Wednesday, 30 June 2010
The writing was on the wall
Back in June last year I predicted that businesses that were heavily reliant on public contacts would be in for a shock. [See my blog 1st June 2009] Sadly that has not only come to pass but has been accelerated by recent government cuts. Of course if anybody took me seriously they will now be in a better position to ride the coming storm if not then the writing could well be on the wall. But not all is lost. Small businesses should be in a position to shift strategies quickly and develop new business before the axe falls. If you are not exploring new markets and opportunities now you will be left behind. Identify exactly what your core skills are and how they might be applied to a wider market. If you need help to do that talk to your advisers soon, every day you let pass puts you one day behind those that are and in the world of small business we all know how quickly days become months and so on.
Tuesday, 29 June 2010
the SIX things winning businesses do.
Particularly over the last few months I have been looking at what businesses that have been successful during the recession do differently to those that have struggled or failed. What is overwhelmingly obvious is that they know clearly what their core business is and what their core skills are. More than that they display key characteristics which I discuss in depth in my Nine Steps presentation.
They think about their customers and like them - all of the time. I talk about getting into the customers shoes. Its not easy, if its not what you do already, but once you do you can transform your business. Customers will see their products and services being improved through you, their experience of doing business with you will be that much better, their jobs that much easier. Many of the businesses that have recently failed have only one view - theirs.
They are wild about their products and services , but they are not married to them. Customers and markets present opportunities all the time. I won thousands on pounds of new business just by being a little more observant and opportunistic than my competitors. Get into your customers businesses, understand what they do and what their ambitions are then help them to achieve them.
They do unorthodox things. One aspect of post recession development is increased competition. While I always say that recession is the land of opportunity, the businesses that survive know that and make the most of it. Customers always have more reasons not to buy from you than to buy. Winning businesses find different ways to work with their customers, more ways to add value to the package. Look at the ways and reasons that customers have bought from you in the past and improve on them all.
An obsession is quality. I visit hundreds of businesses that demonstrate their passion for what they do but fail to demonstrate it to customers sufficiently well. Those that are truly successful accept that the best standards of quality are based on the customers need. They go further than that by finding ways to reach levels of quality and service competitors can't or are not willing to reach. When it comes to selling in this area they sell the package not just the product. Why because its the package that customers buy not just the product.
They are flexible and fleet of foot. Businesses that stand still, daydream, spend too much time planning or dithering over ideas are quickly left behind picking scraps from the business table. Successful businesses know what their market is and what its future looks like. they have a strategy to provide in that market and know what the key numbers are that confirm they are on track. They also take full advantage of their successes and use PR to shout about it as much as possible.
They know who 'the man' is. Successful businesses know exactly what their target market is, who the decision makers are and how to reach them. More importantly they also continually learn from customers interactions and use that intelligence to inform and develop their strategies accordingly.
They understand their finances. Cash is king in all organisations, successful businesses more than others. They fiercely control their cash flow but are not afraid to spend to make a difference. They have and use clear terms of business and make sure their customers understand them. They know exactly what their capital requirements are well in advance and maintain close relationships with their bankers and financiers to make their decision making easier.
Obvious isn't it, but just to be sure how about rating your self and your business against these six characteristics. Use scale of 1 to 10 for each one and ask yourself, if your not truly at the top of each one what are you going to do about it?
They think about their customers and like them - all of the time. I talk about getting into the customers shoes. Its not easy, if its not what you do already, but once you do you can transform your business. Customers will see their products and services being improved through you, their experience of doing business with you will be that much better, their jobs that much easier. Many of the businesses that have recently failed have only one view - theirs.
They are wild about their products and services , but they are not married to them. Customers and markets present opportunities all the time. I won thousands on pounds of new business just by being a little more observant and opportunistic than my competitors. Get into your customers businesses, understand what they do and what their ambitions are then help them to achieve them.
They do unorthodox things. One aspect of post recession development is increased competition. While I always say that recession is the land of opportunity, the businesses that survive know that and make the most of it. Customers always have more reasons not to buy from you than to buy. Winning businesses find different ways to work with their customers, more ways to add value to the package. Look at the ways and reasons that customers have bought from you in the past and improve on them all.
An obsession is quality. I visit hundreds of businesses that demonstrate their passion for what they do but fail to demonstrate it to customers sufficiently well. Those that are truly successful accept that the best standards of quality are based on the customers need. They go further than that by finding ways to reach levels of quality and service competitors can't or are not willing to reach. When it comes to selling in this area they sell the package not just the product. Why because its the package that customers buy not just the product.
They are flexible and fleet of foot. Businesses that stand still, daydream, spend too much time planning or dithering over ideas are quickly left behind picking scraps from the business table. Successful businesses know what their market is and what its future looks like. they have a strategy to provide in that market and know what the key numbers are that confirm they are on track. They also take full advantage of their successes and use PR to shout about it as much as possible.
They know who 'the man' is. Successful businesses know exactly what their target market is, who the decision makers are and how to reach them. More importantly they also continually learn from customers interactions and use that intelligence to inform and develop their strategies accordingly.
They understand their finances. Cash is king in all organisations, successful businesses more than others. They fiercely control their cash flow but are not afraid to spend to make a difference. They have and use clear terms of business and make sure their customers understand them. They know exactly what their capital requirements are well in advance and maintain close relationships with their bankers and financiers to make their decision making easier.
Obvious isn't it, but just to be sure how about rating your self and your business against these six characteristics. Use scale of 1 to 10 for each one and ask yourself, if your not truly at the top of each one what are you going to do about it?
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