Review and Change Your Strategy
If you are unable to increase sales, then it’s time to review your strategy and change your selling tactics. Check out your competitors. Observe what they are doing and whether they have actually benefited from their plans. Then plan a similar campaign but go one step further.
You may not be able to lower your prices, so put up a comparison showing why your product or service is superior to theirs, thereby justifying the higher price.
Controlling Costs
You will also be under increased pressure on your profit margin, just like every small business is. The answer here is to control costs and increase your product rotation. If you are not getting any fantastic discount on items from your suppliers when placing large orders, then reduce the quantity of those items and place repeated small orders.
This will improve your cash flow, and you will also be left with less dead stock. Try and get your suppliers to take back any unsold stock that you might have after a particular period. If that is not possible, then try to sell off these items at reduced prices or pair them up with fast moving items.
It is better to get some money out of them than no money at all.
Employees – Your Key to Better Profits
Your employees are the front-runners in increasing your sales. Motivate them well with awards, incentives, etc. Upgrade their training regularly, so as to keep them up-to-date with changing market trends. Weed out inefficient or rebel employees who might hold you back.
In such a competitive market, speed and efficiency is very important if you want to increase your sales. Have regular meetings with your employees and get their feedback on the problems they face. Solving those problems will show that you care about their success – and that will increase their morale.
Understand Your Customers
Slowly, segregate those customers who spend less money but demand a lot of your time and effort. Concentrate on those who spend more and pay well. These customers can generate a lot of word-of-mouth publicity if they are satisfied with your products and services.
The difference between big businesses and small businesses is in the way they handle their customers. Big businesses are almost mechanical in handling customers, while smaller ones can give that personal touch that customers are hungry for.
Treat your customers as individuals with different needs and handle them accordingly – your small business will reap the rewards.
Specialization – A Key Tactic
Upgrade your knowledge to specialize in special products or services that your competitors do not have. This way, you can market your small business as a specialist – and by the time your competitors catch up, you will have already established yourself in that field. Also, if you have a great product or service, then market it well, since customers can buy it only if they know about it.
You can insulate your small business from in a competitive market by reinventing and re-energizing your marketing tactics. The trick is to be aware and alert and to change your business tactics accordingly.
