Are you looking to Start a website builder?
If you talk to any entrepreneur, getting started is one of the hardest parts of launching your own business.
There are many things to consider, such as:
- Validating your business idea
- Setting up your business structure
- Launch ideas for your business
- Determining your marketing strategy
- And much more!
In this detailed guide, we lay out all the steps to help you get started and run your business successfully.
💡 Introduction To Starting A Website Builder
Is Starting A Website Builder Right For You?
There are many factors to consider when starting a website builder.
We put together the main pros and cons for you here:
Pros of starting a website builder
• Ability to start your business from home
It's not necessary to have a physical storefront or office space to get your business started. You can do everything from the comfort of your own home, at least in the beginning!
• Traffic to your website
A website builder gives people a reason to visit your website and to keep coming back to you!
• Meaningful business connections
You never know who you will meet as a website builder. This could be the start of an incredible business opportunity!
• Gain exposure and experience
This career allows you to gain experience working for multiple different businesses - which will benefit your resume and also keep things interesting for you!
• Predictable income stream
Your businesses income stream tends to be predictable based on the number of customers you have signed up. This makes financial planning and outlooks much more seamless!
• Higher likelihood of getting referrals
This business is all about referrals, which can be a a very impactful way to attract and retain customers. It's critical that you have a great referral program in place that incentivizes your customers to tell their friends about your product.
• You get to do something you truly love
With starting a website builder, you get to put your energy into something you are truly passionate about! You'll find yourself devoting as much time and energy as possible into the business to make it successful.
• You can work from anywhere!
Not only can you start your website builder from home, you can also run your business from anywhere in the world. This is the entrepreneur dream.
• Strong Demand & Relatively Recession Proof
The demand for website builder is increasing year over year and the business is known to be relatively recession proof.
• You get to inspire others
Your business is one that encourages and inspires others, which in itself, can be very fulfilling.
• You establish yourself as an expert
With starting a website builder, you establish yourself as an expert in your niche, which builds your credibility. In return, customers are more likely to trust you and refer you to other friends and family.
• Make money while you sleep
The advantage of starting a website builder is that you have the ability to have passive income and make money while you sleep. This is the dream for many entrepreneurs.
Cons of starting a website builder
• Longer Sales Process
A website builder can be a big time and money investment for your customer, so it's important you plan and predict a longer conversion funnel and stay in communication with potential customers.
• Low margins
The gross margins for your website builder are typically around 40%, which can make it more challenging to incur new expenses and maintain profitability.
As a website builder, you typically pay self-employment taxes which can be quite high. It's important to understand what you will be paying in taxes each year so you can determine if the work you're taking on is worth it.
• Stressful work
This line of work can be stressful for both you and your clients. This type of transaction is a significant financial decision for your client, so expectations are very high for you. Although this career path can be very rewarding, it also comes with its challenges and stressful moments.
• High overhead expenses
With starting a website builder, there are overhead expenses that come with selling a physical product. You will want to make sure you strategically budget for these overhead costs. We discuss this more in the startup costs section below.
In this business, customers can cancel their membership or subscription for your services - which can make revenue forecasting challenging and unpredictable. It's important to focus on your churn rates and trends so that you can prevent this as much as possible.
• Time commitment
With starting a website builder, all responsibilities and decisions are in your hands. Although this is not necessarily a negative thing, work life can take over at times. This can place a strain on friends and family and add to the pressure of launching a new business.
• Difficult to build trust with your customer
With starting a website builder, there can be minimal face-to-face interaction, which means it can be a lot more difficult to establish trust with your customers. You'll need to go the extra mile with your customer to grab their attention and business.
• Complex development process.
The development process for a website builder can be quite complex, which may cause delays and challenges when launching and growing your product.
• Complex maintenance
Your website builder will require a long-term investment due to the need for updates, bug fixes, and security vulnerabilities. It's important that you (or someone on your team) stays on top of this at all times.
• Impatient customers
You may offer an engaging user experience for your customer, but customers expect a lot and may be impatient if they aren't pleased with your product or service.
• Be prepared to get out of your comfort zone!
Although this is exciting for some entrepreneurs, it can be a big challenge for others! You may find yourself in uncomfortable social and business situations, jumping into tasks and responsibilities you aren't familiar with, and pushing yourself as far as you can go!
• Difficult to scale
With a website builder, it can be challenging to find ways to scale. Check out this article that discusses scaling your business and the challenges that come with it.
• Learning Curve
When you start your own business, you no longer have upper management to provide you with a playbook for your roles and responsibilities. You should know the ins and outs of every aspect of your business, as every decision will come down to you.
• Takes time to see results & make money
Results and revenue do not come overnight with a website builder. Often times, it takes weeks, months or even years for your work to monetize.
• Technical issues can be frustrating
Technical issues are common in this business. If you struggle with the technical side of things, you may want to consider outsourcing this responsibility to save yourself the time and frustration.
- Squarespace (332 Alexa Ranking)
- Website.com (20.5K Alexa Ranking)
- Website Toolbox (45.5K Alexa Ranking)
- Weblium (56.1K Alexa Ranking)
- Vivial (107K Alexa Ranking)
Let's take a look at the search trends for website builder over the last year:
How To Name Your Website Builder
It's important to find a catchy name for your website builder so that you can stand out in your space.
Here are some general tips to consider when naming your website builder
- Avoid hard to spell names: you want something easy to remember and easy to spell for your customers
- Conduct a search to see if others in the space have the same name
- Try not to pick a name that limits growth opportunities for your business (ie. if you decide to expand into other product lines)
- As soon as you have an idea (or ideas) of a few names that you love, register the domain name(s) as soon as possible!
Why is naming your website builder so important?
The name of your business will forever play a role in:
- Your customers first impression
- Your businesses identity
- The power behind the type of customer your brand attracts
- If you're memorable or not
It's important to verify that the domain name is available for your website builder.
You can search domain availability here:
Find a domain starting at $0.88
powered by Namecheap
Although .com names are the most common and easiest to remember, there are other options if your .com domain name is not available. Depending on your audience, it may not matter as much as you think.
It's also important to thoroughly check if social media handles are available.
As soon as you resonate with a name (or names), secure the domain and SM handles as soon as possible to ensure they don't get taken.
Here's some inspiration for naming your website builder:
- The Wonderful check availability
- Webcast Spot check availability
- Winning Webcast check availability
- Winning Webform check availability
- The Official check availability
- Creative check availability
- First Website Trading Co check availability
- Interactive check availability
- The Electrical Design check availability
- Optical check availability
- The Friendly check availability
- Hard drive Website check availability
- The Personal Blog check availability
- Customized Webpage check availability
- Designed Internet check availability
- Personal check availability
- Decorator Trading Co check availability
- Design Group check availability
- Hyperlink Spot check availability
- Customized Online check availability
- Industrial Architect check availability
- Rider Designer check availability
- Relevant check availability
- Public check availability
- Tire Designer check availability
- Blog Place check availability
- Blog Collective check availability
- ExtensiveWebsite check availability
- NewWebsite check availability
- EnvironmentalDesigner check availability
- The Born check availability
- Hyper Designer check availability
- Sound Decorator check availability
- The Chief check availability
- LiveWebsite check availability
- Main Website Pro check availability
- Come by Website check availability
- Wonderful Homepage Trading Co check availability
- Informational Portal Place check availability
- Blog Pro check availability
- FirstWebpage check availability
- Costume Room Decorator Co check availability
- Secure Pages check availability
- Tiger Designer check availability
- Winning Webpage check availability
- The Comprehensive check availability
- The Aforementioned check availability
- The Official Webpage check availability
- Word finder Designer check availability
- Prominent Fashion Designer check availability
- Attractive check availability
- Personal Site check availability
- The Particular Webcast check availability
- MaliciousWebpage check availability
- Internet Collective check availability
- The Live check availability
- The Assistant check availability
- The Html check availability
- Language Sites Spot check availability
- GraphicDesigner check availability
- The English check availability
- Known Decorator check availability
- InterestingWebsite check availability
- Sophisticated Webpages Co check availability
- Incline Website check availability
- Interior Custom Made Place check availability
- Experienced House Decorator Spot check availability
- The Costume House Decorator check availability
- IndividualDesigner check availability
- Malicious Web check availability
- Webmaster Group check availability
- The Favorite Room Decorator check availability
- Actual Site check availability
- Page Co check availability
- Portal Internet check availability
- Pages Collective check availability
- Website Place check availability
- Malicious Webmaster check availability
- The Principal Decorator check availability
- The Graphic Interior Designer check availability
- The Current Homepage check availability
- House Decorator Co check availability
- Simple Site Collective check availability
- Fashion Designer Pro check availability
- Scenic check availability
- Scenic Clothes Designer Collective check availability
- Based Homepage Spot check availability
- Architect Trading Co check availability
- Free Website Collective check availability
- The Individual Pages check availability
- Informative Webcast Spot check availability
- Interior Designer Collective check availability
- Specific Webmaster check availability
- Official Extranet Co check availability
- Prominent check availability
- IntelligentDesigner check availability
- Custom Made Collective check availability
- Dutch Draftsman check availability
- Individual Hyperlink Pro check availability
- Sites Group check availability
- Internet Co check availability
- The Contemporary check availability
- The Special Homepage check availability
- Trained Design Pro check availability
- Collide Website check availability
- Apologize Website check availability
- Webpages Spot check availability
- Website Collective check availability
- ArchitecturalDesigner check availability
- Online Group check availability
- Actual Web check availability
- ExpertDesigner check availability
- GlobalWebsite check availability
- ActualWebpage check availability
- The Optical check availability
- Simple Webpage check availability
- UnknownDesigner check availability
- The Expert Decorator check availability
- The Main Webpage check availability
- Individual Hyperlink check availability
- Instructional Architect Trading Co check availability
- Dutch Designs check availability
- Interactive Pages check availability
- Binder Designer check availability
- Favorite Interior Designer Trading Co check availability
- Comprehensive Homepage Co check availability
- Chief Construction Spot check availability
- Based Webcast Spot check availability
- Noted Developer Co check availability
- Grinder Designer check availability
- The Famous Architect check availability
- Mason Co check availability
- Accompanying Sites check availability
- The Expert Design check availability
- Visual House Decorator Co check availability
- Related Homepage check availability
- Decide Website check availability
- PrincipalBuilder check availability
- Practical Developer Spot check availability
- The Scenic check availability
- Local check availability
- Irish check availability
- Digital check availability
- SuccessfulWebsite check availability
How To Create A Slogan For Your Website Builder:
Slogans are a critical piece of your marketing and advertising strategy.
