Stick With Your Core Business Services
Do what you do best. If you are a golf shop, why would you add weight lifting equipment… even if weight lifting equipment happened to be the HOT item? Stick with what you know.
Once you begin to add new products or services to an already existing business, you incur the cost of training and new advertising. Your employees will now have to learn how to sell the new product or service. You will need new brochures, new cards and new ads. You may need to make space in your shop or store, taking away from the core business.
Question number one: why am I adding this new product or service?
Question number two: is it in alignment with the mission and values of my core business?
Question number three: can I be great at selling this service or product? and then, can I follow through in providing this service or product.
If there is a learning curve, you stand to lose money.
To make more money in your business the best strategy is to do your core business better than anyone. With a reputation for good work you can increase prices, be selective about the types of customers you want to work with and become the go-to place. Once you become the go-to place you increase value, your marketing and advertising becomes word of mouth and you can spend better dollars on existing customers which, in turn, increases word of mouth referral work and repeat customer value. This model is a catalyst and continues to build on itself. This type of model is the best way to get bigger profits. When you raise prices you will weed out the lower end customer and the high value customer will likely not notice if you continue to provide excellent service and products. It’s like having your own fan club.
To start, review your core services and products. What makes them great? Can you make them better? How are you letting people know about your great stuff and are you tracking where they come from? These are critical steps. You need to know what is working and what doesn’t work.
Do your existing customers hear from you once a month? Are you in front of them reminding them that you are out there ready to serve them? A card, a note, a postcard…. that’s all it really takes.
Review the above, answer the questions and get started. It really is that easy. Action is the key to success.
Best regards for a profitable day.
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