Tuesday, March 20, 2012

Selling Wholesale Gifts Online - Importance of Research

If you are planning to invest in an online business or to start your own online business, you have several different choices. It is not easy to start a business online and invest heavy capital without proper research. So the rule number one is to do as much research as you can. In my point of view, wholesale gifts is a great business opportunity, and I will tell you why.

Wholesale gifts business

A wholesale gifts online store is much different from a retail gift store. In wholesale store, you will be selling to retailers and not to customers. However, you can sell your gift items to customers as well but that needs more investment.

As mentioned earlier, proper research is the key. So before starting your own wholesale gift store, you need to do research. A few research tips are:

    Your capital with which you will start your online business.
    Your primary and secondary target market.
    Your competitors in those markets.
    Strength and weaknesses of your competitors.
    Are customers happy with your competitors.
    What gift items you will be focusing upon.
    What your customers need.
    Is there any gift item(s) that your competitors are not delivering.

You must find answers to these and many other similar type of questions.

Then comes the second part of the research, that includes following areas:

    Your business location
    Number of employees
    Business name
    Number of offices
    Brick-and-mortar or click-and-mortar
    Warehouse location
    Storage area
    Payment processors
    Delivery terms

This is a lengthy task but there is no alternate. And I must say that it is very important to conduct proper research before investing your money in a new business. It is strongly recommended to invest in wholesale gifts business if your research shows any kind of output. If there are hundreds of competitors already serving your target market, there is no need to invest your money. So you must move with the primary research report.

If you cannot do research yourself, hire someone. Or I must say, hire a professional company. And don't hesitate to invest in the research process. And do not expect favorable results. Research reports are based on facts and figures, and if it shows that you cannot start a business in wholesale gifts niche, then leave it. There is no need to go against the report. Try another niche or try another target market or something. There is always a second chance, a second door.

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