Entrepreneurship is known to be a very competitive environment filled with determined people that are qualified to run a successful business. Unfortunately, Bloomberg.com reports that 8 out of 10 entrepreneurs that start a business fail within their first two years. But why is this financial collapse inevitable?
Here are 5 common mistakes that make 80% of small businesses crash and burn.
1. Not using Online Marketing
We live in an age where almost everybody uses the Internet, especially for shopping . According to a study conducted by Invesp Soft, 81% of Internet users researched their items on the Internet before making a purchase. So, if you are not selling online, you are not selling at your full potential. If you want to experience full business growth, you need to cross-sell on all the social channels available at your disposal. Use strong online components like QR-codes or social media icons in order to make yourself visible to your customers. It doesn’t matter what channel you are going to use if your product reaches the right customers.
2. Not listening to your customers
There is a big chance that a customer might change their opinion about your product when he or she is influenced by another customer. It doesn’t matter where you sell, online or offline. You need to give your customers the opportunity to be able to easily interact with you, to provide you with feedback that will most likely improve your services. Also, you should be quick about your responses. Customers really appreciate when businesses give immediate feedback, while online reviews will attract more potential customers. Tip: Do not use short messages, like Twitter for example, to give feedback. Use a chat-based service. That way you will establish a better communication with your customers.
3. Not being able to leverage future growth
It is a well-known fact that online marketing could potentially bring you more benefits than offline marketing. A great online marketing strategy will guarantee long-term success, from social media accounts that will keep your business’s image alive, to a great website with amazing visuals that will attract potential customers. You have to make sure that every channel of online communication is synced to each other, so that miscommunication is avoided.
4. Not being able to adapt to market changes
The business market is like a living organism that is continuously registering growth. If you are not studying your market accordingly, you will definitely fall behind. You need to research your business according to trends, to geographical market patterns, and to strategies used by companies that are similar to yours.
5. Not using web tools for measuring and tracking
Insight is a very big part of success. Achieving valuable insight in your market research can become beneficial to both you and the future of your business. Web tools are a great devices for accurately analyzing what generates traffic and what benefits your business, and will also boost your growth in the online media. You will know what your customers search on your website, their behaviour, what peaks their interest and what they avoid when browsing your portal. Web analytic tools will provide you with accurate feedback that will surely boost your numbers.