5 Reasons Businesses Fail
The Nike phrase of “Just Do It” might apply in the world of sports, but when it comes to the world of successful business marketing this statement could not be more wrong. A strong marketing plan is just that…a plan, a carefully crafted and researched set of steps in order to build brand awareness and to increase business success.
Here are the Top 5 Reasons 8 Out of 10 Businesses Fail:
(according to Forbes Magazine)
- Not really in touch with customers through deep dialogue
- No real differentiation in the market (lack of unique value propositions)
- Failure to communicate value propositions in clear, concise, and compelling fashion
- Leadership breakdown at the top (founder dysfunction)
- Inability to develop a profitable business model with proven revenue streams
The incredible thing about this list is that each factor affects the next. Three out these five reasons why businesses fail are directly related to marketing. That means that 60% of the reasons that companies fail is due to an ineffective and insufficient marketing strategy.
Here are ways to check that you have a strong foundation for marketing leading you towards taking your first steps towards a success business. Ask yourself…
- Have we done consumer research to identify the wants and needs of our consumers?
- What is the value our business hold for our consumers?
- Are we communicating our value propositions effectively to our consumers?
When it comes to creating a strong foundation for a business make sure you have all of your bases covered. Make sure that…
- Your business will make money
- The business owners are able to look at the big picture and don’t get caught in the weeds
- The business owners take the time to create a plan
Take the time to create a plan. This plan will become the know all be all of your company and your brand leading you and your team to great success.