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KJCE 1370AM>Audio on Demand>>The Small Business Financial Show Podcast 07/13/14

The Small Business Financial Show Podcast 07/13/14

Jul 13, 2014|

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If you're a business owner pay attention. It's time for the small business financial show with a small business tax consultant. Professor and lecturer comfort -- that split comfort give you the knowledge you need to increase profits and grow your business now. Here's your host comfort should -- Helping you as a small business owner find success -- business. Can listen to previous broadcaster after a dramatic how -- things happening dot com. And you can find practical insightful information for your business at our website which is SM BI easy financial dot com. What would you -- in exchange for information that could make your business better. How much with -- worked TU. Could you even put a price on. To know exactly what to do in order to enhance the financial health of your business. I would think that for many small business owner it's probably priceless. In the first part of the series making your business work I shared with you -- or essential plants that are critical. To the success of every business. Your business model. Your marketing plan. Your financial plan and you're operating budget. There are some business owners who sensed that there is a disconnect somewhere in their business. And it's hindering them from generating revenues or even making a profit. Every self employed person wants their business to work. But figuring out which pieces took an act so that the business can work is a talent at times. And when you are searching for solutions and it looks like keep can't get a -- it can be very frustrating. So are you going to zero in today on the marketing plan. A very very crucial element of making your business work. But first I am going to take you back. To part one of this series to recap what you should do before you design your marketing plan. Let's not put the cart before the horse right. Are right. Sell. Why you should do before you design your marketing plan is to make sure that you have a business -- In the most part -- the making Europe business -- series I shared with you that your business model is a blueprint. Of how your business is going to create value for your customers. And how you plan to generate cash flow from providing the value services our products to your customers. Many people were -- -- it is -- profit formula. Because with the business model you have to assess the east sensual cost of delivering value to your customers. And how much you're going to charge for. Offering that. The value here refers to the benefit. Europe providing your customers if you -- High value. Then you can just the reason. Or charging -- your prices. There are a few questions you can ask yourself to determine if you have -- good blueprint or your business. Think about these questions. What value in your business are you creating. Who are you offering the value to. How are you going to deliver the value. How much are you going to chart. Who aren't your business partners or affiliates. How much would it cost you to deliver the value. How do you plan cementing your business share end. The marketplace. And -- it. Noticed that these questions -- requires you to assess pricing and cost. Which will be a part of Europe financial plan. It also covers target customers. Channels of delivery. And maintaining market share and growth strategies which are all. An essential part of your marketing plan. It covers the essentials. And offers a starting point to BOB other crucial plant. Now as we get into the marketing aspect of your business I want to share with you a little bit about consumer behavior and pricey. Some of you. May already be aware of this but I know that many of you probably never even thought about it. We're going to take. A trip to the world of economics. And we're gonna take a look right now at some essential principles. And tight those principles into marketing. As noted previously you'll have to put your business model together first so that you can pool from at the necessary information. To use in building your marketing strategy. I will shows show you how. It is important to understand consumer behavior. And the laws of supply and demand as well liked how it plays a very important role in the success of your marketing strategy. British economist. Alfred Marshall wrote a book. It was back in the late eighteen hundreds like being somewhere around 879. Or 1882. It's called principles of economics. The book is actually public domain so you can type Alfred Marshall in the search engine. And as well as the title of the book which is principals at a a economics to read it for yourself. One of the principles he -- is states that when there is a demand. For goods. And supply increases. In surplus occurs leading to a lower it will every young writes. Now as small business owners another wait to see this principle is back. When there's a demand for product or service. And there are many suppliers who offer this product or provide the service. The price of a product or service will actually decrease in order for business. Owners to maintain market share. This indicates we can also say back when there is that the -- parent or a particular product or service. And there are not a lot of suppliers to offer the products. Or provide that service. They demand and actually drive -- price it. The cleric by both of these points let me share with you a couple of examples. Let's say that you are an insurance agents. And there are ten other insurance agents in your area. And there are several people who need insurance. These prospective customers can go to. Any of the ten agents to get what they -- All of insurance