Build a successful business

If you have your own business you have probably thought about this subject several times. One thing is certain, any business lives on clients and when they fail, their sustainability begins to get seriously compromised. Particularly for a startup, it is often not easy to build a steady stream of income that allows you to ensure the monthly payment of all costs and still be left with a profit margin. In this article we'll cover some points that you should take into consideration to maximize your company's potential.

Location

You've probably heard the phrase that a successful business needs 3 things: location, location, and location. The truth is that this is one of the key factors that can determine the success or failure of your business. If you have a great product but you are not selling it in the right place, then you probably will not have the success you could have. On the other hand, if you have a less good product but you are in the right place, then you may even be more successful than in the first situation.

The above expression is quite old and is in many books of marketing and entrepreneurship. At that time the location referred only to the physical location of the commercial store. For example, a restaurant on one of the main streets of Lisbon or Porto will have a better chance of success than a restaurant on a street hidden and unknown to most people.

Nowadays, with the emergence of online business, location can also be linked with location in the virtual world. For example, if you have a jewelry store, it might be smarter to have a partnership with a forum on subjects relevant to the female audience than in a car forum.

Communication strategy

The way your brand is advertised is another extremely important factor in the success of your business. In this case you should pay attention to the two aspects of the promotion: online and offline. Depending on your business area one may be more relevant than the other, but both should always be present. You should not only bet on one of the channels for promotion. Here the key to decide which might be the most important for you, is to identify where your target audience is. Only by knowing your target in detail, you will be able to more successfully reach it through the means of digital marketing or traditional media.

Quality VS Price

Another factor of high importance with regard to the success of a business is the price/quality ratio of your products or services. As a general rule, consumers are increasingly informed. This means that they often know the prices and characteristics of the products competing with yours. So you have to offer them some advantage to make them choose yours, not the competition. This advantage can be achieved through a better quality/price ratio. If you can offer a product of similar quality to the competition at a lower price, you can win many customers. On the other hand, if you have a product of quite higher quality with a slightly higher price, you can also get more sales than the competition.

Conclusion

To build a successful business there are some general factors that you should take into account. The first is the location of it, since it can determine the number of people who have knowledge of their products. Another relevant aspect is your communication strategy, so that you can reach your target audience in an efficient and targeted manner. Finally, the quality/price ratio will determine whether customers will choose your product or the competition.