A few months ago, I had a conversation with a small business owner in our CLSME community, as you know, we call ourselves “jamborees” on the CLSME WhatsApp platform. You better click here to join if you haven’t. Back to my story, so let’s call this my guy Uncle Joe (not his real name). Uncle Joe had always nurtured the dream of starting his own business and becoming his own boss. He had the passion, determination, and a wealth of ideas.
With great enthusiasm, Uncle Joe launched his small business. However, as he embarked on this new venture, he quickly realized that being a business owner was far from the idyllic picture he had painted in his mind, especially considering the challenging business environment in Nigeria.
So Uncle Joe reached out to me, and during our extensive conversation, we identified the obstacles and frustrations hindering his business. Here are some of the issues we discussed:
Insufficient Market Research
Driven by his eagerness to start his business, Uncle Joe didn’t bother to conduct market research, no matter how basic. He assumed that his target audience encompassed everyone, and therefore couldn’t stock products that best fit the demands of a defined target market, especially within his store environment. Therefore, he struggled to attract the right customers. Consequently, his store experienced slow sales and unsold inventory.
Ineffective Marketing Strategy
Uncle Joe believed that marketing was only for large companies with big budgets. So he didn't dedicate sufficient time or effort to defining a marketing plan and working hard to implement it. He was just living every day as it comes. This resulted in his business remaining unknown to many potential customers, including his own family and friends, who were unaware of his offerings.
Neglecting Financial Management
Caught up in the excitement of establishing his business, Uncle Joe paid little attention to financial management. He failed to track his expenses, revenue, and profit margins diligently. Consequently, he faced difficulties paying bills and meeting his financial obligations.
Ignoring Customer Feedback
During the initial stages of his business, Uncle Joe didn't actively seek feedback from his customers. He assumed that everything was going well and that his customers were satisfied. However, he soon realized that he had overlooked several issues and areas that required improvement and was soon left with very few old customers and fewer new ones
His business model relied on building long-term client relationships, yet he was providing one-off services and swiftly moving on to the next client. Clearly, this approach wasn't sustainable.
Reflecting on his mistakes, Uncle Joe and I devised a plan to help him overcome these challenges and achieve better results. He realized the extent of the gaps he needed to fill.
I'm pleased to report that Uncle Joe is now implementing the strategies we discussed, and his business is picking up. He agreed that we share this story to help others.
If you're in similar shoes and want to discuss your business or just share thoughts with me, please feel free to reply to this mail or send a DM via social media. t. Don’t also forget to join our WhatsApp community, where we have a structured approach to mentorship and guidance. I shared the link earlier.
If you are there already, let’s discuss Uncle Joe’s mistake and predict possible ways we can deploy to help him mitigate these challenges.
Meanwhile, we have a super gift for you my people - we have partnered with an insurance provider to provide free health insurance to the CLSME community and also with BusinessDay for heavily discounted advert rates! Please click here if you are interested and select which of the offers you are interested in. We will reach out!
Don’t forget that I recently launched my YouTube channel, where I will be spotlighting many small businesses and sharing similar stories and lessons like the one you just read. Please click here to subscribe to my YouTube channel and follow me on other social media platforms. Just type in my name anywhere and DM me with “from your newsletter” so I can follow back and keep in touch!
Till next Wednesday, it’s me, your guy!
Ayo Bankole Akintujoye
Instagram @AyoBankolee