agents will probably you know make a good living. But probably not that much difference from one another. Why. Well because there are so many of you offering the same servants. This also makes it a little harder to attain a level of you know the level of financial independence that you're seeking. One strategy that you can you if you happen to be in the situation. If you want to direct more of the business your way and gain more market share. You know you're gonna have to set yourself apart by implementing a good marketing campaign and of course also offering you know quality services. If you want your your customers to return to you for more business. Let's look at another example. If you are one of the few people offering a product or service. That is in demand. You can't increase your prices and still maintain a good market share. For example medical services. Let's say that you are one of two doctors in -- In your -- crisis people still come because being healthy is of great importance it's a neat and it's also intimate. And they are not a lot of doctors and this particular scenario offering the service. So in this scenario the doctor's office can perhaps grow with very little marketing. Because patients will spread the word about the great services and the people. You know people are always looking for good doctor. Okay. You aren't listening to small business financial here on top thirteenth ebony. We're going to take a break. Yeah. When he was -- and a large share with you. As soon as we come back. -- -- -- Prayer for you small business owner looking for answers to help you solve your business challenges like port access funding for your business seeking help understanding. Flat tax issues what to do to be a profitable business well look no further. Visit the small business financial website at SM BIC financial. Com where you can learn about upcoming workshops networking events and get lots of free information began their two small business financials like -- act. SM BIC financial. -- Welcome back to the small business financial shows once again here's your host a comfort should that it's. Welcome back everyone you are listening to small business financial. I am your host comforts of -- helping you as a small business owner find success in business. You can listen to print this broadcast of our program at top thirteen seven. You can find practical insightful information for your business at our website which is SM BIC. Financial dot com. Before the break I was sharing with you about some principles. Of economics. We are talking about making your business work part two of this series. And how to accomplish that with your marketing plan. We are taking a closer look at consumer behavior pricing supply and demand as well as how it plays a very important role. In the success of your marketing strategy. The first two principles that I shared with you before the break was backed. One when there is thinking man or a product or service and there are many people offering this. Product or service. It's going to. -- drying. The prices down. Because the business owners are gonna need to. Maintain market share. And the second one was that when there is a demand for product to service and there are not a lot of people offering this. I service or providing. Providing the servers are offering the products. That did the man can actually drive the prices up. Because there is a demand for the products -- disservice. But not a lot of people you know are offering that service. Now keeping in mind those first two principles that I shared with you let's take a look at the flip side of that. If there is little or no demand in other words a demand for the service -- demand for the product you know went down. And there are several people who offer. You know we're still offering the product or service -- have a hard time making money. And if they don't implement a really good plan a really good marketing plan they can actually. Or will eventually go out of business. If there is some demand. Or -- you know the product service and one of those business owners you know from among that many that are offering. You know the same product to cerberus. What will happen at that business owner and lowers -- prices makes a price adjustment downward. Most of the customers actually go to that business owner or surfaces. You know this is consumer behavior. All of the other business owners if they don't do something about that union to capture market share what's gonna happen. Is that they will probably eventually have to close their doors. Or find something else you know that's going to you set them apart. So. There are a few beings that you should you know know about consumer behavior. I previously used the words need and demand. If there is no need for product. Then a business owner will have a hard time making money. And may eventually close the business or seek out your opportunities. You cannot force anyone to buy something they do not want and you cannot force anyone to buy something they do not an eight. However. But Britney is back. A great marketing expert knows that you can create beneath. You can pretty it. So if -- business owner has a really good product or service if you think that you but something really wonderful out there. And it doesn't appear to be a meat spread that right now there's no demand for it. It could simply be that the consumers are not educated enough about the benefit. Of what it is that. Your product or service offers. Remember we talked about at business model earlier this is why it's so important for you to clarify. What value. You know. You're going to create. Who are you offering the value to. How you're going to deliver the value. How much -- gonna -- Who your partners or business affiliates are. How much it will cost you to deliver the value and how you