Scaling an online business in a fast advancing technical world is tough. As a tech entrepreneur, I live through the challenges everyday and constantly find myself learning new things. I think my inquisitive nature is actually one of the secrets to my success in building ufurnish.com. I've had plenty of good advice along the way so I want to pay that forward by sharing my 10 top tips for scaling an online business.
1. Invest in technology
Invest in the technology and infrastructure that your online business specifically needs to scale. This could include new software, hardware, or cloud-based systems to help you manage your business more efficiently. There are a lot of options out there and providers like Microsoft, Google and AWS as some examples provide you the perfect base to build upon. Don't just jump at any solutions though and be sure to do your homework on each solutions provider as there's always a hook in every platform.
2. Focus on customer acquisition
Scaling an online business starts with acquiring customers. Develop a clear strategy for acquiring new customers and focus on executing it effectively. Whether you run a B2C or B2B business, your unit economics will determine the effectiveness of your customer acquisition strategy. Utilise data and analytics to track your progress and optimise your efforts. Facts don't lie so use them as your guide.
3. Hire strategically
As your online business grows, it's important to hire the right people to help you scale. Look for individuals who are passionate about your business, have the skills and experience you need, and who will be a good cultural fit for your company. A great hire can exponentially accelerate your business growth and a bad hire will have the exact opposite effect. Never compromise on a new hire and trust your gut. You'll know if a candidate feels right or not.
4. Optimise your operations
You have to optimise your operations to be as efficient as possible. Streamline your processes, automate repetitive tasks, and eliminate bottlenecks that are preventing your business from scaling. Being super diligent on this is critical. Time invested on optimisation early earns time and results back longer term.
5. Focus on customer retention
In addition to acquiring new customers, it's important to focus on retaining existing customers. Offer excellent customer service, communicate regularly with your customers, and provide value in order to build lasting relationships. Having a laser focus on your data will guide you as to whether your business is doing a good job in this area. No business will scale without customer retention so beware of the 'leaky bucket' syndrome.
6. Leverage data and analytics
Use data and analytics to make informed decisions and drive growth. Track key metrics such as customer acquisition costs, conversion rates, and lifetime value to measure your progress and optimise your efforts. This can be challenging when you work with multiple data sources so be sure to find ways of connecting your data into one simple place where it can be utilised efficiently. Platforms like Google BigQuery, Rudderstack and Supermetrics can help with this.
7. Expand your product or service offerings
Consider expanding your product or service offerings to reach new customers and markets. Look for ways to add value for your existing customers and explore new market opportunities. You'll often find your customers will tell you exactly what they want and why they would buy it from you. Listen to your customers and they will be a guiding light for good.
8. Invest in marketing
Invest in marketing to reach new customers and build your brand. No business can scale without great marketing and a business without marketing isn't really a business at all. Consider a combination of paid advertising, content marketing, and influencer marketing to reach your target audience. You need to work out a marketing model and mix that works for your business. Taking a test and learn approach to growing is always the way forward.
9. Build partnerships
Build strategic partnerships with complementary businesses to expand your reach and access new markets. Look for opportunities to collaborate with other businesses and leverage each other's strengths. There's so much to be learned and gained from doing this. It's a crucial part of our success at ufurnish.com.
10. Stay agile
Stay agile and be willing to pivot if necessary. Be open to feedback and data, and be willing to make changes to your business model as needed in order to achieve your growth goals. This doesn't mean you should be willing to pivot at the drop of a hat but you have to be open to change. Agile companies learn quickly, innovate rapidly and out manoeuvre bigger businesses to gain market advantage.
Scaling an online business is an exciting journey so embrace the journey and take on every challenge with passion. If this article is helpful and you'd like more content like this be sure to follow me on LinkedIn as I share my business growth story.
