5 Reasons Why Your Business Is Being Trounced By The Competition
As a small business owner, you might find it hard to compete against the bigger players in your industry. But it doesn’t have to be this way.
A lot of people out there prefer doing business with smaller companies. They like the familiar face, and they will also go to greater lengths to support their local business community.
But being a small business alone doesn’t guarantee customers. You still have to convince people that you are a better alternative. Here are five things you might be doing wrong, and why your competitors are stealing a march on you.
Your customer service is poor
Customer service is critical for smaller businesses. It should be what marks you out from the bigger players in your industry. Look into employee training – and retention. It is critical that you have the right team in place for the long-term, so your customers know what to expect.
You don’t offer value
Your larger competitors might have a price advantage over you – and you won’t be able to compete. But that isn’t to say you should just give up. Far too much focus is put on the lowest price wins theory. It just isn’t that simple. What consumers want is the best value. Value is a combination of several things, of which price is a major factor. But there is also service, relationships and schedule to consider. In the vast majority of cases, consumers will be prepared to spend more on the value they need at that moment. It’s why they will pay up to 50% more for milk in their local grocers if it means they don’t have to travel to the mall.
They offer more services
Part of delivering that value might include offering a broader range of packages. Let’s say you are a small copywriting business that is trying to win the custom of other, local small businesses. You might have the expertise they need to convert more customers. But they always choose the big, multi-channel marketing agency instead. To combat this, you could reach out to other local independents. You might find a web designer, for example, or look into developing a relationship with SEO resellers. You could also find a local printer who could help you offer businesses lower cost printing for flyers and marketing materials. Not only will this increase your ability to provide more, but you might pick up a lot more clients via your contacts.
You are too pushy
It’s always a good idea to try and sell to existing customers. But if you are too pushy, they will just unsubscribe, get irritated, and take their business elsewhere. Be careful about what you are offering existing clients and only entice them with something they need. Random emails about unnecessary products or services are such a turnoff for consumers.
Your core customers are critical
Finally, never take your core customers for granted. While you are enticing new clients with sexy new deals, your older, loyal customers will soon feel brassed off. Make a list of the clients you cannot afford to lose and do your utmost to keep them.