When I began my gift basket business in the early 90’s I didn’t even own a computer, a website and certainly not an e-commerce system.

My first customers were friends, relatives and people I met at networking meetings. They ordered by telephone and paid by check or cash.

Even after I invested in a computer, I still didn’t have a website for about a year. Of course, many other businesses had not moved into cyberspace either. When my customers would call for information I would describe some basket ideas on the phone and mail them a brochure.

The Internet has definitely changed the way I do business, and I suspect it has changed the way you do business as well. If you want to be profitable, there are three ways you must change your business now that the Internet is at the hub of modern communication.

1. How you get customers

Meeting potential customers at networking meetings, Chamber events, holiday boutiques are still popular ways to attract new customers.  But with the advent of the Internet you have access to larger number of potential clients and can meet them at a much faster rate.

Now you can get at these potential clients by going to them virtually.  One way to do this is be sure your website is optimized to place you near the top of the top page of search engine results.  This happens when you carefully select and place keywords.

The second way is to build up leads by offering a free newsletter or other incentive that appeals to your customers.  Once you have the email addresses of your leads you can keep in frequent contact with them, reminding them of your services and announcing new products.  Unlike regular mail that takes time and costs postage, email enables you to create one message and send it to an infinite number of people for a very low cost.

The third way to get customers is to build online relationships on social media sites. Facebook and Twitter are at the top of these. On YouTube you can post movies that you’ve created that give some advice or offer demonstrations.

To neglect any of these ways to get customers via the Internet and you’re leaving money on the table.

2. How you serve customers

Unless you are intentionally restricting your sales to just a few customers, you need a website to extend your reach.  And not just any website.

Because your website is competing against thousands of others who sell gifts, gift baskets, flowers and other retail gift items, it needs to stand out.  In addition to being attractive and easy-to-navigate, it must also have a seccure and easy-to-use e-commerce system. Reassure your customers by using a safe system and announcing it on your site.

Modern customers expect a variety of choices, options to customize and payment system that not only takes their credit card information, but confirms their order with an email that arrives within minutes of the sale. Customize the thank you email so that it takes customers back to a page on your website where you can also list other similar items and services for sale.

In addition, to be competitive with other online sellers your shipping method should provide tracking information so that your customer can follow if she wishes.

Once visitors land on your website the selection of a gift or gift basket through payment should be a smooth, seamless process.

3. How you keep customers

Regular contact helps keep your customers coming back to you. When they make a purchase be sure to follow up with a thank you email. Reward loyal customers with something special, a bonus or an add-on.

Find out what your customers want and need by asking them on a survey. This will help you better serve them when you shop for inventory and supplies.

One of your most powerful Internet tools in staying in touch with your customers is email. You can set up regular emails to go out through an autoresponder program such as AWeber. It is a proven business fact that it is much easier to sell to existing customers than it is to get new customers. So once you have earned a customer’s trust and business, nurture it by frequent contact.

One of my subscribers sends out an attractive newsletter to her customer base and has experienced increased sales. Here’s what Jean, owner of Bountiful Baskets by Jean said,

Since [I began sending out my newsletter] I think [sales have] increased at least 30 to 40 %. Consistent reminders of holidays have improved my customer contact and have also given the ones that have never ordered ideas on what to order!

Another way to stay in touch with your customers is to find out where they hang out. If your customers are active on Facebook, Twitter, Linked In and other social media, connecting with them there will help strengthen your business relationships. Be sure to post the social media icons on your website to encourage them to follow, friend and link with you.

Speaking of rewarding loyalty

To thank you for being a loyal subscriber I’ve set up a special 48 hour sale of my special report, Prescription for a Successful Gift Basket Website. This report will save you money and time by avoiding the mistakes I made in the early days. It will also point you to tips, strategies and advice I gained from my experiences and those of other successful businesses.

In addition to my 96-page special report, you will also receive as a bonus a report by marketing expert Marcia Yudkin, Charge More and Get It where she gives actionable advice on pricing your products and services. You will be able to download both reports as soon as you place your order.

Follow this link to download this 90-page special report and the free bonus report. Remember this sale only lasts 48 hours and will end promptly at midnight on Thursday, October 1, 2009