You only have to read through this site for about 10 minutes before you’ll find out that owning your own business and selling online is one of the most fulfilling things that you can do. But if you are selling online, you need to know your profit margins in order to keep your business healthy—and make sure it lasts.
Heidi Payne recently joined me on my podcast, How to Sell Online, to talk about her life as an online entrepreneur and her online store, Go Charlotte.
And I love her story because it’s one I hear a lot from people I get to work with. Most of my students—not all—are women, and they frequently have a financial need that leads them into entrepreneurship. Heidi’s family was facing a few struggles, as she explains, but she wanted to make sure that she could still be at home with her kids and that her kids could keep having the opportunity to take piano lessons, participate in scouting activities, and other things they enjoyed.
I also love her story because her decision to start an online business meant she had to move WAY out of her comfort zone. There were other options she and her husband could have chosen, but this one meant she needed to take big leaps of faith and bet on HERSELF. And that was EXACTLY the right thing to do.
Selling products—online or off—didn’t come easy to Heidi. For one thing, she had to figure out what products really made the most sense for her to sell. And she found out what I’ve told so many of my students: what you sell the first time doesn’t have to be the thing you sell forever.
What she eventually discovered was that home décor was the right thing for her to sell. But she and her husband ended up taking it one step further: creating their own products using dye sublimation. It required them to learn the process of sublimation and do it in their home—but they hit it out of the park! Their designs and products were incredibly popular and she quickly hit over $10,000 in sales!
Um…that’s awesome, right?
Well, no. Because Heidi realized that their bank account wasn’t going up. Why? She didn’t know her profit margins. And if you’re selling online, you need to know your profit margins backward and forward.
It started by not understanding how her product compared to others on the market. She looked online, found products that looked similar, and based her pricing on that. As you’ll hear, however, she failed to take into account the quality of her product, the fact she customized products, and that she had other distinct differences from similar items being sold online.
When you listen to this episode of the How to Sell Online podcast, you’ll find out what she did to change her pricing…and what it did to her overall sales.
And finally, you’ll learn why being held accountable has opened up a completely new stream of revenue for her business.
Top Ten Takeaways for Selling Online
- When the pain gets strong enough, you have to get out of your comfort zone.
- Start small, trying things until you find your focus.
- Look at the business resources you have available, not what you don’t.
- Make a choice: should you order products or make them yourself?
- Know your profit margins.
- Raising your prices confidently begins with research in the right places.
- Use offers to increase sales in the short-term AND build future business.
- Are your products made in the U.S.? Tell your customers.
- Look back and see how far you have come.
- Find people who light your fire, keep you motivated—and keep you accountable.
Additional Resources
-Shop with Heidi: ShopGoCharlotte.com
- Special Offer: Enter ICAN at checkout to receive 30% off your purchase (limited-time offer; subject to expire)
– Find Heidi on Instagram: @gocharlottehome
To Hear Bev's success story referenced in the interview, check out her podcast episodes The Real Cost of Success and Starting an Online Store to Record Breaking Success
-Connect with Alison on Facebook: @alisonjprince
-Connect with Alison on Instagram: @alisonjprince
-Click here to learn about the 0-100K System and how you can launch and grow your own online business.
