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How to Grow Your Small Business

By: Marilyn Ellis Click author's name for more of his/her articles

Why is your business not producing the results you want? Perhaps it is your lack of understanding about the two basic business models used today. Do you know the difference between a Business to Consumer model and a Business to Business model. Which one are you and is it the right one for your business?

There are basically two kinds of businesses - 1. Business to Consumer and 2. Business to Business.

Business to Consumer is the model that we all have the most experience with and the one that causes small businesses the most trouble and confusion. Business to Consumer is the Retail model and is based soley on product, pricing and convenience. Quality is not as important as a quick fix for a short term problem. You need a new suit, you are hungry, you need a new dishwasher. Choices are usually easy and quick. That's great for large department and discount stores as well as fast food chains. Consumers want a quick in and out experience. One day, a certain store will be closer for that quick fix or having a special sale on their merchandise. The next day, another store may be more convenient and offer a better price. There is absolutely no consumer loyalty and not much of any repeat business. Pheir profit comes from volume and short term sales.

Can you see what a dead end street this is for your business? First of all, it's tough to compete with larger competitors who can offer low pricing and have deep pockets. You are out of your league and will always be scrambling for more business.

If you have been operating under the Business to Consumer model and are wondering why you aren't getting any repeat business? - you have the answer now. You are a little fish in a very big pond. With this model, that is all you will ever be.

The Business to Business model is the one you want. This model doesn't focus on quick sales. It has a slower buying process because Business to Business is relationship based. Your "bigness" as a fish in this pond is your reputation for service and quality and even more importantly, your FOLLOW UP. Your goal is to build trust and to make the customer happy. You want your customer to feel loyalty toward you and what you sell or do. This will produce longevity in your business and repeat customers and referrals. It will take time. Business building is not a sprint - it is a marathon! When you build a trusting relationship with a client, price and convenience are no longer the main criteria for purchase. Did you just hear that? They know you, trust you and like you. They really don't want to look any further for a solution to their problem. You solve their problem without worry. This is the basis for business development and growth - not hit and run, one trick pony selling! Now you truly have no competition. Once you get that concept, your efforts at building client relationships will grow quality referrals and lifelong business relationships. This must always be your goal.

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About The Author: Marilyn Ellis,"America's Organizer Coach", Author, Speaker, Professional Organizer, Business Development Coach. Her focus is on Small Businesses and Entrepreneurs. If you are stuck on the rocks, lost in the fog or surrounded by sharks, she will shine her harbor light on you. visit www.lighthouseorganizers.com to receive a free report and/or to purchase her books.