Small Store, Big Profit: Selling One Product Well
Have you ever felt overwhelmed by choice when online shopping? You’re not alone. Many online businesses think the more products they have, the more they will sell.
This is not always the case. The truth is, you do not need a massive selection of products to make money online.This article outlines how a small store can sell more than bigger stores that bombard their customers with choice.
The Paradox of Choice
Studies on human psychology have shown that when people are faced with too many choices when shopping, they don’t buy anything at all.
When running an e-commerce business, it’s important to understand that more isn’t always better. Take the classic jam example. When faced with 24 options for gourmet jam, only 10% of customers ended up buying any jam at all.
This is known as the paradox of choice, outlined in great detail in this TED talk by author Barry Schwartz.
This translates directly to e-commerce. An online store selling one high-quality, well-designed product can defeat this psychological challenge.
Take Sara Blakeley, the founder of Spanx. She started a company focusing on shapewear for women and the company now has an annual revenue of $400 million. This is a perfect example of selling one product well.
Now her online store sells a variety of shapewear products, but you have to start somewhere. By not overwhelming your customers and forcing them to face the dreaded paradox of choice, you could, like Sara, wind up far ahead of the curve.
Online Tools for Small Store Success
There are many online resources to help startup companies get their footing. For instance, understanding how to sell on Shopify can save time and money for e-commerce companies.
With its Launch and Startup themes, Shopify is a great host for small stores to sell their products online. If you’re thinking of starting an online business but aren’t sure where to start, do some research into the best selling online products.
For example, women’s clothing and accessories are often at the top of that list. There’s nothing wrong with doing research and cashing in on hot trends. hem
Niche products can be risky as they have a smaller target demographic, but when done right, they can be successful. Take this company selling water jet machines.
Not everyone is going to be in the market for a product like this. But by having a well-designed website and a high-quality product, customers who are looking for a water jet machine are likely to make a purchase.
The Bottom Line: Quality Over Quantity
Being able to focus your efforts on one thing allows you to spend time and money on what matters – running a small store that manufactures high-quality products.
Without spreading yourself thin trying to fulfill many product orders, you can focus on producing products of a high standard. Products that you can be proud of and that your customers will love.
No one said being an entrepreneur was easy. It takes dedication and hard work, but the payoff can be enormous. Check out our article for entrepreneur tips and remember, more isn’t always better.