Day 25 - The Number One Way to Lose Business

I've thought about writing this topic for a while and have resisted since I didn't want this 100 Day Series to be about me preaching how I think other people should run their businesses. My intention for this series is to share my experiences of what I'm doing to grow my own business and hopefully inspire others to do the same.

The number one way to lose business is to not communicate with your customer.

Why is the most simple and easiest aspect of running a business done so poorly, so often?

While too much communication can be a problem, today I'll talk about too little communication.

I've found that a lack of communication can be categorized 3 ways -  assumptions, non-reponsiveness, and deceitfulness.

Assuming You Know What Your Customer Wants
I read a thread on the Etsy message board a few weeks back that was started by a confused buyer. She had purchased a product from a seller and noticed that it hadn't been shipped after a few days. She sent a message to the seller just asking for an update on the order. Shortly afterwards, her order was cancelled and the seller sent her a message letting her know that the recent winter storm had delayed her ability to ship items so she apologized to the buyer and cancelled the order!

The buyer didn't want the order cancelled and was really surprised the seller would make that assumption without even asking her. Had the seller just simply sent her a message explaining the weather issue and asking if waiting a few more days would be acceptable, the buyer would have happily agreed. Better yet, the seller should have sent the message as soon as she knew shipments would be delayed and asking for patience until the storm had passed.

Instead, the seller has lost a sale (a sale she already had) and the buyer will obviously never return to her store.

Never assume you know what your customer is thinking! If an issue comes up, quickly send a message to your customer explaining the problem and, if possible, give a few options for the customer to choose from to rectify the situation. By giving your customer options, you are showing your flexibility and giving the customer the ability to solve it in their best interest.

Not Responding to Questions (Pre-Sale)
This is such a common communication issue and we've all encountered it many times. You are interested in a product or service but need additional information so you either call and leave a message or send an e-mail with your inquiry - and you never hear back.

As a seller, I know it can be frustrating to constantly respond to questions that don't lead to sales, but that's part of the job! Just because someone asks a question doesn't mean they will always purchase. But I can guarantee one thing - If you don't respond, it will definitely mean they won't purchase.

Why not take the few minutes to answer? You never know what it can lead to. Think of it this way - Maybe that person is a staff member for the Oprah magazine and they want to feature one of your products in their next issue but needed to ask one small question to see if it fit into the theme of their article. If you knew that, wouldn't you answer in a heartbeat! Think of every inquiry as the potential to something big.

Not Responding to Questions or Concerns (Post-Sale) 
In my opinion, this is the worst type of communication gaffe you can make. If a customer has an issue or a question about a product already purchased and they are ignored, that is really bad business! No two ways about it.

Not responding to a customer problem can potentially lead to big losses in future business. With the internet at their fingertips, an angry customer can wreak havoc on your reputation, whether you feel the complaint is warranted or not. By not responding, you can turn a simple misunderstanding into really bad customer service, and no business wants that reputation.

In fact, responding to a customer issue can actually improve your business. In their book, Turned On, Roger Dow and Susan Cook conducted research with Marriott guests to identify which guests intended to stay at the Marriott again. They divided guest stays into 3 groups A, B, and C.

• A = Nothing bad happened during their stay.
• B = Something bad happened, but Marriott fixed the problem.
• C = Something bad happened, but Marriott did not fix the problem.

The percentage of these three groups that said they would return to stay at the Marriott were as follows:

• A = 89%
• B = 94%
• C = 69%

Talk about turning lemons into lemonade!

Dishonest Communication
While not responding to customer inquiries or issues can sometimes be inadvertent, dishonesty is always on purpose. And guess what - your customers will know it! If you make a mistake, admit it - don't lie. People will forgive you almost anything if you are honest and stay in communication with them. Honesty will always be rewarded in the long run. It may be embarrassing to admit that you've made a mistake, but you are human and people appreciate it when you tell the truth.

I had a situation a few years back when I had a project that was being worked on by an individual in another department (this was back in my corporate days). The deadline for delivery was Monday at close of business. By 4:30, I hadn't heard from him so I tried calling several times to get an update but received no response. Since his office was in another building, I asked a colleague in that same building to try to locate him. He was sitting at his desk and when I called again (this time with my friend standing by), he ignored the ringing phone. I ended up going home without my delivery and worse, no status on when it would be received. The next day, I located him and asked about the project. He told me that he had been pulled away from the office on a 'personal emergency' earlier that day and in his rush, neglected to contact me. Had he just told me that he was unable to finish the project within the time frame given, it would have been no big deal. He ended up finishing it the following day and we were able to make all our deadlines, even with the delay. But, his dishonesty changed everything. He lost all credibility with me and I specifically requested that he not be allowed to work on any of my future projects. To this day, I remember that incident.

