Using business strategy to drive profits higher
It’s the end of the financial year, and everyone says let’s look back and see how we went. But using business strategy to drive profits higher is the only real decision you have to make for the new financial year. As a business coach, I know the value of business strategy. And yet, most business owners struggle to understand strategy, and they often mistake it for action.
But actions should only come after you have decided a strategy. The actions take you in the direction of strategy once you have a plan. Strategy tells you how you are going to BEAT the market, BEAT your competitors, and what will get your business to stand out from the crowd, and what offer you make to the market that will attract more customers to your business as compared to another.
If you want to build a sustainable business, and potentially superior profits, you can’t do this by meeting the market, it simply is not enough. So, how do I build a winning strategy with you.
When I am business coaching, at the outset I ask you where your business or lifestyle will be in 2 – 5 years. Many business owners have no idea. Those that do, I get mixed results – some have clarity and purpose and some pick a really low number because they do not allow themselves permission to achieve a really big number.
But 8 times out of 10, aspirational goals fail because of roadblocks and obstacles. The mountain is too high, too rocky, too dangerous, unchartered or no guidance of where to start.
So I would like to challenge you on the start of a new financial year, give your self permission to set some aspirational goals (minus the roadblocks) for 3 years forward. Give yourself time outside of the business to dream, to be proud of what you could achieve, and really value what it would mean to your family as well as yourself.
Using Business Strategy to Leverage Uniqueness
Once you have formed some views of your aspirational goal, we have to decide on which business strategy. Two options – lowest cost possible or uniqueness. Lowest cost implies automation/efficiency in most parts of the customer buying/supply/delivery chain (think Amazon).
Uniqueness is generally where most small to medium business owners operate. Uniqueness allows you to sell on service or quality (as against price) and let’s you build your business the way you want. Think retail store in a shopping centre (likely focus is on repeat customers through exceptional customer service) or think accountants/lawyers/engineers/web etc, where they offer expertise (quality) or sales orientated where perhaps a personal following is based on style/reputation/service levels.
If you know why your customers buy from you, then to grow your business we have leverage that uniqueness.
Should be easy! I wish. I continually find that the clients I coach know they have a uniqueness, but they can’t touch it or feel it or describe it. So we have to define your uniqueness, and every business has it, and then understand how valuable it is to your customers.
Even if you are saying to me well, what I do is not unique, I am going to disagree, I know it is…that’s why you are in business! It could be as simple as your management style or how you relate to customers – it is your way.
I work with business owners who want to be mentored and challenged to put six figures and beyond into their business so that it positively impacts the lives of their families, their staff and the community. I work with you to change how you think about uniqueness, and its value to the market.
Using and understanding business strategy – it’s powerful, it’s valuable, it’s unique. If you want to have a coffee with a coach, for book a call, then email me or book a time here https://meetme.so/DavidLockwood