Survival tips for business to avoid becoming a business dinosaur requires the owner to be accepting of change, taking on new technologies and being nimble in a shift of direction.
To survive in today’s competitive business environment owners must stay abreast of the trends in their niche and the wider market.
A major business wide trend is to have a current up-to-date online presence as more people are searching the internet from their mobile phones for information.
Examples of the Business Dinosaur who lost and misread the market.
Nokia Blackberry lost out to Apple iPhone and Google Android.
IBM mainframe computers to desktop computers and now to smart phones.
Toys-R-Us lost out to Amazon online.
Kodak actually invented the first digital camera but held back on the technology because of the money it made making from the lucrative film business.
The motor car industry is littered with brands and models that were dinosaurs who died out quickly. The DeLorean, Fords Edsel, Ford Pinto, and there are many more.
Note – many of these businesses failure are due to ignoring the advancement of digital technology.
The message to all business’s is not to ignore the advancement of digital technology but embrace it and make it part of your marketing with an online presence.
Survival Tips for Business…
1. Have a Plan
Have a plan on paper not just in your head.
You need a
- Financial budget to show a profit and how you are to get there
- Marketing plan to strengthen sales and profitability growth
Your actual results against your plan need to be reviewed at least weekly and in detail monthly
Dependent on your business size the plan can be simple or extensive in size
2. Be different
The most profitable business is the organisation with competitive advantages having unique products and services that have built an economic moat about their business in defense of the competition.
This is an enviable position for a business to be in. More here
3 Market your business
You have just read about (above) the business dinosaurs who have ignored digital technology so Get online now!
People today are way more savvy about products and services that they wish to buy so they search the net for information before they come to you
So those businesses with a good online presence are going to be reviewed for quality information and value for money more often than those with little or none
Why market your business online
- Advertising – substantial cost reduction to newspapers, magazines, TV and radio
- Longevity of promotion. A website can be forever where the above medium can be a few seconds
- Buyers do not only want flashy ads they are looking for valuable information in the form of quality content
- More buyers are using net search to influence their buying decisions
- Marketing your small business online provides real opportunities. More here
- Increases sales to a wider market
Cost of a website
- You have a capital cost of $1000 to over $10,000. Our cost for a quality website with bells and whistles is in the order of $2000
- The ongoing maintenance and running cost can be NIL to over $1000 per month depending on the website size and need for maintenance. The spending of some $500 per month will maintain and increase the value, its marketing of your business. More visits to your website, business will ultimately lead to an increase in sales
DIY websites are a waste of your time and provide little, if any, marketing benefits.
Time to build your online business
- Quality websites just take time to build an audience not unlike a bricks and mortar business
- The more quality content you add each month the sooner the results will come
- It takes months and years to build
- The more monthly expenditure the sooner the results – here
4. Streamline your business.
Your strength are the excellent people with whom you work. Employ competent and knowledgeable employees and outside suppliers of services.
Ensure the products you sell are some of the best available having innovative designs and applications that provide real benefits.
4.2 Improve your knowledge
Great people and businesses continue to learn, gain knowledge, be innovative, adding skills and by training their people.
4.3 Know your numbers
Successful business owners know and monitor the key numbers of their operations. Set up systems to record and present the key performance indicators so they are easy to review on a regular basis (at least weekly).
4.4 Reduce Costs
Cost continuing increases are a major impediment to profitability. Owners must continually look to reduce overall costs especially in a bricks and mortar business as more competition develops from online businesses who have far lower operating costs.
4.5 Work on your Business
You must spend some of your time working on your business and not in business to see the big picture.
To avoid becoming a dinosaur you need time to review your plan, monitor your performance, learn, innovate, grow your business and increase profits.
4.6 Make a Profit and Manage the Cash
Making a profit and managing the cash are the key to any business survival.
Ongoing profitability is the critical to having cash.
Having cash to pay the bills is vital to staying in business. Many businesses get into trouble because they lose control of profit margins, debtors and unnecessary expenditure.
Wrapping up Survival Tips for Business to Avoid becoming a Business Dinosaur
To survive in today’s competitive business environment owners must stay abreast of the trends in their niche and the wider market. More here