How Many Customers Does Your Business Really Need?
No one is buying?
The market’s just not big enough.
Our population is too small.
All of these are comments I hear regularly from business owners and people considering starting a business on Montserrat.
While there is truth to all of the above statements, often we generalize and take on other people’s assumptions without testing them for ourselves.
Consider no one is buying. Are you running a business where you need people to purchase your service daily or can one good sale per week set you right and meet your monthly sales goals? Evaluate what your daily, weekly and monthly sales targets need to be and then evaluate your systems with those figures in mind. If you do require daily sales then what promotions or changes can you make to improve how your customers engage with your product or services? Maybe you are not advertising enough or not advertising on the media platforms or in the locations where your customers are.
The market’s just not big enough. Montserrat (5000) is one of the smallest markets in the region and while many think that is the case, places such as Saba (1800+) and St. Eustatius (3000+) have even smaller populations. Again look at your market. Do you need all 5000 people on Montserrat to keep you in business? Even if you did, could you meet the demand? The better plan would be to look at your sales targets and ensure they cover your expenses and a reasonable profit. How many people would need to purchase your cleaning or accounting service this month?
If your goal was 10,000 per month then evaluate your pricing packages. How many private homes would you need to clean monthly to reach that goal? How many businesses would it take to reach the target? If you have support then maybe it can be done by taking on more private homes or increasing the fees for servicing businesses.
Our population is just too small. Small gives you the opportunity to be unique and create a premium and quality product. If you look around and see everyone doing the same thing, then it does not make sense to follow the trend. All of you will be competing with the same products in the same space. Rather, find a way to position your products and services in the market so you stand out. Develop unique products, offer exceptional service, personalize your offerings to keep customers coming back.
Rather than listening to the voices around you who are often only repeating what they’ve heard from others, do you own research and listen to your inner expert.
Use the Start a Business in 5 Days Workbook to help you develop your market and sales strategy.