Small Business and Entrepreneurship Experts, Tips and Advice | BizLaunch Small Biz Blog » Roger

Marketing to Existing Customers

Roger — Wed, 01 Apr 2009 19:05:23 +0000

All too often, small business owners ignore marketing strategies to build revenues from their existing customers. Any business that has successfully served clients for a period of time should explore methods to keep known customers coming back to buy again, buy more and buy more often.

It’s a well-know marketing fact that strategies designed to reach existing customers are far less expensive than strategies to attract new customers. Why? You’re preaching to the converted. Existing customers are already familiar with your business through prior experience, and – hopefully – trust your products or services. New or ‘non’ customers have no such experience with you, and therefore it requires more energy and money to attract them.

Here are some easy strategies to help build revenues from your existing customers:

Help your customer to buy more. Considered a ‘volume’ strategy, it is always easier to encourage a customer to spend a little more at the time of purchase. Use suggestive selling to offer an additional product or service that complements their purchase, for a nominal price. McDonald’s famous expression, “Would you like fries with that burger?” helps that company to increase the sales value of each customer transaction.
Help your customer to buy more often. ‘Frequency’ strategies keep customers coming back to buy from your business again and again. For example, Mr. Lube reminds you to change your automobile’s oil and filter every 5000 kilometers, by placing a simple sticker on your windshield. Coffee shops offer “coffee cards” with your 12th cup free.
Show your customer appreciation. It’s just common sense – treat your customers like you prefer to be treated. Let your customers know how much you appreciate their business, again and again. ‘Loyalty’ programs can include some kind of tangible gift, offer, event or service, or a simple call or note to say “thank you for your business.”

The value of just one customer over the lifetime of your business can be enormous. By developing and following simple strategies to keep and delight your existing customers, you will reduce your overall marketing costs over time.

Photo credit Lumax Art

Cisco BizLaunch Webinar – Marketing & Selling in Tough Times

Roger — Wed, 25 Mar 2009 22:04:53 +0000

As a member of the BizLaunch Community, you’re invited to this free Cisco BizLaunch Webinar!

Get live answers to your questions from BizLaunch Small Business Expert Andrew Patricio. At the end of the session, you’ll get a chance to learn about Cisco solutions for your company. You’ll also be eligible to win a Cisco Security Router for your business.

Topic:	Marketing & Selling in Tough Times
Date & Time:	Wed. April 8 from 2 – 3 p.m. EST
Description:	As a small business owner, most of your time should be spent marketing and selling. To achieve your revenue goals in today’s economy, it’s important to develop a good sales plan, focus on the right customers, use low-cost marketing tools and clearly communicate the benefits of buying from your business. In this free one-hour Cisco BizLaunch Webinar, you’ll learn how to grow your customer base, close more sales, increase your sales volume and keep your customers happy – despite the economy. Ideal for anyone running a small business, this interactive session will help you to: Identify & connect with your target market Understand customer buying triggers Communicate the key benefits of buying from your business Exceed customer expectations Get customers to buy more and more often Spot unexpected revenue and growth opportunities Use simple, low-cost marketing tools that really work.
Presenters:	Andrew Patricio, Co-founder of BizLaunch Bob Martin, Cisco
To Register:	http://bizlaunch.ca/cisco

Join us! Register now for this exciting event at the above link. You’ll receive reminder and participation details before your event. Please note your password to attend the webinar on April 8 is “Bizlaunch1”. THANK YOU!

How to network to grow your business

Roger — Tue, 24 Mar 2009 15:42:43 +0000

All business owners know the importance of networking. It is a term given to building relationships that will help both of the people involved. So what are the benefits of networking?

It generates new business and referrals.
It enables you to explore ideas and discuss business challenges.
It’s an opportunity to meet new people and socialize.
It raises your visibility and improves your brand.

Now networking isn’t as easy as handing out your business card to every person you meet. For a lasting impression you have to have a meaningful conversation with the individual, begin to foster a relationship. Even if you have talked and exchanged business cards you still haven’t successfully networked.

The most important, and often forgotten, step to networking is following up. You must follow up if you want a relationship to last. A simple phone call or email is probably best. To make the follow-up really effective refer to:

When and where you met. Continue the conversation with relevant, new information.
A common need you may have.
A common acquaintance.
Something that you found that saves time and money.
An idea that may help the person.

It is also important to keep your contacts organized. Building and maintaining a contact database is an efficient way to keep track of who you meet while networking. Decide on a system that works for you.

Input your new contacts’ information into your database.
Include their name, address, email, website, company, position, where you met, their interests and any other information you have about them.
Develop categories of people:
- Prospective customers:
  - Category A – hot prospects
  - Category B – warm prospects
  - Category C – potential prospects
- Supplier
- Advisor
- Industry Colleague
With this advice you will have an organized and effective way to keep in touch with the people you have networked. So get out there, meet people and help your business.

