Challenges of Selling Physical Products Online

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Think selling online is just about setting up shop and watching the sales roll in? πŸ›οΈ Think again. In this eye-opening episode, we will explore the real challenges and differences between these two paths. πŸ€” We talk about everything from the difficulties of managing inventory πŸ“¦ and shipping products internationally, which can lead to delays and high costs, to the complexities of dealing with suppliers from different countries. 🌍 You’ll also hear about the strict rules and sudden changes in regulations that can affect selling physical goods. 🚫 Join us as we explore why many entrepreneurs find digital products less stressful and more profitable, helping you decide what might work best for your online venture. πŸ’»πŸ“ˆ

[01:39] Challenges of Selling Physical Products:

  • Handling inventory is a big challenge. Sellers must keep track of how many items they have, which can be complicated and stressful.
  • Shipping products internationally can lead to delays, damage, and high costs, and negotiating with foreign suppliers can be complicated due to language barriers and different business practices.
  • Sudden political conflicts can disrupt supply chains. Igor mentioned a neighbor whose supply chain was interrupted due to the war in Ukraine, uneven his sales.
  • Ensuring product quality when dealing with various suppliers and manufacturers across the globe is a big challenge.

[03:29] Regulations and Restrictions:

  • Different countries have different rules about what can be sold and how. This can block certain products from being sold in specific markets.
  • Some products, especially supplements or drugs, have special shipping rules. If a product is classified as a prescription drug in a country, it might not be shippable through normal channels.
  • Regulations can change quickly, which means what’s legal today might not be tomorrow. This forces businesses to constantly adapt.
  • Some products might be completely banned in certain countries, which can halt sales and require finding new markets or altering the product.

[05:56] Advantages of Digital Products:

  • Digital products often have better profit margins because they don’t require physical materials or shipping.
  • It’s easier to scale digital products. Once the product is created, you can sell it to many people without needing more inventory.
  • Without the need for physical storage, shipping, or dealing with customs, digital products are less complicated to manage.
  • Digital products can be sold worldwide without the logistical challenges of physical products.
  • It’s easier to update or change digital products based on customer feedback or new ideas.

[08:54] Business Dynamics and Market Changes:

  • Businesses can be heavily affected by economic conditions and consumer trends. For instance, home improvement businesses saw a boom during COVID because people were stuck at home.
  • Changes in the economy can lead to big swings in how much money a business makes, impacting its valuation and stability.
  • The value of a business when it’s sold often depends on its most recent performance, not on past highs. This can be disappointing if a business peaks at one time but is sold later.
  • Physical businesses often face difficulties in sustaining profitability over the long term due to increasing costs and competitive pressures.
  • Digital product businesses often have more control over their operations and can adjust more quickly to market changes or challenges.

[10:00] Igor’s Book On Email Marketing:



Igor Kheifets is an amazon best-selling author of the List Building Lifestyle: Confessions of an Email Millionaire.

He’s also the host of List Building Lifestyle, the podcast for anyone who wants to make more money and have more freedom by leveraging the power of an email list

He’s widely referred to as the go-to authority on building large responsive email lists in record time.

Igor’s passionate about showing people how to live the List Building Lifestyle.