Do you know only 20 percent of businesses survive the first year? This rate has not changed over the last two decades. Doing business is certainly scary stuff, especially when you have a thousand ways to fail.
The good news is if you can stretch the first year to five or more, you have a better chance of enjoying longevity that is more significant. One of your options is to have a clear-cut understanding of your consumers.
Reality versus Expectations
When they fail, businesses often blame it on high operations costs, lack of capital, or poor staffing. These may all be valid reasons, but they also often forget one important thing: customers.
In a 2015 study, four of every five consumers think brands just do not get them. In fact, there is a growing difference between expectations and reality. For example, 69 percent of companies believe they provide excellent online experience, but 51 percent of those who left certain brands did due online experience as well.
Moreover, only 37 percent of buyers believe retailers understand their needs compared to 81 percent of businesses that think they knew their market.
A Quick Tip to Fixing It
Removing the line that separates expectations and realities is not simple, but One Floor Up, a business solutions partner in Denver, provides a quick tip: make your communications more personal.
A huge percentage of consumers distrust brands and advertising, thinking they are more establishment or arrogant. But they trust one another. More than 85 percent of consumers consider other people’s online reviews before making a decision. At least 40 percent follow social media influencers for an opinion.
You can capitalize on that, build a brand, and make your message clear by creating high-quality video content. Use it to provide social proof by interviewing or featuring personal stories of your loyal customers.
Video marketing also influences people to buy through product demonstrations. According to HubSpot, 58 percent of consumers believe companies with product videos are trustworthy.
It takes more than having customers to run a business successfully, but there is no doubt they make the biggest percentage. Make your brand trustworthy and show them you know what they need, and you will make your market grow and help your business thrive for years.