Many people, chief among them business owners, are aware of the basic reasons why a business might be failing or under performing. Basics such as a poor location, a lack of repeat clientele, or low profit margins on services/goods can all contribute to a negative financial outcome. But what you might not realize is that it isn’t always enough to only just ensure these criteria are taken care of. In fact many companies will find themselves grappling with these smaller details at some point in their growth. So what are they and how can you make sure they don’t happen to you.
1. Zero Web Presence
Today’s economy is dominated by the Internet. Not only do customers use it to locate information on your business and what you offer but, in growing frequency, to purchase your products or services from the comfort of their own home. If you lack the bare minimum of a website, social media profiles on most of the major platforms, and the ability to conduct business online then you’re throwing away potential profits you could be making while you’re away from the office.
2. No Followup
Just because a customer says no doesn’t mean your pitch has come to an end. Successful companies allow customers to walk away from a deal but they never stop checking to see if they’ve become interested afterward. Having a strategy in place capable of collecting contact information and using it to continuously follow up on it can in many situations result in a sale even if you weren’t able to make one immediately. Tools such as a regularly scheduled and sent company news update emails can provide fresh new opportunities to remind the customer of the product they wanted enough to show interest.
3. Believing If You Build It They Will Come
Nothing’s worse than having an amazing idea and no one capable of understanding or appreciating it. Effective promotion requires explaining your business in a way simple enough for even the most clueless of your customers to be able to reach that “Ah-ha!” moment. What you might believe to be easy to understand could be leaving some scratching their head. Most people will never spend money when they aren’t sure what it is they’re buying. The better you can educate people on what it is you do the more missed opportunities you have the more money you’re passing on. Just because you’re selling a product doesn’t mean you’re convincing anyone to buy it.
4. Not Renovating
Your store is a reflection of what you value. If it’s dirty, out of date, or looking rundown then that is the image of your business you are projecting to your customers. If your business looks like you don’t care then your customers will eventually assume you don’t care, so why should they? Having a clean and up-to-date location keeps new customers coming in and old ones continuing to come back. If you provide a top-flight shopping experience then you’re far more likely to continue to thrive and grow as a company.
5. Refusing to Embrace Marketing
Not marketing has frequently been a contributor to business failure but did you know it’s just as harmful to market intermittently, irregularly, or without a plan? When contracting marketing services it’s important that you do so with both feet in the water otherwise you’re practically throwing your money away. You know your business better than anyone else so why leave it to chance for non-employees to guess what’s right for it? The answer is you shouldn’t. If you want to get the most out of your marketing efforts you need to take a direct role in helping to guide it or share what’s worked in the past then all of that information needs to be recollected, slowly, over time rather than just hitting the ground running from the (cheaper) get-go.
Hopefully these tips were helpful for you. Should you ever find yourself in need of financial assistance to address this or other business problems please feel free to contact us!
*Note: This post is not intended as financial or investment advice and should not be used as replacement for a financial adviser