Being dishonest will ruin your reputation instantly. And once gone, you can rarely get it back.

Communication is really so simple -

• Give updates often, even if it's bad news.
• Apologize for your mistakes.
• Make it right.

What do you think? Do you have any experiences to share?

Day 19 - Running Giveaway Contests

Let your smile change the world.... 

But don't let the world change your smile.

Over the years, I've run quite a few giveaway contests. These contests either involve me giving away a free piece of jewelry or gift certificate to my shop. There are many reasons why I hold contests from time to time, here are my main reasons:

1. Since people get more chances to win with each entry option they select, it's a great opportunity to gain followers for:
• Facebook
• Twitter
• Pinterest
• Newsletter
2. Sends people to my blog. I'm always looking to increase viewership of my blog and it's a perfect site to host my giveaway.
3. Gets my name out there. Let's face it, there are a lot of jewelry designers selling on Etsy. This is just one more way to get people to see my products and learn about me.
4. Brand loyalty. I like giving my customers a way to win jewelry. I advertise my giveaways on my Facebook page, newsletter, and Twitter. This way people who already follow me are aware of the contests and have a chance to enter.
5. Additional advertising. There are many giveaway blog sites out there and they like to link to current giveaways. This is a great way to get free advertising.

I've been using Rafflecopter for my entry form tool. I'm currently using the free version, but may upgrade to the 'blogger' version for $7.99 at a later date if I continue hosting giveaways. With the free version, you can:

• Embed the entry form in your blog or Facebook using a code snippet that Rafflecopter provides.
• Determine the start and end date for your contest. When you reach the ending date, Rafflecopter will halt the contest and allow you to randomly select a winner.
• Specify different ways to enter your contest with assigned point values. Rafflecopter will automatically include the point values when it randomly selects the winner from all the available entries. Here are the entry options I'm creating for my current giveaway: 

As you can see, there are many options for entering this contest, none are mandatory. Rafflecopter handles all the entries automatically, so I don't have to.

The $7.99 version has the additional features:

• Add prize photos
• Change start/end times on the fly
• Email reminders
• More entry options- Pinterest and Surveys (I had to add the Pinterest option myself above - I'm not sure how it will work since there's no way for Rafflecopter to verify)
• Mobile-friendly Facebook app

One point about Rafflecopter, however. With the free version, there is no way to tell if someone has 'faked' the system and hasn't followed through on some of these entry options. Once the contest is over, I will need to manually validate the entry myself. If it's not valid, I'll just ask Rafflecopter to select another random entry (you can do this as often as needed). Since I'm still a small company, this won't be a big burden. But, as I grow my business I will need to find a way to bypass this manual checking. I'm not sure if Rafflecopter even has a way to handle this situation with their upgraded versions. 

I will be  publicizing my contest within the next day or so. I'm looking forward to seeing how it works to gain more followers, especially for Facebook, Pinterest, and my new e-mail newsletter!

Day 13 - Time Management

A successful person realizes his personal responsibility for self-motivation. He starts with himself because he possesses the key to his own ignition switch.

- Kemmons Wilson

Founder of Holiday Inn Hotels

Here we are in the last week of January and I have to admit, I'm really frustrated with my progress. I had visions of plowing into my business once the crazy holiday season was over. I thought the rest of my life would slow down enough so there would be minimal distractions and I could dedicate all the hours I needed to grow my business.

It hasn't quite worked out that way.

Life still gets in the way, no matter the time of year. I have a tendency to always look forward and think that next week, next month, next quarter, etc. will be easier and I'll have all the time I need. I was certain that January would give me plenty of time to solely concentrate on myself. How did I ever manage a day job and this business!!

Part of the reason I wanted to run my own business is so I would have more control over my life. And I do. However, I am still learning how to manage my time when I control the clock and priorities. There is no longer a 'boss' telling me which tasks have to be taken care of first and no one to see if I'm in the office by 8:00 am.

I have a long list of goals and tasks, and I naturally want to complete the tasks that are more fun first. While I did write up a schedule and had a clear list of goals for the month, I didn't do a good job of 'chunking it down' and turning these goals into concrete tasks so that I stayed on track.

