Another day. Another Internet Business evaluation. So many businesses. Most of them suck. Keyword: most.
So, as an Internet Business Developer, Garry Egan evaluates online businesses for a living. When we last left off, he spoke about how to start a candle business. This time, we’ll focus how to evaluate ANY internet business regardless of product type. Let’s get started.
First, you’re going keep in mind three simple factors when evaluating a new Internet business:
- strength of product,
- strength of brand,
- competition (both product competition as well as distributor competition).
It doesn’t matter what business you’re trying to evaluate. These 3 factors will apply across the board. These factors only work completely when applied to INTERNET businesses. Not brick-and-mortar businesses where ‘quality of staff’, ‘location’, ‘supply chain’ factors (as well as many others) come into play.
So, for today, I evaluated a company out of Utah. Now, I am going to be blunt here. I don’t like dealing with companies out of Utah. If there was ever a whole STATE I, Garry Egan, rubbed the wrong way, it’s Utah. It’s a big ole’ personality mismatch. Utah hates me and I don’t like Utah. Hey, at least I know it, can admit it, and work around it. Utah is into family, spirituality, and wholesomeness. I am a godless, marauding money-making machine. Suffice it to say, we’ve got problems in our relationship!
Upper Case Living is one of the latest business I evaluated. When you apply the 3 factors to this business, you come up with a descent score. Granted, it’s not mind-blowing. While all three columns get to have positive values assigned to them, no one score is really high. Let’s run the numbers.
This company has been selling wall decals for the home, as well as other custom vinyl lettering for most any occasion, occurence, or event. They started in 2006 and their consultant base is small.
Score (out of 10): 8
Strength of Brand: Weak
This company is not even close to becoming a nationwide household name yet. However, since their product is wholesome with little chance of drawback, this brand has a good chance of growing
Strength of Products: Fair
While custom vinyl lettering is a niche product, the demans is extraordinarily low for this type of product. This is due to the permanent nature of the purchase. There is a low re-buy effect here.
Totals (out of 30): 17/30
Now it’s time to do your own research and evaluation. Start with a business you know, such as crappy Quixtar. Apply the 3 factors to it. Now do you see why that opportunity sucks?
While 56% is a failing score for any college exam, it’s okay to start a business with that score. It’s not GREAT, but it’s just okay and that makes it okay in my book. Build your sites, marketing the business, refine your campaign, set it, and forget it. Rinse. Repeat.
You’ll be an affililate millionaire holding checks up and taking pictures of them in no time.