A study was made by Harvard Business School showed results of startup businesses being most likely to fail even before its first decade.
A huge factor of success and failure in the field of business is its market– the customers, or the lack of it. Oftentimes, a good business loses its rank because it fails to attract and make customers stay.
Below are some of the most common reasons why customers aren’t convinced.
1. Poor salestalk
Salespeople are the frontliners of the business. What they do in the field reflects the brand and affects the customers’ response. If the company fails to put the right people in right places, the business will eventually fail.
It is important that the employees understand the business and the market to be able to reach out correctly, thus, raising the sales and keeps the customers coming back. Training is very important and the lack of it will make any business lose the game.
2. Not specific market
Again, the salespeople are expected to give a big contribution to the company’s success. If an employee knows the products well and is able to communicate properly to the customers, they will be able to close the deal effortlessly.
They should know how to speak the customers’ language which may involve technical terms and whatnot.
3. Pricing isn’t reasonable
Sometimes, business owners get overwhelmed by the market and tend to overprice their items. If your products are not priced reasonably, then you are getting it all wrong. Pricing your items boils down to knowing your market. If you aim to sell to the average buyer, then your prices should be average as well.
4. Bad customer service
Customer service is just as important as getting sales. It keeps your customers feel safe and attended to, even after they purchased from your store. Remember, the word of mouth spreads like wildfire. What do you want your customers to say about your brand?
5. Stronger competitors
Startup businesses does not mean they won’t have competitions, if they think they’re brand is unique. To be able to compete well, communicate with your market and do surveys. Improve your brand based on the results of your study and take action. You’ll be soaring higher than you think in no time.