When you’re starting up a new business, statistics aren’t in your favor. Many collapse before they’ve really got going and others end up running up a whole lot of debt instead of profit. However, there are a few ways you can help boost your chances of success. Here’s how you can go about it.
Get Educated
There’s no denying that business is incredibly complex. While people have successfully started business ventures with no real background knowledge and done well, to boost your chances it doesn’t hurt to get educated. When you have a real understanding of the subject, it puts you in the best possible position to do things right in your own business. You’re more aware of the pitfalls, how to market yourself, how to turn the maximum amount of profit. Jumping in and just ‘giving it a go’ is possibly what leads to so many new businesses failing so early on. If you already have a degree, you could consider completing an online mba, being able to do it from home in your own time gives you far more flexibility. You could work or start thinking about future business ideas while you study.
Do Your Market Research
Your business might seem like the best idea in the world, to you. But is it something that others want? Are there already similar companies out there which would provide too much competition? Before setting up your venture, find out if what you’re offering (at the price you’re planning on selling for) is actually going to do well. Your market research can also help you define your target audience, which is of course important when it comes to marketing, advertising and getting your business name out there. If you sell budget products or offer payment plans, for example, you’re likely to appeal to students and those on low incomes- however you might also appeal to thrifty parents. Knowing exactly who is going to be interested in your products is crucial. Before setting anything in stone with your business, work on your market research.
Work on Your Branding
It’s no secret that people pay more money for brands. And there’s a reason for this, you’re not simply paying for a logo. When you buy from a brand, you’re buying a promise- that the products, services and customer service will all be of the best quality. By building a brand you help promote trust with customers, you’re building a great reputation that people can put faith in. When you’re building your brand, along with the logo and slogan, you need to tap into your target audience. Once you know who this is (from market research) work out exactly what they want. The best brands don’t just sell a product, they sell a certain type of lifestyle. Nail this, and you’re off to the best start.
Get Funding
It’s perfectly possible to start small (from your own home in fact) and expand your business as it gains traction and starts earning more money. However making sure your finances are in order from the get-go is crucial. If you’re going to be manufacturing or shipping products, these are costs to take into consideration. If you’re going to be hiring staff, you will need to factor in recruitment costs. Then there are insurances, licenses, the hire of premises, and that’s before you’ve even considered stock and equipment. Before diving in, make sure you have your budget straight, and you have enough money to fund everything you need. You could take out a loan, pay with your own savings, go into a business partnership to split costs or find an investor.
Focus on Customer Service
The phrase ‘the customer is always right’ is something to take on board. Your customers are SO important, without them buying from your business you essentially have no business. Making sure they are happy with your products and services should be your number one priority. You could ask customers to leave reviews and also read through messages on social media. Is there anything they are unhappy or unsatisfied with? Perhaps long, unreliable or expensive shipping is the problem. If so you could transfer to another delivery company. Maybe it’s quality that’s the issue? In which case you would speak to your manufacturer and design team. Being responsive on social media and having a live chat option on your site are both worthwhile, they allow people to quickly and easily get in contact if anything goes wrong. Plus having that line of communication can put customers at ease if they’re on the fence about ordering with you. As a new business, persuading people to shop with you is incredibly difficult. When they can see that others have been satisfied with your products or services it can help to sway them.
