A large number of businesses fail each year and gulp in the truth – the main reason behind that is the failure of the company owners. They just act foolishly and dig their graves.
Today, I want to highlight the ten things I think are most catastrophic for any business and all the business owners must stop doing these things if they wish to establish a sustainable business.
1.Spending money blindly
I can say that because I have seen one of my clients doing that. Are you spending thousands of bucks on PPC ads? Are they working for you?
Just because PPC ads work amazingly for many businesses doesn’t mean they would for you. And isn’t that obvious that it depends upon the kind of strategy you have built for PPC ads?
And is it really about just PPC ads? Most of the business owners spend lavishly on things they “think” would work and thus end up getting bankrupt even before they realize it. As a company owner, you must not be making any expenditures. You need to invest and rake in significant returns from that.
2. Not measuring the results
How can you stop spending money blindly? By measuring the results. Proper business analytics are the key to a company’s success. You require measuring EVERYTHING you do in your business.
But a lot of business owners do not measure the results of things like their social media ad campaigns and so on. And the even worse situation is when they measure the results by the wrong metrics.
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3. Hiring wrong people
Do you know why business owners tend to use wrong metrics of outcome analysis? Because a lot of you are not entirely aware of every aspect of your business process. Consider social media.
If you hire a PR company that promises to help you reach thousands of people through an influence, would you take that offer? What kind of statistics would you use to shortlist the influences That’s where the tricky part comes.
A wise person would go for engagement and overall influence than the number of followers. But do the PR companies care about that? Not all of them.
The same goes for your in-house employees. If your employees are misguiding you and are not giving their best to you, you’re doomed. Think about it!
4. Ignoring social media and
To be able to run a business, you need good marketing and sales. Don’t you? Social media plays a great role in it. Do I even need to mention that?
But many business owners aren’t even giving enough resources to social media. I have seen my clients spending thousands of dollars on PPC ads and behave like poor people when it comes to social media.
Really? Do you think PPC is your success formula? Of course, it sends you new customers. But what about customer retention? What about getting repeat customers? What about establishing yourself as a brand?
5. Ignoring branding
In a rush to make lots of money, business owners just ignore this. They think all they require to do is to make sales and enjoy the profits. But think of the investment you’re making to get inthose sales.
The moment you stop putting in that money, you’re set for a downfall. If only you would have given the proper amount of resources for branding your business, you would have
6. Ignoring the customers
Ever since I started analyzing what businesses do to get successful (to implement the finds in my own business), I have discovered that companies that care about customers always win. One unhappy customer can cost you a lot.
But you know what, most of the small businesses don’t give a damn about customers. What can one unhappy customer do to you? Well, damage more than you can imagine.
All the businesses are playing the wild game of getting new customers while they are doing nothing to build a long term relationship with clients. Like seriously! If you have even a small ounce of brain in your body, you would know what an absurd act this is (at least for those who plan to stay in the market for a long time).
7. Charging less for getting an edge over competition
You can allure your customers by charging rock-bottom prices. Sometimes, businesses even do that while bearing losses. When you are backed by lots of funding, this doesn’t seem to be a wrong step. After all, you’re getting sales. Right?
But again, this can’t be a step towards a sustainable future. Can it be?
These are the seven things business owners need to stop doing. Not for me, not for Startup Champ but themselves. What do you think about the points I mentioned?