Getting new customers, retaining them and increasing sales are crucial for business success, IFE Adedapo writes
With the influx of new entrants into the retail industry, having dedicated customers and guaranteed profits may appear difficult.
Experts, however, say a marketing strategy which allows an organization to find out opportunities for increasing sales and achieving a competitive advantage can be adopted.
According to them, this may comprise short and long-term activities in the marketing field.
But marketing alone may not suffice. As a result, experts have highlighted other ways of increasing sales.
Make it easier for customers to buy
A business consultant, Mr. Niyi Ayodele, says even though the country is lagging behind in the adoption of mobile money technology, some entrepreneurs who have created a niche for themselves in that area are making it.
According to him, the mobile money technology is an avenue for Information Technology firms to be globally relevant and be at par with their counterparts everywhere by providing flexible and acceptable fraud-free methods of payment.
Ayodele says, “These IT-based companies have developed mobile money solutions for retail businesses. With increased awareness and the growing population of the middle class, small businesses which are into online sales require the use of credit and debit cards for payments. As a result, retailers are shopping easy by providing payments option powered by Mastercard, Visacard, Verve and many more.”
However, the fear of online fraud has made most buyers opt for cash on delivery option. According to him, embracing this technology and making it easy for buyers to purchase items and overcoming the distance barrier will convert prospects into customers faster than expected.
Offer attractive prices and quality products
Research has shown that when prices are made the selling point, more customers may likely show interest in the products and buy more.
Ayodele notes that merchants, as a means of increasing sales, offer slash in prices, promotional or clearance sales for their products.
He cautions that when reducing prices, merchants should be careful not to give too much money away that would result in huge loss for the business.
However, he argues that price may not be the main interest of some buyers but the quality may be valued more, irrespective of the price.
He says, “People who have high taste prefer quality for their money and they assess the asking price as well. The price-oriented buyer always tests to see if you will sell at affordable price. Focusing on selling quality products that are high-priced has greater promises of huge financial returns than selling cheap.”
He says the key to selling to the two categories of buyers is to take firm decisions on prices and convince the buyer as much as possible about the quality of the product.
Improve customer reliability
A marketing expert, Mr. John Ajibade, says since direct marketing is about building a lasting relationship with clients, all strategies should be directed at building their trust.
Experts say since the technique is focused on building direct relationships with customers, they can be given personalised promotions, letters and offers to create an immediate link with them and increase their personal connection to the business.
Ajibade says strategies adopted by some businesses include celebrating anniversaries, birthdays, giving them sales option and discount just to keep loyalty.
Open stores everywhere
The Founder and Chief Executive Officer, HealthPlus Limited, Mrs. Bukky George, recently said the ability to be successful in business required determination on the part of the entrepreneur.
She added that in order to upgrade existing business, business development strategies had to be employed.
George said, “One way of winning the hearts of people is to be everywhere. You have to develop the strategies, a systematic approach to make competition irrelevant and obsolete. Business owners have to create a clear picture of the value to be delivered and should believe that the clients will appreciate it. You have to attract quality people. An entrepreneur has to be creative and innovative and be opportunistic.”
She added, “An entrepreneur should not start a business because everyone is doing it. Start a business because you have the passion for it, you want to add value and because you want a business that will outlive you.
Give discounts for referrals
Ayodele says the number of clients can be doubled if retail stores can introduce a concept that allows existing customers to bring in new customers and make purchases.
As done in multilevel marketing, both the existing and new customer can be offered discount or gift, based on the number of new customers they are able to bring
Identify your competitive advantage
After having a good understanding of the market you are interested in, experts say the determinants of your profitability lies in your understanding of the rules of competition within the industry.
Ayodele says one of the ways by which a business owner can stay above the competition is through continuous advertisement and building a strong brand, while creating the awareness of what you do in the process.
He says, “One of the best drinks we have in Nigeria is Coca-Cola and the packaging has been changed many times just to be competitive. A business owner should be conscious of the competitors because they are always ready to run you down.”
source:Punch
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