Blog Archives - Page 6 of 10 - Hybrid Business Advisors

What Are Your Customers Worth?

Posted on by Joan Nowak

How much will you spend in your lifetime on something as simple as toothpaste? Thousands of dollars? How much will the average customer in your business spend with you over their lifetime?

Single Transaction vs. Lifetime Value

Are your customers a single transaction or a lifetime relationship? Here’s an example using a lawn-care company:

- The customer pays you $25 each time you mow their lawn.

- While the first transaction is only $25, they spend that each week from May – September so annually they spend about $500.

They stay with you for seven years so they actually invest $3,500 in your company. So is this a $25 customer or a $3,500 customer?

Next, consider that your ‘logo’ vehicle is parked in their neighborhood generating potential leads for you each and every week. Or that loyal customers gladly refer others to you. Over the seven years, do you think you could get 3, 4 or 5 new customers from your relationship?

So now what is this customer worth?

Establish A Long-Term View of Customers

As a business owner, you must establish this long-term view of their value before you can appreciate how important it is to develop a relationship with customers and ensure everything is done to keep them as long as possible.

So how do you determine the lifetime value of your customers? Here’s what you need to know.

What you average customer spends each time they buy from you?
The number of times per year (on average) your customers buy.
How long does your average customer stay with you?

Don’t strive for perfection here. If you don’t have this information at your fingertips (and most won’t), come up with your best estimate using the purchase history or other data you have. You can get a ballpark figure if you randomly select 50+ customers and review their purchase history or research industry data.

Your View of Customers Drives Decisions

How you view your customers — as a single transaction or lifetime relationship — will ultimately drive the decisions you make and the actions you take. With a lifetime value perspective, what would you and your team do differently? Would you invest more to acquire a new customer? Would you stay connected throughout the year? Would you make each customer contact or service call special? Would you take the time to check in with customers to determine their level of satisfaction or maybe get ideas for improvement?

For most business owners, the answer is yes to all these questions. So now it’s your turn. Start nurturing those relationships and create lifetime customers for your business.

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Systems: Sometimes the Benefits Are Obvious

Posted on by Joan Nowak

As many of you probably know, I am a big advocate of building business systems and procedures to support your business. They are time-savers, quality drivers and, of course, profit builders.

Yet documenting systems is never on my clients’ lists of things they can’t wait to do. They do them because they understand the value. But trust me, getting them motivated to get started is always a challenge.

Business Systems: Save Time & Money

Of course, as they start developing and implementing them, the benefits become really obvious. They save time, things get done the right way, people are more efficient, customers get better service and profit margins improve! Needless to say, it propels them to continue.

But sometimes the long-term benefits are not so obvious early. It takes an event …

This week, I received a quick email from a client, an attorney who owns a boutique law practice. Her administrative assistant, who she really depends on, is leaving and gave her notice. Bet a lot of you can relate to that!

What was interesting was what followed. “I am so thankful I focused on an operations manual this year. I have seen how helpful it is so I am not as nervous about her leaving.”

Need help with putting the power of systems to work in your small business? Then check out my Ultimate Systems & Procedures Guide for small business owners.

7 Ways to Make Your eNewsletters Pay Off

Posted on by Joan Nowak

For more than a decade, small businesses have used newsletters to stay in touch with customers and prospects. It’s a proven method to build relationships, generate repeat business and get some coveted referrals. But with ever-changing technology and the rise in social media and blogging, eNewsletters have also evolved.

So what are some of the keys to success today? I posed this question to Nancy Sipera, President of First Impressions Marketing.

Get More From Your eNewsletters

Have a clear purpose. What do you want to accomplish with your newsletter and why would people want to receive it? Clarity here will make it easier to define your target and develop your content.
Be relevant. Your list can be segmented into smaller groups based on subscriber preferences, type of relationship, buying habits or other demographics. This makes it easier to deliver relevant content if you stay true to your targets.
Keep it brief. Newsletters typically have multiple elements, including articles, case studies, promotions, and announcements. Keep the content brief for easy scan-ability in order to build interest. Use links to lead readers to your website, blog, or landing page for more information.
Be a resource. Demonstrate your expertise and provide useful information that will help your target audience solve problems or improve something in their life or business. Mix in education with promotional messages or special offers.
Include video. Most email marketing platforms allow for a video done by you or others. Depending on your business, videos can be educational, motivational or simply entertaining. But do keep them relevant to your target.
Use a clear call to action. Tell your readers what you want them to do using action verbs like Read More, Learn More, Buy Now, Call Us For a Free Quote or Sign Up Today.
Be consistent. Decide on a frequency, set an expectation with subscribers and stick to it. If someone subscribes to a monthly email, avoid sending them stuff weekly or they will likely unsubscribe.

