Do You Have These Necessary Business Systems In Place?
When you put good business systems in place & use them effectively, you may find that you have more time freedom and higher profits. See four must have systems.
There are four business systems that every business must have if they wish to be profitable and survive for years.
The four basic systems that you must have in place are:
- a lead generation system
- a lead conversion system
- a delivery system
- a customer retention system
There are many more systems that you can and should put in place but the ones mentioned above are necessary for the survival of your business.
Let’s look at each of the above in more depth.
A Lead Generation System
Leads are the lifeblood of your business and there are many different ways that you can acquire new leads. Some of these methods are:
- word-of-mouth advertising (referral marketing)
- social media marketing
- search engine optimization
- paid search engine marketing
- video marketing
- direct mail campaigns
- television commercials
- radio ads
- print ads in newspapers, magazines, etc.
- and many, many more methods
With so many different methods of lead generation, the method or methods that you use in your business should be determined through testing and tracking. (Tip: if you intend to be a do-it-yourself marketer, choose one method and master it before you attempt another.)
You should be aware that none of the above lead generation methods will produce satisfactory results if you don’t have an enticing offer for your prospect that is presented on a highly focused landing page or during a live presentation. (You cannot send every ad to the home page of your website and expect good results from your efforts.)
As a smart business owner, you should know that things can and often do happen very fast in business but especially on the Internet. In the off-line world it may take three to five years or more for a marketing method to grow stale.
On the Internet, however, your ads could grow stale in a matter of weeks and the platforms you are using to promote your business are constantly evolving which means you may have to adjust your marketing methods multiple times per year.
Google is one example of how quickly things can change online. The search algorithm that determines where webpages are listed in the Google search engine results for any given search phrase is changed 500 to 600 times per year. In addition to changing their search algorithm, Google is working to put all of their properties under the Google+ interface.
The switch to mobile is another driving force for the rapid changes at Google and other sites you use for marketing.
So many people are using smart phones and other mobile devices to access the Internet that about 50% of all searches have a local geo-modifier in the search phrase.
Many people with mobile devices are also choosing to consume their content by way of video. Depending upon the niche, some content providers are seeing 50% to 60% of their video content being watched from mobile devices.
The reality is that you cannot effectively run your business, keep up with what is necessary to effectively market your business and online and then test and track the different marketing methods to see which is going to be most effective lead generation for your business.
You need a marketing director as a consultant or in-house to take care of your lead generating system. (Your marketing director will probably need a whole team to effectively market your business.)
A Lead Conversion System
Generating leads is one thing but converting them into customers requires an entirely different skill set. (Sales people are hunters they love to go out and face the challenge of warming that prospect up to the point they are ready to listen to your offer.)
Converting those hot prospects into paying customers requires finesse. You have to be able to take what they think they need and reconcile that with what they really need to satisfy their problem.
You will face resistance and objections along the way and these objections are often automated responses to cover the fact that they don’t fully understand what you are telling them or the perceived value isn’t high enough for them to justify a purchase. (If you clearly demonstrate how your solution solves the problem and it is presented in a way that the perceived value is much higher than the cost, the prospect will sell themselves on the need to buy your solution.)
If you or one of your staff members is very good at converting prospects into customers, that person can create a training script that can be used by almost any of your staff members to replicate the success.
A Delivery System
You need a delivery system that is efficient and in some niches you need to document the delivery system so that multiple people can be easily trained to deliver the product or service that you sell.
You and your employees cannot be healthy 100% of the time so it’s important to have your delivery system set up so that different people can fill in when needed.
A Customer Retention System
The importance of this business system is often overlooked by many small business owners both online and off-line.
It is much easier and cheaper to sell to an existing customer than it is to acquire a new customer.
Some reports claim that it is going to cost you at least 10 times as much in both time and money to acquire a new customer as it does to sell to an existing customer.
Regardless of the actual cost in time and money of acquiring a new customer over selling to an existing customer, it’s always a good idea to try and build a relationship with your existing customers so that you can sell more to them and increase the lifetime value they provide you.
Some customer retention methods that you may be able to use are:
- newsletters that contain tips on how to get the most out of your product or service
- thank you notes, anniversary cards, birthday cards, holiday cards, etc. delivered by mail not electronically
- how to videos that you put on YouTube then share through Google+, Facebook and your other social media sites
- expert interviews with industry experts or product experts
- Google Hangouts or webinars where you invite your customers to come and ask questions about your product or service
- customer only discounts that are made available on an unpredictable schedule
There are additional customer retention methods and the appropriateness of each method as well as its effectiveness will vary from niche to niche.
Beyond these basic systems that every business needs, you can create systems for a wide variety of things that need to be done within your business. A few additional systems than you might want to implement are:
- an employee training system (When you hire an employee and train them, have them write a manual on how they would have trained them differently to do the job. Compare the manual that they wrote with your training manual or procedure to see which would be more effective in creating the type of employee that best fits you and your business.)
- A referral system (Getting your customers to refer new customers to you is one of the best ways that you can affordably build your business.)
- A review system (You and your staff must get in the habit of asking every customer to leave your review so that you know how you are doing. One thing that might help them leave of review for you is to get them to take a quick 3 to 5 question survey about your business then have the review form immediately below that survey. You must then invite them to copy and paste that review on a local directory if you are a local business.)
Put the proper team in place to help you grow your business and create goods systems that help them do their job or make it easier for someone else to do the job should do regular person not be available and you’ll have a smoother running business that may be easier to run, grow or sell when the time is right.
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