How to save your business/ startup from failure
Quite often it is seen that we have a great business idea but we are not really sure about how we can engage the customers. This is an issue that most startups in the world face right from the time they start doing business. There are two cases where startups can fail even if they have the greatest idea on the planet. One of them is when they are too scattergun, which means they are trying to play god to everyone. In these cases, the fault lies mainly in the way these startups fail at engaging their customers through proper dialogue and interaction.
Absence of any unique proposition
Often it has also been seen that startups sink because they do not have a proposition that offers anything unique to the customers. They are not making any real difference to the market as such with the product or service that they are offering. At times, companies also fail to convey their ideas in a manner that can be described as being clear, compelling, and concise. Andrew Stein, who has founded a couple of successful startups such as Payreq and PolicyPoint, says that as a startup you need to be able to point out the problem that you are attempting to solve. This according to him is the most basic and critical criterion for achieving success as a fledgling enterprise.
What do the experts say?
Stein says that it is highly important to be true to one’s value proposition and harking back to it as and when may be possible. It is always better to test said proposition with a select group of customers before it is launched at the bigger market as such. The process of starting a business and then growing it requires you to take time and examine in a critical manner the problems that you are attempting to solve.
Focusing on the value
As an up and coming organization you need to focus on the value that you are bringing to your customers. Once this particular value has been defined by you there are some questions that you need to get answers for as well. Will it be possible for you to draw in the correct type of new customers? You need to be rather clear about the customer segments that you are aiming to attract. You need to ask yourself why they would buy from you instead of the ones competing against you.
Questions that you need to ask
You need to ask yourself if your business strategy is in keeping with the market conditions that are prevailing at the moment. It is also absolutely important to make sure if your value proposition is making sense to you or not. If it does not do to you then chances are that it will not do to anyone else as well. You should also get opinion on your business idea and approach from advisors whom you trust. What concerns do they have? Are they justified at all? You also need to find out ways in which you would be able to address their feedback.
The importance of planning
As a fledgling business entity it is rather important that you plan each and every move of yours. You need to put yourself in the shoes of your customers and think about the issues with your products and services. You also need to have a clear understanding of what your competitors are offering so that you are able to avoid a precarious position for your business. At the same time, such appreciation and observation would also help you get a clear understanding of the opportunities that you have. You will thus be in a better position to seize them as well.