Many small businesses are in what we call a brand crisis. They don’t have an effective brand story, brand position, and brand journey. These are key areas that give clarity to who they are, what they do, how they do it, why they do it, and how they help make the lives of people better. This gives rise to many of the common challenges businesses face, and if they aren’t properly addressed, it will result in the failure of the business.
A successful company takes the time to discover who they are, craft what they do and why they do it. This is followed by implementing their brand story, brand position, and brand journey. Every successful company throughout history has used this process of moving a customer from first interaction to becoming a raving fan. For reference sake, think about Apple, Google, Beats, Tesla, etc.,
In this article we are going to share some of the most common reasons why businesses fail and how you can prevent them. Equally as important is how you can breathe life into your brand in such a way that positions and empowers your growth.
8 Out of 10 Businesses Fail
According to Forbes, 8 out of 10 businesses fail because of five particular reasons. And these reasons are:
- Not really in touch with customers through deep dialogue.
- No real differentiation in the market (Lack of true value proposition)
- Failure to communicate value proposition in a clear, concise, and compelling fashion
- Leadership breakdown at the top (otherwise known as founder dysfunction)
- Inability to nail a profitable business model with proven revenue streams.
Symptoms Not the Underlying Problem
These five reasons for business failure provide some insights into why businesses fail. However, they are only symptoms of the underlying disease that plagues many brands. This disease is caused by misalignment of brand story, brand position, and brand journey. In other words, it’s a misalignment of who is behind the business (the leaders and teams), what and how the business does what it does, and how it interacts with and delivers value to its customers.
A misalignment in one or more of these areas creates the presentable symptoms that can snowball into causing the death of the business. Think about the spokes within the wheel of a bicycle. If one or two of your spokes are out of alignment it’s a bumpy ride. If three or more of your spokes are out of alignment you can’t move forward. Your business is like the wheel of that bicycle, and the spokes are your brand story, brand position, and brand journey. What’s the condition of your brand wheel?
So, You May Be Wondering, What’s This Mean for My Business?
The good news is that each of these five reasons can be solved. Begin by going through a brand discovery process that allows you to create and grow your story, then develop cutting-edge solutions to help you attain your goals, and finally communicate your story with your customers. So how do you do this? How do you learn how to do anything successfully? You seek out a trusted guide and mentor who’s in a position to guide you from where you are to where you want to go. You want to go from brand discovery to brand notoriety. That’s why we created the Greenbaum Stiers Strategic Marketing Group.
Greenbaum Stiers truly believes your business can change the world. We love coming alongside amazing businesses and people like you. Our goal is to breathe life into your brand through our proprietary method of creating, developing, and communicating who you are, what you do, how you do it, why you do it, and how you can positively impact people. The Teams’ focus is on serving others with a foundation of trust, relationships, and integrity. We are focused on helping individuals and brands like you prosper by creating and delivering innovative solutions with excellence, care, and the utmost respect.
Ready to Upgrade?
At Greenbaum Stiers Strategic Marketing Group, we’ve created the “5 Ways to Grow Your Business” just for you. These 5 growth tips are a guaranteed and proven system for helping you grow your business immediately. If you apply these 5 insights your business will drastically change for the better.
Into Your Brand ⋯
If you’re ready to make your business more successful, we are offering free brand assessments, and free resources for you and your business. We look forward to connecting with you and adding value to what you do.