To say that you can make money online is perhaps the most understated statement of the century. Almost every byte of digital code is geared toward generating revenue for someone. And each day, hundreds of thousands of people are getting plugged into the digital realm to get a slice of that US$32.6 trillion economy.
That’s not to say the internet has entirely superseded traditional methods of commerce – not yet, at least. It has, however, revolutionised the way we buy and sell. Hence, we want to share some pros and cons of making money online.
Pros
Flexibility
Making money online allows you the opportunity to work at your own pace and time. You are less reliant on fixed locations or schedules. Furthermore, you are not limited by normal working hours, if you wish to work until the wee hours, the choice is yours.
Endless Opportunities
The internet is awash with opportunities for the industrious. You can participate in the buying and selling of goods and services, monetise a hobby, or convert a unique sense of style or insight into a source of revenue. If you can think of something unique to offer, there’s a strong possibility someone wants it.
Low Barriers to Entry
One of the main reasons why the internet economy is so vibrant is the low barrier to entry. In most cases, simple knowledge of digital literacy (coupled with the required hardware) is enough to access or learn the various ways to make money online. You don’t need to rent an office or have a lot of equipment – just an idea and the will to execute it.
Omnichannel Reach
The internet has had an indelible influence over our way of life. Each new year welcomes closer assimilations between the digital and physical: from the way we communicate and share knowledge, to how we buy and sell.
The integration of both digital and physical has ushered in a wave of conveniences and benefits for both businesses and customers. For instance, customers can begin shopping on one device and continue on another or even carry on in physical stores. With the right platform, businesses can gain better insights on which channels (such as social media, mobile apps, newsletters etc.), might, for instance, drive more revenue. This information puts businesses in a better position to adjust their strategies, drive more sales, increase customer retention, or reach new customer segments.
Cons
Isolation
Generally, making money online requires long periods of time working in seclusion. The lack of social contact can make you feel lonely or isolated. You can address this by seeking out co-working spaces with people who are in similar or adjacent industries. This may spark new ideas and even open doors for your business to grow.
Credibility is Hard to Gain and Easy to Lose
Credibility is as crucial in e-commerce today as it was a decade ago. It is a medium through which consumers measure a brand or a business for its ability to secure their interests, while continuously and consistently delivering on its promises.
In fact, several studies have shown that it plays a significant role in influencing purchase intention.
Unfortunately, e-commerce is not exempt from criminal elements. Scammers, hackers, identity thieves – just to name a few – are continuously prowling the web, hunting for vulnerable targets. .
Beyond the loss of important information, operational disruptions and financial costs a cyber attack can do to a business, it can also irrevocably damage credibility. Given these realities, minimising security gaps needs to be a top priority for entrepreneurs looking to do business and make money online.
E-commerce platforms are a great way to address cyber threats. They have more robust security systems; they have greater resilience to technical problems; and some e-commerce platforms, such as Carousell, have measures in place to protect sellers from fake reviews and other cybersecurity vulnerabilities. A good e-commerce platform or marketplace would already be managing, implementing and updating their security measures, requiring little to no effort from entrepreneurs – and leaving them free to focus on their business.
Final Thoughts
After going through the pros and cons of making money online, we hope you feel ready and inspired to partake of the bountiful opportunities available online. To help you get started, we have a number of resources you can use to kickstart your digital enterprise. This includes marketing strategies for retailers, pricing techniques to maximise profit, tips on how you can connect with your buyers and more. We also have video guides showing how you can leverage Carousell’s powerful tools and features to drive more success for your business. As ever, we remain committed to inspiring every person in the world to start selling and buying, to open up new possibilities for one another.
