The Edge
These brief thoughts are here to inspire you to action - not just to have a minute's fun.
Keep track of what your customers are saying. It’s easy to do. Subscribe to Google Blog alerts for your company and product names. Subscribe to the RSS feed of a Twitter search for terms relating to your organisation. Join forums where people talk about your industry and see what they're saying.
Like many business decisions, replacing older IT systems is a judgement call where you have to weigh up the costs of upgrading against the benefits of the new equipment. But usually the cost is worth it, particularly if you are using an outdated operating system (such as Windows 98 say) which are prone to security and reliability issues, not to mention most new hardware and software won't run on them.
Take time to really think about why you are calling a prospect or a client. Then, reflect on how effective you have been, post the call. Making calls to prospects and existing clients is still one of the most important sales and business development activities you can do on a daily basis. Even with all the electronic communication and marketing options available, most businesses still need to have a person prospecting for them to build real business relationships.
YouTube is the world's second biggest search engine. Businesses who leverage YouTube often use videos for product demonstrations, how something is manufactured, "how to do xyz" or industry commentary. MANY people type
Start watching the phrases Google is using, and then use those in your own copy. Also try to use your keywords in your descriptions and title. These tips will often get you displayed above the rest of the results.
A bit of customer database pruning doesn't go astray. Get rid of the dead wood and work on satisfying the needs of your top 20% of customers (they're probably the source of 80% of your business). We tend to assume our top customers will always be loyal, and we forget to reward them for having got us where we are.
Getting customers to give you referrals can be difficult. A better method is to start recommending other businesses. Create a circle of influence by getting in touch with likeminded businesses and sending them opportunities. Watch the habit spread amongst the group.
Do you feel concerned about sharing financial information with your team? Worried that they’ll feel scared about their job security if the results are poor, or think you’re a miser if the results are good? The good news is that the opposite is true. Employees value transparency and feel more part of the business when they are involved in the numbers.
Shoppers have changed their habits. Budget and cost conscious, they no longer meander through stores; instead they shop fast and stick to a list. But time poor and cash poor customers are more inclined to buy in the one store, the store they are in and that they trust. It’s feeding growth in retail via "category creep", from confectionery in pharmacies to movies in phone shops.
Develop an integrated marketing approach that is consistent because different people respond to different methods. Some people read it in the paper and that’s how they get their message. Others respond to e-mail newsletters. Others respond yet another way. Whatever service area you’re in, cover all parts with a mixed approach.
Focus on quality, and remove as much risk as possible from the purchase. Give away for free something that demonstrates your offering but doesn’t cost you a whole lot, Try to up-sell users to a premium offering that adds unprecedented value.
Probably 90% of the companies have too many products. Review your product range carefully and cut products that are not working. If you convert obsolete stock to cash, you’ll improve your working capital for the next three months because you don't have to re-order. You can put that excess cash into marketing your good products and getting even better profits from those.
If you think about it, you’ll realise you probably have access to information that can help you predict and plan for your business. Your customers and suppliers are great sources. Retail suppliers can fill you in on consumer tastes and buying trends; IT customers can enlighten you about new technologies, and your accountant business advisor will help you with financial and economic trends.
Most business owners understand that they need to know their customers, but they usually rely on demographic data and statistical profiles. But success is about creating products for people, not statistics. Start by identifying a specific key customer; a person who buys enough of your product at a price that generates your best profit.
A budget isn't a plan; it's simply a financial interpretation of a plan. If you want 2010 to be a good year, you need to be serious about planning; and you need to start now. Here's how: book an annual planning day for the entire management team - no exceptions. Hold the day offsite to avoid daily work distractions. Try to meet ahead, or better still the night before, to deal with the socialising before the planning sessions begin.
Construct a cash flow budget starting with a properly structured balance sheet that has all the detail, from inventory and debts, to interest costs. Update and review it regularly using conservative revenue and expense estimates. Rule of thumb: the greater the cash flow uncertainty the business faces, the more often a new cash flow budget should be prepared.
Create reasons to contact your clients and others on your marketing lists. Modifying prices, for example creating discounts for bulk purchases or making early purchases, can give you a good reason to get in touch with your customers and others on your marketing list.
There are always a certain number of customers who simply need what you have to offer - and their buying is relatively insulated from the current economy. Make an effort to promote to them specifically to build buying frequency - and actively try to find more buyers just like them.
Copyright © 2010 RAN ONE Inc
For more information contact your RAN ONE business professionals at
Academy of Business Excellence Limited