So, after this month's missteps, I resolve to do a better job documenting the tasks I need to complete in order to achieve the goals I've set for the month.

Here are my new steps to better manage my time and tasks:

1. Every Sunday night:
1. Review my month goals.
2. Write down tasks needing to be completed for the week.
3. For each task, determine a priority level.
1. Priority 1: Absolute Must; Not completing this task is detrimental to my business.
2. Priority 2: Definite Must; Not completing this task affects other tasks.
3. Priority 3: Should; This task is good for my business long term and keeps my momentum.
4. Priority 4: Nice to Have; This task is to be completed after all other priorities are completed.
4. Next to each task, write down which day of the week this needs to be completed for priorities 1 and 2.
2. Each morning, review my tasks for the day and schedule the time of day each task needs to be completed.
3. Cross off tasks as they are completed. If they need to be delayed until the next week, move the task to the next week's list.

This weekly list is being kept in my goal book, in the pages right after my monthly goals. Having all this information all in one book makes it more manageable.

Here is the start to my new weekly list:

I prefer to write my lists in notebooks as I have a tendency to scribble out information and edit. This is just my preferred method and it works for me.

Here is a picture of my goal book for the year. I have January and February tabs already completed.

I have to admit I feel better already seeing it in writing. By maintaining a monthly, weekly and daily list, I hope to stay on track and not get so discouraged when it feels like I'm not moving forward with my goals fast enough.

Day 10 - New Wholesale Opportunity

What a wonderful thought it is that some of the best days of our lives haven't happened yet.

Today I met with a wonderful woman that found my Etsy shop on-line and we now have a wholesale partnership. She has her own business as an Esthetician in the Hillcrest area of San Diego. Along with providing services, she also sells local handmade artisan items. My jewelry is now part of her selection!

The reason I bring this up in my blog is that it really got me thinking about how many times I have allowed wholesale opportunities to slip away in the past. Barbara found me via Etsy and contacted me. While I immediately responded to her e-mail, if she had not replied back and pursued a meeting with me, that would have been the end of it.

I am contacted periodically regarding wholesale and many times they don't lead anywhere. I always assume that perhaps my wholesale prices weren't in line with what the person was looking for or they were contacting a number of jewelry designers and I didn't make the final cut. Whatever the reason, if I don't hear back, it's never occurred to me to send a follow-up e-mail.

Well, as of now, that changes! There is no reason to not send a quick, polite follow-up e-mail if I don't hear back from someone with a wholesale inquiry. In the past, I've been so quick to dismiss these opportunities based on what could be incorrect assumptions. Who knows - maybe the timing was just wrong at the initial contact and my follow-up is just the reminder they need to make an order. We're all busy and I can think of many times that I've had items in my on-line cart at many businesses and never ordered just because I got busy doing something else and didn't get around to it. We can all attest to that, can't we?

So, in order to grow my business, I need to be more pro-active with people who contact me regarding orders. No more just responding then assuming they changed their mind when I don't hear back. I have to realize that it's not pushy to send a second or even third response. As long as it's done politely and I wait a reasonable amount of time, it's just good business!

Can you think of times when you've dropped the ball just because you didn't hear back from someone who inquired about your business?

Day 9 - Setting Up Instagram

The greatest pleasure in life is doing what people say you cannot do.

One of my goals for January was to create an Instagram account and start exploring how I can use it to promote my brand. I'll admit that I've been a bit overwhelmed learning this social media venue - it's very different than anything else I've tried and its almost complete reliance on smartphones was an additional challenge. While I am tied to my phone all day, I don't really like typing on it and prefer to jump to my laptop for any interaction that takes more than a few clicks! Unfortunately, it looks like most of my Instagram interaction will take place using a 3x2 inch keyboard - ugh!

I've set up my account - http://instagram.com/theresarosedesigns/#

I finally figured out how to add my profile picture (hint: it can only be done from the phone).

I've also started adding pictures - a mixture of business and personal photos. After all, it is a social media venue.

I've spent a better portion of the week trying to research Instagram and the 'rules'. Here are a few things I've learned that everyone using Instagram for their business should know if you want to build an audience:

1.  Learn the art of hashtags! Use relevant, popular hashtags and post them with every image.
2.  Balance fun pictures with business pictures. Don't just copy images from your facebook page or product website. Try creating some fun pictures using your product in a unique setting or while engaging in a fun activity.
3. Follow your followers back.
4. Like and comment on other photos.
5. Follow other relevant brands on Instagram.This is also a great way to learn Instagram.
6. Don't post lots of images at once. This is considered spam and you will lose followers fast. One to three times a day is probably enough and do it throughout the day.
7. Do NOT ask people to follow you. 
8. It's better to post higher quality images less often than lower quality photos more often.