plan to maintain. Your Europe market share. And growing. And in addition to you got you need to determine if you are providing a neat. In the marketplace or if you're providing -- want. For example -- Medical services. Clothing and shelter are all meets. These are you know general category so there is you know a list of things apple under each of beats. I would even activists less taxes because it's a government requirements. These are the essentials for living. -- medical services clothing and shelter. Everything else outside of that is pretty much a wants. Wants are things we can live without -- we don't need it. So if you're offering a want -- you know. The business product or services. You must be able to identify the benefits of the services or products that are offering. So that you can share it with your you know your your your prospects. This is why marketing experts always stressed the importance of knowing your target market. And it's much. Your your you know your your target market so that you can make well informed decisions. What an understanding of this you can design a really good marketing plan. Marketing your business is crucial. To getting your business to work. Marketing is what gets the customers in the door so that you can generate revenue. And we all know that revenue is essential for your business to the -- You just don't want to serve minding your business you want a the writing bad. Once your business model is complete. It will be easier for you to plan out your marketing efforts. Because you wouldn't answer most of the critical questions. Or decision making. You'll know what you can afford. You'll know how much. You or how you want to go about implementing your strategy. You'll know what channels you're going to use. To deliver the value. You'll you won't be wasting any time and you'll be wasting money. Even if you're using. Organic methods to build your business. It's it's important for you to notice because you want to apply your money why easily so that you can't get results. You -- returning your investment. Many of you are spinning your wheels you're trying this you're trying back you're looking for that magic formula and you're probably not making headway because. You have not done the proper research. And now you know what to be right. -- given you some insights to help you. Don't you just enjoy learning new things. I know -- -- Those of you using organic methods to market your business. Maybe it's just you know because it's just not you know in your budget. Maybe you just can't afford it right now. So you have to use organic methods to grow your business. You can actually narrow your focus. You know and strategically implement things that will work. Even if you're just spending a few dollars each month. Unique structure. You need to know why you're doing what you're doing and who you're doing it for. Right. OK so. Let me tell you how the rest of this works. Now that you have your business plan in place as well as a better understanding. Of how supply and demand can impact your business. You can now implement an effective marketing campaign of your choice. And make and needed adjustments. -- economic conditions to -- Because you have a better understanding of consumer behavior and how pricing affects adults. Let's take for example that you need more revenue. You can narrow it down to find out what is causing you need revenue for example. Do you any more customers. Or maybe you already how a good amount of exposure for your business and unique to re evaluate your services. Once you have determined. Why you know that's quote unquote why. You need more revenues. And you have an understanding about the factors that impact your business. You can now apply the strategy that will work best for your current situation. So. Now you have something to work with this is what planning is all about. You can do something about -- using the information you have to get the results that you won't acts. What I shared with you today our selections from the self employed handbook which will be coming out soon it's not out yet but it will be coming out -- It's an excellent resource for business owners. Who have to do the work themselves to bring the money. You know in -- business. The book answers the questions of how to make a profit. And it covers all of the things -- it certainly today in much the -- including how to generate income and how to grow your business. It covers the green most important cost in business. Strategies for cash management as well as taxes. There is a lot more in the self employment at the self employed and -- So if your free lancer. If you are an independent contractor. An independent her national weather you're operating your business from home or commercial space or did just planning on starting a business one day. This book is an excellent resource. They must have among your business resource. I am sharing this information. With you because I want you to look at port and secure personal copy for yourself. You can begin to apply the principles and strategies for success. There are many people who never went to business school or even -- mentor in the business world helped them in this is -- This you know handbook is -- opportunity to learn and grow in business knowledge. They handle will once it comes out it will be available on our website which is SMB -- easy financial. Dot com. Well. We have come to the end -- our show. Please visit our -- -- page with as -- but dot com. Small business financial boom they're free to post a question or comment on Twitter and Linkedin Twitter and from our FaceBook page -- website. Susan came out -- email addresses small business taxes at -- so much for listening and remember. Thank you get out of your business what you put into and.

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