The role of your slogan is to help your customer understand the benefits of your product/service - so it's important to find a catchy and effective slogan name.
Often times, your slogan can even be more important than the name of your brand.
Here are 6 tips for creating a catchy slogan for your website builder:
1. Keep it short, simple and avoid difficult words
A great rule of thumb is that your slogan should be under 10 words. This will make it easy for your customer to understand and remember.
2. Tell what you do and focus on what makes you different
There are a few different ways you can incorporate what makes your business special in your slogan:
- Explain the target customer you are catering your services towards
- What problem do you solve?
- How do you make other people, clients, or your employer look good?
- Do you make people more successful? How?
3. Be consistent
Chances are, if you're coming up with a slogan, you may already have your business name, logo, mission, branding etc.
It's important to create a slogan that is consistent with all of the above.
4. Ensure the longevity of your slogan
Times are changing quickly, and so are businesses.
When coming up with your slogan, you may want to consider creating something that is timeless and won't just fade with new trends.
5. Consider your audience
When finding a catchy slogan name, you'll want to make sure that this resonates across your entire audience.
It's possible that your slogan could make complete sense to your audience in Europe, but may not resonate with your US audience.
6. Get feedback!
This is one of the easiest ways to know if your slogan will be perceived well, and a step that a lot of brands drop the ball on.
Ask friends, family, strangers, and most importantly, those that are considered to be in your target market.
Here's some inspiration for coming up with a slogan for your website builder:
The Ideal Designer.
Experienced Custom Made, Industrial Designing
A Day With Website.
Nothing Is Faster Than Designer.
Graphic And Tragic
The Ultimate Webpage Machine.
Websites With Quality
Personal Website, We Are Here
Position Of The Internet
Order A Webpage Today.
Life's Pretty Straight Without Designer.
Kills All Known Webpage - Dead.
A Website Is Forever.
Webpage Gets An AWebpage.
It Does Exactly What It Says On The Webpage.
Website - It's Like Heaven!
Interior And Sillier
Webpage Brings Out The Best.
Scenic Designer, Take A Seat
Young Illustrator, Interior Room Decorator
The Software Business Model
Tiered Pricing Model
You may want to consider having different pricing tiers to meet the needs of your customers.
With this model, there are typically 2 or more packages for a specific price that offer a fixed amount of features.
Each package should reflect the needs of the buyer persona - for example, a customer looking for a beginner package may have a very different use case than a customer looking for an enterprise package.
By offering different packages, you're able to target different audiences which will lead to increased conversions and revenue. Additionally, your chances of "upselling" existing customers are much higher as you have establisished trust with your customer and they're left wanting more once their use case evolves.
Many website builder businesses charge a fixed rate per user on the account (either monthly or yearly). This can be especially lucrative if you're targeting larger businesses where the user number will be much higher.
This model is not always preferred as it can be challenging to forecast revenue accurately when the user count within businesses is fluctuating constantly.
Flat Rate Model
If you decide to adopt a flat-rate model, this would mean that you offer only one price for every customer. All customers are treated equally and have access to the same amount of features.
This model is not as common as tiered pricing because it only meets the needs of one buyer persona and can limit growth and you're able to have multiple revenue streams.
Per Feature Model
This model charges customers based on the # of features they need. Customers add features "a-la-carte" which will determine the overall price of the product.
This can be a lucrative model, however, the number of different use-cases customers need can become overwhelming (making the sales process longer) and it can be challenging to find a price structure that works well.
The business model you choose depends entirely on your needs and goals as a company. To find what works well for you, you may want to consider testing several models and conducting market research to see what competition in the space is doing.
The Freemium Model
Offering free trials to your platform is a great way to gain exposure for your business and potentially get new customers!
Finding the right website builder is a big deal for most people, so it can be important for customers to try a free version with limited features prior to making a big investment.
Once your customer reaches the limits of their free account, they're much more likely to invest in the premium version so they can gain access to all of the features your product offers.
There are a few different ways you can limit certain aspects of your product:
- Usage quotas: Storage limits or limiting the number of times they can utilize a feature
- Limited features: Only allowing your free user to utilize certain features vs all features - this is also a great way to upsell during the user's experience
- Limited support: Customer support can be time-consuming, by limiting the level of support to free users this is a great incentive for them to upgrade (and will save you a lot of time and money)!
Here's an example of SEO website, Sanity Check offering a free version to their website:
🎬 How To Start A Website Builder
How Much Does It Cost To Start a website builder
If you are planning to Start a website builder, the costs are relatively low. This, of course, depends on if you decide to start the business with lean expenses or bringing in a large team and spending more money.
