Building a new company is one of the most difficult endeavors you can find. Your competitors want you to fail, your investors are breathing down your neck, and customers are reluctant to try a new brand.
In fact, only half of all small businesses fail in the first 5 years and only one-third last more than 10 years. This is a drastic drop off when people’s livelihood is on the line.
With a drop-off this dramatic you must wonder why so many companies fail in the first 10 years.
There are numerous reasons for failure so a responsible business owner should focus on how to avoid these failures.
Some of the most popular business practices are tracking shoppers purchasing tendencies, making it easy for customers to perform the desired function, marketing your business, and making your company unique.
Tracking your customer’s purchase history will make an instant impact on the success of your company.
Many people buy products on a consistent basis and you will be able to advertise directly to them when it comes time for them to purchase more products. This will also help you track how often a customer purchases a product from you.
If you find that a bulk of your customers are not buying items then you may need to change your business strategy.
Don’t give your customer the opportunity to purchase an item from a competitor. Let them know they need an item and connect them with the product they desire.
You must make it easy for your customer to perform the desired function of your company. If your company’s goal is for customers to purchase an item then you must make it as easy as possible to purchase an item.
For instance, you don’t want to present them with multiple surveys before their purchase. Instead, they should fill in the minimum required fields to complete the transaction.
If your company’s goal is to boost your email campaign, then you must have a pop-up that only requires an email address.
Make the desired function easy for your customers.
If you want your business to succeed then people need to know about it. You must market your company to the appropriate population you wish to reach.
If you own a technology company, you shouldn’t advertise your company in the local newspaper. You should advertise online in places people seeking your products will notice them.
This seems like a no-brainer, but with failure rates so high there is no stone that should be left unturned.
Every business has a competitor, that shouldn’t be news to you.
When customers see two companies with a similar business strategy they tend to gravitate towards the company that offers something unique.
Consider the following, a dog owner is looking for a doggy daycare facility and they find two identical companies. One company has written a book on dog care and the other hasn’t.
Which company do you think the owner chooses? My guess is that they will choose the company that has authored the book because it makes them unique and therefore they have more to offer the customer.