Get Up and Go Marketing Review 6 reasons why 80 percent of new businesses fail
With statistics stacked against New start-ups in the first year, sales and marketing specialists Get Up and Go Marketing Review the top 6 reasons companies fail, and how to overcome them.
Looking at even the most successful businessmen and women, they often began their business careers with failings. A whopping 80 percent of businesses are set to fail within their first year for various reasons, poor organisation, business understanding and improper planning. Get Up and Go are urging young business owners to learn from the mistakes of others and avoid common mishaps that can be costly to a new start-up.
Upon review, Get Up and Go Marketing, Reveal the top regrets of failed business owners:
- Didn’t do any market research – explicitly designed to identify whether there is a want or need for a specific product or service. Over a third, 42 percent of business owners love their concept or idea so much they overlook the importance of proper market research, with no customers to sell to, it is impossible to make essential profits to support a business. Start-up owners should look to identify a problem that can be efficiently solved with a product and create a company surrounding this.
- Didn’t know who their customers were – being able to identify an ideal customer is vital to a marketing strategy. Targeted campaigns are efficient and offer a higher return on investment, than any brand which considers everyone a potential customer.
- Didn’t use their network enough – Business owners underestimate the power of a network, by utilising connections where trust is naturally high boosts brand value and selling power. Consumers look for a provider who matches their values be sure to communicate these to the consumer to create a 3D image of what the company stands for.
- Didn’t focus on sales enough – a business needs sales to survive, be sure to review the sales pipeline and generate targets for each month to evaluate progress and ensure that the company is generating enough revenue to survive and grow. For those who are lacking confidence in sales can always outsource their sales to the experts.
- Set Prices Too Low – many businesses set prices about the cost of development versus value to a customer. Assess the value of a product through the ability to save a business money or time. Once customers see the solution a product offers, they will jump at the opportunity to buy whatever the cost.
- Focused on revenue, not profit – Turnover is irrelevant if profit margins are minimal. Consider ways to streamline costs and boost profitability. Business owners should be able to dissect their business to produce a profitability report. Clearly, even companies with high turnover can fail if the profit margins aren’t high enough. Those with low-profit ratios can consider lower costing suppliers to reduce overheads.
Get Up and Go Marketing, have boosted many businesses profitability by offering high ROI options for outsourcing, by hiring the experts they can reduce the overheads of large brands meaning they can reinvest some of that lost revenue into strategies designed to get ahead of the competition.