Chapter 3: Capitalize on your Audience
Maximizing on your Audience, how to capitalize by organic growth. Every business has, or will have, a customer base, those who regularly do business with you. When you have established their trust you can look to other products and services that they use. Selling them something else will add significantly to your net profit. The reason is because the business you have now carries the overheads of your business. Selling another item to an established customer does not require additional overheads. Therefore extras sales of other items make the net profit on the additional sales much higher.
An example of how businesses capitalized on their audience is the banks. They offered money and then decided that their customer base used many other things such as; insurance, mortgagees etc. Think about other items that your customers use and find a way to offer those products or services as well.
An issue often overlooked is the important part name recognition plays in business. Always choose a business name that reflects what your business offers. This way anyone seeing the name knows exactly what you do. Likewise chose a meaningful name for any product or services you have.
To get the full benefit from any advertising you must try and establish which media produces the best results. Any inquiries you receive always ask how they got to you; search engines, advertising, if so which advert, recommendations, etc. The best way to measure accurately the source of an inquiry is from special offer coupons. If you offer a special deal which can only be claimed by using a voucher or coupon you will at least know how many inquires and sales this produced. You can then assess the return on the expenditure to measure its profitability.
There are many opinions on the best way to sell. Many will argue that today the most effective way is by having a web site or using social media. Others suggest email blasts, mailing literature, promotional leaflets.
These are all important facts in selling but not, in my view, the ultimate way!
To me the only successful way, and the only way that you are in complete control, is by selling face to face. Or as a Texan friend of my once said, ‘selling belly to belly’. Getting in front of a customer is the ultimate way. It is not easy to do this but it is worth the effort. Yes it takes a lot of perseverance and many rejections. But even after 100 calls you only get one appointment it is worth it because I believe that you have a better than 80% chance of getting an order.
Read selected chapters from the book on the links below:
- 1. Starting a Business
- 2. Identifying Your Audience: Marketing & Selling
- 3. Maximising Your Audience
- 4. Financial Management
- 5. Raising Money: Buying & Selling a Business
- 6. Professional Advice
- 7. Why Businesses Fail
- 8. Motivate Yourself to Success
- 9. What is an Entrepreneur
- 10. Summary of Points to Remember