Part 1) Why Businesses Fail:
They lack the correct mindset about marketing
Problem: 99% of Businesses are Targeting only 1% of the Market
The number one reason 50% of small businesses fail in the first 5 years is that almost all companies (regardless of niche) target 100% of their marketing effort on the “ready to buy” portion of the market.
These “ready to buy” people are individuals with a urgent need and money in hand, ready to buy right now. The first business that appears to meet this need will be the one these people throw money at.
Now as a owner of multiple businesses both online and “brick and mortar”, I love these people. All business owners do! So its completely understandable that this is where entrepreneurs think they should concentrate their efforts.
BUT the issue is the “ready to buy” individuals make up less then 1% of the your possible target market.
Which is a HUGE FREAKIN problem when 99% of businesses are targeting this 1%.
So the REAL question you should be asking at this point is….what about the rest of the market? The other 99%?
Lets quickly breakdown the rest of your average target demographic.
1) Ready to buy right now / urgent need = Less than 1%
2) Need your product/service BUT still researching = 30%
3) Possible future need BUT no urgency, NOT researching = 30%
4) NO interest, NO need = 40%
NOTE: These numbers are just a rough breakdown. Percentages fluctuate slightly depending on your niche, location, etc but on average this is what I have seen across all markets after 10+ years of extensive testing.
So as we can see from this data, there is an additional 60% of your target market that most of your competitors are avoiding entirely!
Because this additional 60% requires MORE then simply being in the right place at the right time.
This group requires you to do that dreaded…..*grimace*….S word.
That dreaded S word being, of course, “sell”.
Now I’m just going to come out and say it.
Most entrepreneurs can’t sell worth ****.
Most entrepreneurs are “idea people” aka they come up with an idea, put in hours of work fine tuning it but when it comes to actually selling it they fall flat on their faces.
I’m not complaining of course. If all entrepreneurs could sell right out of the gate I’d be out of a job!
The truth is, the difference between success and failure lies in convincing that 60% of your target market that you are the best choice to invest in.
Even better, if you implement what I’m about to teach you, you will never have to personally sell anyone!
The 5 step funnel I’m about to lay out for you will automate almost the entire process of convincing this 60% to buy from you with minimal effort on the part of your company.