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6 Biggest Reasons Why Your Small Business is Stagnating

6 Biggest Reasons Why Your Small Business is Stagnating

These days everyone wants to be an entrepreneur, so way too many people rush into the world of small business headfirst, without taking into consideration the many variables that can make you or break you. Some even luck out and are able to quickly learn from their mistakes on the fly, but most fail within the first year. This is why you see a few people at the other end of the spectrum – fairly ambitious, yet careful and calculated.

The careful approach can be a good one, but it is easy to get bogged down in various technicalities and have your business stagnate. If you are interested in promoting growth and expanding your business, then you should try to address the common issues small business face, which are discussed in more detail bellow.

1. You don’t engage your customers

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Reaching out to customers

    “Engaging the customers” is kind of a broad term, so let’s look at some of the different aspects it covers:

    • Good customer service
    • Rewarding loyalty
    • Inspiring trust
    • Social media interaction
    • Asking for feedback

    If you want to learn more about what the customers want, then go and ask them. Granted it takes a bit of work, but developing a great relationship with the customers and building a loyal following has many benefits. This extends to online shopping as well. Whether you are opening online shop or want to start selling your goods on Amazon, there is a right way to do things. It involves creating a great shopping experience for the customers. This means that they can find what they are looking for effectively, have access to interesting offers if they buy multiple products, can get in contact with you and sort out any problems, and they need to be able to finish the whole process quickly.

    2. You try to do to everything yourself

    It’s one thing to be very hands on and not want to delegate simple tasks, but once you start doing 4-6 different things it keeps you away from the really important stuff. Let’s say you are a great cook and have opened your own restaurant. You need to be focused on keeping the quality of the food and the service up to standard, and on making the right adjustments.

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    If you suddenly start mopping the floors, acting as head chef, doing your own accounting, promoting the restaurant on social media and posting two articles a day on your website’s blog, chances are you are going to burn out, and the restaurant will be in a poor state. You don’t have to hire an army of people, but be sure to delegate the heavy grunt work and focus on making business decisions and managing your employees.

    3. You don’t utilize modern technology to its full potential

    We’ve already touched on the importance of social media interactions, but small business can be greatly improved through the liberal use of online technologies. With fast and adaptable approaches to software development, i.e. focusing on agile methodology, it is possible get exactly what you need in a relatively short time, through effective communication with the developers and on-the-fly tweaks.

    A good website allows companies to reach out and market themselves to an international audience, while the right custom software helps them significantly improve their efficiency, cut down on costs, and. For retailers and restaurants, switching to a more modern POS system can make a huge difference, while many different small business can save time and money in the long run using applications specifically tailored to their needs.

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    4. You don’t set yourself apart from everyone else

    Standing out

      A business can do quite well, and stay afloat for years making a modest profit even if it doesn’t have any special features that make them particularly unique or appealing. However, you never want to get into the “let’s just get by” mindset, as it will all but ensure that your business never grows past those initial stages. Unless you are dealing with a very limited niche market, you will have to deal with a relatively saturated market, so any defining feature that helps you stand out and makes people remember you is going to be a key component in sparking growth.

      5. You focus on growth at the expense of everything else

      There will come a time where you have enough of a demand for your products and to warrant expansion, and an efficiency that allows for this expansion to happen. However, it needs to be done strategically. A lot of entrepreneurs make the mistake of jumping at the opportunity to expand their business at the first chance they get, and focusing all their energy on that goal. This can lead to a drop in quality of service as you start spreading your resources thin. It is important to scale your growth based on what you can realistically handle without sacrificing productivity or quality.

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      6. You can’t handle the extra workload effectively

      This is a direct extension of the last point. A lot of people believe that once their business starts growing things will magically fall into place and that they will be able to sit back and let this well-oiled money-making machine of theirs keep growing exponentially. Unfortunately, this is not the case. As your business grows so do your obligations and complications. It’s easy to underestimate the level of work that goes into it, and face the sobering truth – you are not prepared to take on the extra workload. This is where things can really fall apart, forcing businesses to work hard just to stay afloat, let alone turn a profit.

      Even if you make the first big steps and start growing your business, you can still hit a wall if you haven’t planed things out right. It’s similar to how Hollywood movies often go well over the initial budget as the production drags on, and many of them end up as scrapped projects as a result. Be realistic about how much a project will cost and how much time and effort it will take to see it through. If you are overconfident and don’t anticipate little setbacks and hidden costs, you may very well cut yourself short and keep stagnating.

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      Ivan Dimitrijevic

      Ivan is the CEO and founder of a digital marketing company. He has years of experiences in team management, entrepreneurship and productivity.

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      Last Updated on May 22, 2019

      50 Great People To Follow On LinkedIn, No Matter Your Industry

      50 Great People To Follow On LinkedIn, No Matter Your Industry

      LinkedIn is an excellent platform to network with great people to help you in your career and businesses. However, with over 575 million people on the site, who should you follow? This list will steer you to the right people to follow, organized by categories of expertise.

      Job Search Experts

      You will likely have several jobs throughout the course of your career, and you will constantly need advice on new trends and strategies out there in the job market. Here are the LinkedIn experts who you should follow on these matters.

      1. Liz Ryan is the CEO and founder of Human Workplace. Her articles on job searching are filled with creative and colorful cartoons.

      2. Lou Adler is the author of The Essential Guide for Hiring and Getting Hired.

      3. Dr. Marla Gottschalk will help you make an impact in a new job.

      4. Hannah Morgan runs CareerSherpa.net, where she gives expert advice on job searching and how to be more visible online.

      5. Alison Doyle is the CEO and Founder of CareerToolBelt.com.

      Management Experts

      They say that people leave managers, not jobs. These experts in LinkedIn will help you become your employees’ dream manager.

