With 80% of the online population having made a purchase, being online is a vital part of any small business strategy. That means there is a lot of us out there trying to make it. The problem is that there are also a lot of threats out there we need to doge and protect against to remain afloat. So, with that in mind, to find out what these are and how they could affect your small online business keep reading for some more information,
Any online business, whether big or small needs to be up to date with data security laws and measures. This is for two important reasons. The first is that business needs records, information and data to run. This means if all of your key information is compromised your business can become pandemonium very quickly. Causing problems with cash flow, customer satisfaction, employee motivation and profits. The second is that the damage to your reputation is unfixable if your clients get wind that their personal data has been breached. Causing them to lose the trust that you have worked so hard to build up.
Regarding the first issue, it’s vital that you have a disaster recovery plan B in effect. Then if your servers or cloud storage are damaged or compromised, you will have a way of getting back the vital info that your company need to run. While in regards to the second issues it is essential that you do your utmost to adhere to all of the data protection laws, and use a reputable data storage provider to handle this side of things for you. After all, if you were storing paper files that were crucially important to your company, you wouldn’t pick a leaky warehouse in a dodgy part of town, would you?
Lack of visibility
Small online business can be severely threatened by a lack of visibility of both their brand and product online. Due to their size, they often don’t have the resources to throw at marketing or advertising campaigns that the big players do. Making it possible for them to get lost like small fish in a big pond.
To avoid this it is vital to utilize the relatively inexpensive services in this field, that technology is now making possible. This includes real-time ad bidding, something that is excellent for a targeted approach. As well as more traditional ad methods like CPD and CPM. Of course, small online businesses can also really benefit from using social media in their marketing campaign as well. As long as they target users with the right fan base that will get their product in front of the right people.
Lack of flexibility
Small online business can sometimes be threatened because their lack of resources means they cannot be as flexible as the bigger players. This can affect all sorts of things from not being able to buy such a large range of stock and not being able to cope with a rush in demand, to being able to shift the primary sale focus from one particular product to another, quickly and efficiently.
However, to minimize this threat, smaller online companies can make up for this issue by listening to the customer more and using this information to inform their product and service decisions. Therefore providing a better experience overall for the customer than they would if they have to deal with the bureaucracy of a larger organization.
Intellectual property (IP) theft
Lastly, small online businesses often have to worry about intellectual property (IP) theft. This is when their ideas, images, or marketing materials are copied and stolen and used by another company.
The issue here is that in particular small online startups’ success or failure is based around the concept of their product or service. This makes them a particular target for plagiarism by larger companies because it’s they that have the reach to get the word out about said product or service first.
Also, IP is a pretty in-depth issue, and it can be sometimes hard to know whether it is really going on. Some smaller business use strategies like watermarking their photos to prevent them being used by others. While others use a legal team to register and protect their ideas, sending cease and desist letters to those that infringe on those rights.
Of course, that does mean you have to have the finances to sue, which can be along the costly process. Something that small online companies don’t have the time or resources for. Making IP a tricky threat to deal with.