We’ve outlined two common scenarios for “pre-opening” costs of starting a website builder and outline the costs you should expect for each:
- The estimated minimum starting cost = $7,517
- The estimated maximum starting cost = $67,544
|Startup Expenses: Average expenses incurred when starting a website builder.||Min Startup Costs: You plan to execute on your own. You’re able to work from home with minimal costs.||Max Startup Costs: You have started with 1+ other team members.|
|Office Space Expenses|
|Rent: This refers to the office space you rent out for your business. To minimize costs, you may want to consider starting your business from home or renting an office in a coworking space.||$0||$2,000|
|Utility Costs (office space): This refers to the first month's utility bill for your office space. If you are not responsible for this bill, this would not apply to starting your website builder.||$0||$150|
|Office Supplies: Although these may seem like minor costs, things like your desks, chairs, pens, paper, filing cabinets do add up. To avoid these adding up too much, try to be as lean as possible and go paperless!||$25||$1,000|
|WiFi: Whether you work from home or in an office space, WiFi is an expense that's tough to avoid. Although the cost is minimal in most cases, it should be appropriately budgeted for each month!||$10||$100|
|Total Office Space Expenses||$35 (min)||$3,250 (max)|
|Employee & Freelancer Expenses|
|Payroll: This number depends on if you decide to pay yourself a salary upfront and how many employees you have on payroll. At first, many founders take on all responsibilities until the business is up and running. You can always hire down the road when you understand where you need help. Keep in mind, if you do plan to pay yourself, the average salary founders make is $50K.||$0||$4,000|
|Other Employee Expenses: Aside from payroll and benefits, there are other costs associated with hiring employees. This includes the cost to advertise the job, the time it takes to interview candidates, and any potential turnover that may result from hiring the wrong candidate.||$0||$1,000|
|Employee Reward Ideas: It's important to recognize and reward employees - whether they hit their goals or are doing an exceptional job. This doesn't have to cost you a lot - simply taking them out to lunch, giving them a gift card or offering a pay-check bonus are all ways to recognize your employee! Here are 65 ways to reward your employees.||$0||$500|
|Total Employee & Freelancer Expenses||$0 (min)||$5,500 (max)|
|Equipment & Supply Expenses|
|Technology Office Equipment: This includes (but is not limited to) physical items such as: laptops, cameras, monitors, microphones, speakers, headsets. Technology needs grow as your company evolves, so to minimize costs, try and only purchase what is needed for you to run your business at the time.||$500||$5,000|
|Total Equipment & Supply Expenses||$500 (min)||$5,000 (max)|
|Website builder: The cost of your website will vary depending on which platform you choose. There are many website builders on the market, so it's important you choose the right one for your business and overall goals. To learn more about your options + how to build a great website, check out this article.||$15||$100|
|Web Design: Web design includes several different aspects, including webpage layout, content creation, and design elements.If you have the skills and knowledge to design your website on your own, then outsourcing this to an expert may not be necessary. There are plenty of other ways you can design a beautiful website using design tools and software.||$200||$6,000|
|A Domain Name: Your domain name is the URL and name of your website - this is how internet users find you and your website.Domain names are extremely important and should match your company name and brand. This makes it easier for customers to remember you and return to your website.||$12||$200|
|Email hosting: Email is a critical piece for running your business. Once you have your domain name, you will want to set up email accounts for each user on your team. The most common email hosts are GSuite (typically starting at $6+ per user, per month) or Microsoft Office (typically starting at $5+ per user, per month). The number of email accounts you set up will determine the monthly cost breakdown.||$5||$75|
|Server Hosting: To start a website builder, you will need to set up and manage a server. The cost for this is typically billed monthly and depends on the platform you choose (typically ranging anywhere from $0-$50/mo).||$0||$50|
|Website chat function: If customer service is a big piece of your business, you will want to consider implementing a chat bot on your website. Typically, there are different tiers of pricing and some businesses even offer freemium services. To find what chat software is best for your business, check out this guide.||$0||$75|
|Total Website Costs||$232 (min)||$6,500 (max)|
|Business Formation Fees|
|Small Business Insurance: Depending on which state you live in and the business you're operating, the costs and requirements for small business insurance vary. You can learn more here.||$500||$2,000|
|Permit and License Fees: Depending on your industry, there are certain licenses and permits you may need in order to comply with state, local, and federal regulations. Here is an article that goes over all the permits and licenses you may need for your website builder.||$50||$700|
|Trademarking: Filing trademark registration will protect your brand and prevent other businesses from copying your name or product. USPTO has several different types of trademarks, so the cost to apply can vary (typically anywhere from $400-$700).||$0||$700|
|Lawyer Fees: Although you may want to avoid attorney fees, it's important that your business (and you) are covered at all costs. This comes into play when creating founder agreements, setting up your business legal structure, and of course, any unforeseen circumstances that may happen when dealing with customers or other businesses.||$0||$1,500|
|A Patent: Patents provide protection against others stealing or selling your idea.Securing a patent can be very valuable, but it's important that you are 100% sure this will be a smart business move for you, or if this is something to consider down the line.The process of securing a US patent can be both lengthy and pricey, and typically includes filing an application with the USPTO.||$5,000||$15,000|
|Set up business: LLC & Corporations: The first step in setting up your business is deciding whether your business is an LLC, S Corp or C Corp. The cost for this depends on which state you form your business and which structure you decide on. We put together an article that goes over the 10 Steps To Setting Up A Business.||$50||$500|
|Total Business Formation Fees||$5,600 (min)||$20,400 (max)|
|App Creation Costs|
|App Development: App development is the process of creating software intended to run on a mobile device.In addition to coding, there are other elements to consider:- design- back end development- security- architecture- testingMany businesses hire an expert that has the technical knowledge to design and develop an app.Depending on the scope of your project, the cost can vary. Some business owners learn to code on their own to minimize these costs, and others, hire a developer to work for them part-time or full-time.||$1,000||$20,000|
|Total App Creation Costs||$1,000 (min)||$20,000 (max)|
|Design Programs & Software: These programs might include the Adobe family of design tools: Photoshop, Illustrator, InDesign and others. This is typically a monthly subscription ranging from $10-$50/mo.||$0||$50|
|Email marketing tool: If you plan to grow your email list and email marketing efforts, you may want to consider investing in an email marketing platform (ie. Klaviyo, MailChimp). We put together a detailed guide on all of the email marketing tools out there + the pricing models for each one here||$0||$100|
|IT Support: IT support installs and configures hardware and software and solves any technical issues that may arise.IT support can be used internally or for your customers experiencing issues with your product/service.There are a variety of tools and software you can use to help with any technical issues you or your customers are experiencing. This is a great option for businesses that do not have the means to hire a team of professionals.||$150||$2,000|
|Accounting & Invoicing Software: When starting your website builder, it's important to have an accounting system and process in place to manage financials, reporting, planning and tax preparation. Here are the 30 best accounting tools for small businesses.||$0||$50|
|CRM Software: CRM (customer relationship management) software is used to track your company’s interactions with clients and prospects. Although this is not a necessary tool to have for your website builder, implementing this in the beginning may set your business up for success and save you a lot of time later on. For a full list of best CRMs to use for your business, check out the full list here.||$0||$250|
|Project Management Software: You may want to consider using a project management and collaboration tool to organize your day-to-day. This can also be very beneficial if you have a larger team and want to keep track of everyones tasks and productivity. For a full list of project management tools, check out this full list here.||$0||$25|
|Internal Communication Tool: If you plan to have multiple members on your team, you may want to consider an instant message tool such as Slack or Telegram. The cost is usually billed per month (approx $5/user/month) or there are freemium versions available on many platforms.||$0||$20|
|Social Media Management Tools: If you plan to do social media marketing for your website builder, you should consider investing in a social media automation or publishing tool. This will save you time and allow you to track performance and engagement for your posts. Here is a list of 28 best social media tools for your small business.||$0||$50|
|Payroll Software: The main purpose of payroll software is to help you pay your team and track each of those payments (so that you don't have to do it manually). If you do not have any employees or have a very small team, payroll software may not be necessary at this stage. Here are the 11 best payroll tools for small businesses!||$0||$200|
|Online data storage: It's important to make sure the information for your website builder is stored and protected should something happen to your computer or hard drive. The cost for this is affordable and depends on how much data you need to store. To learn more about the different options and pricing on the market, check out this article.||$0||$299|
|Total Software Expenses||$150 (min)||$3,044 (max)|
|Advertising & Marketing Costs|
|Business Cards: A website builder involves quite a bit of customer interaction, whether that is attending tradeshows, sales calls or simply having face to face interaction with prospective clients. Business cards are a great way to stay front of mind with your clients.||$0||$50|
|Customer Research & Surveys: Many website builder's conduct industry and consumer research prior to starting their business. Often times, you need to pay for this data or hire a market research firm to help you in this process.||$0||$300|
|Networking Membership Fees: Joining local networking groups or your chamber of commerce is a traditional yet effective way to promote your website builder - but these fees add up! It's important to choose the right group(s) that align with your business and help with growth.||$0||$250|
|Direct Campaigns, Printing and Mailing: Although it may sound old-school, traditional marketing methods can be a cost-effective way to drive awareness for your brand. This includes flyers, postcards, sales letters, coupons, special offers, catalogs and brochures.||$0||$300|
|Affiliate Marketing Commission & Fees: If you want to increase revenue for your website builder, affiliate marketing is a great way to promote your product to a new audience. When determining affiliate commission rates you will offer, you will want to take into account the price and margin for your product to ensure affiliate marketing is worth it for your business. According to Monitor Backlinks, the average affiliate commission rate should be somewhere between 5% to 30%. To learn more about how to set commission rates, check out this article..||$0||$250|
|Influencer Marketing: Partnering with like-minded influencers is one of the most effective ways to grow your social media presence. Many small businesses simply gift a free item in exchange for an influencer post, or pay the influencer directly.||$0||$750|
|Press: If your business and story is unique enough, press and media attention may come to you, but odds are, you may need to do your own outreach and budget for this. We put together a guide here that discusses different press opportunities (both free and paid).||$0||$500|
|Google Ads: With Google Ads you have the ability to control how much you spend by simply setting a monthly budget cap. Additionally, with these ads you only pay for results, such as clicks to your website or phone calls! It's okay to start with a small budget at first and make changes accordingly if you see valuable returns.||$0||$300|
|Facebook & Instagram Ads: With Facebook and Instagram ads, you set your budget and pay for the actions you want (whether that be impressions, conversions, etc).You can learn more about pricing based on your impressions here.||$0||$350|
|Total Advertising & Marketing Costs||$0 (min)||$3,050 (max)|
|Credit Card Processing Fees: If you process credit cards then you will need to deal with interchange fees - which is usually around 3% of total charges. These fees are often forgotten about and can hurt cash flow if not taken into account.||$0||$300|
|Time!: Time is money! When starting a business, think about how much time you are spending on certain tasks that could be delegated to another team member or automated. Additionally, spending too much time on tasks that aren't associated with revenue is a hidden cost of running a business.||$0||$500|
|Total Other Expenses||$0 (min)||$800 (max)|
|Total Starting Costs||$7,517 (min)||$67,544 (max)|
Raising Money For Your Website Builder
Here are the most common ways to raise money for your website builder:
You may not need funding for your website builder.
