In the early years of running a business, the goal is usually to stay afloat. Eventually, with the right strategy and some luck, the goal may shift more towards keeping the operation ticking over. But is that enough? There is no doubt that running a business is incredibly challenging, but at some point, most businesses need to reach a new level. To build a long-lasting business that will provide you with an income now and in the future, you need to put in the work. This article highlights some ideas that can help small businesses grow into bigger and more profitable businesses.
Re-engage existing and past customers
There is a misconception that to grow a business you need to keep attracting new customers. Of course, increasing your customer numbers is great, but research has found that retaining and nurturing existing customer relationships is a more effective tactic. When someone has already decided to purchase from you, they are more likely to purchase again. Make sure you have a process in place to capture contact information such as an email address for each customer so that they can be marketed to in the future with relevant promotions.
Encourage referrals from your customers
When trying to attract new customers, your existing customers can help again. Ask your customers to refer a friend or family member, tag you in a positive social media post, or post a review of their experience with your brand online. You can incentivize this with a discount code or the offer of a gift, but sometimes a carefully worded email requesting that they leave a review can be enough.
Reduce your costs
Growing a business is not just about increasing revenue. It is also vital that you keep track of your expenditure to ensure that your profits are not eaten up by increasing costs. Reducing costs could include liquidating stock that does not sell, streamlining your processes to cut out inefficiencies, or switching to cheaper suppliers. Of course, it is not wise to cut costs at the expense of your customers or employees. Click here for tips on cutting costs in a small business.
Invest in marketing
By marketing your product or service to a greater number of people, you increase your sales prospects, but it is important to be smart in your marketing strategy. Ideally, your marketing campaigns should be targeted towards the right audience with a message that compels them to act. From digital marketing techniques to opening in new locations or marketing to a new demographic, there are plenty of DIY marketing tactics that can help you engage the right customers in the right place.
Exhibit at trade shows and events
While creating and maintaining an online presence is key, it is also important not to forget the human touch. Exhibiting at trade shows and events can not only increase your exposure but can also build your reputation as an influential brand in your industry. The people who attend trade shows have an interest in your type of business, and, at the very least, they offer an opportunity for networking and to check out what your competition is doing.
