Everybody starts with a small business. Starting your own business is no doubt is in itself a big achievement. But the most difficult thing is to maintain the business. In the beginning of the small businesses, every companies need to face several kinds of crises and lots of challenges.
Starting a business requires much efforts but maintaining it requires several more times efforts. Your one major mistake can lead to the shut down of the business. As per the report by U. S. bureau of Labor statistics, almost 20% of all the small businesses shut down by the end of their fifth year and the percentage increase up to 80% by the end of 10th year.
Every small business needs to face some of the challenges. These include hiring the right candidate at right budget. Often small businesses run out of funds and capital. In such a small fund, they requires to hire high standard talent, promote their business in order to build customer base, create their business brand, perform social campaigns, and many more and all in small funds.
Here in this guide, we are listing some of the most common challenges faced by small companies. If you are also a owner of small business, you might find the below problems familiar. And, those who are planning to start their business with little investment, this guide will help them be prepared for the up coming challenges. Also, we will add some advice that will help you fix the problem.
Top 5 challenges faced by every small business
Following are some common problems that most of the small business might face:
Finding customers are not only issue of small business, but even the larger ones like Apple, McDonald’s, Toyota, and many more also keep making efforts in order to attract more and more customers. These big companies are not having any shortage of fund thus they can invest more in promoting their brand.
But the smaller businesses are already in crises of capitals, they requires to make proper planning before investment. Also, it becomes even more difficult for the small businesses to attract customers without big name. Though there are several platforms, where companies can advertise themselves, but finding the right platform, and prioritizing the perfect platform is also a big challenge for small businesses.
In order to fix this issues, every business whether small or large one, they should not shoot blindly. First determine your ideal customers. Analyze your target customers and then determine the platform where they spend most of their time. Choose that platform for advertising your product or business.
When the company is small, they are having very limited number of customers. Majority of the world is unaware of their business. In such cases, it becomes extremely difficult to run social campaign and increase their brand awareness.
Most of the successful managers and brand owners admit that building audiences is even more important than the direct sales. And, for increasing the audiences, there is need to run several kind of brand awareness campaigns on social sites and platforms.
But without any customer base, making these campaigns successful is very difficult. When the target audiences is unaware of your company, how will they come to know to participate in your brand awareness campaign.
For developing proper trust among customers, there is need to popularize your business. But building big names requires much of the efforts.
There is need of proper and well analyzed strategy in order to build the name of the company. Before starting any campaign, one should firm make their customer base. The best way to increase your brand awareness is co-marketing, public relations, and blogging.
Building email list
Though the technology has made much advancement, still email marketing is considered as the best and most effective marketing method. It is one of the proved and successful digital marketing methods. But for a small business, making a email list of potential customers is in itself a big challenge.
Many business owners prefer to buy a email list, but it is not a good idea. It will not only lower your IP reputation but will also make you loss you money. Instead investing in buying email list, invest in some other promotion.
Instead of purchasing the email list, we suggest you to make your own email list of potential customers. You can provide option to subscribe for email alerts on your website. Those who are already interested in your products or services, will subscribe for email alerts and thus help you get the email list of potential customers only.
Finding customers is important, but what more important is positive customer experience. In order to attract more and more customers and the customers to repeat the purchase from your company, there is need that you should provide all your customers a delighted experience.
When the customers are not satisfied, they will never repeat the purchase, not recommend others to make purchase from you. And, in the case when the customer is fully satisfied from your products and service, they will not only repeat their purchase but will also recommend others as well to make purchase from your company only.
And, delighting customers becomes even more important for small businesses. In order to grow their business, they requires to satisfy their every customers and this will help in word to mouth marketing.
But unfortunately, it becomes difficult for the small businesses to delight their customers. And, with poor performing marketing team, and lack of dedicated employees can elevate this challenge for small companies.
In order to please your customers, you should try matching their expectations. In first, you might earn less, but make sure your customers are happy.
As mentioned in the beginning, with limited funds, it becomes quite difficult for the small businesses to hire talent. In this case, instead of hiring the experienced, we advice to go for fresher.
Hiring fresher having two advantage, one is that they can be ready to work at less pay scale and other is that they are having new passion to prove themselves and thus will work hard.
The bottom line
So these are five challenges that every small business face. All you need is a good strategy to fix all of these challenges.