In fact, many entrepreneurs take this approach when starting their own business, whether they have a little amount of cash or a substantial amount to get started.
So what exactly does the term "bootstrapping" mean?
This method essentially refers to self-funding your businesswithout external help or capital and reinvesting your earnings back into the business**
Bootstrapping means building your company from the ground up with your own, or your loved ones, personal savings and reinvesting all earnings back into the business
Here are some tips to consider when bootstrapping your business:
- Use your savings as your capital - one of the best ways to bootstrap your business is to collect your savings and use them as startup capital. This will also help you avoid using your personal or business credit cards when getting started.
- Determine exactly how much capital you need and how much capital you have to get your business off the ground. Generally, when bootstrapping your business, you may want to consider starting a business that involves less startup capital.
- Consider starting a business that will generate immediate returns so you can put money back into the business
- Be as lean as possible - this refers to cutting down expenses as much as possible, such as payroll, fancy software tools, unnecessary travel, renting an office, etc
- Consider outsourcing instead of hiring - in the beginning, you may not need to hire someone permanently to help run your business. It tends to be much less expensive to outsource work to a freelancer and hire someone permanently down the road!
Want to learn more about bootstrapping your business? Check out this article
Accelerators are organizations that offer a range of support and funding opportunities for startups.
Typically, this means they help enroll startups in programs that offer mentorship, office space, and resources to grow the business.
These programs are typically 3-4 months and involve intense education and mentorship - most importantly, the startups also offered capital and investment in return for equity.
Here are some of the most popular and well-known startup accelerators in the U.S:
Here are some tips on how to get into an accelerator program:
- Have an MVP (Minimal Viable Product) in place
- Make sure you have actual customers and an overview of how your business is doing (revenue, site traffic, growth metrics)
- Build a team
- Crush your interview - this is a critical piece in the process. Know your business and metrics inside out and most importantly, be able to portray what makes it so unique.
VC funding is a traditional and long process, but an effective way to raise money for your business.
The term "VC funding" refers to venture capital firms investing in businesses in exchange for equity.
The VC's (venture capitalists) are an individual or small group investing in your business and typically require substantial ownership of the business, with the hope of seeing a return on their investment.
VC's are typically the best approach for businesses with high startup costs - where it would be very difficult to raise the money on your own or through a loan.
When deciding whether to take this approach, it's important that you have a few things in place first, and know what you're getting yourself into:
Determine if your business is ready
Having an idea is not enough to get VC funding.
Typically, VC's will check to make sure you have these things in place prior to closing any deal:
- An MVP (Minimal Viable Product)
- A founding team with all proper documents in place (articles of organization, business formation)
- A validated idea with actual customers buying your product/service
Get everything in place and build a pitch deck
A VC individual or firm will be expecting a fine-tuned presentation that gives an overview of your business.
Here's what you should consider including in your pitch deck:
- Management team, their previous experience + current roles in the business
- Market challenge and solution
- Company financials - including a P&L statement, cash flow statement, and projections
- Company progress
- Investment amount - how much do you need and why?
Research the right VC to fund your business
Research the types of VC investors out there and what niche they focus on.
Then, put together a list of target VC's you want to approach and your strategy around setting up meetings.
Be sure you have everything in place (as discussed above) before setting up any meeting!
Make sure the terms and expectations are right for your business
Committing to VC funding is a big deal and a decision that should not be made lightly.
Although the money and experience from VC's can help your business quickly grow, you are also giving away a stake in the company, and the money comes with strings attached.
Be sure you do your due diligence in finding the right investor - one that truly believes in the growth and success of your business.
For your website builder, a common way to raise money is through crowdfunding.
So, what does it mean to crowdfund your small business?
Crowdfunding refers to funding a project through many individual investors.
Here are some items to keep in mind when planning your campaign:
- Sell more than just your product. Sell your passion, your vision, and your story.
- Be real. Give your community honest details about your product.
- Treat your audience as your friends (not just potential customers)
- Put together a great presentation - it will attract people quicker.
To launch a successful crowdfunding campaign, you first need to select the type of crowdfunding platform to host your campaign.
Here are the most popular crowdfunding platforms to raise money on:
Funding platform for creative projects.
Businesses using Kickstarter:
Crowdfunding platform for innovations in tech and design.
Businesses using Indiegogo:
Crowdfunding platform that has helped more than 350 companies raise $175M+ from a community of over 250,000 prospective investors.
Businesses using StartEngine:
We connected with one of the most successful Kickstarter campaigns, Photobooth Supply Co, and asked founder, Brandon Wong to give us some insight on his strategy:
Product first, campaign second
So with all of those positive benefits of the platform figured out, we wanted to make sure we had the product itself in the right place before we launched.
We’ve been working on Salsa for a long time now and wouldn’t have felt comfortable revealing the ability to pay for it until we hit a very important milestone. We had a final prototype.
Doing all of the sourcing and actual production is secondary—there was absolutely no way we could have gone public without people being able to see real photos (and touch in person) a functioning prototype.
This meant that we had to do all of the development before we ever saw a cent.
Finding backers in the real world
We launched the product at our annual Booth Summit, which is a convention for photobooth owners to get together and learn from experts in the field. Launching a product in a receptive environment is generally considered to be a good idea. The same was definitely true for us!
We had a crowd of people who had just told us they were dedicated to growing their business… and we had the chance to offer them a way to do just that. I really can’t emphasize enough how important it is to make products that matter for people who will care about them.
This opportunity to see the product in real life was an essential component for our launch, but it might not be the same for you. I think it just shows how essential having a great prototype is. People love to touch and feel what they’re buying, if you’re talking about something physical… you should be able to show a prototype before you ask for money.
Building excitement with even the smallest backers.
We knew that we wanted to have a ton of incentives for early backers so that they’d be rewarded for taking a leap of faith on a new photobooth.
We’re obviously not making a whole lot of money on that first $1999 tier. But it enabled people to be part of something fun.
Every $1999 backer is always going to be able to say, not just that they got a great deal, but that they were one of the first to get on board. It means a lot more than a discount code expiring—just look at how frustrated people are on Twitter when a limited stock of rewards is secretly gobbled up.
Kickstarter doesn’t reveal the names of backers, but it humanizes them. And it just adds to the fun of getting your own spot! Even for someone backing now, they’re able to say that they were an early adopter.
Delivering on our promise
One of the most common critiques of Kickstarter items is that they either never show up or that they take years. I wanted to make sure that our timeline was easy to deliver and also reasonable.
Nobody deserves to wait two years for your product after they pay for it. I felt like we needed to offer a much quicker turnaround than that. We launched on Black Friday 2018 with an estimated delivery of April 2019.
That’s under 6 months and much lower than the average Kickstarter! The most important thing is that we will be able to meet that timeline. You can’t go around promising delivery dates and missing them, this isn’t a consumer product.
Anytime you’re working with the events industry you have to be very transparent and up front about timelines. A bride who books a photobooth needs it to show up on her wedding day. It’s non-negotiable!
What Skills Do I Need To Succeed In Starting A Website Builder?
As a website builder, there are several essential skills and characteristics that are important to identify prior to starting your business.
Let’s look at these skills in more detail so you can identify what you need to succeed in your day-to-day business operations:
Self Motivation Skills
Self motivation and discipline skills are critical in order to become successful in this field.
It's likely that you will find yourself starting and running your website builder from home, which could mean there are more distractions for you.
Here are the basic skills needed for self motivation & discipline:
- Becoming a self starter: It's important that you are capable of independently completing a task without the help or direction of anyone else
- Listening and following directions: When you are given direction by others, it's critical that you are able to follow directions and ask the right questions in order to get your job done
- Taking the initiative in problem solving: Instead of taking the easy route, you'll need to learn to troubleshoot issues on your own as much as possible.
