Friday, January 16, 2015

Old School Business Thinking No Longer Works on Today’s Consumers

Three Old Time Business Rules that are No Longer Effective

small business tips, home business
It is time to leave Old School
business practices behind
For many decades, the common definition of succeeding in business was being able to afford lavish items from the company’s profits, like expensive homes, fast cars, and shiny boats. Although many people still get into business for this reason of self-satisfaction, there has been a call among business professionals to reach beyond those traditional standards of business success and redefine what that term actually means. Here are three old business rules that should be redefined in the New Year.

Put True Value Over Expense

In decades past, businesses would put products that were cheap to manufacture but not the best quality to help increase profit margins by lowering production costs. While sub-standard products were the norm for old age consumers, new age consumers know better and are more likely to invest their money in a product or service that is quality. Instead of putting out the most products to make the most money, a business’ focus should be on putting out the best product to keep consumers coming back for more.

Allow Employees to Take Part

Older business professionals will tell you that back in the old days an employee’s job was to take orders from their boss and do nothing else. Creativity and inclusion of employees in business decisions was unheard of and those who did speak up were often let go from their jobs. Now, business owners are beginning to understand the importance of listening to their employee’s opinions and ideas since they work in the trenches and with the customers every day. Including employees in the business process is a great way to learn more about your business as well as create a working environment that is pleasant.

Existing Customers Are Just As Important As New Customers

Way back when, business owners believed that the faster a sale was closed, the more quickly it could leave it behind and the next sale made without ever following up with the original customer. In today’s business world, repeat business is a huge part of a company’s yearly revenue, so following up with first time buyers to add value to their purchases or get them to buy again is extremely important. Repeat business and strong consumer relationships are what keep many businesses going in today’s economy.

Be Transparent to Consumers

Older business professionals still believe that important information should be kept secret at all costs. With so many scam artists and bad products in the market these days, it is important to make sure that consumers trust your business and your brand. An important part of building that trust is being transparent and answering the questions they ask with honesty and integrity. If a consumer has more trust in one company over the other, price point will not play a role in from whom they decide to buy.

Old school business practices were, in many aspects, fast and loose and the majority of business owners opened their own companies simply to make money and self-satisfy. With consumers becoming smarter about what they purchase and becoming more strict about whom they purchase from and why, it is important to keep these new age business tips in mind. While some older business practices, like “the customer is always right” still apply, other can be changed or updated to fit this new age business world.

These rules of business apply even if  you have a work from home business. If you are struggling to retain customers or get new ones, let Stacy O'Quinn help you. He has helped dozens of work from home professionals realize their true potential and you could be next! To learn more about Stacy, click here.

*Photo Courtesy of Duncan Hull via Creative Commons License

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