You’ve had symptoms for some time and it’s been confirmed that you have a heart condition. Would you want to be treated by a General Practitioner, or would you want to be treated by a Cardiologist? Most people would want to be treated by the doctor who specializes in treating the specific condition. Why? Because they understand and expect that the Specialist has had more training and experience in this area and they will achieve better results faster.
Clarify What Your Business Offers: Tale of Two Stores
Please take another moment to go for a walk with me, using your imagination. Imagine two stores sitting side-by-side in a popular shopping mall. One is your Go-To shop for just about everything. They sell garden tools, candy bars, T-shirts, car parts and baby bottles.
The other is more exclusive. In fact, the only thing they sell is French and Italian designer fragrances. They stock only eau de toilette, colognes, and perfumes from French and Italian manufacturers. No bath gels, no soaps, no scented candles, no greeting cards, no handbags or shoes. If you’re looking for American colognes and perfumes, or even from other countries in Europe, you will not find them.
At first glance, you might think that the perfume store is limiting itself. After all, there are lots of other things they could sell, right? There are lots more fragrances they could sell. They could also sell fragrances that are at a much lower price point. And, since many times these fragrances are for gifts, they could easily add some exclusive quality chocolates to their inventory.
Clarify What Your Business Offers: After Our Tour
So after our tour you may be thinking that the perfume store is seriously limiting itself and therefore reducing its profits. After all, bath salts and lotions could make a nice addition to an exclusive perfume. On the other hand, you may be thinking that the general store must make more money because it carries a varied inventory. This is not usually the case.
It might appear at first glance that the store with everything has more traffic. That’s because it does get more. Remember, no matter what you want, you can almost always buy it there. But because they stock so many different things, and have to appeal to a wide market, their prices are lower. Further, a single rumor of a lower price at a new store across town, and their existing customers are usually gone without a backward glance.
On the other hand, by specializing in one product, the number of customers may be less, but because the price point is higher, and the store has built a reputation for delivering only the best, customers are more willing to pay a premium price. When you combine that with excellent customer service, and word of mouth marketing from customers who rave about their purchases and how special the owner and staff make them feel, the results are amazing!
Clarify What Your Business Offers: Your Business
When you clarify what your business offers and limit yourself to only those that closely match your business goals, you will be in a far better position to attract your ideal client. Not only that, but you’ll have customers lining up to pay a premium for your services. This applies to offline and online businesses that are not brick and mortar businesses.
As a coach, service provider, or info-product creator, it’s critical for you to know exactly what you want to provide, and to whom. You do this by clearly identifying your market and the problem/s they have so that you can provide solutions.
If you simply create a hodge-podge of products with no clear direction and without a cohesive brand, you may make a few sales (especially if you try to make yourself the ‘low-price leader’), but you won’t gain a loyal following. You’ll be like that first store, always chasing after new customers, because the old ones keep wandering away in search of a better price.
Take a look at your virtual storefront. Are your products all in keeping with your brand? Do they instantly tell a new visitor exactly what you do? Are they priced in line with your market?
Don’t be afraid to take a hard look at your current offerings and get rid of those low-priced, fringe products that are diluting your brand. Focus on the core products and services, and work to make them better and more valuable, so that you will create loyal customers and clients who rave about you and refer others to you.
Yvonne A Jones is a Coach and Mentor and Founder of 50 and Wiser Coaching. Her favorite clients are highly-motivated Entrepreneurs 50 and Wiser and
Service-Based Small Business Owners, including existing and emerging coaches and consultants.
Yvonne supports her clients in developing a success mindset which empowers them to create strategies, build systems in their business, and get results fast! She believes ‘that when you focus on relationships, the money will follow.