Customer Service Skills
Friendly communication with customers and the ability to address service issues is a critical part of the job.
Here are some customer service skills you may want to consider prior to starting a website builder:
- Professionalism: The way you act, present yourself, and respond to situations all leave an impression on your customer. It's important to stay professional at all times when handling customer requests or issues.
- Problem-solving: When issues arise, it's important that you are able to think quick on your feet and address the situation with a calm and clear solution
- Friendly-manner: This is an obvious one, but customers truly appreciate someone that can respond in a quick, efficient, and friendly manner.
- Proficient in writing: These skills include the ability to write well-crafted emails, service tickets, and any other programs used by the business (ie. chat functions, SMS texting)
Business Savvy Skills
When starting a website builder, there are a few fundamental business skills you will want to learn in order to be successful:
- Leadership and training skills: A great team starts with YOU. Make sure you have all company policies and training procedures in place prior to hiring your team
- Decisive and self-confident: Over the course of your career, you will need decisions that could impact your business significantly. It's important you are able to think clearly and rationally about these decisions.
- Ability to understand the financials: You don't need to be an accountant, but it is important that you are able to clearly understand and define metrics such as expenses, revenue, profit, margins, COGS, etc.
- Strategic Thinking: Setting clear goals and benchmarks, identifying opportunities, risks. Ability to effectively communicate these insights to your team.
These are a few of many business savvy skills you should have (or work on) when starting a website builder.
For a full list, check out this article here.
Whether you are the one designing the product or the decision-maker for the product, an eye for design is critical when starting a website builder. Here's what this looks like:
- Creative Thinking - the ability to develop or design different products or ideas
- Visualization - being able to imagine or visualize how the product will look
- Articulation - the ability to communicate what the design will look like and how it will be executed
- Detail-oriented - paying close attention to all of the small pieces when designing or working on a project
- Some technical skills - knowledge of the design software you are using to create the product or build prototypes.
Other skills that may be valuable to have when starting a website builder include digital marketing skills, branding experience, and basic business knowledge.
Here are some critical skills you will need to start your website builder:
- Language acquisition: Common languages include Java, Ruby, Python, HTML)
- Creative thinking: Ability to develop innovative solutions and think outside the box
- Analytical skills: Ability to troubleshoot issues quickly and efficiently
- Attention to detail: Precise and detailed in the approach so that little to no errors arise
- Calm & Collective: Critical that you are able to stay patient when challenges arise
- Communication skills: The ability to explain your approach in a clear and concise way that all team members can understand.
To see more skills and qualities people look for in a website builder, check out this article.
Advice For Starting A Website Builder
We've interviewed thousands of successful founders at Starter Story and asked what advice they would give to entrepreneurs who are just getting started.
Here's the best advice we discovered for starting a website builder:
David Braun, founder of Weblium ($37K/month):
The sooner you will release the earlier you will get first feedback and transform your offering. We spent the first 6 months for nothing, we had to fully rewrite our UX after we've got first customers.
Read the full interview ➜
Hilart Abrahamian, founder of WebJoint ($/month):
As long as you can pay your rent, and keep food on the table, now the majority of your day can actually be spent focusing on bringing your business to life.
Read the full interview ➜
Shai Schechter, founder of RightMessage ($30K/month):
There's a lot to be said for building in public, keeping assumptions to a minimum, and iterating based on what you learn from your audience and their needs… It taught us so much about what the product needed to be, and more importantly what the product didn't need to be yet.
Read the full interview ➜
Write a Business Plan
Writing a business plan from the start is critical for the success of your website builder.
Because this allows you to roadmap exactly what you do, what your overall structure will look like, and where you want to be in the future.
For many entrepreneurs, writing out the business plan helps validate their idea and decide whether or not they should move forward with starting the business.
You may want to consider expanding upon these sections in your business plan:
- Executive Summary: Brief outline of your product, the market, and growth opportunities
- Overviews and Objectives: Overview of your business, target customers, and what you need to run your business
- Products and Services: Specifics on the products and services your business will provide
- Market Opportunities: Analysis of customer demographics, buyer habits and if your product is in demand
- Marketing: Outline of your marketing plan and how you plan to differentiate yourself from other customers
- Competitive analysis: Analysis of your competition and the strengths and weaknesses therein
- Operations: Hierarchal structure of the company and what it will take to run the business on the day-to-day
- Leadership Team: Detailing roles and responsibilities of each manager based on their specific skill-set
- Financial Analysis Understanding of all expenses, operating budgets, and projections for the future.
Learn more about how to write a business plan here
Determine Which Business Bank Account You Need
There are hundreds of banks out there, and it can be overwhelming to find one that's right for your business.
Here are some factors you may want to consider:
- Location - Is your bank close enough that you can easily make deposits or get cash?
- Low Fees - Make sure to understand any and all fees associated with setting up and maintaining your bank account. Ask for a list - banks usually try to keep this hidden and in the fine print.
- Online Banking Services - Make sure you can easily navigate through your online portal and you have easy access to everything you need.
- Line of Credit - What do your options look like (even if you don't need this now, you may need this down the road).
- Every bank has something that differentiates them from the rest, so make sure whatever that is applied to your needs and values.
Check out this list of the 13 Best Banks for Small Business in 2020 and what makes them so unique.
Setting Up Your Website Builder (Formation and Legal)
When it comes to setting up your business, you may find yourself in a place where you have to make some financial and legal decisions.
The first thing you'll want to decide on is whether you want to be an LLC, S-Corp, or C-Corp.
These three options are found to be the most common when starting a small business, and all serve to protect your personal assets and also provide you with certain tax benefits.
- LLC: All income and expenses from the business are reported on the LLC personal income tax return.
- S corp: Owners pay themselves salaries + receive dividends from profits.
- C Corp: C Corps are separately taxable entities that file a corporate tax return (Form 1120). No income tax is paid at the corporate level and any tax due is paid at the owners individual expense.
Depending on where you're conducting business, you'll also want to consider securing the proper permits, licenses and liability insurance.
Need to start an LLC? Create an LLC in minutes with ZenBusiness.
How Do I Pay Myself As A Small Business Owner?
Most entrepreneurs start a business to do something they love- but at the end of the day, you still have bills to pay (maybe now more than ever).
But it's important to strike the right balance - if you pay yourself too much, you could be putting your business at risk.
There are two common ways to pay yourself as a business owner:
1. Owner's Draw
Many entrepreneurs pay themselves through an owner's draw. This means that you are technically sean as "self-employed" through the eyes of the IRS and are not paid through regular wages.
At the point that you collect money from the draw, taxes typically are not taken out - so make sure you are prepared to pay these taxes once you file your individual return.
As an owner who takes a draw, you can legally take out as much as you want from your equity.
This type of compensation is suited for Sole props, LLCs, and partnerships. If you’re an S corp, you can pay yourself through both a salary and draw if you choose.
If you decide to pay yourself a salary, you will receive a set and recurring amount. This will be taxed by the federal government and the state you reside in.
The reality is that it can be really complicated to set your own salary, so we have some tips for you to consider:
- Take out a reasonable amount that allows you to live comfortably but also sets your business up for success
- Consider the number of hours you are working weekly + the type of duties you are performing.
- Set your salary based on your industry-standard, location, and profits (or projected profits)
- Look at your P&L statement: Deduct your own pay from that amount. This is important so you can first tackle important business expenses, and then pay yourself from the amount leftover.
- Pick a payroll schedule (and stick to it)! In the US, it's most common to pay yourself and employees twice a month.
To learn more about how to pay yourself and what is a reasonable amount, check out this article.
How To Price Your Website Builder
One of the most challenging and critical pieces to starting your website builder is determining how much to charge for your website builder.
When businesses under-price their product, this can be extremely detrimental to their bottom line and reputation.
Often times, businesses under-price their products to drive demand and volume, but that last thing you want is for customers to view your product/service as "cheap." Additionally, this can have a big impact on the type of customer you attract, which can be difficult to recover from.
On the other hand, when businesses over-price, this tends to be just as damaging to the business.
When customers buy, it's likely that they will explore the internet and look at other competitors to ensure they're getting the best value + deal. This is why it's so important that you research your competition and understand where you land in the marketplace.
Here are some factors to consider when pricing your product:
Understand your customer
It's important that out of the gates, you identify the type of customer you want to attract and how much they're willing to pay for your service. One great way to do this is by surveying your customers. Here are some important items you'll want to takeaway:
- Customer demographic: Age, gender, location, etc.
