"Cry Poor Syndrome"

“I can’t justify spending money on a website yet”

“Last Christmas was a slow one so we had to halve the marketing budget”

It is an epidenmic growing at an alarming rate, in fact its been present in small business for as long as i can remember...what I call the “Cry Poor Syndrome”... owners too “poor” to spend money on their business.

The other side of cash flow

Every business owner needs to control their business spending; cash flow management is a top priority for everyone. But you have to remember there are two sides to ever story and concentrating too heavily on where your money is being spent and not on where its coming from is the root of the "Cry Poor" problem. Just as your outgoings need to be managed, your revenue streams need to be managed just as meticulously.

Please correct me if I’m wrong,  but all your income is generated from your customers is'nt it? Your customers essentially put a roof over your head and food on the table...they paid for your nice car and your family holiday.  Without them your STUFFED. So you need to find a balance between being thrifty and being a tight ass to make sure they still put money in your till and not someone elses.

How do you attract more customers?

What can you do to bring in more customers?

Planning helps; a marketing plan in place allows you to know who your target market is and how to effectively communicate to them. If your not willing to invest in marketing, are you guessing your target market? Is your advertising really reaching them and making an impact? Customers can be fickle, and if your business isn’t in plain view...or cannot be heard customers will head to your competitor instead... 

"I can't justify spending money on a website..."

Thats OK your competitors already have, and they are getting the rewards.

 

If you dont have a website, or a website that is mobile phone friendly, how many people will find you?  Can you still justify not having a website while your losing sales? And im not talking about purely online purchasing here, im talking about the woman from Lismore heights looking online for a $2000 wedding photography package, or the guy from Goonellabah who is comparing $1800 HDTV's. So how much money will end up in your competitor’s pockets before you stop crying poor? 

"...we had to halve the marketing budget."

If last christmas was a bit slow, how effective was your advertising? Would halving your advertising have a positive impact on this coming christmas? If you stop communicating with your customer, they will stop listening. But then they start listening more to your competition who are still communicating with your customers; but now they have the customers undivided attention.

SO.. 

• Keeping business spending under control is very important... but a balance needs to be found in order to maintain your current revenue which is provided by your customer. 

• "Crying Poor Syndrome" can cripple your business and prevent it from reaching its fullest potential.  

 Cut too hard into the marketing budget, or skimp on your website and you will find a steady number of customers purchasing from the busines down the road.Its not because what they sell is any better or that the products are any cheaperIt's because while you have your lights turned off to save electricity, the competitors have left theirs on...and they are attracting all the moths.