The Top 10 Requirements for Your Business to Become and Remain Profitable

We live in a relentlessly competitive world. The daily pressure to work "better, cheaper and faster" can make even talented business owners and entrepreneurs lose site of first principles. As you cope with the decisions and details of running your business, focus on the fundamentals! Regardless of the type of business or the products or services you sell, here are my suggestions for the Top 10 Basics that will make your fortune:

1. Customer Benefits. You and your customers must clearly understand the benefits that your products and services provide. Most buying decisions are based on the consumer's perception that a new color will add prestige or that a smaller, lighter product will be more convenient. Customer's buy benefits.

2. Extra Value. Customers must receive more in value than you charge for your goods and services. Most of us don't want a "fair" exchange, we want a bargain, the sense that we got extra value for our money.

3. Extraordinary Service. This means attention to detail. Answering the phone on the first ring, providing an 800 number and 24-hour customer service numbers are examples. L.L. Bean has made a fortune with it's "no questions" guarantee. So can you!

4. Know your Audience. Every business has to know their audience. Volvo and Nissan have very different audiences, and their advertising, pricing and even the location of their dealerships reflect this. Young adult audiences may value low price, while another group may value quality, performance, reliability or some other item. This is even more critical for service organizations who's products are invisible (consulting, education, coaching, etc).

5. Location. In the old days, this meant the street address of your shop or store. Now it means getting your marketing messages into your customer's hands when and where they are receptive. Be certain your website is located at the top of the search engines. Make your Yellow Page ad larger or distinctive. NASCAR race fans are the most brand-loyal consumers in America. If you want to reach them, buy space on a race car!

6. Convenience. Customer's expect to shop at their convenience, to pay by credit card, to call an 800-number, and to have their questions answered correctly the first time. Obviously, most service providers (medical, legal, consulting) can not be available 24-hours a day, and how you handle that problem will say much about you and your business to potential customers. Make it easy to do business with you!

7. Innovation. New is good, newer is better. Customers expect the benefits of the most modern technology. At a minimum, they expect the convenience of email, voice mail, pagers, and fax. If there is a faster, better, cheaper and more reliable way to do it, adopt cutting edge techniques before your competition does!

8. Reliability. Consumers assume they can rely on your products and services. If they are purchasing your time and expertise, they rely on your availability, your advice, your attention to detail, and your follow-through. Durability may be less important in a throw-away age, but consumers demand 100% reliability. Be available for them every single time!

9. Planning. Planning takes on strange twists when a computer chip "generation" lasts 6 months and a website may be "old" in 6 weeks. Planning is the ability to monitor, influence, and profit from change. Planning means having a mission statement and the flexibility to respond instantly when new information allows you to fulfill your mission more effectively. Planning means you control your destiny.

10. Communication. Communication means instant, 2-way communication between every level and every branch of an enterprise. It means communicating with your vendors and competitors, and working with your customers so they become your most important designers, researchers and customer service experts. It means an "open door" policy and flat organizational models. It means listening is more important than speaking. It means ideas rule the world.

� Copyright 2003 by Philip E. Humbert. All Rights Reserved. This article may be copied and used in your own newsletter or on your website as long as you include the following information: "Written by Dr. Philip E. Humbert, writer, speaker and success coach. Dr. Humbert has over 300 free articles, tools and resources for your success, including a great newsletter! It's all on his website at: http://www.philiphumbert.com

---

Six Sigma Training 101 ? Better Management Basics

What is Six Sigma?Six Sigma is a quality management program... Read More

Tales from the Corporate Frontlines: Ideas for Everyday Training

This article relates to the Training competency, commonly evaluated in... Read More

Employees Commit Corporate Fraud

Imagine the following scenario; Ten years ago you decided to... Read More

ISO 9001 Registration ? 8 Steps for Success

You've made the plans, built the quality system and conducted... Read More

Manage or Lead ? Why the Difference Matters and What to Do About That Difference

Many books have been written about managing people, and an... Read More

Stop Waste, Fraud and Abuse

Each year, businesses write-off six percent of revenue to waste,... Read More

Management Apathy

I recently received a most interesting phone call.When I answered... Read More

Communication: Managements Responsibility

I've just watched, again, an episode in the Back to... Read More

1000 Managers Turned Their Plans Into Energy!

I bet you can't tell me how leadership training and... Read More

Tales from the Corporate Frontlines: Training is in the Eye of the Beholder

This article relates to the Training competency, commonly evaluated in... Read More

Motor Vehicle Policy and Your Employee Risks

It is becoming more common for employers to require employees... Read More

Three Foundation Stones for Building Organizational Integrity

When the stock market crashed in 1929, there were a... Read More

Identifying Potential in Ourselves and Others

If there is someone nearby as you read this look... Read More

Creative People, Innovative People

The title implies that some people are and others not.This... Read More

Can You Sleep While The Wind Blows?

Let me repeat a story I heard many years ago... Read More

One Crazy Cookie

In order to survive, you have to be happier than... Read More

The Art of Motivation and Need Fulfillment

Industrial/clinical psychology and applied psychiatry have made tremendous strides in... Read More

A Winning Way to Handle New Ideas

Janet DiClaudio, who was charge of medical records at two... Read More

Never Wrestle with a PIG

The business books at the library and book stores fill... Read More

Four Employee Behaviors That Can Kill Your Business

I found it important to clarify for employees what "deal-breaker"... Read More

Innovation Management: The Time Factor

Creativity can be defined as problem identification and idea generation... Read More

Romford Accountants: Accountancy Firm Roles and Responsibilities

If you own or operate a business in the UK,... Read More

4 Simple Steps to Successful Delegation

Last month, my featured article was about creating a "Stop... Read More

Business Innovation ? Tacit Knowledge

Creativity can be defined as problem identification and idea generation... Read More

Is Your Company in Need of Family Therapy?

How Companies Are Like FamiliesLike a family, a company is... Read More

Marketing Miracle: Outsource Your Creative Services

The current economy is causing most companies to tighten their... Read More

Few Things Are More Destructive Than An Insecure Boss

Few things are more destructive to a career than a... Read More

To Meet or Not to Meet - What are the Questions?

Meetings can be a total waste of time or a... Read More

First Things First -- Process BEFORE Technology

Here's a brief story I encountered while leaving Newark International... Read More

Organizational Structure, Creativity, Innovation

Organizational structure can inhibit or foster creativity and innovation. The... Read More

Experiences of Management Coaching (Part 2)

In our experience, we have found that there are several... Read More

Innovation Management ? the Root of the Problem

Creativity can be defined as problem identification and idea generation... Read More

The Death Spiral

Sometimes things just happen. Maybe we lose focus and take... Read More