- Buying habits of your customer: What they buy + when they buy
- Level of price sensitivity with your customer
All of these segments will help you identify the type of customer you're attracting and how to price your product accordingly.
Understand your costs
When pricing your website builder, it's critical that you first identify all of your costs and consequently mark up your website builder so you can factor in a profit.
The actual cost of your website builder may include things like:
- The actual cost to make the product (ie. raw materials, supplies, manufacturer).
- Shipping + overhead fees
- Operating costs to run your business
You may want to consider creating a spreadsheet with every single expense involved in operating/owning your business. This will give you an idea as to what you need to generate in order to at the very least, break-even and will help you price your products to factor in a profit.
Create revenue goals
When determining the price of your website builder, you'll want to create goals for revenue + how much profit you want your website builder to make.
This process is simpler than you may think:
- Think about your breakeven cost (by completing the above step).
- Create a revenue goal based on your break-even cost
- Evaluate the # of items you plan to sell in a given period (make sure this is a realistic number)
- Divide your revenue goal by the number of items you plan to sell
This figure will help determine your estimated price per product in order to meet your revenue goals.
Evaluate your competition
The last piece in determining how to price your website builder is by simply looking at your competition.
The best way to do this is by finding like-minded businesses that offer product(s) with similar perceived value. Then, you can compare prices of the different businesses and determine where your website builder fits best in the marketplace.
All of these factors play an equal part in pricing your website builder, so it's important you evaluate each one individually to come up with an accurate price that will help optimize your business from the start.
Gross Margin Calculator: How to Calculate The Gross Margin For Your Website Builder
Our calculator is designed to be simple and easy to use.
The goal is to help you set realistic expectations and understand what is considered a healthy gross margin for your website builder.
Please input your figures below:
What Type Of Clients Will Buy Your Website Builder
It's important to first establish who you will be selling to, whether it's to businesses or consumers.
Typically, in this industry, products are sold to B2B markets (business-to-business).
Let's take a look at what this means for your website builder:
B2B (or business to business) is a transaction where your website builder sell's your product or service to other businesses to help them grow.
Business-to business industries typically includes SaaS products, B2B marketing firms, and other business supply companies.
Unlike B2C markets, the audience is not a consumer at all, but instead a business - so it's important to understand how to best market your product/services to that target audience.
With B2B, driving leads means understanding another company's business processes and creating a business strategy that will help their operation scale and grow.
Here are some tips to consider:
- Your main focus when selling to other businesses is showing value to their business and overall return on investment
- Focus on building relationships, rather than extending your brand awareness through social networks.
- Marketing approach should include things like attending conventions, conferences, and optimizing your online presence (SEO, email outreach, etc)
- Understand that the sales process may mean more effort educating your client, so it's important that you have a well-trained sales team that is knowledgable about the product
Building an MVP (Minimal Viable Product)
When building a website builder, it's critical that you first validate your product/service rather than rushing to build it right away.
This could save you months, if not years of building the wrong product/service.
If you're hoping to decrease any sort of risk that comes with launching your website builder, designing a prototype can be a great way to de-risk your situation.
The point of your website builder prototype is that it doesn't have to be perfect.
In the beginning stages, it doesn't matter how rough V1 of your prototype is, it's more important to just get started and you can always refine from there based on feedback from your network and most importantly your customers.
How To Build A MVP
Here are several different ways of building a prototype/MVP:
- Start by building a landing page to see if customers actually need your product and if they are willing to pay for it
- Build a very basic version of your idea and ask for immediate feedback from potential customers
- Present a problem and solution via Facebook/Instagram Ads and see what the response is like
How To Find The Right Developer For Your Website Builder
If you (or others on your team) don't have the necessary coding/design skills to build the product on your own, finding the right developer for your website builder is a critical piece to bringing your idea to life.
Prior to hiring someone, you'll want to:
- Have a very clear understanding of what your product (or MVP) will look like
- Understand what the details of the user experience will look like (pages, how users sign up, backend administrative details, billing, reports etc). It may help to draw out the prototype and UX experience on a design platform such as Sketch
- Understand what features you want to implement now and even those in the future
- Understand the costs and time associated with hiring a developer and set a budget (more on that below)
Here are some ways you can find a developer:
Arielle Frank, founder of Clout Collective talks about her experiences and lessons learned when hiring a developer as a non-technical founder:
My first attempt to find a developer was a massive failure. I was basically screaming to be taken advantage of with my lack of technical knowledge and a heart full of hope. I signed an extremely unfavorable contract with a developer based in Morocco who claimed to offer “discounted” development services in exchange for equity in the company. By “discounted” I mean that it would cost only $40K to build the MVP. At the time I had no frame of reference for whether or not this was normal and justified it to myself.
Luckily, after a lot more internet sleuthing, I found my current developer, Adeva. Working with Adeva was the opposite experience of my initial encounter in every way. At $8K, Adeva’s quote for my MVP was literally 1/5th the cost of the original developer! I decided to save money on a front-end designer for V1 by using a template and designing things where I could in Figma.
I was forced to figure out many of the details and features of the platform upfront since Adeva couldn’t give me a quote without detailed user stories.
When building out the prospective features, I tried to focus on the end result and work backward from there.
For example, the end goal was for a content creator to be able to read a review and know whether or not they want to collaborate with a specific brand. I used this goal to inform the questions I collected for the reviews and the best way to display this info. During this phase, I also relied heavily on my beta testers for feedback about which info would be the most useful for them.
It’s tempting to add a bunch of cool, slick features when you’re building your product, but my brilliant mentor encouraged me to focus on doing one thing extremely well.
🚀 How To Launch Your Website Builder
Build A Website
Building a website is imperative when launching your business, and with the right tools in place, this can be a simple task to check off the list (without having to hire someone).
- Pick a domain name that's easy to remember and easy to type
- Choose a Web Hosting Plan (ie. Shopify, Squarespace)
- Make sure you choose the right theme and design
- Implement the proper page structure (ie. about page, contact page, pricing etc)
To learn more about how to build a stellar website with little stress, we give you all the details on this step-by-step guide.
Once you have chosen the domain, web hosting, and platform, it's time to get started with the design phase.
Themes are a great way to produce the fundamental style and identity of your website - this includes everything from your font design to your blog post styles.
One of the best ways to get started is to simply explore the various themes (free or paid depending on what you're looking for) and test them on your site.
If web-design really isn't in the cards for you, you may want to consider outsourcing a web designer to help bring your vision and brand to life.
Launch Strategies For Your Website Builder
There are various different ways you can launch your website builder successfully.
Here are a few different strategies to get customers excited about your website builder.
- Build hype with a landing page: you can effectively do this through waiting lists, discounts, countdown timer etc
- Create a teaser video: even just a 30 second video is a great way to exposure for your website builder, and possibly even go viral
- Reach out to influencers: The right influencer for your product has the ability to reach your audience with just one post, and because of their loyal following, this could lead to a big return for you.
- Get Press: Whether you plan a PR stunt or get exposure through a popular news outlet, this is a great way to attract initial customers
- Launch on popular sites: A great way to get buzz about your website builder is to submit your launch to popular startup sites.
Here are a few popular sites to launch on:
Learn more about how to launch your business successfully ➜ here
Shai Schechter, founder of RightMessage dives deep into the process of launching the business:
We'd built up an email list of about 1,500 people in the months leading up to January 2017.
This was mostly from Brennan tweeting about the mistakes we were seeing a lot of in online marketing, the big impact personalization can have, and the cool ways you can get started with it, and then pointing them to a landing page.
Money validates that you’ve touched on a pain point… But it doesn’t validate that your product solves that pain point, yet. Work as closely as you can with those customers, one-on-one, to make sure you’re actually solving their problem and delighting them.
The landing page was some long-form copy about what we were doing, with four or five dropdown boxes where you could choose things about yourself (business type, email marketing tool you use, and so on) and see the copy update in real-time, as an example of the sort of thing personalization could do. It was simple, but it did the trick.
We made about $40k in that launch (mostly annuals). We were happy, but we knew there was still a lot of work ahead!
The biggest thing we learned post-launch was just how new the concepts we were enabling were to most of our audience. We'd got rid of the need to be able to code to make these powerful things happen on your website, but people were still overwhelmed.
The most common objections? "This sounds amazing, but I wouldn't know where to start..." or "I don't have time right now".
Reading between the lines, there was this perception that personalization was a big scary radical overhaul of your entire website—when the reality was that taking a few minutes to make one simple change to a headline was already enough to, in some cases, double conversion rates.
We knew we'd need to simplify the product, and do a lot more educational marketing, to really make this work.
