Despite common perception, it is not impossible for small businesses to compete with the big boys. Australians love the underdog and you can use this to your advantage.
Did you know that approximately 42 percent of small businesses fail in the first four years? With this in mind it becomes very clear that you need to do everything you can to increase your chances of survival and this may mean its time to take on the big boys in your industry. It is a daunting thought but remember, larger businesses can be slowed down by bureaucracy and processes so the key is to do what they can't or to do what they can but more quickly. It doesn't matter how small your operation is, learn to use what you have to your advantage.
Increase your chances of competing head to head with the big boys by flaunting your assets:
Focus
Concentrate on your strengths and don't underestimate your abilities. Spend less time worrying about what you can't do and more time sharpening your product offering and skills. You may not have the scope of the big boys but you have the capability to get things done and get them done right. Without the bureaucracy of larger organisations, you can often tackle tasks more thoroughly and quicker.
Find your niche and specialise. Keep your product line simple by working out a gap in the market and filling it. While larger businesses often offer a little bit of everything, you may be better to offer one or two products or services rather than spreading yourself thin. If you are a retailer, offer a variety of one or two key products and build your reputation around this.
Honesty
Be honest about the size of your business and your capabilities. Exaggerating your size will not do you any good and may actually let your customers down in the long run. If you find you're lacking the capability for a job, be honest and refer your customer to another local business. It shows great professionalism to put the clients' needs first and refer them to another business in the same field. Perhaps even consider partnering with some other local businesses for referrals and combine marketing activities to reduce costs.
Service
Provide the best customer service. As a small business, it is one aspect where you can easily beat the big boys. Recognise that you have a lot to offer-many larger businesses advertise 'personal and friendly' service but, as a small business, you can make sure you deliver on this promise. Your clients are your bread and butter, whereas many larger companies believe customers are replaceable. Use this to your advantage by treating every single customer (new and existing) as a VIP (very important person or prospect). Show your customers that you really value their business. Perhaps also consider offering loyalty programs or small discounts to long term clients.
Make sure you act fast and follow through. Aim to build a relationship with your customer by offering a personal service they can't get with a big business. Don't make your customers wait around - return phone calls and emails promptly and try to have your customer only deal with one employee. Also, make a phone call or suggest a meeting over coffee instead of emailing back and forth. Kill three birds with one stone - it can save time, provide a more personal service and improve your relationship!
For more tips on delivery quality customer services read Great Expectations>>
Image
First impressions count. It doesn't matter if you're meeting with clients at your dining room table or in a rented office, you should be projecting a professional image. Professionalism should canvas all parts of your business - the way dress, the way you talk to customers, your website and even the cleanliness of your office. Give the impression your business is thriving, even if the customer knows they're dealing with a two-man operation, your presentation should show your confidence.
Make sure your image is consistent and expresses your identity, particularly across your marketing material, like business cards, website and brochures. Present your business as a 'real' company with 'real' people and a proud history, perhaps in an 'about us' section on your website.
Employees
Your employees are your best asset so make sure you treat them right. As a small business you have a lot to offer employees which they can not get from the big boys. Just as customers are replaceable in big businesses, the same can often be said of employees. You have no reserve of talent so make sure you do your best to retain good staff. Pay attention to them and show them respect. If you treat your employees' right and they are happy in their jobs, you will find they will approach work in a similar manner and this will be evident to your customers.
The value you place on your employees says a lot about the way you treat your customers. Get your employees involved in your successes and failures so they feel committed to the growth of your business.
For tips on retaining good staff read >>
As a small business, you can take on the big boys! Use what you have and offer an experience which bigger organisations can't.
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