Top 10 Strategies for Entrepreneurial Success
By Wendy Enelow, CCM, MRW, JCTC, CPRW
If you’re considering launching your own business, this article is for you.
Success in entrepreneurship requires a diversity of talents, a broad range of knowledge, a passion to succeed and an attitude that says “I can do it!” Nothing less will suffice. To help you on your way to that success, here are the top 10 strategies that will guide you and your company to entrepreneurial success.
Strategy #1: MAKE MONEY DOING WHAT YOU KNOW & WHAT’S IN YOUR HEART
If you’re considering starting your own business, know that 9 times out of 10 you will be more successful if your business focuses on something that you already do well. For example, if you’ve done meeting and conference planning for years for a major hotel chain, launching your own meeting planning business is a great idea. You’ve got the knowledge and the contacts, so you already are one step ahead. Conversely, if that same individual had decided to start a candle manufacturing company, the learning curve would be tremendous. They wouldn’t know the “tricks of the trade” of that industry and wouldn’t be using a great deal of the knowledge they had obtained in meeting and events planning. Doing what you know – or at least have some experience and knowledge in – makes a world of difference in how quickly you will succeed.
What’s more, if it’s something that you know and something that you’ve already succeeded in, it tends to be “close to your heart.” As an entrepreneur, you’re going to be working very long hours. Best to do something that you already value and cherish.
Strategy #2: UNDERSTAND YOUR MONEY
For all too many start-up entrepreneurs, their lack of knowledge about how their money “works” has been their downfall. Here’s a prime example: A career coach charges $100 an hour for her services and thinks she’s making $100 an hour. Wrong! If you subtract business overhead costs (e.g., phones, computers, office space, utilities, paper, office supplies), then subtract state, federal and FICA taxes, that $100 is much closer to $35-$40 if you’re lucky! To succeed in business, you MUST have a true understanding of how your money works, where it comes from, where you spend it, and what your bottom-line profits truly are. Unless you happen to be an accountant yourself, get an accountant now … before it’s too late!
Strategy #3: EMBRACE YOUR CLIENTS
Whether you call them clients or customers, they are the single most important component of any successful business. Without them, you have nothing … no matter how great your products, services or technologies. You must be available to your clients and must learn to embrace them in each and every one of your interactions (e.g., phone, fax, email, mail). You want them to feel as though you truly value their business (you do!) and that you will consistently respond to their needs and concerns (you will!). If your clients feel valued and cared about, they will be yours forever. What’s more, they’ll refer their colleagues and associates to you, allowing you to build a strong customer base without additional marketing and advertising costs. Referrals are, by far, your single best source of business and something which you should dedicate yourself to building.
Strategy #4: BUILD A NICHE
Businesses that tend to stand out from the crowd are often those businesses that focus their products and services in a particular market niche. A prime example is a law firm that specializes in real estate. Rather than being lost in the enormous number of general law practices, this firm stands out and has immediate market recognition as an “expert” in real estate law. In turn, they have a unique market position that attracts the specific clientele they want. What’s more, they have substantially less competition. A niche marketing concept will give you significant market visibility and, over time, build a substantial customer base. And, do not feel as though you have to limit yourself to just one niche. Consider two or three related niches and watch your business grow!
Strategy #5: GET PUBLISHED
If you’re published, people think that you’re an expert. It’s that simple. Whether a book or an article, it gives you and your business instant credibility. And, it’s so very easy to get published today. There are thousands, if not tens of thousands, of websites that are hungry for content. Sometimes they will pay; other times, they will not. However, the exposure and visibility you get is well worth the time to write a quick article. If you’re in the consumer products manufacturing industry, contact one of your industry’s professional associations to ask if they need an article – for their website or newsletter. Before you know it, you and your business will come to be recognized as experts. Can you think of any better way to build your customer base and credibility?
Strategy #6: NETWORK … NETWORK … NETWORK
Building your market visibility, network of contacts and network of referrals is vital to your long-term success. You cannot rely on business just knocking at your door no matter how much you spend on advertising. Instead, you have to go get it … sometimes through direct sales calls; other times, through more passive networking channels such as participation in and/or leadership of your local chamber of commerce, local lead exchange group and other business/professional association. Consider sending a quarterly e-newsletter to your existing customers to share company news, introduce new services and products, and ask for referrals. Commit yourself to making 2-3 new business contacts each and every month, separate and apart from any direct selling and/or marketing activities that you do. These may be people you want to do business with and/or they may know others who would be interested in what you have to offer. Remember, the larger your network, the more visible you and your company will be, the greater name recognition you will achieve, and the more customers that will, indeed, come knocking at your door.
Strategy #7: MARKET THROUGH MULTIPLE CHANNELS
No single advertising, promotional or marketing strategy works in isolation. True marketing and business development is a culmination of a diversity of strategies, tactics and actions that will generate clients from a diversity of sources. What marketing, advertising and promotional channels you use will depend entirely on your product or service, and the customers you are trying to reach. Your objective is to create a plan that integrates all of the primary marketing channels appropriate for your business (e.g., print advertising, brochures, Yellow Pages advertising, website, online advertising, targeted direct mail, public speaking, networking, incentives). When creating your marketing plan – for today and tomorrow – be sure to identify and develop ALL channels that will lead you to your targeted customer base.
Strategy #8: CHARGE WHAT YOU ARE WORTH
Whether you offer a product or a service, it is essential that you charge what it is worth. Do not think for one minute that just by making your product or service the least expensive, that it will generate clients. In fact, it’s often better to be at the higher end of the pricing scale so that customers will understand the inherent value of your product. Consider two pairs of identical looking shoes. One pair is $49.95 and the other is $149.95. Which is better? We’re all inclined to believe that the $149.95 pair is better made, will last longer, etc. Use this same principle when developing your pricing schedules. Don’t be cheap … be the best!
Strategy #9: FIND BALANCE
Learning to balance your entrepreneurial life with your personal life will most likely be a lifelong challenge. It can be extremely difficult to “walk away from work” when 1000 things are happening, but it’s time to go home, make dinner, care for your children, love your spouse and more. It’s a constant juggling act that you must work hard to balance. Try scheduling time for your family, friends and YOURSELF into your calendar, and realize that these activities are just as important to your overall success as is your business. A happy and healthy individual is a vastly more productive individual, able to meet constant challenges and demands, and move forward. The energy you get from interactions with family and friends, and the quiet time you devote to yourself, are rejuvenating and critical for any successful entrepreneur.
Strategy #10: BE THE DRIVER
The single best thing about entrepreneurship is that you have control! Of course, you’re accountable to your customers, employees, Board of Directors, investors and others, but, ultimately, you’re the driver. What a great place to be! The successes that you achieve will be those that you created, worked for and earned. You’ll tap into your abilities to be self-reliant and self-confident, able to make tough decisions, think independently and move your company toward action and success.
Twenty years ago, entrepreneurship was a risky business. Today, it can offer you substantially more stability than any job you’ll find anywhere. No longer will you be subject to the downsizings and reorganizations of corporate America. As an entrepreneur, you’ll be your own driver and forge your own destiny.Return to Article List