      6. Jeff Weiner. How can we leave out the CEO of LinkedIn himself?

      7. Nozomi Morgan is an executive coach. She can help you transition from a boss to a true leader.

      8. Mickey Mikitani is the CEO of Rakuten. He constantly shares his expertise in managing a global player in e-commerce platforms.

      9. Andreas von der Heydt was the head of Amazon’s Kindle Content and now the Director of Talent Acquisition. He has extensive experience in management, branding, and marketing.

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      Productivity Experts

      By maximizing your productivity, you can win in all aspects of life. The following LinkedIn experts will help you win big in your career.

      10. Gretchen Rubin is a happiness coach and the bestselling author of the The Happiness Project.

      11. Carson Tate is the founder of Working Simply. She advises us to include play in our schedules.

      12. Greg Mckeown is an essentialist. Part of being an essentialist is saying no to many things so that we can focus on the things that matter.

      13. Brian de Haaff, CEO of Aha! Labs Inc. provides strategies on how to be productive and happy at work at the same time.

      Marketing Experts

      14. Sujan Patel is VP of Marketing at When I Work, an employee scheduling software. He is an expert in content marketing and he even shares his ideas on content marketing in 2020.

      15. Megan Berry is the Head of Product Development at Rebelmouse, a content marketing and AlwaysOn powerhouse.

      16. Sean Gardner will help you navigate the social media landscape. This includes how to use different platforms to help accelerate your career. He is also the bestselling author of The Road to Social Media Success.

      17. Christel Quek is an digital and marketing expert. She is the VP of South East Asia at Brandwatch. Their products help businesses utilize social media data to make better business decisions.

      18. Jeff Bullas is a digital marketing expert. His blog has over 4 million readers annually.

      19. Michael Stelzer is the CEO and Founder of social media powerhouse site, Social Media Examiner.

      20. If you’re looking for inbound and content marketing expertise, follow Dharmesh Shah, Founder and CTO of Hubspot.

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      21. David Edelman is a McKinsey partner and is at the helm of the Digital Marketing Strategy Practice Department.

      22. Dave Kerpen leads the social media software company Likeable Local. He is the author of Likeable Social Media: How to delight your customers.

      23. Clara Shih is the CEO of Hearsay Social and the author of The Facebook Era.

      24. Aaron Lee is Grand Master of Customer Delight at Post Planner. He is an excellent resource for everything social media.

      25. David Sable is the CEO of Y&R, one of the largest advertising firms in the world.

      26. Content marketing trumps traditional marketing these days, and who else better to lead you in this area than Joe Pulizzi, Founder of Content Marketing Institute.

      Personal Branding Experts

      Part of what we market in our personal career is our brand. When people hear your name, what kind of brand comes into their mind? What traits and qualities do they associate with you?

      Here are some personal branding experts from LinkedIn to improve your own brand.

      27. Dorie Clark is the author of Stand Out and Reinventing You. He can help you craft the professional image you’ve always wanted.

      28. Dan Schawbel is the managing partner of Millennial Branding. If you’re a millennial, Dan is the guy to help you craft your personal brand.

      Other Notable Experts to Follow

      29. Lisa Gates is the expert to follow if you’re negotiating for higher salaries and promotions.

      30. If you’re a Baby Boomer, Marc Miller will help you navigate the continually changing landscape of the workplace.

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      31. To avoid getting your resumé moved to the “No” pile, read Paul Freiberger’s excellent advice.

      32. James Caan provides insightful ideas on careers in general. He is also a serial entrepreneur.

      33. Jeff Haden writes on various topics, such as leadership and management. He is the owner of Blackbird Media.

      34. If you’re looking for expert business advice on getting new customers and keeping them, follow Jay Baer.

      35. Suzanne Lucas, aka Evil HR Lady, is a great human resources specialist.

      36. If you need help in using Twitter to boost your career, Claire Diaz-Ortiz can guide you in the right direction.

      37. Ryan Holmes is the CEO of Hootsuite, a social media management tool.

      38. Customers are the lifeblood of a business and Colin Shaw focuses on revolutionizing this customer experience.

      39. Brian Solis often reflects on the future of business and how technology can disrupt our world.

      40. Nancy Lublin provides advice on more lighthearted topics, which are perfect after a long day’s work. She is the CEO behind Dosomething.org, a portal designed for social change; and the founder & CEO of Loris.ai and Crisis Text Line.

      41. Katya Andresen provides advice on how to manage your career. She was the CEO of Cricket Media and now responsible for the SVP Card Customer Experience at Capital One.

      42. Gallup has created a system to test what your strengths are and how to use them at work. Jim Clifton is the CEO of Gallup.

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      43. Adam Grant is a Wharton Professor and the author of Give and Take, which provides advice on why being helpful at work can accelerate your career.

      44. Hunter Walk is a partner at Homebrew Venture Capitalist Company and has specialty in product development and management.

      45. If you’re running a nonprofit organization, follow Beth Kanter for expert advice on this area.

      46. Emotional Intelligence is necessary to succeed in your career, and Daniel Goleman is your expert for that.

      47. Rita J. King connects science, technology and business.

      48. Tori Worthington Rose is a Creative Director at Mary Beth West Communications, LLC. She has extensive experience in sales and digital media.

      49. If you’re looking for some advice on how to use writing and personal content marketing to boost your career, follow Ann Handley.

      50. Tim Brown is the CEO at IDEO and shares his insights on Leadership and Creativity.

      These are just some of the key thought leaders and movers in various industries. They will provide you with constant inspiration, as well as the willpower to pursue the career that you’ve always wanted. Their stream of expert ideas in their respective fields will help you become well-equipped in your professional pursuits.

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      Featured photo credit: LinkedIn Sales Navigator via unsplash.com

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