Partly for that reason, we decided to keep sales high-touch for a while after launch: we didn't open up self-signup until the second half of 2018. In hindsight, this was a really good move, which I'll talk about later.
🌱 How To Grow Your Website Builder
Experiment With Pay Per Click Ads (PPC)
Pay-per-click (PPC) is a performance-based marketing method that allows you to show specific ads for services or products oriented to a very defined target, with the goal that the user visits your website or landing page.
Here are some tips to consider:
- Consider connecting the ad to your corresponding landing page so that the audience receives the necessary information after clicking on the ad.
- Conversion Tracking: When running PPC campaigns, be sure to run the ads with conversion tracking.
- Focus on quality keywords, even if there are few as this will save you time and money. When assessing the performance of a keyword, it's important to track the expense, conversion, and cost per conversion, as well as the ROI.
PPC advertising can be a very important lead generator as long as it's done properly. Your PPC campaign is intended to drive traffic to your website and help the business scale.
Additionally, if the campaign is not having the desired results, you can make the necessary changes immediately to improve them.
Ryan Schortmann, founder of Display Pros talks about their investment in PPC Ads:
My name is Ryan Schortmann and I’m the founder of Display Pros. We are a custom trade show display booth company offering easy to use portable display “kits” for small and medium businesses wanting to get into the trade show game.
It did not take long to come to the realization that to compete at any reasonable level, we were going to need to take the plunge and invest in Pay Per Click ads and display.
From experience, I know that it is important to give Google’s hivemind some time to settle in before each campaign starts seeing consistent results (this is largely dependent on budget).
A certain amount of PPC budget must be viewed as a “marketing research” expense and then you can look at the analytics data and make informed decisions on where to refine, tweak or plain scrap an idea.
Google Shopping was an entirely new concept for me. You can’t assign keywords to products so at first, I was asking myself “How the hell do you refine these?”. Then I found some good reading material and courses and learned of some advanced methods that the pros are using. It turns out you can utilize negative keyword lists combined with the priority setting on each shopping campaign to “shape” the keywords that are coming in and how much you are spending on them.
To learn more about PPC Ads and Google Shopping, check out this video to learn everything you need to know!
Improve your SEO
SEO is not just about driving traffic to your site, it's about driving the RIGHT traffic to your site, and ultimately, converting leads into customers.
One of the most important aspects of SEO is understanding what your customers are searching for, otherwise known as "keyword research."
Here are some tools that can help you choose the right keywords for your website builder.
- Google Ads Keyword Planner invaluable for discovering search trends.
- Google Search Console is very helpful once your website is up as it shows you what words/phrases are generating traffic.
- Ahrefs and SEMRush are paid tools that allow you to look at results of your competitor's website.
Publish Great Content
Finding keywords is an important piece of the puzzle, but Google also ranks your site based on the actual content you produce, as this is what your customers are reading and engaging with.
There are various different "forms" of content that you may want to consider diversifying on your sites, such as blog posts, articles, studies, and videos.
So let's discuss what google considers "good content:"
- Length - This will vary depending on the page, however, generally having a sufficient amount of content helps search engines recognize that your site is a good source for a specific topic
- Engagement - The longer people stay on your website to read your content, the higher Google will rank your website. It's important to have informative and "thick" content that keeps people reading
- Avoid Duplicating Content - Google will recognize this and may consider your content to have low value
- Ensure pages load quickly - This will also help with engagement and time spent on your website
- Shareability - Create content that people want to share, and is easy for them to share, especially to their social media accounts (ie. "click to tweet" is a great example of this).
Another element of creating good content is creating consistent content.
If (and hopefully you are) publishing content frequently, it's important to stick to a schedule - this helps build brand trust and easy user experience with your customers.
Planning out your content with a content calendar is key to staying consistent.
Here are a few great content calendar tools that can help you:
Backlinks are an important piece to SEO, as they allow for other websites to link to your content.
Search engines recognize that other sites are essentially "verifying" your content and essentially rank you higher because of this.
Of course, some links are more valuable than others and can affect your site in different ways.
For example, if a highly valuable and credible site like the New York Times links to a page on your website, this could be remarkable from an SEO perspective.
Aside from organically getting mentioned from other sites, there are other ways that you can increase and earn backlinks:
- Create infographics with relevant data that people want to share
- Promote your content on different sites/look into "guest blogging"
- Contact influencers/journalists/bloggers and ask them to mention you!
- Write testimonials for other sites in exchange for a backlink
- Leverage existing business relationships
Build A Blog
One of the most effective ways to build brand awareness and grow your business is through consistently blogging.
We've outlined some useful tips for you to consider when creating content:
Consistency and Quantity
Quality is important, but it should be the standard for any content you publish.
What’s more important is consistency and quantity.
Consistency is as simple as committing to publishing and sharing a certain number of posts per week. For me, that’s three per week right now.
This kind of commitment is key, because one day, a random post will blow up, and you will have never expected it.
The easiest mind trap is to think "I’m posting too much", and “I need to give my readers/audience/this platform a break”.
This is nonsense.
There is no such thing as oversaturation. Well, there is, but it is just someone else’s opinion.
For every person that tells you you are posting too much, there is another person that wants even more of your content.
You should ignore people’s opinions on how much you post.
Patience & Persistence
Keep posting, keep trying, and keep putting out good content on the regular. Your time will come, and when it does, it will change everything.
The only thing you have control over is your content.
You can’t control how people will react to it. You can’t control pageviews, likes, or shares.
So the only metric you should focus on is how much content you can put out in a week, month, etc.
Where to share your blog content
I know it sounds obvious, but the best places to share your content is on your mailing list. It is guaranteed traffic and it is a great way to get rapid feedback from your most loyal readers.
Send newsletters often. I have done once a week since starting, and I’m moving to twice a week soon.
Work on increasing your mailing list as well. Look into ways to increase your conversion rate to your mailing list. I added a flyout popup thing to my site and now I’m collecting ~30 emails per day.
An email newsletter is one of the most powerful assets you can have and it is worth its weight in gold.
Reddit is one of my favorite places to promote content.
It is a very scary place because you will often get banned or heckled, but it can really pay off.
Create social media accounts for your blog, the main ones I use:
Twitter Facebook Instagram LinkedIn
Set up Buffer and share all of your blog posts to all of your accounts. All of these little shares really do add up.
Automate this as much as possible. I automated all of my social media for Starter Story.
When I started out, I put together a spreadsheet of relevant Facebook groups for my niche, and I would post to these groups whenever I had a big story I wanted to share.
Grow Your Email List
The more engaged list of emails, the more engaged customers, which ultimately leads to more sales.
One of the best ways to start growing your list is by providing your customer with something free (or discounted) in return.
This could also be anything from:
- Fascinating case study
- Video series
- Free week of the product
- Discount on the product
Learn more about how to grow your email list and improve email marketing ➜ here.
Dylan Jacob, founder of Brumate states their email collection tactic that is proven to work:
We use Spin-a-Sale for this (you spin a wheel for a discount code in exchange for subscribing to our email list). This has been the best email-collecting tool we have found because the customer truly feels like they won a prize rather than just a coupon code.
Even if a customer doesn’t convert right away, if we have their email we have a 19% chance of converting them into a future customer whether that is through future promotions, new releases, or simply just sending an email at the right time for a purchase to finally make sense for them.
We also have a return customer rate of over 14%, so one out of every 6 people we convert will end up buying from us again with an average order value of over $60.00.
Add an exit-intent popup to your online store
A great way to double, or even triple, your email opt-in rate and to grow your list is to add an exit-intent popup to your site, and offering a discount or content upgrade for subscribers.
Here's an example of what that might look like:
One thing that I spent years NOT doing, that I now kick myself about, is adding an "exit intent pop-up" to our site, which lets people enter a sweepstakes to win a Xero Shoes gift certificate.
That one idea has added over 100,000 subscribers to our email list, which is one of our most effective marketing channels.
Improve Your Email Marketing
Different types of emails
Here are the most common types of email campaigns you can send to your customers and their benefits:
- Welcome emails - the perfect way to provide information from the start with a clear CTA. Make sure to tell your customer everything they need to know about your product or service.
- Newsletters - a great way to give customers updates or send out your latest content
- Product launch emails - the quickest (and easiest) way to increase sales is by selling to current customers. Make sure they're the first on the list to know about your new product
- Promotional emails - promote discounts, deals coupons etc. Try and make this feel exclusive and for a limited time only
- Abandoned cart emails - give your customers a reason to complete their purchase!
Here's a great resource for finding curated email designs, for all types of email campaigns!
