Start your own business by using advertising skills and correctly pricing your goods and services. This article shows different methods of advertising your business, establishing a price for your goods or services, and explains the importance of keeping your customers by providing a first-class service. lf you are interested in starting your own business you will find this article informative and helpful.
Starting your own business can be very daunting. In order to sell your goods or services you need to advertise your business. It is important to establish a realistic price for the goods or services you are offering to your potential customers and you must ensure you can provide customers with a first-class service.
Advertising your Business
Identifying your customer is an important tool when advertising your business. Once you identify the type of consumer likely to purchase your goods or services, you can focus on this person when you advertise your product. For example, if you want to sell a product that is suitable for school-age children, you need to advertise on websites, or in magazines or newspapers that are popular with the parents of this age group.
It is particularly important to identify your customer if you decide to use direct mail or flyers as a way to advertise your product. The typical response rate for direct mail is only 2%. There is no guarantee that the 2% will result in sales. To increase your chances of selling using the direct mail option, it is important you send your letters, or hand out your flyers, to the people most likely to purchase your product.
A small amount of time spent researching where your customer base is likely to be, will pay huge dividends later, when you know exactly where to advertise to obtain the best results.
Establishing a Realistic Price for your Goods or Services
There are two methods of establishing a price. One method is based on the cost of providing the goods or services. If you use this method, be sure you are accurate in your calculations of the costs involved.
Although you may be tempted to lower your prices in order to establish your business, this may be a costly mistake. You should not price your product below your costs. To grow your business you need to make a profit on every sale that you make.
The second method of determining the price you should be charging for your goods or services is market based. Although it may be difficult to establish a market-based price, market based selling can provide you with higher profits. To determine how much you should charge the customer, research how much your competitors are charging for the same item. Be aware you may not be able to compete dollar for dollar with a well-known company offering a similar product, until your own business grows a customer base.
Providing your Customer with a First-Class Service
If you provide your customer with a first-class service you will have an excellent chance of retaining his business. He may recommend your goods or services to another potential customer, thereby helping you to grow your business. “Word-of-mouth” advertising is the most cost effective, so it is worth the effort to keep your custo mer happy. It is easier to keep an existing customer than it is to obtain a new customer.
Are you ready to start your own business? You will be ready to start a business provided you have researched the type of customer you wish to attract and the best method of advertising your business to him. Remember to establish a realistic price for your goods or services and provide your customer with the best possible service.
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