Top 5 Strategies For Creating A Profitable Business

For many people, business represents a vicious cycle of profits and losses. They make a profit today, followed by a loss tomorrow. However, with the right knowledge, mindset, strategies, and tools, that vicious cycle can be broken and made into a profit-oriented upward trend.

In my previous articles, I talked a lot about the importance of market research to the success of a business. However in this article I will talk about other strategies you need to increase profits. If you haven’t heard of market research and don’t know how it works, then read this article.

Here are the top 5 strategies you need to make your business sustainable.

Disclosure : Certain items and links to products/services are affiliate links, and any purchases you make may result in a commission for us. We are paid to give honest opinions on products and/or services on occasion. You will not be charged any additional fees as a result of this.

Aim for Realistic Goals

Goals are there to make you focus your attention on whatever outcome you desire to achieve. Every business, whatever size, has goals and for most businesses there is only one desirable outcome, profitability.

Human nature tend to correlate bigger goals with higher chances of success. We all want set bigger goals in order to achieve bigger things. However, some goals are unrealistic. These are the goals to avoid setting.

Setting an unrealistic goal means you are very likely to fail to achieve it. When you fail to achieve your goal, this puts unnecessary pressure on you and your business. You end up feeling like a failure, when yet you only failed because the goal was unrealistic.

Sometimes you end up comparing yourself to another business owner who set a similar goal and achieved it. However, what is realistic to someone might be unrealistic to you, because we do not start our businesses on the same financial platform. The stress and strain that comes with failing to achieve a goal can push you to make rash decision that will only lead you into more losses.

The journey towards profitability is a long winding journey that requires you to target small realistic goals as you grow. Don’t expect massive growth at the initial stage and don’t take slow growth as a sign of failure.

The best way to grow a business is to start with smaller goals and then making incremental steps towards a larger goal.

Hire Skilled employees

Skilled workers are an asset for any business. Their valued expertise is the key to any business’s ongoing success. To get your business on a profitable path, you need to hire skilful employees in your business.

Here are some of the benefits of hiring skilled workers:

  • Skilled workers maximize productivity because they are experts at what they do.
  • Skilled workers have exceptional problem solving abilities because they have in-depth theoretical and practical knowledge on their respective areas of expertise.
  • Hiring skilled workers saves money. Unskilled workers are usually cheaper to hire. However the expense comes from the additional training they will likely need. Unskilled workers may also make mistakes on the job that will require you to hire a skilled worker to fix.

Study your customers

To be successful in business you need to study the needs of your customers and add real value to your products. Research your customer’s interests and grievances. Try to solve all their grievances and make it one of your goals to retain all the customers you lost.

If possible lure them back with attractive packages. Give them kind of service they cannot get from somewhere else.

Pay attention to strategic business innovations

Innovation means adding a new product value that people are willing to pay for. Strategic innovations drives your business to develop a continuous profit making momentum.

Strategic innovation can be supported by market research. Offer your customers a new service, built upon an existing an existing product or service and then see how the customers respond. Make the innovations unique and appealing enough to keep your existing customers as well as attract new customers.

Measure your success and track your progress

Also make sure to track your progress, either monthly or quarterly. This helps you in mapping out a sustainable way forward and in refining your strategies.


Juliet Muturuki

Quantity Surveyor and Freelance Writer.

0 Comments

Leave a Reply

Avatar placeholder

Your email address will not be published.

This site uses Akismet to reduce spam. Learn how your comment data is processed.