Starting a business is tough, let alone something that nobody had done before with less than 5 grands of capital. Sometimes it's just way easier to give up and go on a normal life. I even tried finding reasons for me to give up this idea. But I just can't find a rock solid reason why this wouldn't work.
Two things I had done wrong in the first launch:
- Unprofessional website (very stupid mistake on my part)
Now I come to think of it, ecommerce is all about credibility. You can sell crap when the website is credible (eBay) but you can't sell diamond at half the price without credibility (ok a bit exaggerating). Nonetheless, professional website is the foundation of a successful online business.
- Utility
Blue Ocean Strategy (BOS) listed 6 utilities blocks that might open up a whole new market. These are productivity, simplicity, convenience, fun and image, reduction of financial/physical risks and environmental friendliness. However, the key isn't in the 6 utilities blocks. It is in the word exceptional utility that is needed to pull customer from one product to another. The original selling points of gift15.ca are fast, easy and affordable. Is it a substantially faster and easier way to buy a cheer-up gift? Not really. It is indeed affordable when compared to the cost of flower. However, if price is the only selling point in the business, then the product must be very very cheap. Like no-frills cheap. Dollar-store cheap. The no-frills business model requires huge volume of turnover which is just not possible for a small start-up like Gift15.ca.
- A much more professional template is used. High quality of product photo is taken and a classy logo design is made.
- Utility switched from fast, easy and affordable to premium teddy bear, high quality classic giftbox and giftcard along with a sexy image injected into the product. Price is still cheaper than flower and so this selling point remains.