eNewsletters: Professional and Easy

Email marketing platforms such as Constant Contact, Mail Chimp, and iContact make professional newsletters relatively simple. The reporting allows you to track key information such as open, bounce and click-through rates. And here’s a real bonus. The reports also tell you who opened your email and what they clicked on. A nice feature for follow-up if you choose to use it!

If you are on the fence or need help getting started, contact Nancy Sipera at (856) 667-4882 or visit her website to learn more.

Ready to Put Your Business on the Path to Success?

Would working with a business coach help you take your business to a whole new level? Then let’s explore the possibilities with a complimentary consultation. It’s a chance to get to know each other, discuss your goals and the obstacles that hold you back. Together we can determine if there is a good fit between your needs and my services.

To learn more or schedule an appointment, call me at (856) 533-2344 or drop me an email Joan@HybridBizAdvisors.com

Is Franchising Your Best Option?

Posted on by Joan Nowak

Are you dissatisfied with your current job and considering starting your own business? Do you start from scratch and build it yourself or buy a franchise to take advantage of the work done by others. It’s no surprise that a lot choose franchising. After all, a proven business model and recognized brand is less risky and should make it easier while providing some stability. But franchises are not all created equal.

I had the opportunity to discuss the pros and cons of franchising with franchise attorney, Bill Groble, Law Offices of William Groble. Based on our discussion, here are a few things to keep in mind.

What To Consider When Franchising

A quality franchise will provide total support and guidance in critical areas including business development, operating systems, hiring, training, technology, and vendor relationships. But before jumping in, take the time to do proper due diligence to gain a complete understanding of the opportunity. This includes:

Read the Uniform Franchise Offering Circular (UFOC) and Franchise Disclosure Documents (FFD) as these provide the levels of support and obligations of both parties.
Examine the financial and operational history of the franchise.
Understand the industry and competition.
Learn about franchisee-franchisor relationships. Talk to current and past franchisees.
Investigate the quality of the franchise network. The reputation of other franchisees has a spillover effect on you – good or bad – that can impact your success.
Learn about the brand and reputation in the market. Do some research. Search engines and social media can be helpful, so use them. The brand is one of the things you are licensing – makes sure it’s worth the investment.
Create cash flow models and growth projections. Think the best case, worst case and something in between. Remember to include the monthly franchise fees in your projections.
Review and discuss with a franchise attorney. While not always communicated, franchise agreements are negotiable.

The right franchise offers a lot of advantages and shortcuts, but franchising is not for everyone. If you like having complete control or thrive on creativity, franchising may not be for you. Most franchisors have strict requirements regarding branding, marketing, vendor or supplier options, products and services offered and sometimes even dictate the customers you serve. While you do control the culture, values, and people you hire, you must follow the franchisor’s operating systems and other obligations outlined in your agreement.

Build Your Start-Up Like a Franchise

If you choose to go the traditional start-up route, you can learn a lot from franchises. Create a unique selling proposition and build your brand around it. Develop systems that are repeatable by others and ensure a consistent buying experience for your customers. Hire quality people who can run your systems.

Even if you don’t want to franchise your new business – build it like you do. Your people and systems power success. They are the key to a business that is simple, fun and profitable.

New Monthly Article & Business Tools

Profit From Better Sales Conversion Rates

Posted on by Joan Nowak

When sales are down or you need more customers, do you automatically look for ways to generate leads? A lot of owners do because they believe their sales conversion rates are better than they actually are.

Sales conversion rate is simply how many leads you or your sales people convert to paying customers. Think of it as an efficiency measure for sales. What is your sales conversion rate? If you do not know (and I mean really know), then start to track it. Why? Because it’s one of the untapped, low-cost profit opportunities in many small businesses.

