Are you new to starting a business? Or do you already have one that is functioning at optimal capacity? Have you been witnessing low sales as a result of low referrals and little or no patronage from your friends?
Growing a business from the scratch mostly has to do with “word of mouth”. Social networking remains an integral part of driving sales to the roof and making profits. That of course starts from the people around you. Social media and digital marketing has further facilitated market forces by providing a direct engagement to target leads.
For those starting a new business, having friends patronize you is the head start you need. That way, they become aware of what you do, can vouch for your services and even refer you to others using their various channels of communication. Dependent on how this cycle is managed, the business owner would later become independent as her own clients would have already been established.
In case you have not experienced friends patronize or refer you, here are some reasons I think that is happening.
Exorbitant Prices: When you set your prices far higher than the obtainable market price, it becomes difficult for friends to patronize you. A common characteristic of man is that they tend to go for the cheaper alternative. If the difference is quite significant, amidst limited resources you would not be the first port of call.
Existing friendship ties: Business always has its ways of meddling with preexisting bonds depending on the maturity of both parties. If you have a friend running a service in a not too good manner towards you as a customer, you probably would not voice out on that to avoid damaging his/her feelings. Ability to take criticisms from friends and not veil them as harsh attacks is necessary for a business that is growth oriented.
Different Market conditions: In reference to the normal market conditions where you can haggle about the price of the wanted commodity, friends will not want to haggle with you so they don’t look like they want to underpay you because of the relationship. When they realize they have overpaid compared to normal market price, they would hardly come back. Most people prefer to just keep the friendship without business for its longevity.
Bad Service: Regardless of situations, a business should try as much as possible to meet with deadlines and expected delivery dates. When people refer you, they are putting their integrity as surety for you. The person to whom you are referred to probably doesn’t know what you can do but banks on the judgement of the referee. If you render bad services to your friends, it is almost impossible for them to recommend you as good to others.
Target Market: If your circle of friends is not the target market for your new business, it would be difficult for them to patronize. The best they can do is help with publicity and referral.
Track record: Before you start blaming friends for not patronizing you, how often do you patronize other friends? One good turn always deserves another. If you have a track record of being supportive financially and otherwise, it will not be difficult for you.
Priority: Your friends might be in a dilemma of choice if they already have other close associates rendering the same service as you.
As you cast blames on your friends for not patronizing you, read the above again and work on yourself and the brand. It’s mostly about you.
