Starting a business is easy. Getting it off the ground and letting it flourish is a different story though. Top entrepreneurs will tell you that the toughest part of owning a business is the months and years following the launch. Once you get that momentum going, however, it’s a lot easier to let your venture thrive.
There are countless ways you can let a business grow. The three most important methods revolve around these things: your customer base, their transaction value, and their loyalty.
By focusing on these key aspects of your business, you can go from startup to major industry player at the right time. Let’s talk about these valuable factors one by one.
Increasing Customer Base
With so many resources at your disposal, increasing your customer base is not a matter of if you can do it, but a matter of how you should do it. In modern times, increasing your presence and authority online is one of the best ways to get more people to notice your business.
A good start is by launching your own website. If you’re running a restaurant, launch a website that highlights your menu. Take things a step further by allowing your customers to directly order from your platform. If you’re running a retail business, then the website can be used as an online shop.
Your efforts to stay relevant online shouldn’t end there. Keep in mind that there are countless competitors online as well. One way to stay ahead of the game is by improving your search engine optimization (SEO). Doing so will allow you to rank higher on search engines, thus giving you more attention from visitors.
You need to understand that people don’t easily put trust in websites that go beyond the first couple of links on a search engine results page (SERP.) What more for links that are in the second page and above?
By ranking higher on search engines, not only are you getting more exposure online, but you’re also increasing your authority in your field as well. This combination is a guaranteed way to increase your customer base gradually.
Some businesses also focus on increasing their presence on social networking platforms like Facebook and Instagram. This is a good idea as well considering how large the user base of these platforms is.
If you aren’t sure which route to take, consider doing both instead. Omni-channel digital marketing campaigns are very effective when it comes to increasing customer bases and engagement. At the end of the day, you should do what fits your business well.
Increasing Transaction Value Of Customer
This is a rather complex part of growing your business. This means increasing the amount of money that a customer spends on your business. To put it simply, if they’re spending around $10 regularly on each transaction, your next step is to find ways on how you can increase their spending.
There are many ways you can increase your customer’s transaction value. The most common is by bundling your products or offering your customers special deals.
Let’s say you have shirts on sale for $10. You could give your customers a special offer of getting two shirts for $15 which totals to a 50% sales increase.
Another good example can be seen in some bakeries. Instead of allowing unbought bread to go stale overnight, some bakeries offer to buy one, take one deal or even give up to 50% discounts on their bread and pastries an hour before closing time. This practice creates urgency on behalf of the consumers and it also ensures that your products aren’t wasted.
The goal is to encourage your customers to spend more of their money by giving them irresistible offers.
The hard part of this step is making sure that you aren’t losing more than what you are making once you factor in the production and operational costs. With careful planning, however, you can create bargain deals that don’t affect your sales negatively.
Increasing Customer Loyalty
Establishing trust and loyalty between your customers and your business can be challenging especially if you’re just a newcomer. How can you encourage your customers to come back and transact with you again and again if there are other options laid out for them?
The immediate answer to this is by offering a service that’s consistently good. Let your customers know that your business will always treat them the same no matter how many times they come back. You can achieve this by providing your employees with the right training.
Another way to increase loyalty is by offering your customers some incentives for their loyalty. Loyalty programs are very common nowadays. These give your customers access to freebies, special promos, and other great deals simply by going back to your business.
Put it in the context of a cafe. You can hand out stamp cards to your regular customers which entitles them to one free drink if they are able to buy a set number of orders from your cafe.
Last but not the least, you also need to offer something new to your customers every once in a while. If you don’t have new products or deals in store for them regularly, they won’t have a reason to come back. Innovation is a good tool for all types of businesses.
To provide better offerings, you could conduct research on your sales and see which of your products are the biggest sellers. Use the data as a guide one what type of new products you want to offer next. For instance, if certain colours of shirts are more popular than others, then design new ones featuring that colour instead.
Also, keep in mind that using tools like email marketing and Google Ads are also an effective means to keep your customers. Be persistent in keeping your customers as it costs 10 times more to get new ones.
You also need to consider that direct referrals are good at generating leads. The customers that you turn into loyal ones will do more for your business than you think.
Be consistent with the quality of your service but be dynamic when it comes to what you offer.
Growing a business takes time and a whole lot of effort. If you really push for it though, you are looking at a successful business in your hands. The tasks seem daunting at first but if you focus on these three key aspects, then growing your business should come naturally.