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4 Reasons Why So Many Businesses Fail in the First 10 Years

Store Closing and Going out of Business signs displayed at a soon to be closed store I

Did you know that half of businesses never make it past the five-year mark? Start-up life might seem glamorous at first, but at the same time, 70% of businesses fail within the first 10 years. If you are a business that has employees, then you should be alarmed by this. Business failure is a harsh reality to say the least, but if you take the right steps and if you make sure that you are aware of why some businesses just don’t make it, then you can give yourself a better chance of success.

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Not Delivering Real Value

At the core of any business is value. The most successful companies in the world are the ones who are able to deliver the most value. Find a way that you can under-promise but over-deliver. It doesn’t matter what situation you are in because you have to focus on your real-value proposition. If you are not giving enough value to your customers, then you have to make sure that you rethink your approach. Of course, it’s helpful to have good invoice software too, so you can keep track of who is buying your product. You can read more about that here.

Not Connecting with Your Audience

If you are unable to connect with your audience then your business is going to fail. If you do not connect with your demographic, then this just goes to show that you are not aware of what your customers want. To get around this, you need to  use market surveys, focus groups and even email marketing campaigns to your advantage. Discover everything about your audience, right down to the last detail. Then you will be able to avoid business failure far more than you realise, and this can work to your advantage more than you think.

Not Optimising Conversationsconversions

So many entrepreneurs have so much to deal with, and they often end up forgetting the needs that they need to address. If you do not optimise your conversions, then this will work against you. You need to optimise your conversions earlier on and have a positive ROI on your ad spends, too. Then you will know once and for all that you have a completely sustainable business. At the end of the day, you cannot rely completely on organic traffic methods like SEO. You need to go the extra mile if you want the best result.

Not Creating a Good Sales Funnel

Building a good sales funnel should be your primary goal. You need to make sure that you have an automated selling machine as this will help you to reduce the friction of the sale and it will also help you to put your business on autopilot. This allows founders to grow things, such as their traffic sources and gives them the chance to educate their customers through webinars.

Published: July 16, 2020

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Bernadine Racoma

Bernadine Racoma is the Content Manager of eTranslation Services. Her long experience in an international development institution and extensive travels have provided her a wealth of knowledge and insights into cultural diversity. She writes to inform, engage, and share the idea of the Internet being a useful platform for communicating, knowledge sharing, educating, and entertaining. You can find Bernadine Racoma at Twitter.

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