So, here is my Instagram so far. I've only been posting on it since Tuesday but at least I've jumped in and started - that's half the battle, right?

I assume this will be one of those venues that will take some time to build up, especially if I only post once or twice a day. I'll continue to post as I build my image library and hopefully, more followers.

While I'm a bit intimidated by Instagram, I'm definitely looking forward to expanding my photography skills and creating unique images using my jewelry. The great thing about this is that all my images can be used in a variety of ways. If I create a really fun, good quality image, I can post it on Pinterest, Facebook, and Instagram.

As I learn more about Instagram, I will post more information. There are a multitude of apps out there to help businesses use Instagram successfully, so if I find anything interesting, I'll let you know. If you have any tips or have any other information, please share!

Day 6 - Discovering New and Unique Opportunities

If you think you're too small to have an impact, try going to bed with a mosquito in the room.

Anita Roddick

Founder of the Body Shop

It's easy to continue looking in the same, usual places when I start thinking about how I'm going to increase sales. List more items on Etsy, look for wholesale accounts in local boutiques, and pursue craft fairs are the obvious go-to choices. While these continue to be areas of growth, looking for unique opportunities that target different customers is key to real expansion.

So for 2014 I want to look for some new and different ways to promote my business and gain more sales. Fortunately, I stumbled into a new opportunity just by attending the Wink business networking meetings. If this isn't proof that joining a networking group is valuable, then I don't know what is!

I met a fellow Wink member who is a financial advisor for a non-profit company. Her team puts on events for potential clients. These events may include wine tastings, informational seminars, etc. To make it more interesting and valuable for the people who attend, they often invite other local businesses to join and set up booths displaying their products and/or services.

This is a great opportunity for a few reasons:

1. I will be the only jewelry seller at the event.
2. I meet new customers who may have never heard of Etsy or attend craft fairs.
3. Not a large time commitment as compared to craft fairs that are usually all day events.
4. People attending are local to the area which may lead to other opportunities.
5. These types of events are smaller and more intimate than craft fairs and farmer's markets, giving me a plenty of time to talk to people and really get to know them. It's much more personal.
6. Easy to meet and collaborate with other vendors that are there. Could lead to other opportunities.

So, this will be a great stepping stone into new areas of growth. I look forward to reporting back as I become more involved in this venture.

What unique areas of growth are you looking into? I always welcome comments and feel this is the best way we can all share and learn from each other!

Day 4 - Recap of Yearly, Monthly, Weekly Goals and Tasks

Progress always involves risk; you can't steal second base and keep your foot on first.

Frederick Wilcox

It's Monday and the start of a new week. Also, the holidays are now officially over and I'm so excited to begin working without all the distractions. So, I thought today would be a good day to review my January goals and organize my goals specifically for this week.

I've been working on my Goal Book (as described in Day 2), and have started writing down some solid 2014 goals. 

2014:

• Jewelry Sales - I won't list the actual sales, but I will say that it's an increase of 50% over last year! At first, I thought that may be overly optimistic, but once I added up my reasonable expectations for each month, it definitely looks attainable.
• Arbonne - I expect to become an Area Manager by the end of the year and add 12 team members or more to my team.
• I will attend one business seminar this year to help me improve my overall success.

January:

• Jewelry 
• Stay on track with sales goals.
• Add 15 new jewelry items to my shop.
• Run 2 Facebook Ads.
• Touch base with 2 wholesale accounts.
• Host an event at 9th & Elm.
• Arbonne
• Host 4 facials or workshops.
• Add 1 team member.
• Start newsletter and send out by end of month.
• General
• Start Instagram.
• Create YouTube channel and post 2 videos.
• Schedule one meeting per week with someone that I haven't met with in over 2 months.

This week:

• Send e-mails to my Arbonne contacts that showed interest in January workshops.
• Start Instagram research and begin posting pictures.
• Meet with contact regarding jewelry promotion (more about this in Wednesday's post).
• Continue to post once per day on facebook and 4-5 pins on Pinterest.
• Add 4 new jewelry items to my shop.
• Join WINK networking group (I'll talk more about this in Tuesday's post).

Whew! I have a lot to accomplish, but writing it down is so helpful. It gives me a good solid foundation to work with and holds me accountable.

So, it's time to get to work. :-)