Small businesses have their work cut out for them in this era of
economic and financial volatility. It's a daily challenge to keep their
businesses competitive while building sales and generating profits.
Sticking with traditional marketing models that work and operating
efficiently are two ways to stay competitive. So is embracing new ways
of thinking when planning marketing strategies.
The key to small business success in the 21st century is to have a vision and strategy. The following are 5 tips for keeping your small business viable in today's ever-changing business environment:
1. Listen to your customers always
You're in business to make money by providing for customers' needs and desires. Business 101 texts state this ad infinitum. That's because it's true and businesses must keep this focus. It's not about you, it's about your customers. You wouldn't be in business at all if wasn't for the people who visit your place of business or access it online.
Research what your customers are thinking and asking. Consider as an example the new paradigm in food manufacturing. People are now very concerned with ingredients and are always investigating what is going into packaged and prepared foods. If you're in this industry you must pay attention to this and align your business accordingly. No matter your industry, you can only give your customers what they want by attentively listening to them when they do communicate with you.
2. Stay abreast of trends
This is a tie-in to the first point. Consumers' tastes are always changing. People like "new" and search out places that offer new products and services. They often consider enterprises that stay current on trendy product and service developments as worthy of their business. Therefore, it's important that you stay knowledgeable on these new trends.
Add 'new' to your product and service line-up no matter what niche you're in. Study industry reports for news on contemporary trends. Engage with your target market on social networking sites to learn what they're presently interested in.
3. Invest to operate resourcefully
You want to effectively serve your customers and do it in a cost-efficient manner. In this way, you satisfy customers' needs and minimize expenditures. Consider your labor costs. Are you staffing too many employees in non-peak customer traffic hours?
Moreover, consider capital spending for equipment and machinery if you produce goods. Energy costs are consistently increasing. Look for energy-saving solutions that can lessen your costs of operating and help you maintain a healthy bottom line.
4. Make your e-commerce comfortable
More businesses are online than ever. If you have a website with an e-commerce offering, take it very seriously. Customers want ultra-secure and seamless interaction with your shopping portal. Employ the latest and highest-quality secure transaction technology available. This is a major concern with consumers in this age of identity and financial information theft.
Additionally, make your e-commerce portal attractive. Have first-rate photos and information regarding your product family and services. Make the actual ordering and checkout process user-friendly. Perform regular checks on this process to ensure it's effortless for your customers when they shop.
5. Get a handle on inventory
If you're a retailer, your goal is to offer an array of products while always having enough on hand. The temptation is to keep your back room stocked to avoid out-of-stocks. The caution is having too much on hand. It's a case of tying up excessive amounts of financial resources on inventory. This is money that can be used for other pressing needs or for investments.
Keep accurate records of sales trends for each month, every year. This gives you information on when your inventory needs to be increased. It also gives information on when you can typically carry less inventory. Allow for a safety net of stock without going overboard on stocking up your shelves and back room.
Inventory control contributes to managing your working capital (current assets-current liabilities) properly. Working capital is an evaluation of your company's short-term monetary health. It's also a way to check your business efficiency.
Think of what you want your enterprise to accomplish in the next five years and beyond. Then, put in place some or all of the above tips as is appropriate for your business. Monitor your progress diligently. Don't be afraid to make the necessary changes to foster greater return on investment (ROI) to make your business sustainable.
The key to small business success in the 21st century is to have a vision and strategy. The following are 5 tips for keeping your small business viable in today's ever-changing business environment:
1. Listen to your customers always
You're in business to make money by providing for customers' needs and desires. Business 101 texts state this ad infinitum. That's because it's true and businesses must keep this focus. It's not about you, it's about your customers. You wouldn't be in business at all if wasn't for the people who visit your place of business or access it online.
Research what your customers are thinking and asking. Consider as an example the new paradigm in food manufacturing. People are now very concerned with ingredients and are always investigating what is going into packaged and prepared foods. If you're in this industry you must pay attention to this and align your business accordingly. No matter your industry, you can only give your customers what they want by attentively listening to them when they do communicate with you.
2. Stay abreast of trends
This is a tie-in to the first point. Consumers' tastes are always changing. People like "new" and search out places that offer new products and services. They often consider enterprises that stay current on trendy product and service developments as worthy of their business. Therefore, it's important that you stay knowledgeable on these new trends.
Add 'new' to your product and service line-up no matter what niche you're in. Study industry reports for news on contemporary trends. Engage with your target market on social networking sites to learn what they're presently interested in.
3. Invest to operate resourcefully
You want to effectively serve your customers and do it in a cost-efficient manner. In this way, you satisfy customers' needs and minimize expenditures. Consider your labor costs. Are you staffing too many employees in non-peak customer traffic hours?
Moreover, consider capital spending for equipment and machinery if you produce goods. Energy costs are consistently increasing. Look for energy-saving solutions that can lessen your costs of operating and help you maintain a healthy bottom line.
4. Make your e-commerce comfortable
More businesses are online than ever. If you have a website with an e-commerce offering, take it very seriously. Customers want ultra-secure and seamless interaction with your shopping portal. Employ the latest and highest-quality secure transaction technology available. This is a major concern with consumers in this age of identity and financial information theft.
Additionally, make your e-commerce portal attractive. Have first-rate photos and information regarding your product family and services. Make the actual ordering and checkout process user-friendly. Perform regular checks on this process to ensure it's effortless for your customers when they shop.
5. Get a handle on inventory
If you're a retailer, your goal is to offer an array of products while always having enough on hand. The temptation is to keep your back room stocked to avoid out-of-stocks. The caution is having too much on hand. It's a case of tying up excessive amounts of financial resources on inventory. This is money that can be used for other pressing needs or for investments.
Keep accurate records of sales trends for each month, every year. This gives you information on when your inventory needs to be increased. It also gives information on when you can typically carry less inventory. Allow for a safety net of stock without going overboard on stocking up your shelves and back room.
Inventory control contributes to managing your working capital (current assets-current liabilities) properly. Working capital is an evaluation of your company's short-term monetary health. It's also a way to check your business efficiency.
Think of what you want your enterprise to accomplish in the next five years and beyond. Then, put in place some or all of the above tips as is appropriate for your business. Monitor your progress diligently. Don't be afraid to make the necessary changes to foster greater return on investment (ROI) to make your business sustainable.
