During these difficult economic times many are just trying to hold on. Every difficulty and every problem is an opportunity if you pursue it. The businesses that will succeed and grow are the ones that take this opportunity and chase it, rather than run from it.
We can, and should, always look at ways to run our business lean, cutting out any fat. Slashing expenses in down times isn’t always the only or best way to deal with the situation. Think about it, how much and how often can you cut expenses? There is a limit, there are certain costs that are necessary to remaining in business.
Do take the time to be sure the costs you are incurring are giving you adequate benefit and if they aren’t cut them. Always weigh costs against benefits. Be willing to spend for benefits if the benefits outweigh the costs. Wouldn’t you spend $5 to get $8?
Now, back to my point. Grow your business! There are only four ways to grow a business, and none of them involve cutting costs. Here they are:
1. Increase the number of customers you serve.
2. Increase the average purchase each customer makes.
3. Increase how often the customer buys from you.
4. Increase the number of products or services you offer.
Are you focusing your efforts in one or more of those four areas? Not just wishing, but actually taking action each day? If you’re not, if you can’t articulate those efforts, then you’re not going to grow, especially in this economy.
Looking at the list, it’s pretty simple, isn’t it? So why don’t most businesses get it done? Why do most businesses fail? It’s a matter of priorities. Too often we work IN our business rather than ON our business.
In my next post I’ll go into depth further on this, but in the meantime start thinking about how you can take action in one or more of those areas. If you need help with it, let me know and perhaps some one on one coaching will help you set those priorities and begin implementing a positive plan to grow your business!
by Steven Schlagel