, usually the following Friday or Saturday, and wanted to listen to some of it on the built-in record player. If it was the right song, it was usually a sale. Every Friday I was paid at my choice, records or cash or both. I use both.

Over the years, and eventually after college, I took jobs in various industries, but always seemed to migrate back into retail. Now I am a cartoonist. In September 2006, I opened my first online retail store that sold (and continues to sell) T-shirts, mugs, and more featuring my offbeat cartoon imagery.

I went back to college between 2002 and 2006 to learn internet technology and business, but even that didn’t prepare me for what was to come. How do you deal with clients where, most of the time, there is no human contact?

It’s been four years since I opened my first online store and now I have four more and over 200,000 licensed gifts and t-shirts. Since I don’t have in-stock inventory, I use direct shippers/manufacturers who print and ship my products, so I have to choose carefully. With my main manufacturer, I made sure I had access to all of my customers’ names and mailing addresses so I could stay in touch for sales, promotions, etc. If you are able to do that, please do it. But don’t expect that kind of respect from major online POD (print-on-demand) firms like Zazzle, Printfection, Threadless, Cafe Press, and the other big dogs. These are my five steps to online retail survival and even profit.

1. Become an “expert.” This does not mean “know it all” or “guru”. It simply means cataloging information and providing it useful to others through blogging and article marketing. Eventually, existing customers and new ones trust you to get good information and Google your name. Writing blogs like this often comes from a combination of reading and experience, but mostly experience.

2. Make good use of Twitter, Facebook and other social networks. Many try to dictate the “right” and “wrong” way to do this. Actually, what works for “Fred” probably won’t work for “Barney”. Social media really isn’t a one-size-fits-all world. Many name-brand businesses take the totally personal approach of having one person try to juggle all the balls in the air by engaging in a one-on-one dialogue 24/7. Other companies have so much information that they use a real human person to “tweet” while having pre-programmed “news tweets” using systems like Hootsuite or Twitter. These are also ideal for small to medium-sized businesses that may be on a budget but want to have an online presence around the clock. It’s particularly effective for my company since around 50% of our orders originate in Europe and are processed while we’re asleep.

3. Think globally, act locally. This is one I’ve been putting off for a long time, and my wife found a way to make herself want to try it by creating a very attractive “thank you” package that we sometimes leave with someone in the service industry who has treated us. right. The presentation she created is so unique that she has already proven itself even after delivering just a few of them. We have noticed large orders coming from our own hometown. I don’t spend as much time on this as I think I should and plan to use it more often. I’m used to working online, but my goal is to balance that. I’ll report back in a few months to let you know how it’s working out.

4. Reasonably priced. This time, the dotcom bubble appears not to be bursting. More and more people appreciate the convenience of shopping online. But just like physical stores, people like a good price. You have to make a profit to stay open, but you have to price it within reason so the market can afford it, or the market will go elsewhere.

5. Do not jump gun when opening. Make sure your store has enough inventory. When I say inventory I don’t mean ten or twenty items. Whether you’re using a POD maker or making your products locally or shipping someone else’s or becoming a partner, fill your page with salable images. I didn’t start selling until I had a few hundred items in my stores, but it’s different for everyone. Now that there are thousands, major shopping channels like Google Shopping, The Find, Shop.com pick them up, etc. People trust these sites for useful information on retail sales and comparisons. Most people do the opposite, but fill their store with merchandise and then open the doors.