If you’re a business owner, there has never been a better time to sell your product or service online. But learning how to start an online business can feel overwhelming — customer expectations are high, competition is fierce, and the landscape is constantly evolving.
So, how do you break through the noise so customers can find you? And how do you get them to come back? Here are our top tips for growing an online business, from picking the right tools to scaling your social media efforts.
While there are countless ways to grow your business online, many of them typically share a common playbook: find your target audience, meet them where they are, and make it easy for them to buy.
But here’s where the questions mount: Are they avid TikTok users who look to influencers for product recommendations, or do they love scouring for hidden gems on Etsy themselves? Will organic SEO, free online business tools, or social media engagement be enough to drive shoppers to your digital storefront, or will you invest in paid advertising? How much will marketing and ads cost for your online business, and is the potential ROI worth it?
Having these answers can allow you to explore different ways to grab their attention, engage them, encourage them to check out, and hopefully, return for more.
Knowing how to identify your target audience is the first step to zeroing in on the right online marketplace or social media channel for your business. After all, choosing the wrong methods can mean talking to an empty room — or worse, wasting time, money, and effort trying to reach people who were never interested in the first place.
To pinpoint the best place to sell and engage, ask yourself these questions:
We’ve created a checklist to help you stay organized as you evaluate different online marketplaces and social media channels against your business needs – download it here.
Conducting market research into where your audience is spending their time and money might sound overwhelming, but it doesn’t have to be a complex, drawn-out process.
Not sure how to do market research? Try these simple strategies:
Once you’ve gathered the data, the next step is customer segmentation, which involves grouping your audience based on shared characteristics.
Some common customer segmentation categories include:
Audience segmentation and targeting are important because not every customer behaves the same way online. Some might respond well to short-form video content on TikTok, while others prefer in-depth product descriptions on Amazon.
Understanding who your audience is and where they are allows you to tailor your messaging and marketing efforts — so you're not just throwing something at the wall and hoping something sticks.
From Amazon to eBay to Instagram, there are dozens of channels for selling products online and growing an online business — and more likely than not, your target customers are browsing, clicking, and purchasing on multiple marketplaces or social media platforms.
While not impossible, it can be challenging for businesses to maintain an active presence on all these channels while providing stellar customer service and fulfilling orders quickly.
So, how do you decide the right platform for online businesses? One approach is to review all the features and tools provided by different online marketplaces or social media channels and evaluating which one can best help you meet your goals.
Here are some questions to keep in mind:
Have a shortlist of potential channels in mind? Great! Feeling stuck? Don’t worry — consider some of the online marketplaces popular in your region, such as:
Growing an online business is already a juggling act — why make it harder? Whether you're managing inventory, creating social media content, or handling payments, software for small businesses can take a lot off your plate.
Here are a few ways online business software can support growing an online business:
The right online payment processor can do more than just handle transactions — it can influence customer trust, streamline checkout, and even impact your bottom line.
Keep these considerations in mind when making payment processor comparisons:
Beyond features, you’ll also want to ensure that your chosen online marketplace or social media platform can help you meet your business’s financial goals. After all, everyone wants to have a presence on popular shopping destinations, but nobody wants to go in the red.
So, take a moment to research the benefits and costs associated with different channels:
Successfully growing an online business isn’t just about choosing the right platform — it’s about making smart, strategic decisions that help you scale efficiently. From picking the best online marketplace to investing in the right business tools, every choice you make should align with your goals, resources, and target audience.
The key? Work smarter, not harder. Use online business software to automate time-consuming tasks, optimize your payment process with trusted solutions like PayPal, and focus on creating a seamless experience for your customers. Learn more about PayPal Business today.
In partnership with three expert business owners, the PayPal Bootcamp includes practical checklists and a short video loaded with tips to help take your business to the next level.
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