Three Tasks Every Business Owner Should Do Annually
Alisha M. Pennington is the owner of ATvantage Athletic Training and a business development mentor.
As the end of the year approaches, entrepreneurs usually have a long to-do list. Among them, in particular, there are three problems that managers cannot ignore. Although this should not be completed before the end of the year, it should be discussed annually for annual planning. The information you receive can help you understand how the market has changed over the past 12 months, give you an idea of what changes have occurred, and provide clarity on your next steps.
- Market research and competitor analysis
Once you’ve built a customer base, it’s important to listen to their opinions, gather feedback, and see what others have done since you entered the market. Each of these exercises should then be used to determine how to adjust services, products and/or customer experiences for the coming year.
When talking to customers, you want to be specific and precise in your questions. Specifically, you are trying to identify their weak points and preferred solutions. For pain points, ask questions like:
• What are you currently struggling with (product/industry)?
• What do you need support for (product/industry)?
• What are you most concerned about (product/sector)?
• What is not working for you (product/industry)?
To understand the solutions you need, ask questions like:
• What is your ideal fit (product/industry)?
• What would be your dream solution (product/industry)?
• If you had one thing you wanted (product/industry), what would it be?
When it comes to competitive analysis, you need to know how others are positioning themselves, who remains or is no longer a competitor, how your customer base may include demographics you didn’t initially consider, and/or explore new products. or sold services; When conducting a competitive analysis, you should consider:
• Who do your competitors primarily serve and how are they different or similar to your audience? Consider age, industry, geographic region, career or life stage, gender, and more.
• What are their strengths and where do they stand out? See testimonials and reviews, aesthetics, customer experience and whether there are more or less results or products.
• What results does it produce? Are there points in their reviews that you can improve on your business? How do they make people feel and what makes your brand different? What results do clients get after working with them?
The main findings of this study include:
• What things can you get that are good for you?
• What strengths of your product or service should you highlight in your message?
• What did you not think you would have to achieve in the future?
- SWOT analysis
As I’ve written before, after a decade of starting and growing a business, I’ve found that a SWOT analysis is one of the best tools for evaluating a business and determining the next steps needed. Here’s how to make it.
• First, you manage what I call the “corporate brainstorm.” Explore all aspects of business including law, accounting, quality control, marketing, communications, leadership and more.
• Then divide your answers into four main groups: what you and your team do well; things you and your team struggle with; areas to benefit from and what to expect; and the problems and risks that may arise. Now you have your strengths and weaknesses, opportunities and threats.
Now you can prioritize potential opportunities, mitigate threats, and find solutions to pain points by doubling down on strengths. This provides an efficient way to audit the entire business and develop a roadmap for next steps.
- Definition of the goal
Perhaps best suited as a calendar or year-end activity, setting resolutions is an opportunity to reflect with yourself or your team on what you want next. This is different from goal setting because goals are usually defined as a result of understanding goals. A quick way to get closer to setting goals.
• Define verbs that describe the actions you want the company to take, such as grow, spread, move, develop, participate, lead, provide, discover, improve, guide, consult, or share.
• Add sentences to these verbs that show where you want to move. For example, “Grow our audience to a different demographic.” “Show the message of our mission.” “Develop engagement with your current customer base.”
• Use these goals to create follow-up goals and key performance indicators for each manager or department, including yourself.
Goal setting allows you to move toward an end goal without setting a specific measurement for it. This creates an opportunity for everyone to feel empowered to participate in the activities that move the business forward and allows them to set a relevant goal and/or KPI. This allows team members to check in while providing a general guide to where you want to go.
The three activities suggested above are often overlooked because they are usually done at the beginning of an activity and are rarely completed. When writing business plans, developing new ideas, or executing a turnaround, these techniques are often used and then forgotten as practical and important tools to inform future business moves on an ongoing basis. Leaders often forget to keep asking questions and take an interest in their customers’ needs, overlooking or losing sight of the need to audit their business while working so hard on the business.
Frankly, this is an opportunity for you to downsize and work on the business, not the business. By applying these practices to your annual calendar, you can be more efficient in your decision-making and easily identify next steps while avoiding potential pitfalls. As you complete these tasks, remember to prioritize the customer experience while keeping your business vision in focus.
The Forbes Business Council is the premier growth and networking organization for entrepreneurs and executives. Am I right?
Business Owner
Business Owner
Business Owner
Business Owner
Business Owner
Business Owner
Business Owner
Business Owner
Business Owner
Business Owner
Business Owner
Business Owner
Business Owner
Business Owner
