Pitfall Performance: The Biggest Pitfalls For The Home Business

Joe hated his job. Nothing would make him happier than walking into his boss's office and simply saying, "I quit!" before he walked out the door at the end of the day. But Joe couldn't quit his job. After all, he liked to eat. After some soul searching and brain storming, Joe came up with the perfect idea for a home business. So he started the ball rolling, walked into his boss's office, and joyfully proclaimed those words he dreamed about for so long: "I quit!" With his dream in his head and his heart full of hope, Joe will begin the same journey that so many home business owners begin. He must be aware, however, of the various pitfalls that await him in his journey.

Home business owners must first of all understand finance. The vast majority of business men and women will tell us that to make money we need money. However, this myth has led many into the path of financial destruction, with unpaid and defaulted loans along with broken lives. The first mistake that many home business owners make revolve around their personal finances: they borrow start up money for a pipe dream. Thus the first dollar they make really isn't theirs. It's their lenders. They begin treading water in a pool of debt instead of building a mountain of wealth.

While home business ownership offers flexible hours, it does mean that the individual has the option of not working. Quite simply, many home businesses fail because of sheer laziness and lack of discipline. A home business owner must understand the need to keep regular hours and to work just as diligently if not more diligently on this job than he has on any other. He is working for himself now, and while he cannot fire himself for poor work habits, he can simply watch his company collapse while he's at the beach catching some waves or fishing in a lake with his buddies.

A great idea, start up money, and some discipline will get a home business owner a long ways. He will have the drive to do well, the finances to back it, and the great idea to sell. However, home businesses with all of these elements in place can still fail due to another major pitfall: poor marketing. Many home business owners do not own a business degree. Thus they never took a class in marketing or advertising, and they do not understand how to properly market their product. After all, shouldn't a good product sell itself? Why market? Why advertise? A great marketing teacher will explain the need to market even the best product well. Others will not know about the product without great marketing, and even a marginal product can do well with excellent marketing techniques. Those beginning their own business can improve their business even more with just some basic marketing guides. Guerilla Marketing has proven to be a great help to those first starting a business.

Finally, with drive, start up money, discipline, and marketing in place, the home business fails in one other aspect if the owner does not have the necessary experience: taxes. Home businesses have the potential to generate a substantial income, but the home business owner who came from the corporate world typically has no experience in doing the taxes for another business. Many think they can do their own taxes, but they fail to recognize important deductions and tax laws, and thus they should consider the value of a Certified Public Accountant.

Home business ownership is a scary and exciting venture. Those who take that path in life must be fully aware of the dangers that lie ahead so they know where to guide their business.

Pitfalls To Avoid When Starting Your Affiliate Marketing Business

Well, you have left that awful job and now are working for yourself. You have jumped on board your new venture which is affiliate marketing. You’re incredibly excited and are working all the hours God sends to make this venture a success. You checking up and monitoring your site and you see that sales are going quite well. Many of the strategies and things that you put in place have helped your affiliate company sell quite a bit. The end of the month finally arrives and you’re waiting for that first large payment. When you check your account you are slightly disappointed. You did make some money but according to your calculations you should have had more. You check your sales figures again and decide to contact the company. They inform you that some of the items sold were returned so those had to be deducted from your commission.

This is disappointing but it does happen. Companies do not pay out commission on returned goods. You need to be aware of this to avoid fall into further pitfalls. No one would expect to be paid a commission on a returned item however; some less than honest affiliate marketing companies can use this to scam some of your profits. You need to make sure you understand their return policy and how it will affect the amount that you are paid.

A return occurs of course when a customer brings an item back. Charge backs can also happen when they dispute an amount on a credit card. Be sure you keep a close watch on which items are being chargeback or returned. See if there are any patterns that are obvious. If you notice that the orders that are charged back are always very high ticket orders then they could be giving you false information. They are doing this to keep you commission down and keep some for themselves. Keep a close eye on returns especially if you think it is happening a little too often.

Charge backs are also indicative of another more serious problem. If you notice that many of these charge backs are happening during an initial trial period, or the money back guarantee time, then there could be further problems. This is a sign that the product or service that you are promoting isn’t up to customer satisfaction. It could be misleading or just poor quality. However, it will effect your commission and your future as an affiliate marketer. If this seems like it is happening a little too often then again, there are problems somewhere in the company. Look to get out and make alternative arrangements.

You also need to be aware of which items are actually commissionable. Make sure you understand which products you will be earning money from to avoid disappointment later. Sometimes the company will offer a selection of products to put on your site, however only certain items may be commissionable. Before agreeing to anything like this checks your terms and conditions carefully.

Finally, you also need to make sure that items that are sold don’t have any other conditions attached. Some will only pay a commission if the customer fills in the payment details immediately. If they select an item and continue to shop, you may not receive any commission on that item. You can also loose commission if the customer clicks on any other links before completing the order. If they order 30 of an item you promoting but click on something else then you have lost out on quite a large amount of commission.

Affiliate marketing is a great way to earn money. However, before jumping in head first you need to read your terms and conditions carefully. It may be worth having an attorney look them over for you. You need to be aware of the many pitfall people fall into when they go into affiliate marketing. Read and understand your terms to avoid disappointment later.

