Markets Down – Hopes Up
16 Mar 2015
Starting a business can be quite a challenge, since it involves so much pre-planning, investment, research and execution. However, doing so might seem easier than actually growing the business in most cases. Only a small percentage of businesses that start up actually end up surviving competition and the market pressures, leaving us wondering, what is so difficult in sustaining and growing a business.
Well, the first challenge involved is to retain customers and increase the customer base alongside. Today, customers are they key factors which lead a business towards a rise or downfall and thus, keeping them satisfied and loyal is the solution to 90% of your business problems. Moreover, as a business grows, the customer base will have to expand, and existing customers play an important role in this process (word-of-mouth).It is therefore wise to maintain detailed records of your customer base, in order to target them with new promotions etc. and keep them coming back.
Expanding in every aspect. What many entrepreneurs often go wrong with is, aiming to increase their sales and customer base etc, making their way to growth without simultaneously increasing other factors in the company such as the workforce, size of the office, number of departments etc. As an organization grows, it automatically requires more people performing the same task, and increased human resource and machinery. Therefore, it is important to re-allocate your resources during growth, and figure out where you are needed the most. Sometimes, it will be best to keep yourself free of any responsibilities in order to be able to supervise the company and its people as a whole.
Assess your competition: It is vital to keep a constant check of the activities of competitors in the industry. You may want to watch out for offensive or defensive moves they make, and also avoid going head -on with them in many cases. Instead a wise idea would be to exploit products and markets the have haven’t targeted yet, and thus develop a niche or an edge over them that would make your company stand out amongst others competing. While It may be important to counter and offensive strategies made by competitors, do not waste too much time beating off competition, and instead try to set yourself apart from them, setting a league of your own.
Lastly, it is important to focus on service. They key to business success perhaps lies in great service. The product two companies are providing might be exactly the same in quality and price or other such factors, but what sets these two apart is the service they provide and how happy they keep customers. Thus, invest time and resources into making sure you follow up with customers, treat them well, provide after sales service etcetera in order to stand out amongst competitors. Happy customers will always lead to success and growth of your business, and therefore, all your activities should be driven towards this one ulterior motive.
On another note, you’d know better that the rules in the game differ from one organization to the other and thus, sometimes all one can rely on is their instinct and playing it by ear could be the only option.