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Marketing
focus PRESS RELEASE!! Innovative Business Advisory Program Small Business Can Now Have Their Own Board – At No Cost
How MBA can help your business achieve outstanding success - pages 2 & 3
MARKET WATCH Does Your Marketing Strategy Need a Revamp? Did you kick off the year by planning to do some things differently in 2014? Are you beating yourself up because 2104 is now almost gone, and you still haven’t managed to get around to doing it? Perhaps you could use this little note as a reminder to refresh your business, revamp your marketing and tie up loose ends. Mobile: 0451 184 599
Email: dennis@mybusinessadvisor.com.au
Web: www.mybusinessadvisor.com.au
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MBA MY BOARD ADVISORS Innovative Business Advisory Program Small Business Can Now Have Their Own Board – At No Cost Photo courtesy of the Caboolture Shire Herald
Many successful small business owners often find that they have “gone about as far as they can go” in terms of growth and direction. In the past they have always been self-reliant, and now, although they can see the potential for continued growth, they have reached an impasse and are unsure of the next step. Do they employ more people? Do they increase their prices? Do they diversify their products / services? Do they need to update their equipment? The next step can become a minefield for many people, so what’s the answer? Consider appointing an Advisory Board! Most larger companies and organisations have Boards, as do many incorporated associations and not-for-profit organisations. They appoint Board Members to provide guidance and advice and to have a diverse set of knowledge and skills to complement the owner and the employees, and to provide a solid “balance”. However, mostly, small and medium sized enterprises (SME’s) don’t have the luxury of appointing a Board, and are usually reliant on their own skills and those of their staff.
What is an Advisory Board? An Advisory Board can provide the strategic advice and complementary skills required to take your small or medium business to the next level. An Advisory Board is a group set up to meet regularly to review business objectives, goals and plans, improvement methods and best practices, existing systems, new projects or ideas and also to give feedback, as needed, or whenever special questions arise. Such an Advisory Board differs from a public company’s Board of Directors in a number of ways. First, an advisory board is not a legal requirement for a private company, while a board of directors is a legal requirement for a public company.
Second, advisory board members do not assume any legal or financial responsibility, while members of a board of directors may be held accountable both for the company’s actions and for its failures to meet financial obligations to employees and shareholders.
Third, a board of directors’ responsibilities to the corporation are frequently set out in company statutes; this is rarely done with an advisory board. Continued next page
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However, the main role of an Advisory Board is to provide an independent source of information and advice to the owners/directors on strategic issues or risks confronting the business. Each business will need to determine the roles and responsibilities of its advisory board to best suit its particular circumstances and needs. However, a good, working Advisory Board can provide an independent source of information and advice to the owners/directors on strategic issues or risks confronting the business and help create a “learning forum” for the business owner and staff. Suggested roles and responsibilities for advisory board members include: Develop an acute understanding of the business, market and industry trends Provide “wise counsel” on issues raised by the owners/directors or management Provide the directors and management with insights and ideas which can only come with being distant from the day-to-day operations Encourage and support the exploration of new business ideas Act as a resource for the business Encourage the development of a governance framework that enables continued growth, whilst not stifling the spirit or vision of the founders Monitor business performance and challenge the owners and management to consider options for improving the business The Australian Institute of Company Directors states: “A small business advisory board can provide the strategic advice and complementary skills required to take your small or medium business to the next level” Four well-known and experienced locals have recognised the need for such a service in the Moreton Bay region (and beyond) and have formed an association – My Business Advisors (MBA) – to offer this service to the many SME’s who are in this position and are ready to go to the next level. Each of the members of MBA has a diverse range of knowledge and skills and all are experienced business mentors / coaches. MBA comprises:
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Geoff Butler (Business Optimizers) Mobile: 0414 943072 Email: geoff@businessoptimizers.com.au
Dan Buzer (Profit Mechanics) Mobile: 0414 567 188 Email: dan@profitmechanics.net
Peter Athey (Specialized Management Services) Mobile: 405 318 449 peter@specializedmanagement.com.au
Dennis Chiron (Marketing Means Business) Mobile: 0451 184 599 dennis@marketingmeansbusiness.net.au
Spokesperson for MBA, Dennis Chiron said; “One of the aspects holding many SME’s back from taking on a Business Mentor is the cost of this service; and we believe that we have developed a unique program that provides the opportunity for all SME’s to become involved. The program is a no-fee program for the business owner, and is based solely on the performance of MBA being able to assist the SME to increase their bottom line income. For example; we will take the mean average of the Monthly P & L over the past three months, and let’s say that the monthly profit for the business calculates out to $5,000. Our aim is to increase this monthly profit, and any increase over and above the $5,000 we, the Advisory Board, receive 25% of the increased profit.” “So, if we can assist the business to increase its profit to $6,000 (say) in the next 3 months, then we receive 25% of the $1,000 profit increase, which is $250. So, we don’t intend to get rich quick. What we do aim to do, is help to build a solid foundation for the business, where in 12 months’ time they have doubled their bottom line profit…. And, in reality, it doesn’t cost the business owner a cent if we don’t perform.” Dennis said that the business doesn’t have to be local. “We hold monthly “Board” meetings with business owners throughout Australia via Skype and it works exceptionally well”. For further information please phone 0451 184 599 or email to: dennis@mybusinessadvisor.com.au
Email: dennis@mybusinessadvisor.com.au
Web: www.mybusinessadvisor.com.au
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Your Customer can be Your Lifeline or Your Executioner Dennis Chiron MarketingMeans Business 0451 184 599 dennis@marketingmeansbusiness.net.au Skype: dennis.chiron2
PROFILE OF AN UNHAPPY CUSTOMER There are some facts on unhappy customers that both you and your staff should be aware of. Think about yourself and your business. If you fit some of these profiles it should also confirm to you that others feel the same. Did you know that:
That the average business never hears from 96% of its unhappy customers. That for every complaint received, a business will have 26 others that are unreported, six of which are serious. That those “non-complaint” customers do complain to nine or ten other people. That customers whose complaints are effectively resolved will tell an average of five other people.
