Being successful at selling online can take some time. It’s a learning curve that might come with its share of mistakes and missteps along the way. However, getting to know the online selling game may be easier if you have a little guidance to get you started.
The following are a few of the things that have helped me successfully navigate the world of online selling.
Inventory levels and costs
Tracking my inventory levels and costs keeps me apprised of several key components related to the success of my business. First off, it tells me how much inventory I’ve sold, how much I have on hand, and therefore how much I might need to repurchase. This can keep me from encountering shortfalls or delays in shipping, which in turn could hurt my customer service ratings and reviews.
Gauging inventory also helps me watch for changes in the pricing levels at which I’m purchasing my products, which could in turn affect my profit margin.
I note every sale I make. I record the cost of the item, the date of the sale, and the price at which I sold the product. This allows me to do several things. First off, I can see when my most profitable and productive (when it comes to sales) days are. Second, it helps me determine what my overall profit margins are. And third, I can get an idea of what products are my top sellers and have the greatest profit margins, and which ones I might be better off reducing my inventory of or eliminating from my sale listings completely.
Fees, taxes, and shipping
I ensure that I stay on top of any fees, taxes, shipping, and handling costs related to my online sales. While these might seem like minimal aspects of an overall operation, they can have huge impacts upon my bottom line.
These items can add up to 20 to 30 percent of the overall sales price of an item, so it pays to watch these costs closely. And by tracking them as I make sales throughout the year, I not only have a better idea of how much they are costing me, but I can better regulate my product pricing to compensate for these expenses or any increase in rates in these particular areas.
With these three integral components being watched closely, I can better ensure the overall success of my business and make changes to ensure that I remain successful.
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The author is not a licensed financial, sales or marketing professional. This article is for informational purposes only and does not constitute advice of any kind. Any action taken by the reader due to the information provided in this article is solely at the reader’s discretion.