ROI Media explains why 9 out of 10 Websites in South Africa are failing!

Released on: July 16, 2008, 1:37 pm

Press Release Author: Steve Norris

Industry: Internet & Online

Press Release Summary: R.O.I Media [www.roimedia.co.za] asks why do 90% of South
African websites not generate a profit and end in failure. They also outline a few
key strategies to follow in order to succeed.

Press Release Body: June 03, 2008 - Cape Town - Ecommerce in South Africa, let's
consider the last 10 years. Literally, not one successful online business has
reached the top and made a global impact. Ecommerce growth has been dismal and we
are yet to see a Cape Town-style "The Cool Hunter" or a Joburg-based "Amazon" - It's
still a concrete jungle with a Digital Divide.
This is where ROI Media steps into the battle and takes the lead. ROI Media is an
Ecommerce Incubator as well as Online Marketing
Agency
that has successfully launched and run many of its own online enterprises
as well as revitalized many local and international websites. They have taken their
own successful online business formulas and implemented these strategies into their
new online business models as well as their clients.
Why do most South African developed websites struggle to generate a profit? Over 90%
of them fail in the first year. What are their shortcomings and where can you
implement changes in order to see a healthy profit? Read further to discover how you
can affect change in your website with these modern principles for online success.
Perhaps you have heard of the 5 P's. No, it's not some obscure Jazz band but an
acronym for Prior Planning Prevents Poor Performance. This is a key factor to keep
in mind. When it comes to online business' your product can change in the blink of
an eye as demand is governed by the daily search patterns and needs of the customer.
Unlike a physical business that must be rebuilt and altered, a websites image and
product changes on the fly to reflect the diverse needs of the consumer.
Always consider the competition. When you first started your website and the initial
planning stages started, were you surprised to see how many websites offered the
same product? No matter how unique and original an idea is, there is another
business performing the same service so keep an eye on the competition. Know your
'enemy' and garner valuable information on their shortcomings and successes so you
can further improve your areas that need development. Rather focus on the elements
of the business that the competition is less interested in or does not focus on at
all. For instance, you sell pots online and they sell pots as well but at a cheaper
rate. Instead of just selling pots, you could offer custom designed pots for
consumers looking for unique kitchenware.
Perhaps you would rather sell the pots at a cheaper rate then the competing
websites. Drawing customers in with very low prices is an excellent way to attract a
large client base, as customers who mostly shop on the web will always use price
comparison websites to find the most attractive deal.
However, don't let your guard down. Lower your rates enough to be competitive in
regards to the other websites and make sure you can still generate enough profit to
maintain your expenses and of course, the costs of marketing. Also, make sure that
you have a USP - Unique Selling Point. This will differentiate you from your
competition and assist you towards generating a return on your investment.
You need fuel to feed your fire! So how does one generate traffic and more
importantly: How does your website become number one in the top search engines? The
answers lie in Search
Engine Optimization
(SEO) and Pay per Click Advertising (PPC).
SEO is the process of bringing a website as high as possible on the organic search
engine results when users type in a search term in the search engine. In Layman's
terms, you go to Google and search for "Blue Widgets" and a website comes up number
1 selling blue widgets, this is due to an effective SEO strategy.
PPC only works when a user
actually clicks on an ad to visit your website. Advertisers bid on keywords that
predict target markets. When a user types a keyword query matching the websites
keyword list, or views a page with relevant content, the website may be listed.
Lastly, increasing traffic to increase sales is a flawed strategy - "You can lead a
horse to the water, but you can't make it drink." The same can be said about web
users. Just because they arrive at your site, doesn't mean they have to buy. The
single most important factor before increasing traffic is to analyze and refine a
website's conversion ratio.
What is a conversion ratio?
If 100 people visit your website how many of the 100 people take a desired action,
such as making an enquiry or purchasing a product. Before a website can become
successful, it's imperative to calculate, monitor and improve the conversion rate
before embarking on a full-scale marketing campaign.
For more information visit R.O.I. Media at: href=http://www.roimedia.co.za/>http://www.roimedia.co.za



Web Site: http://www.roimedia.co.za

Contact Details: 102 Earlgo Building, Park Road, Gardens, Cape Town, South Africa
Website: www.roimedia.co.za
Telephone: +27(0) 21 424-6362

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