When I ask business owners about their sales conversion rates, most estimate this to be 75% or higher. Once we start tracking it, they are surprised to learn how low it is – sometimes 40-50% lower than they estimated. What an opportunity – because now you can you do things to improve it.

7 Ways To Improve Your Sales Conversion Rates

Clearly define your ideal customer(s) and understand what is important to them. Without clear targets, every lead looks like a great opportunity. You then end up investing a lot of time and money trying to sell to people who don’t need or want what you have to offer. Use your resources elsewhere.

Recognize your company’s strengths and weaknesses. Be honest with yourself. What do you do well (from the customer’s point of view) and profitably? If you are not sure, ask your ideal customers. Then focus on prospects that NEED what you do well and be willing to let go of the others.

Differentiate yourself with a guarantee. If you consistently deliver a critical benefit for your target customers, a guarantee is a great way to improve sales conversion because it reduces the buyer’s perceived risk. The key to an effective guarantee — make sure your delivery is consistent and make sure it is relevant or important to your target market. One additional point — a guarantee that has no consequence if you fail to do what you promise, has little or no value. Here’s an example to demonstrate what I mean: Our technician will arrive within 30 minutes of your scheduled appointment (benefit) or we will credit you $50 on the service call (consequence).

Create a sales management system — a consistent approach you use for every lead. Know the key touches and steps and where prospects are in your sales process. Don’t let a lack of follow-up or an inconsistent process blow your sales opportunities.

Know why customers buy. What benefits do customers get when purchasing your products or services. Make sure your sales messages and discussions communicate this. Remember, prospects may ask about features , but they buy benefits.

Set sales and milestone goals and track them. Key events in the sales cycle, such as face-to-face meetings or requests for proposals, are indicators of progress. Tracking tells you where prospects fall off so you can improve your sales system. Remember, what you measure, you can manage and improve.

Stay connected. A ‘no’ today doesn’t mean forever. A good process, to nurture prospects and keep them in the sales funnel, will pay off down the road. You will simply convert them later!

As you plan your success and set your goals, look beyond lead generation and include strategies to improve your sales conversion rates.

Got a plan but struggling to stay on track? Turn commitment into results with accountability — and a whole lot more! Click here to learn more about my accountability program for small business owners. It’s convenient, affordable — and it works!

Can Goals Create a Balanced Life and Better Business?

Posted on by Joan Nowak

Can goals create life balance and better business? Vincent Van Gogh got it right when he said “Great things are done by a series of small things brought together.” And that’s all goals are – a series of steps or outcomes you need to accomplish over time to achieve great things!

Goals provide focus, direction and movement. They act as milestones along the way to help you measure progress. As a result, experts will tell you to apply the SMART principle: make them Specific, Measurable, Achievable, Relevant and Time-framed.

Great advice especially the one on relevance. How do your goals fit with your vision or purpose – the bigger picture? Will they help you create a better life or business?

Goals Create Balance In Life & Business

For a balanced life, your personal goals should cover important areas of your life such as financial, career, education, family, relationships, spiritual, health, social, cultural and/or community. Pick a few that are important to you and decide what you will DO to improve those areas.

The same applies with your business. You need balance to create a business that works FOR you. So your business goals should include all the core areas that help to drive success: products and services, revenue, operations and systems, people, finance – and personal development. It will put you on the path to building the business YOU want – one supports the lifestyle you want.

So, now it’s your turn. Take a look at the goals you set and make sure they are relevant and balanced.

If you haven’t put your goals in writing, now is a good time to begin. For each area of your life and business, start by answering these three questions:

WHAT do I want – HOW MUCH, BY WHEN? In other words, what does the expected outcome or result look like and when will it be accomplished or completed.

WHY is it important to me? This is the motivator behind your goals. For example, higher income provides the means to something you want to be, do or have. Working fewer hours may give you more time to pursue other activities. If you want to achieve more goals, build in some powerful motivators.

HOW do you plan to achieve it? What do you have to DO in order to achieve your goal? This is the action or doing part. Remember, goals without actions are nothing more than dreams or wishes!

