It’s the question which dominates every entrepreneur’s mind – How should I grow my business?
The answer is elementary. Your business growth is directly proportional to your sales. Thus, the more you sell, the bigger your business becomes.
For every company, sales is the fulcrum. It’s what a successful company’s business strategy revolves around. You can build a mind-blowing product and engage your target audience brilliantly. But if this does not translate into sales, it accounts for null.
How Can You Sell Faster, And Sell More?
Your business can sell in one (or all) of four ways:
- You can sell existing products to existing customers
- You can sell existing products to new customers
- You can sell new products to existing customers
- You can sell new products to new customers
How should you devise a strategy to address either (or all) of the above techniques? Here’s a quick activity. Think of your easiest sale, or the second easiest one. Now, ask yourself one question – why did the customers buy from me?
Of course, your offering in the right place at the right time. But your offering also played a key role in your customer’s decision.
People purchase a product or service for one (or all) of 3 reasons
Your product or service addresses a pain point, an open wound for your buyers. For instance, iTunes was insanely successful because it addressed people’s pain point. It relieved them from purchasing an entire CD just for 1 song, or downloading a song only to realize it was not the version they wanted. The iPhone and MacBook also addressed various pain points, which led to Apple products selling like hot cakes.
A gain here is not just a tangible metric. Intangible aspects like emotional connect and aspirations, for instance are also gains. Many people buy Apple devices – even Apple watches – because, “it’s an Apple.” The brand enables them to develop an emotional connection and portray that they have high taste, thus fulfilling the aspiration of a conspicuous social status.
3. Tangible Reward
If your offering gives users an edge or makes them more productive, it offers them concrete results. These tangible rewards are effective to get your target audience to buy your offerings when they are new.
For instance, designers buy Apple computers because the devices make them more productive. The computers enable them to create better images and videos efficiently, and enhance their output manifold. Another example is a CRM tool which doubles up as a reminder for the sales team to follow up on specific leads. You ideally pay for a CRM softwareto handle internal processes. But with this additional feature, the software rewards you tangibly to improve organizational efficiency and revenue.
As mentioned above, your product or service sells for one of the reasons listed above. Apple, on the other hand, sells products in mind-blowing numbers because they address all 3 areas for their customers.
If you want to increase sales of your product, increase the reasons for which they buy. If your product helps users achieve concrete results, enable them to connect emotionally also. If your product addresses a pain point, don’t stop at bandaging the open wound. Make your product also give the customer an edge and enhance her quality of life.
This is the foundation on which you can build a reliable and result-oriented business model.
How Can You Identify This?
Now comes the next logical question: “How can I know why people buy my product?”
Ask them. And then dig deeper.
Your customers are willing to talk to you. They want to be part of the system to improve your offering, because it enhances their quality of life.
Identify touch points to connect with your customers. One touch-point is when they complain about your product. This emotionally charged moment is when you will get straightforward answers, most of which will be eye-openers. Alternately, you also can conduct contests to incentivize customers to share their feedback.
Another highly effective touch-point is the last step when your potential buyer didn’t convert. Dive deeper into the last objection you couldn’t answer. This objection wasn’t a challenge for your ideal buyer. But, does this objection surface often in your failed sales? If yes, does it need addressing, or are you okay with not selling to the kind of audience which has this objection?
Imagine customers who are emotionally invested in your product. Imagine them being loyal to your product or service regardless of cost, because of the brand you built.
Imagine your product or service selling through the cheapest and most effective marketing technique – word of mouth. Imagine not having to worry about low sales figures regardless of market conditions.
You just have to make your customer an advocate. Identify your customer’s pain point, make them experience a feeling of gain and achievement. Ask them what they feel, and use their insights to refine your offering. Taking the right steps to accomplish this is the first, and most crucial, step to form a business strategy. The time you spend identifying this will pay rich dividends in the future, and get you much closer to your dreams.