Small businesses are among the hardest hit as the health crisis continues to cause economic uncertainty in the country. With the country nearing into a year-long lockdown and keeping up with restrictions, small businesses owners have continued to innovate and work through the challenges, venturing their presence onto online platforms. The convenience of learning how to start a business from the confines of your home, and with the help of other business owners willing to lend a helping hand, has created a space for SMEs to flourish during the pandemic.
Whether you’re starting out or looking to expand your business, here’s what you need to know to ensure you keep your business afloat.
1. Have a business plan backed-up by research
Before achieving a specific goal, one must always have a general plan to follow – even if this happens to change along the way. Create a business plan as it will help guide for short-term and long-term objectives. With this, it is best to map out main goals for the brand and how those goals can be achieved rather than venturing unprepared.
Glyza Go, owner of Get Celeste jewelry shop, has no business background and had to learn the ins and outs of handling her own company. Aware of the risks in entering the business world, she found her safety net in partnering with Lazada.
“I have failed a lot of times in handling a small business but it did not stop me, especially when I decided to partner with Lazada. The tools and webinars helped guide me through my business journey. You can learn so much about selling on Lazada, as well as hear many inspiring stories from other business owners on the platform. Their advice is actually something I still use up to this very day.”
Glyza Go, owner of Get Celeste jewelry shop, has no business background and had to learn the ins and outs of handling her own company.
2. Create a financial plan
Financial planning is one of the most important steps you should take into consideration when prepping for any business. Running a business requires many resources, which is why it’s important to know how much and what you need to invest before you even start. The financial plan serves as a guide to help navigate throughout a business journey; taking note of significant milestones on the path to achieving a profitable growth. This is important as it can serve as safety net for any unforeseen issues and challenges in the long run.
Kiriko’s Koleksiyon owner Jeffrey Ligutom started his businesses out small, signing up on the platform with only five stocks per item listed on his store. His product offerings include mugs and cups, casual wear and formal barongs. “I wanted to test the waters and see how my business would do,” says Jeffrey.
As his sales grew, he used his earnings as capital to procure more stocks and expand his product offerings. Today, Jeffrey now has well over a hundred stocks per item in his store inventory.
3. Choose the right product that will stand out
With the wide plethora of product assortment currently being sold online, stores on eCommerce platforms need to highlight key differentiating points. Understanding the needs of consumers and the market will drive stronger innovation on products and the overall business. Business owners should do research, create surveys to find out what products sold are unique and tangible, and caters to a specific consumer need and demand.
Cely Sy, entrepreneur behind food brand Kenkobei, noticed that instant pancit canton and ramen noodles are quite popular with Filipino foodies.
“Filipinos love the convenience of having instant noodles. It’s a quick and easy fix that’s both yummy and affordable. But Filipinos also consider rice as a main staple and I thought, how could I marry a little bit of these elements together? And from there Kenkobei was born.”
Kenkobei onboarded on the platform last January 2020, offering a vast range of filling ready-to-eat rice meals, conveniently packaged and ready to serve after just adding hot water. They currently offer a variety of flavors such as braised beef, kung pao chicken and more.
“It was a hit as it brought together two things Filipinos loved – the ease and convenience of having their favorite rice meals on-the-go.”
4. Choose an effective online location
Knowing where your store’s online location will be the next step. Lazada is the leading online eCommerce platform in the country, opening up businesses to millions of users nationwide. Lazada’s technology offers sellers Along with this, they offer fast and reliable shipping couriers to assure your customers that each product is treated with the utmost care from the facilities to your doorstep.
Lazada has been beneficial for many, for instance.
Adrian Reyes, owner of Moonscape MNL, joined Lazada in 2017.
For Winnie Wong, CEO of The Everyday: “Being on Lazada made things a lot easier for us – with Lazada helping us with certain aspects such as with logistics and customer service, we can put our focus on other aspects of our businesses such as expanding our product line.”
Meanwhile, Charisma Sun, owner of Coco Factory, also harps on the reliability of Lazada when it comes to assuring her customers’ orders are fulfilled and delivered to their doorsteps. “Failed deliveries are a reality across different platforms, but on Lazada I’m more confident that the order gets to my customers in good condition.”
Charisma Sun, owner of Coco Factory, harps on the reliability of Lazada when it comes to assuring her customers’ orders are fulfilled and delivered to their doorsteps.
5. Consistency and Excellent Customer Service
Being consistent allows businesses to build trust and credibility with consumers and will prove beneficial in the long run when done right. Consistency applies to both the initial business strategy and implementation. There is nothing consumers value more than great customer service – being able to address all concerns and inquiries, and ensuring a seamless end-to-end fulfillment, to provide a memorable and customer experience all throughout. Keeping up with high quality customer service can help retain existing customer base, while also attracting new customers – a key in sustaining business growth.