The Pitfalls Of Business Blogging

Whether you are aware of it or not, your customers, potential clients, business associates, competitors and employees are already engaged in business blogging. They are conversing in real time about your products or services, news and developments in your niche. They are discussing about your new product release. Sad to say, if they have not spread it already, they are definitely gossiping about the customer service blunder you hoped you could keep hush-hush. Word travels fast in the blogosphere. Blogging gets you noticed and referenced, favorable or not, in your industry’s conversations. Business blogging has its benefits but, alas, it also has its share of pitfalls.

A business blog can help build your company’s reputation and credibility in your niche business area. It is a cost-effective way to communicate with targeted audience. It provides business feedbacks through comments. A well-executed blog can boost search engine rankings thus raising chances of potential customers visiting your site and ultimately generating sales.

More importantly, you should be aware of the pitfalls or perils that accompany business blogging. If you have finally figured out how blogging can work for your targeted market, then, seriously consider the technical pitfalls of creating a blog that might befall you especially if you are a newbie in the field of blogging.

Before embarking on blogging, you must have read and read some more blogs to familiarize yourself with the blogosphere especially your specific niche. Reading other blogs can spur ideas for blogging topics. Not doing any research will leave you writing in futility. You don’t know what questions your target audience wants answered and what they would like to read. More so, you might not even have a clear-cut goal. What is the purpose of your blog? What problem does it want to solve or gap to fill? You have not determined what is it you are trying to get done. You definitely will not have good topics to write about because topics should be in consonance with your business objectives. Writing without a purpose will get you nowhere. It will just turn readers away.

Not knowing how to use your blogging software properly will, in most cases, produce a non-professional-looking blog. A blogging tool goes to great pains to ensure that your blog will look good, the text look beautiful and the html code it generates follow web standards. It will be to your business advantage if you understand how the vast and sophisticated features work to increase your blog’s chance of being found on the Internet. Keep in mind that first impressions count with readers.

Not optimizing keywords, categories, subscriptions will make it difficult for readers to find your blog. The primary purpose of a blog to be successful is readership. Search engines are a great source of readers. If you are writing a blog post that you want to be read, bear in mind that readers will use keywords to find your blog entry. Keywords are vital to high search engine ranking. Top ranking equals traffic and traffic is readership. Categorizing your blog will also make it more user-friendly and make the content more search engine ranking friendly. Subscribing to an RSS feed allows readers to receive automatic updates whenever you publish fresh content. Not making frequent posts makes readers lose interest in your blog as there is nothing new to peruse. You have to make it a priority to post consistently. The more you post the more reasons the readers will come to read some more.

Finally, you have sorted out how to avert the technical perils of business blogging. Brace yourself; there are even deeper pitfalls with much more severe repercussions to consider. For one, businesses that allow misrepresentations – faulty or misleading information to appear on their blogs can create a public disaster. Some business companies keen to develop one-to-one links with customers, set up character blogs. A character blog is typically conceptualized by marketing people to promote a product or service using fictitious character. This kind of blog is quite risky as some ardent bloggers regard them as an insult to the blogging community. A classic example is the Vichy case. As part of its marketing launch for its new anti-aging cream, Vichy’s advertising team created a blog featuring a bogus author named Claire who incessantly whined about the travails of aging using the same wordings as the Vichy print ad. It elicited a flurry of negative reactions from around the blogosphere condemning Vichy for passing off a phony on their turf. Blogs are about real conversations with real people.

Turning a deaf ear to what the blogosphere is saying can be fatal to a company. Kryptonite, a lock maker company did not respond quickly to a blog comment and cost them millions of dollars. Engadget, a highly trafficked blog published a video file showing how a Bic ball pen can easily open a Kryptonite lock. Kryptonite took its time before issuing a statement that did not assuage the thousands who bought the lock in good faith. Bloggers lambasted Kryptonite and caused heavy traffic to the Engadget blog site. Finally, Kryptonite succumbed and replaced the locks at a staggering cost of $10 million. Take heed; monitor what others are saying in the blogosphere. Your blog is part and parcel of a dynamic conversation. You should track your image in the blogging arena. Reputation risks can surface if your company pays no attention or misjudge the opinions in the blogosphere.

Business blogging can expose your company to legal problems that can cause serious damage to your business reputation. Irresponsible blogging can subject your company to libel, slander and even harassment lawsuits. Off-hand comments may offend customers. Disclosure of confidential corporate information and trade secrets will definitely place a company in jeopardy. Several instances of indiscreet blogging have caused employee terminations. Ellen Simonetti, A Delta Air Lines employee was fired for posting inappropriate images of herself in uniform on her blog. A system administrator at the Manitoba Health Sciences Centre was sacked after posting on his blog “Sitting around doing nothing for three hours while being paid – priceless.” Needless to say, companies should draw up corporate blogging policies that will state clearly acceptable and unacceptable blogging practices. Companies should educate its employees about the business and legal risks involved with blogging.

In a nutshell, do not blog for the sake of blogging. A clear business goal is a must. See to it that your blog reflects your company’s desired image. Carefully weigh the implications of anything you post. Be wary of potential consequences and be reminded that with blogging, anything that appears on the Internet is instantly available to a global massive audience.