Abandonded Cart Flow
The abandoned cart workflow is one of the most effective strategies for turning your lead into a customer, and a powerful tool to have if you're an e-commerce business.
Think about all the times that you went on a shopping frenzy only to add items to your cart and then either forget or realize nows not the right time to pull the trigger.
Then, minutes later you receive an email saying "Hurry up! Your cart is waiting - and we want to provide you with 20% off your order."
Maybe that's the special touch (and discount) you needed to pull that trigger.
Implementing this workflow can automatically trigger this for your business every time a customer abandons their cart.
Here's a great example of an abandoned cart email from Brooklinen:
Things they do well:
- Showcase 5-star reviews from other customers
- Offer a small discount + free shipping
- Great design + clear call to actions!
Form partnerships for your website builder
Starting a website builder is all about building relationships and becoming an integral part of your community.
Many entrepreneurs make the mistake of thinking they can do everything on their own. In reality, other businesses (even your competition) and members of your community can be a huge piece of your growth strategy.
When forming any type of partnership, a lot of energy and time can go into this. To ensure it's worth your while, dive deep into the vetting process and ask yourself (and them) the following questions:
- What are your businesses values and priorities?
- Who are your customers? What matters most to them?
- In what ways can we both bring value to each others businesses? Cross promotions? Clout/credibility?
- Should we do a trial run first to make sure this partnership works out before finalizing an agreement?
- What will the agreement look like?
Once you have an idea as to what the ideal partnership agreement looks like, that's when the outreach begins (the hardest part)!
Here are some different ways you can meet other entrepreneurs and form partnerships:
- Simply talk to other people in the website builder industry. You'd be surprised as to how willing other entrepreneurs are to share their knowledge with you
- Host an event: By inviting people to your event in your community and industry, you may be able to form partnerships and expand your clientele
- Join a facebook community: Nowadays, everything is online. A great way to meet other people is to become 'active' on a public forum or community
- Use other social networks such as LinkedIn or Twitter to aid your outreach. This can be a very powerful tool if used properly.
Forming partnerships and building relationships within your community can be a very valuable tool, but it's important that you do your due diligence and avoid going in blind to any sort of partnership. This can save you months, if not years of time.
Mike Aspinall, founder of The Crafty Gentlemen discusses how brand partnerships are the most important part of his growth strategy and revenue stream:
My main revenue stream is sponsored brand partnerships, whereby a company pays me a fee to feature their product within one of my blog posts.
Over the years, I’ve worked with some really cool brands – Etsy, Hobbycraft, Cricut, Pinterest, Gorilla Glue, Singer, Janome, Brother, Bosch, and lots more.
For a long time, I was hesitant to charge for my work – I was happy to work in exchange for products. But there came a point where I was being offered more work than I could have said yes to – something had to change. So I started to charge for partnerships. And brands agreed, no questions asked!
The last 6-12 months have been the most successful yet for my business. I’m making regular revenue through multiple streams, including sponsorships, media appearances, influencer work, and passive ad revenue. My website traffic is at an all-time high, and growing – as are my social media followings:
🏃🏼♀️ How To Run Your Website Builder
How To Retain Customers For Your Website Builder
Retaining customers is one of the most effective ways to grow your website builder.
Oftentimes, it's easy to find yourself focusing on generating new customers, vs retaining your current ones.
Look at it this way - you are 60-70% more likely to sell a new product to an existing customer than you are a new customer.
That's not to say that finding new customers and revenue streams is not important, however, the easiest (and most inexpensive) source of new revenue is right there in front of you.
Here are some ways you can retain customers for your website builder:
- Responding to comments on social media
- Send discounts (or freebies) to loyal customers
- Provide valuable content, for free
- Write a hand written thank you note
- Provide awesome customer service and build relationships with customers
To find out more tips and tricks on retaining customers, check out this article ➜ here
Shai Schechter, founder of RightMessage dives deep into the process of attracting and retaining customers:
Selling high-touch (getting on the phone with each prospective customer, giving them a demo) in the early days worked really well for us.
We literally didn’t allow self-signup through the website at all for several months after launch.
Those demos took a ton of time and energy, but it meant we were able to test out different ways of describing the product and were able to see firsthand what was confusing for people and what led to that "a-ha" moment where the lead suddenly saw how they could benefit from what we were offering.
I'd highly recommend doing live demos for as long as possible, and then codifying what you learn into more scalable marketing as you learn.
We're only now taking everything we learned from that and turning it into more scalable forms of marketing—starting to ramp up our content and email marketing, for example.
Our approach is simple: just try to be as educational and informative as possible.
We’re teaching everything we know, and everything we figure out along the way, about best practices, things that work to level up the things our audience care about (typically more subscribers, more sales, and a happy audience), and so on.
And we don’t do the hard sell: as far as possible we show how you could get the results we’re talking about without using our product at all. Once readers are on board with the concepts, and think they’d benefit, then we can mention how they can often make those things happen a lot quicker and more easily with our product should they choose to.
Partnerships are a big thing for us as well.
There's so much value in tapping into existing audiences—guest podcasting, joint webinars, and so on.
Look at what products you complement or integrate with (for us that's primarily the email marketing tools and website builders)—and work with them to share the benefits of what you do with the audience they already have. This is something we'll be continuing to do in a big way in the coming months.
Retaining existing customers
We knew from the beginning that we had the sort of product that someone would stay with forever if they see results, and churn pretty fast if they didn't.
In fact, our first hire was someone to help with customer success. Their job was literally to go through every account, see whether it was set up properly and seeing results, and reach out and offer to help if it wasn't.
Again, this taught us a lot about what people needed. It was another thing that we made sure to keep manual for as long as possible. A year later we're just starting to test the waters of automating parts of it—but proactive customer success will still be a big part of our strategy.
Diversify Your Product Line
Adding new products to your business is a great way to expand into new markets and grow your business.
It's important to note that adding new products and diversifying may not be in the cards for you right this moment, and that's okay. You can always consider it down the road.
Here are some reasons you may want to considering adding/diversifying your product
- Meeting the needs of your customers
- Establish yourself as a top provider in your industry and stay ahead of the game with competition
- Resistance to downturns/trends fading
- Create new revenue streams
Provide Great Customer Service
Providing exceptional care and creating relationships with clients is a great way to build your reputation and retain customers.
Whether you are an online business or a physical business, it's highly important to communicate with customers and make them feel like they are the priority.
Just remember: customer service represents your brand, values, vision and YOU as a person.
Build a Referral Program
Word of mouth is one of the best ways to get the word out about your business and acquire new customers. Especially when you are starting out, it’s important to build a solid referral program to encourage existing customers to help you find new ones.
A great way to do that is by offering a reward (ie. credit on your service or cash) to customers that refer you to their friends and family.
A fantastic referral program will help with clout, credibility, and establishing yourself in the space.
How To Crush The Sales Process For Your Website Builder
You may find yourself in a spot where you're ready to hire a few (or many) salespeople to support the sales conversion process.
Regardless if you have one or thirty salespeople, it's critical that you assign them specific roles and responsibilities to nurture the client and provide excellent support.
Mike Korba, co-founder of User.Com walks us through the entire sales process and which teams are responsible for what:
User.com Sales Process
Each user and account is qualified with a specialist. For business leads, they are handled by the sales team, and if they are qualified we give them a demo, more than often at the end of their fourteen-day trial. If they’re happy they’ll add a payment, and get an account manager, so a customer support and success team who will help implement the solution and to use the technology.
Sometimes, users will convert naturally on their own, after using the freemium product and finding it to be something that they will find beneficial.
After they convert, we help with onboarding, give them some personalized tips for their specific business or industry to grow plus all kinds of support, for whatever they need - something we take huge pride in.
The team is right now more than 30 people, with more than half working on the IT and product side, and the rest are in three teams: Support, Marketing, and Sales who all work together very closely.
We put together the best resources on the internet to help you start your website builder.
- Social media tools such as Facebook or Twitter
- Analytics tools such as Google Analytics
- Productivity tools such as Google Suite, Slack, Apple Keynote, Notion or Jira
- Payments tools such as Stripe
- Accounting tools such as Xero
- Customer service tools such as HelpScout or Intercom
- Crm tools such as Hubspot or PipeDrive
- Email tools such as Drip
- Design tools such as Sketch or Figma
- Sales tools such as Mailshake or RightMessage
- Platform tools such as Custom Built
- How To Create A Website: A Step By Step Guide To Start
- Growing A Website Builder Tool & Agency Hybrid to $37K Per Month
- How We Grew Our SaaS To $30K MRR In One Year