Due to the pandemic, Glyza was one of the many business owners who decided to enter the world of eCommerce through the Lazada platform. As a one-woman team and with limited resources at hand, she needed an extra helping hand to sell and curate her jewelry pieces.
As Glyza celebrates opening her own humble office last November due to the increase of her Lazada sales, she admits that it has not always been an easy journey for her. “To other sellers looking to go into selling online, do not be afraid to fail! Every time you fail, treat it as a learning process and always give nothing but your best. You may have a few to no orders today, but tomorrow is another day.”
In-aisle store displays might crowd shoppers and reduce overall sales
Retailers might seek strategies to boost product exposure without also increasing crowding – especially for cart shoppers who may experience greater crowding effects – and that excessive use of in-aisle fixtures will likely dampen sales at the aggregate level rather than increasing it.
In a study involving a real-world grocery store, in-aisle displays meant to boost product visibility were in fact associated with reduced sales and purchase-related behaviors, with results amplified for shopping cart users.
Mathias Streicher of Austria’s Department of Management and Marketing presents these findings in the open-access journal PLOS One.
Retailers often place extra product displays directly in aisles in an effort to boost visibility and enhance sales. However, in-aisle displays could increase spatial crowding, which occurs when people feel restricted in their freedom of movement and has been linked with purchase-avoidance tendencies. To help clarify if in-aisle displays result in more purchases, Streicher conducted several experiments with a partnering grocery store.
First, they tracked weekly sales for an aisle containing household, baby and pet staples over a six-week period during which five product-display stands were placed mid-aisle. The stands were then removed for six weeks. Comparison of sales data showed that in fact, sales increased after removal of the in-aisle displays, with the average weekly percentage of total store revenue from that aisle rising from 4.33 to 4.83 percent.
A second in-store experiment in the same aisle showed that people using shopping carts also stopped and physically handled products—behavior previously linked with sales—about 7.05 times more often when in-aisle displays were absent than when they were present. Non-cart shoppers also touched products more often when displays were removed, but the effect was smaller (3.81 times).
Finally, in an online experiment, 200 participants imagined using a shopping cart or basket while viewing photographs of the same aisle from the in-store experiments, with or without in-aisle displays. They tended to rate the aisle with displays as more crowded and reported lower levels of perceived control for aisles with displays than those without, with effects amplified for imagined cart versus basket use.
Together, these findings suggest retailers might seek strategies to boost product exposure without also increasing crowding – especially for cart shoppers who may experience greater crowding effects – and that excessive use of in-aisle fixtures will likely dampen sales at the aggregate level rather than increasing it.
Further research could address some of this study’s limitations, such as by considering the effects of human crowding, promotional offers on products, and seasonal influences on shopping behaviors.
Streicher adds: “The research shows that adding merchandise into store aisles can actually reduce overall sales by making the environment feel crowded and harder to navigate. Importantly, this negative effect is even stronger for shoppers using carts, as they experience greater spatial constraints and reduced control while shopping.”
Structure of online reviews shapes their helpfulness
Reviews that grow increasingly positive are most helpful to readers, while those that turn negative are least helpful. For average-rated products, progressively negative trajectories enhance helpfulness, whereas reviews that start negative and grow positive are least effective.
A study of nearly 200,000 Amazon reviews shows that the usefulness of online product reviews depends not only on what is said, but on how the information is structured.
The researchers, from the Universities of Cambridge and Queensland, studied Amazon reviews for products ranging from clothing to food to electronics. They found that how the information is organised matters as much as what is said, and that different review structures are more or less helpful, depending on how highly the reviewer has rated the product.
Their results, published in the journal Scientific Reports, could help companies and third-party review platforms design their review pages to prompt the sort of reviews that will be most helpful to potential customers.
For example, a reviewer assessing a laptop might praise its performance and design while criticising its battery life, so how should such information be structured to be most useful to the reader? Should the review begin with criticism and end on a positive note, or start positively before turning to drawbacks?
“Any target of evaluation typically has both positive and negative aspects, which makes crafting evaluative messages challenging,” said co-author Dr Yeun Joon Kim from Cambridge Judge Business School. “The key question is how to structure these elements within a single message. For example, one might present criticism upfront and then move to praise, or instead integrate negative points within an otherwise positive evaluation. Yet research has paid little attention to this structural dimension.
“We wanted to understand whether certain structures are consistently more effective, or whether their effectiveness depends on the performance of the target being evaluated.”
The study was based on 195,675 reviews of 5,487 distinct products, and assessed performance and related factors, and a helpfulness score as measured by reader votes.