Photo credit, Rannie Turingan

How to market on a small budget

Roger — Tue, 17 Mar 2009 16:11:05 +0000

A small marketing budget can still mean big gains for your business. The trick is to market effectively. Before developing your brand, brochure or website you must know who you are developing, creating and designing for. You must know your target market.

Identify Your Target Market This allows you to figure out they types of people that you think will want to use your service. You will be making a profile of your “perfect” customer.
Define your target market with answers to the following questions:

Who are your potential clients?

Where will they come from?
What industry are they in?
Are they large or small businesses?
What products or services do you plan to sell and to whom?
Which will be your most profitable customers?
What niche can you supply better than anybody else?

Determine Your Differentiator
To survive in business you must offer something unique to your customers. Take the time to clearly define:

What makes you different.

What problems do you solve for your customer.
The benefits of doing business with you
Do you deliver faster?
Do you have a larger range of services?
Find Out Why People Buy from You
Customer surveys and informal discussions can reveal a lot about why your customers buy. Whenever you have the chance, ask:

Why do you use our products or services?

What do we do that you love?
What could we do to improve our service/product?
What would you do if you owned our business?

By answering these questions you get an idea of the type of people who use your services and why they come to you. Having this clear means you know where to put your future efforts. Knowing who to inform about your business is half the battle of getting them to use your services.

Photo credit, Auntie P

Thriving in Tough Times

Roger — Tue, 10 Mar 2009 16:04:02 +0000

It seems everyone is predicting doom and gloom for small business owners in North America. Faced with potentially tough economic times, new entrepreneurs are being pummeled by negativity and some are starting to worry.

In reality, small businesses can do quite well in a recession. Small, nimble and free of the cumbersome bureaucracy that plagues large companies, it’s easier for us to react quickly to changes in the marketplace. And, if our own financial house is in order, small businesses can actually come out ahead of the game.

Make sure your new small business survives and thrives by following these suggestions:

Pay attention to your best customers. You’ll be able to weather any financial storm if you can shore up support from your existing customers to keep them buying from you. Meet with them, listen carefully to their challenges, continue to deliver the highest quality product or service and smother them with exceptional customer service.

Review all expenses. Look for ways to tighten your belt. Meet with suppliers and ask them how they can help you to save money, perhaps by supplying a fresh quote. Review your overhead costs such as space, supplies and cleaning services to find cost-savings. Ask your employees to come up with ways to reduce expenses by ten percent or more. And, of course, check your own spending.
Stay alert for new opportunities. An economic downturn can actually be good for your business because it usually means large companies start to outsource non-essential tasks. That could mean new business for your company. Pay attention to what’s happening in the marketplace by reading the business news daily, talking to people and keeping your eyes and ears open.

Photo credit, Angelo Cesare

Dream Big But Start Small

Roger — Wed, 30 Jul 2008 21:22:00 +0000

Unless you’ve got a lot of start-up cash, it’s wise to develop your new small business in easy-to-afford steps. Setting up a brand new retail store, for example, may cost you $100,000 before you make one sale. “By operating only in the summer I’m taking a sustainable approach to building my company,” comments entrepreneur Arlene Perlas.

Perlas is in the jewellery business, making and selling beautiful beaded pieces using semi-precious stones, Swarovski crystals, Czeh glass and sterling silver. For the past three summers she’s rented an “art cart” at the Historic Distillery District in the east side of downtown Toronto. She’s selling her fashionable wares this year on weekends from June 18 to August 7.

Perlas discovered her business passion when she couldn’t find affordable earrings to match a party necklace. “I was so frustrated, I just made my own earrings,” she recalls. “I found out that I love making jewellery.”

Her main clientele are women between the ages of 15 and 54 who want to customize the size, colour and materials of their jewellery to suit their tastes. “People who buy my pieces can tell that I genuinely love and believe in my product,” says Perlas. “Enthusiasm for what you do is contagious, so let it show.”

By starting out small, Perlas is giving her business time to grow. She’s learning what customers like and dislike, building a name for her company and keeping costs in check. “Renting a cart at the Distillery gives me a taste of retail life without the crushing overhead costs of a storefront,” she says. “And, I’m able to serve both Toronto residents and tourists.”

Her full-time retail plans include offering classes to teach her clients how to make their own jewellery.

For now, she’s content to let her business grow over time. “You’ve got to take baby steps toward your dream,” she advises. “Entrepreneurs put too much pressure on themselves at the beginning. Start off small, stay in control, and know you’ll eventually get to where you want to be.”