If you want to accomplish more this year, make the commitment to take action and share your goals with someone — an accountability partner! According to Bob Proctor, “Accountability is the glue that ties commitment to results”.

Would you benefit from an accountability partner? Click here to learn more.

Ready to Put Your Business on the Path to Success?

To learn more or schedule an appointment, call me at (856) 533-2344 or drop me an email Joan@HybridBizAdvisors.com

3 Secrets to Get You on the Path to Profit

Posted on by Joan Nowak

How to Get on The Path to Profit While 80% of small businesses fail, many entrepreneurs who stay in business fail to achieve their dream – more money, time, control and freedom. Too many small business owners today end up with a J-O-B and operate Just Over Broke.

But you can create a business that really works for you. One that is profitable. One that provides you with flexibility and control. So if you want to put yourself on the path to profit, control, and freedom, here are three things you should do consistently.

Your Path to Profit

First, turn ideas into results. Over 90% of small businesses run with no plan of attack. Now I don’t mean a formal business plan that collects dust on the shelf. But a simple, actionable plan gives focus and clarity to help you go from where you are today to where you want to be. Start the year with specific goals and prioritize what you need to DO to accomplish them. You will be amazed at a what a little clarity can do. For help with goals and action plans, check out my Ultimate Guide to Action Planning.

Second, learn to love systems. They aren’t glitzy, but they are guaranteed to make your business more efficient, more productive and more consistent. So if you want to make more money with a lot less effort, put the power of systems to work for your small business. Not sure where to start, my Ultimate Guide to Systems and Procedures can provide step-by-step instructions.

Third, take a Hybrid approach. Putting efforts into sales is important, but it’s not enough. Taking small steps to improve ALL areas of your business – from products and promotions to people and procedures – will put more money on your bottom line and in your wallet.

How Do You Measure Up?

Curious how you measure up in six key areas that impact your business? My free business success checklist can help you figure it out. Click here to access this free download.

Ready to Put Your Business on the Path to Success?

To learn more or schedule an appointment, call me at (856) 533-2344 or drop me an email Joan@HybridBizAdvisors.com

Attitude and Action: The Path to Victory

Posted on by Joan Nowak

Are you on track and where you want to be — in business and in life? You have the ability to create a different outcome and be victorious moving forward. It’s not about fate, luck, economic conditions or competition. The path to victory comes from attitude and action.

We are the makers of own circumstances. We can’t control everything in life, but we can control our response to it – what we think, how we feel and what we do about it. Often, it comes down to what we expect or believe. To coin a quote from Henry Ford, ‘Whether you think you can or think you can’t, you are right’. Have you become a victim of your own thinking?

If so, then it’s time to turn it around.

The Path To Victory

Start by getting clear on what you want. Write down your goals – what you want to Be, Do, Have and Accomplish in the 12 months.. Then identify what actions you need to take to make them happen. Remember, nothing happens until you actually do something – even if it’s small steps toward the goal!

Next, give affirmations and visualization a try! I know some of you may be skeptical. But, positive self-talk and visual pictures depicting your goals, put the power of your sub-conscious mind to work for you! Your mind is a powerful tool and it never takes time off!

Finally, start asking yourself better questions! When faced with a challenge, too often we ask questions that are almost victim-like in nature such as: Why do I have to work so hard to make so little? Why can’t I find better employees? Why can’t I get home at a reasonable time each night? These focus more on the why or what you don’t want. They certainly won’t inspire you.

If you agree you are a victor and take responsibility to make things happen, then start replacing the why with how or what questions. These force action or doing. Isn’t that a key to getting what you want?

Here’s a few ‘victor-like’ questions that I picked up from the author, Steve Chandler:

How can I use this circumstance to my advantage?
How can I differentiate myself in the customer’s eye?
What’s something creative I can do this week to get customers talking?
What steps can I take to grow this business?
What can I do better to ensure I spend more time with my family?
How can I help my people (or customers) more?

Do you see the difference? So stop asking why and start asking what or how! Change your attitude and take action to be the Victor you were destined to be!

7 Questions To Build a Marketing Campaign

7 Questions to Make a Marketing Campaign Pay Off

Posted on by Joan Nowak

Whether you use direct mail, print ads, email or social media, marketing that looks professional goes a long way. While design and style matter, it won’t mean a thing if there is no substance to your message. So as you prepare to launch a new marketing campaign, give some thought to your copy. Here are seven questions to ask to make your next campaign more compelling and effective.