The researchers identified nine possible structures of online reviews ranging from Type A reviews that start positive and become more positive as they go along, to Type I reviews that start negatively and become even more negative – with lots of variance in between.
For highly-rated products, reviews that grow increasingly positive are most helpful to readers, while those that turn negative are least helpful. For average-rated products, progressively negative trajectories enhance helpfulness, whereas reviews that start negative and grow positive are least effective. For low-rated products, reviews are judged most helpful when they open constructively before introducing criticism.
“The results are nuanced but very clear,” said co-author Dr Luna Luan from the University of Queensland, who carried out the research while earning her PhD at Cambridge Judge Business School. “Looking at the overall sentiment of reviews does not fully translate into message effectiveness. It is the broader structure of sentiment – how positivity and negativity evolve throughout the review – that shapes how readers interpret online reviews.”
“Our findings have practical implications for how platforms and companies can design review pages in order to elicit the sort of reviews that will be most helpful to readers based on how highly products are rated,” said Kim. “For example, instead of simply asking ‘Write your review here’, the online review form could instead include micro-prompts that guide how reviewers structure feedback in a way recipients find most helpful.”
The researchers found the most commonly used review styles are not necessarily the most helpful to readers. In particular, for average- and low-rated products, the structures that reviewers tend to adopt often differ from those that readers find most useful.
This mismatch likely reflects different underlying motivations. Reviewers are not always writing to maximise usefulness for others, but may instead be expressing their own experiences, frustrations or emotions – especially when evaluating products of moderate or poor quality. As a result, review writing often serves both as information sharing and as a form of self-expression. This helps explain why widely used review styles do not always align with what readers perceive as most informative or helpful.
In an era when most TikTok videos are prerecorded, can a band with a new single create a tighter bond with fans by debuting via livestream instead? Can a business do the same when promoting a new product?
New research from the McCombs School of Business at The University of Texas at Austin suggests they could.
Since the pandemic, the livestreaming industry has been booming. The global market is expected to reach $345 billion by 2030, up from $100 billion in 2024. Nearly 30% of internet users watch livestreams at least once a week on social media.
Adrian Ward, associate professor of marketing, is one of them. A few years ago, he was viewing a livestream of a town hall meeting and found himself gripped by a speaker’s comments, feeling as if he were actually in the room. On reflection, he suspected it was the liveness of the event, as much as the speaker, that kept him glued to the screen.
“As we spend more of our time online and on social media, it’s worth asking how we can feel as complete and connected as possible in these spaces,” Ward says.
Live and Let Stream
With Alixandra Barasch of the University of Colorado Boulder and Nofar Duani of the University of Southern California, Ward began to investigate what he calls the “mere liveness effect”: the idea that simply knowing an event is streaming in real time makes a viewer feel more connected to the performer.
The researchers ran five experiments with 3,500 total participants. By manipulating various factors, they compared how, when, and why viewers reacted to watching livestreams versus prerecorded videos online.
In one experiment, participants watched live or recorded videos of their choosing on the platform Twitch. In another, they viewed a performance by the R&B cover band Sunny and the Black Pack, either live on YouTube Live or its recording the next day on YouTube.
In a third, the researchers created their own streaming platform to show participants identical videos, manipulating whether the content appeared to be live or prerecorded.
The experiments provide evidence that watching an online performance in real time boosts several aspects of the viewing experience:
Connection. Viewers in one experiment felt 7 percentage points more connected to the performers in the live video. Another experiment showed the effect was even stronger when viewers believed no one else was watching.
Enjoyment. In another experiment, viewers enjoyed the live video 5 percentage points more than the prerecorded one.
Engagement. Real-time streams carried a “liveness lift.” Viewers chose to continue watching longer, and they were more willing to follow and subscribe to the live streamer’s channels.
A common factor underlying those effects was a heightened sense of presence, Ward says. “When we watch something live, we are psychologically transported there.
“It’s not that there’s actually something different about the video itself. It’s that we know that it’s live right now, and that breaks down barriers between our world and the world on the other side of the screen.”
Lessons for Liveness
One quality weakened the liveness effect: not being able to see a performer’s face. When viewers saw only a musician’s hands, they felt less connected, even though they were watching the same performance.
The findings have implications for marketers, platform developers, and content creators, Ward says. In an age when people increasingly meet their social needs online, going live can benefit streamers by motivating audience engagement.
As a follow-up, he’s working with a graduate student to study whether the liveness effect translates into greater brand trust or sales.
“From influencers to businesses, it’s about the experience of real people seeing other real people live and in the moment,” Ward says. “It makes you feel like you’re sharing something.”