Everyone knows the benefits of a satisfied customer, but few business owners stop to consider the potential value of the not-so-happy. In an article in “My Business” Tom Dickerson explains how you can use unhappy customers
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K EEP Y OUR
C USTOMERS H APPY
to better your business http:// www.mybusiness.com.au/experts/howunhappy-customers-can-improve-yourbusiness Unfortunately, unhappy customers are an inevitable consequence of doing business and you will run into them no matter how committed you are to seeing them all happy. There will be times when that customer is justified in being upset while there will be others where the situation was entirely out of your control. Strategies do exist where you can diffuse a situation and help a customer feel better and perhaps even turn them into a repeat buyer. In the beginning, every business owner is certain that they must retain every single customer they can but this is not an excuse to allow the business to become the proverbial “doormat” for customers to kick around when they feel like it. Sooner or later you're going to have to deal with an upset customer. A product breaks, their goods don’t arrive when promised, an employee has a bad day, these things happen! The question is, how are you going to deal with your unhappy customer, especially considering that these days it's very easy to vent ones spleen using social media. Almost with one foul swoop, a frustrated customer, through Facebook or Twitter, can literally destroy your business. Email: dennis@mybusinessadvisor.com.au
Sixty eight percent of customers who leave do so because they feel unappreciated, unimportant, and taken for granted.
Everyone claims they give excellent customer service. While that might be true for some, it is far from true for others. If every company gives excellent service, there would be no need for customer complaints lines, consumer watch dogs, or even companies liquidating. Customers care about how they’re treated. With the recent rise of social media, consumers are able to voice their dissent — or support — immediately to the masses. Businesses have to manage relationships with their customers more carefully than ever, whether online or offline. People will buy from you for many reasons, but the experience they have determines whether they come back or not. So from the beginning you need to focus on helping the customer, because that’s what builds repeat business.
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COMPLAINTS ARE A GREAT WAY FOR YOU TO IMPROVE YOUR BUSINESS Dennis Chiron MarketingMeans Business 0451 184 599 dennis@marketingmeansbusiness.net.au Skype: dennis.chiron2
Firstly, a good business tries to minimise customer complaints through excellent customer service, and address customer complaints about the business, or a product or service quickly and fairly. Customers can become difficult for a variety of reasons. Some might have an annoying personality; others like to find faults, while some think they know it all. Customers like these can become impatient, intimidating and demanding. Angry customers are the most difficult to handle as they are usually upset and emotional, as they are not happy about the product or the service. You need to see your customer’s complaint through their eyes. Imagine that whatever the customer is complaining about has also happened to you. What would you be thinking and feeling? How would you react? How would you expect to be treated? What would it take to satisfy you? What response would be necessary for you to walk away feeling good about your complaint and the company? It is estimated that only 1.5% of all customers will try to take advantage of a company through exaggerated claims. So, chances are, your customer’s complaint is Mobile: 0451 184 599
legitimate and realistic. A customer’s complaint is usually a clear message on how you can improve your services or products. If you are able to identify and meet customer wants and needs, you will undoubtedly improve your business performance and increase your customer base. A satisfied customer usually means repeat business. In most cases, the information that you can obtain through a customer’s complaint is impossible to get through any other means. You are being presented with a real opportunity to prove your commitment to your customer by addressing these concerns, even when the complaint may seem minor or trivial. Complaints that customers bring directly to you are the most efficient and least costly way of obtaining information and under-standing customer expectations. When a customer has a genuine complaint, thank them for raising the matter with you. Treat them with genuine empathy, courtesy, patience, honesty and fairness. Try to respond to the complaint quickly. Tell the customer how you will handle it and when to expect a response. Speak to the customer in person. Do not rely on written complaints or records of conversations.
When choosing your approach for communicating with a customer, think about how you would like to Email: dennis@mybusinessadvisor.com.au
be treated if you were making a complaint to a business. Model the type of conversation you want to have with customers who are making a complaint. This may include making it clear to the customer that you are eager to listen and treating them with courtesy and consideration. There are a number of common complaints that customers make relating to products and services. Having procedures in place that find solutions to common complaints will help you resolve issues quickly and efficiently. Always seek outcomes that will satisfy your customers, and make sure these are feasible and affordable for your business. Remember that the cost of a shortterm concession is worth preserving a long-term relationship. It is a fact: Customers will take their business elsewhere because of poor service rather than poor quality products. It is very important that a business listens to the feedback received from their customers. So, appreciate the fact that your customer bothered to tell you first, and take full advantage of the situation.
Web: www.mybusinessadvisor.com.au