# 1 – What is the Purpose of the Campaign?

While the obvious answer is more sales, you can get there in a lot of different ways. Do you want to generate new business for existing products, get current customers to buy more (or again) or maybe create buzz and sales for a new product? Never create a campaign without a clear purpose and goal.

#2 – WHO Do We Want to Reach?

The best marketing starts with a clear ‘audience’ in mind! The more specific, the better. In most cases, it’s not your entire target market – but a sub-set or niche. Depending on your purpose, it may be your ideal, class A customers, lost customers you want back, prospects in a new market, etc. Be clear on who you want to reach.

#3 – What Would They Buy NOW?

As a small business, your marketing needs to sell, not just get your name out there. Timing has a lot to do with it – along with which product or service you choose to promote. Most businesses offer more than one product or service, so pick one based on the timing and audience – and make it the focus of your campaign.

#4 – What Offer Would Compel Them to Act?

Offers are a must for small businesses to get people to take action: call, visit your website, come into location, sign up for an event, etc. So based on ‘what’ they would buy, come up with an offer to create a sense of urgency. While many go with a special price, it doesn’t need to be price based. Offers like buy 1 get one free or packaging the service with something else can also work. Don’t be afraid to be outlandish! Remember, it’s not a one-time sale you are seeking – but a lifetime customer!

#5 – Why Would They Buy?

What’s the pain or gain for the customer – it’s the emotional reason they say yes. How would this purchase solve a problem, fill a need, make life easier, etc.?

#6 – Why Should They Buy From Us/You?

If customers have a need, they still have a lot of choices. Give them a reason to choose you. An outlandish offer may do the trick – but you aren’t limited to that. You don’t need a lot, just one solid reason that makes you the better choice. If you don’t give them a reason, customers naturally default to price.

#7 – What Results Can We Expect?

When it comes to results, you need to consider two elements: what will it cost and how much revenue will it produce? A successful campaign should, at a minimum, pay for itself. So it’s a good practice to calculate the break-even — how many sales do you need to generate to pay for the cost of this campaign?

Whether you create your marketing campaigns in-house or outsource the work, take the time to answer the questions. A little clarity and forethought can really help improve the results you get.

Ready to Put Your Business on the Path to Success?

To learn more or schedule an appointment, call me at (856) 533-2344 or drop me an email Joan@HybridBizAdvisors.com

Are You Missing Out on Sales Opportunities

Posted on by Joan Nowak

Are you missing sales opportunities If you could generate 20% more revenue without acquiring new customers, would you do it? Of course, you would. Yet many small businesses miss out on these sales opportunities because they fail to stay connected with current customers.

Studies have shown that about 25% of your customers will purchase from you again IF their first experience was good and you stay in touch. So make sure you communicate with customers on a regular basis, ask for their valuable feedback and provide them with long-term value.

Whether you do it by phone, mail, email, or socially, make sure your customers know you are thinking of them. The frequency may vary based on your business or industry, but quarterly contacts should be a minimum goal.

Simple, Easy Ways To Stay In Touch

Thank you and holiday cards are always a nice touch – especially when mailed!. Want to stand out? Replace your typical Christmas or Hanukkah card with a New Year card!
Call them for feedback about your business. Prepare 2-3 questions and pick up the phone!
Drop in and say ‘hello’ when you are in the neighborhood. Leave your sales stuff in the car! Or better yet, drop off some donuts or soft pretzels to the staff. They will remember you!
Do a customer satisfaction survey (online or onsite). Then share findings and ideas you are implementing with your customers. It’s a great ‘excuse’ to mail or email them!
Develop special VIP offers just for them. Exclusivity is a great way to make customers feel special.
Start up a blog or newsletter with helpful information and tips that your customers would like to receive.
IF your ideal customers are big social media fans, add some fun and interactive applications to your social media site and/or periodically build contests into your updates or posts.

Remember, staying connected only works if that initial ‘buying experience’ is positive. Make sure it is. Then stay in touch and enjoy the extra revenue!

Monthly Articles & Business Tips

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