Buying a franchise has advantages

Roger — Mon, 14 Jul 2008 15:33:00 +0000

If you’re determined to start your own small business, you’ve got several choices. You can start a business from scratch, buy an existing business, or acquire a franchise.

Each choice carries pros and cons. While buying a franchise isn’t for everyone, there are some distinct advantages such as:

A proven business model. Instead of learning it all on your own, a franchise offers proven systems and processes to make money. The most important asset of any franchise is its Operations Manual, which tells you how to run the business successfully.

Buying into a recognized brand. Everyone knows what to expect from a Tim Horton’s coffee shop, a McDonald’s restaurant or a Jiffy Lube. A good franchise carries a trusted and well-known brand name, something do-it-yourself entrepreneurs must build by themselves.

Buying power. As part of a franchise network, you’ll enjoy economies of scale which should save you money when you buy products or services.

Support from the franchisor. You’ll never be alone as a franchise owner, with access to ongoing support, advice and assistance from your franchisor. Successful franchisors have “been there and done that” in all areas of business operations. Access to their experience and expertise will help you to avoid costly mistakes.

Small Business Owner Throws A Great Party

Roger — Tue, 08 Jul 2008 16:21:00 +0000

Running your own small business should be fun. Julia Chmilnitzky thinks it should be more like a party. “People have always complimented me on my parties, so I figured that was the business for me!” she says.

Not surprisingly, Julia’s startup company is called The Party Genius (www.thepartygenius.ca). The business serves busy career professionals who simply don’t have time to organize their social events, either for work or pleasure. Whether it’s a birthday party, anniversary celebration, cocktail party, wedding or business event, the company can take care of everything from soup to nuts.

Julia says she was drawn to entrepreneurship for different reasons. “As my own boss, I have the opportunity to apply my creative talents and the freedom to make my own decisions,” she explains.

“I have always enjoyed tackling new challenges and building a small business certainly provides plenty of them.”

A growing small business will also generate plenty of opportunities. One came along recently for Julia when a party client asked her to construct a “money box” to hold wedding envelopes. She has since diversified her business to include custom design of money boxes for weddings, showers and christenings.

Her business also teaches her a few lessons along the way. “I’ve learned how to work best with couples,” she says. “When planning an event for a couple, I need to be certain that both partners are involved in decisions and that they agree on things before I do any more work,” she explains. “It’s also helped me to work for business clients where several people or committees are involved.”

Like any good party, Julia says she loves the fact that her business lets her meet new people. “It is exciting to connect with so many interesting people whom I would never meet without being in this business.”

Those connections will certainly advance her plans to build her business across the Greater Toronto Area.

A mentor is well worth your effort

Roger — Tue, 24 Jun 2008 16:34:00 +0000

It’s impossible to know it all as a new small business owner. Therefore, wise entrepreneurs will reach out for experienced advice to help navigate the choppy waters of small business.

What exactly can a mentor do for you? Part coach, part parent, part impartial judge, a mentor is someone who will share their wisdom. A mentor must be a person whom you respect and who has achieved the kind of success you desire. A mentor will teach you what to do, how to do it and be supportive through those dark days.

Specifically, a mentor can advise you on business strategy, tough decisions and day-to-day operations. A good mentor will also possess a wealth of business connections.

Be sure you’re open to being advised before shopping for a mentor. A good mentor relationship will be two-way, where you’re not afraid to speak your mind yet receptive to input.
Identify businesses you admire and approach the owner. Tell people you’re shopping for a mentor. Or, join a small business association such as the Toronto Board of Trade (www.bot.com) to meet prospective advisers.

Be sure to set clear expectations with your new mentor, such as how often you’ll conference and what you hope to learn. Agree in advance to dissolve the relationship at the request of either party.

Be careful when setting up shop

Roger — Tue, 17 Jun 2008 14:56:00 +0000

Choosing the best location for your new retail business requires careful planning, professional advice and curbed enthusiasm. It’s important to remember that you may occupy your new space for many years and spend a lot of money on rent payments, renovations and marketing.

When shopping for a storefront, be sure to:

Finish that Business Plan. It’s so easy to get excited about a vacant storefront. Worried about missing a great opportunity, many entrepreneurs rush to sign the lease before completing a business plan. A properly prepared plan will point you to the right location for your new shop based on your market research.

Scout the neighbourhood. Don’t rely on real estate agents and landlords to tell you about the area. Find out yourself who lives, works and shops there by talking to other merchants, collecting market data and conducting your own surveys.

Hire a lawyer. You’ll be able to decipher a complicated commercial lease and perhaps negotiate a better deal by obtaining legal counsel. Most entrepreneurs try to save a few bucks by handling such matters themselves, only to pay a lawyer later to undo their mistakes. Be sure to hire a lawyer with real estate experience.