Online selling tips: How to start your business and handle tough competition
A lot of people are turning to online selling amid the COVID-19 pandemic. If you're one of those thinking about venturing into an online business, perhaps you could use some advice from entrepreneurs Hannah Patricia Paunlagui, one of the owners of Steakmon. and Christina Recabar, owner of Authentic Kapeng Barako by Christina.
Products from Authentic Batangas Kapeng Barako by Christina and Steakmon / @kapengbarakoforsale (FB) and @Steakmon (FB)
Hannah Paunlagui co-owns her wholesale meat supply business with her partner Ramon Angelo Hizon, grandson of the owners and founders of Pampanga's Best.
Hannah and Ramon started their business in March 2020, just a week after the enhanced community quarantine (ECQ) began.
Hannah Paunlagui and Ramon Hizon, owners of Steakmon / Photos by: Hannah Paunlagui
After only four months since its establishment, Steakmon already has 12 distributors nationwide.
A lot of celebrities and personalities have expressed their support for their meat supply business, namely Derek Ramsay, Gerald Anderson, Luis Manzano, Jessy Mendiola, Jackie Rice, Jeric Gonzales, JM de Guzman, Matteo Guidicelli, Daiana Menezes, Sam YG, Meg Imperial, Kitkat Favia, Ali Peek, and Cheryl Cosim.
Daiana Menezes and Jeric Gonzales / Source: @steakmon.manila (IG)
Christina Recabar, on the other hand, started her online coffee selling business from scratch a few years ago.
Christina and her coffee products / Photo by: Christina Recabar
Her online business has since grown and earned her not only plenty of clients and partnerships with cafes, restaurants, and corporations nationwide, but also several recognitions, including the Star Brand Award 2019 from the Philippine Social Media Awards and the Seal of Excellence from the Philippine Top Choice Awards for Excellence and Outstanding Achievers 2020.
GMANetwork.com got in touch with Hannah and Christina to learn more about how to start an online business and how to thrive despite the tough competition in online selling.
Starting and growing your business
According to Hannah, venturing into the business of selling quality steaks is capital intensive, as thorough product research is of utmost importance.
“Before starting the business, we tried different kinds and brands of steaks, cooking and tasting each and every product until we come up with our specific choice of brand which passed our taste and quality standards.”
Eventually, Hannah and Ramon chose to source their steaks, wagyu, and gourmet frankfurters from a reputable farm in the United States, which produces black grade and gold grade products.
As for Christina's coffee business, she has partnered with farms in Batangas, best known for kapeng barako.
They currently have six variants of coffee, namely: Perfect Blend, Kapeng Barako, Coffee Arabica, Robusta Coffee, Excelsa Coffee, and Coffee Liberica. They also ship their products to coffee lovers abroad.
Christina wants to encourage aspiring entrepreneurs to not be afraid to start their own business.
Coffee farmers in Batangas / @kapengbarakoforsale (FB)
“When we started this business, all we had was pure passion and the love for my own products.
“I wanted to share my cup of happiness to others that's why I ventured into online coffee selling.
“Though there's a lot of issues and drawbacks, hard work always pays off.”
When asked for her top advice when starting a business, Christina replied, “Never start a business just to make money.
“Remain dedicated and passionate with your craft and money follows.
“This business was a product of love. Loving what you do and doing what is right will really lead you somewhere beautiful.”
Hanna and some of their meat products / Photos by: Hannah Paunlagui
Tough competition
As with any other kind of business, Hannah and Christina both experienced difficulties in their respective businesses, especially when dealing with resellers and competitors.
Hannah shared some of the challenges that they experience in their online meat supply business.
“One of the dilemmas we experienced was that sometimes some resellers would question our price and compare them with other existing wholesalers.
“Some would even try to compete with us by trying to go straight to our source, but considering the volume of our regular orders, our supplier of course will not sell the products to them at the same rate that we procure them.”
Hannah also said that some of their competitors have even used fake accounts to pry on their business.
“Lots of steak resellers tried to compete with us by asking our wholesale price on our page, pretending to be a customer, but they're just trying to find out which products are sellable and how they can compete in the market.”
Fortunately, Hannah and Ramon didn't let these challenges faze them. They stayed confident and focused on the strength of their products.
“Our edge is that we really cook and taste each of our products before selling it out in the market.
“Customer satisfaction from the quality of our steaks is what makes our clients reorder and resell as well.”
As for Christina, she echoed a similar strategy in dealing with tough competition in online selling.
“I believe if there's no competition, there would be no market. Competition is part of the process.
“We have outgrown it by simply making our pasture greener. Focus on your craft.”
Products from Steakmon and Authentic Batangas Kapeng Barako by Christina / @ kapengbarakoforsale (FB) and @Steakmon (FB)
Dealing with fake complaints
Bogus buyers and those who come up with fake complaints in order to score free products from sellers are rampant in the online selling community.
When asked what advice she can give fellow online sellers when it comes to complaints or fraudulent customers, Christina counseled, “One complaint does not define your products or service.
“As much as possible focus on how you can avoid these bad business situations.”
As for Hannah and Ramon, they have been sadly victimized by some of these deceitful customers.
But they've become wiser and have learned how to best deal with this modus operandi, and also how to avoid it as much as possible.
“Mostly we replace the items, we value customer service more than anything.
“However we do not let it happen twice. We make sure that we take a photo of the items to be dispatched before releasing them.
“We also make sure that the items are well-packed to maintain its quality and safety.”
How to become a successful online seller? / @ kapengbarakoforsale (FB) and @Steakmon (FB)
How to succeed in online selling
Hannah revealed that honesty plays a key role in the success of one's online business.
“Just be truthful about what you are selling. For example, if it's non-graded meat, you should let your customers know, as they will eventually find out if it's not the real deal.”
Aside from honesty, Hannah also cited three other things that will make you a successful online seller.
“Knowing your product is the best strategy for successful selling. Product knowledge, along with cost-effective or high-quality products, and best customer service are your best tools to get ahead of the competition.”
For those who have already started their online business and feel a bit disheartened, Christina has some words of encouragement.
“The struggle is part of the story. Success is walking from failure to failure with no loss of enthusiasm. Attitude is on top of everything.
“There's no easy path. Do the right thing or not at all. Remain dedicated and passionate with your craft and money follows.
“You have to restructure much of your life, break bad habits, and develop good habits. Read everything you can get your hands on.
“There are no shortcuts to being a successful entrepreneur. I just realized one day that our network is growing.
“It was a product of 101% dedication and above and beyond customer experience.”
So if you're planning to start your own online business soon, take into consideration all the learnings and tips shared by Hannah and Christina, so you can be a few steps ahead of your competitors.
Good luck in your future business endeavors, mga Kapuso!
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