There are only two ways a home based business can increase it’s bottom line: increase it’s the sales or decrease the expenses. Too often, the business owner is focused only on increasing sales.
Hey, it’s much more exciting to get a new customer or have an existing customer buy more, than to spend time going over your bills to see what you can cut. I get it.
But, as hard as we work to get more business, it’s silly to see that money wasted on costs.
It’s true that most of us are cautious when we first incur an ongoing expense. We look for the best possible price before buying. The problem is that over time, it’s easy to ignore watching to make sure the costs are still the best available.
Here’s a real life example: this past year we go a slight increase in our auto insurance. We’d been with the same broker for many years and never questioned the bill. This time we decided to check around.
What did we find? Yup, you guessed. We found better coverage for less. Lots less. So much that we decided to shop our homeowner’s policy too. (We had that coverage with the same agent that had our car.)
By now, you’re probably not surprised to learn that we were paying too much there too. Combined, we saved over $1,000 per year and had better coverage.
Here’s the rule: to maximize the profits in your home based business, you need to review your costs at least once a year. That doesn’t mean you need to leave your current supplier. But you do need to go through the conscientious review you did when you first bought the product or service. And no, the lowest price is not always the best, but you need to be able to make an informed choice.
Written by Philip Cohen
Glazier’s Food Marketplace has fast become our grocer of choice. For many reasons. And they are the same one you need to pay attention to as a home business and especially as a home business start up.
When you are starting a home business (or any business for that matter) if you don’t pay attention to the experience your customers are having when they do business with you, they won’t be customers for long.
Glazier’s is a business model to pay attention to. We "discovered" the stoer a number of months ago and it become our primary store immediately. We met the owner and spent time talking with him … and he actually acted like he carded about the conversation. A really nice change from some of our other grocery store conversations.
The quality of their stock is almost secondary to the way they treat their customers and the word is spreading fast. We talk about Galzier’s whenever we have the opportunity (It is true that when you have a good exerience, you want to share it).
EVERY employee we speak to is friendly and interested in helping us. They are all over the store, not hiding in the back. And they always ask if we need help when they see us.
There is so much more and I will share it post in the future.
What’s important to you with a home business start up is that you can use the Glazier’s model as you start and grow your business. Put your customers center stage. The customer isn’t always right, BUT they are the lifeblood of your home business. Make sure they know you care and your home business will thrive.
Home Business or Brick and Mortar….
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It’s all in the details. For your home business start up, paying attention to the details and customer experience can make you #1.
Home Business or Brick and Mortar….
By · Comments15 Minutes Could Save You ….. and Your Home Business
By · CommentsIf you watch any amount of TV, it’s hard to miss the commercials for the auto insurance companies; everyone claiming to save you hundreds of dollars if you switch to them.
Why is this important for your home based business?
Because you may be making the same mistake they are.
Let’s assume for a moment that all the companies are using valid information. That is, if you switch, you’ll save lots of money.
Where are all the people who switch coming from? Other companies.
So what that means is companies are focused on getting new business, not keeping the business they have. If they were focused on their current customers, then other companies couldn’t be attracting them away. Right?
Years ago I heard it cost 7 times more to attract a new customer than to keep an existing one. If you’re not paying attention to your existing customers, you may have new customers coming in the front door while existing customers are going out the back.
For your home based business to be successful, you need to pay at least as much attention to your existing customers as you do attracting new ones.
Written by Philip CohenHome Business Branch Office
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For a home business owner, a branch office is a must. There’s a Starbuck’s on every corner. Not to mention Barnes & Noble, Borders, ans, and, and….
The Rest of the Story……
By · CommentsYour home business start up will thrive or die based on how you treat your customers.
I finally got in to see the Doc 1 hour and 45 min after my scheduled appointment. After complete the necessary medical stuff for my pre-op requirements (And that’s a whole other story.) I had the hard talk with him.
Prefacing my commentx with how much we liked his as a Doc and the time he spends with us and the compassion he shows, I needed some help with minimizing wait time.
We’ve had conversations about being self employed before and shared war stories about trading time for money and how, if we didn’t show up, there was nobody else to do the work. He gets it because he’s there, too.
His solution wasn’t one. He said all he can do is suggest I schdule my app’ts to be eith firsth thing in the morning, or right after lunch.
But what if I needed to get in quickly, like for my pre-op stuff?
Oh, well. I guess you wait.
I went into the conversation emotionally attached to him as my primary Doc. His “I don’t care; there’s nothing I can do about it” attitude changed that in a moment.
I walked out of his office ready to look for a new physician.
The cost to him?
Two patients immediately ( me and Philip) and all the referrals we’d make in the future. PLUS we will retell our story when it’s appropriate to anyone who will listen.
If he had even given the slightest indication that he’d work with us so we wouldn’t have to lose 4 hours for what coud have been done by FAX or phone, we would have remained loyal to him.
Bottom line to you as a home business owner: Take care of your cutomers. Make sure you control the experiences they have of you so they’ll want to keep coming back. Your home business depends on it!
Behind Closed Doors …
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Seems quiet here BUT behind that door is a waiting room full of angry people. One patient’s app ‘t was for 11:30am and I’m here for a 2:00. Guess that’s not going to happen.
This is a great example of really bad customer service and it’s high cost – this Doc is going to lose 2 patients PLUS all our referrals.
No business can afford to lose customers. Worse, they can’t afford the associated bad press.
Pay attention to the details and your customer’s experiences. It matters!
Looks Can Be Deceiving …
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You just never know what goes on behind closed doors. This looks peaceful enough, but on the other side is a waiting room full of angry patients. Some having been waiting for 2 1/2 hours. No way to run any business, especially a home business!
Differenciate Your Home Business From Your Competitors
By · CommentsIn the past when the economy was going strong it often seemed easy to make money, no matter what business you were in or whether you were were a home based business or not. There may have been lots of competition, but there were also lots of customers. Companies with poor customer service or bad products still made money and for many it was in spite of themselves.
That was yesterday. Now it’s today and it’s totally different.
The customers that are still buying are being much more choosy. They’re looking more closely at the products, pricing, terms, and customer service.
This is actually good news for you.
Why? Because it means if you focus on being excellent at what you do, you can attract and keep the customers that are buying.
It also means that competitors who’ve given any particular type of business a bad name, or caused other troubles, won’t be around much longer.
We’re already seeing this: In the housing market, the brokers who are still active are the ones who know what they’re doing. They know the market and are providing great customer service.
Brokers who didn’t return phone calls or find homes for clients are mostly gone and that trend is true for other industries, too.
Right now is the time to review your home business.
- Are you providing what your customers want?
- Is your customer service at the level that would make you want to do business with your company?
- Are you finding ways to connect with your customers so you know what’s working and what’s not?
Home based businesses have an advantage.
Most of us are small and that means we have close contact with our customers and work well with them.
It also means we can make whatever changes are needed … no layers of management.
It also means that if we don’t give customers a reasons to buy from us, then blame is on us alone. The buck stops here.
Give your customers a reason to do business with you and make them want to keep coming back. You can be the best and eliminate the competition simply by giving your customers what they want.
NOW is the time to make your home business stand out!
Written by Laura Hess