One of the hardest parts of running a business is finding customers. This is one of the biggest struggles a startup company may face. Although you may already believe in your product, no one else does— yet. As an entrepreneur, you spend countless hours promoting your product and creating marketing plans and activities. Yet, after all this hard work, customers are still not purchasing your product.
Why won’t they convert?
There could be many reasons why customers aren’t buying your product. Let’s take a look at some examples to see what may be holding them back.
Price: “If the line is too long, then the price is too low. If there is no line, then the price is too high,” my economics professor said years ago. The lesson is clear—the price you set for your product can eliminate you from a potential customer’s criteria. Make sure your product is competitively priced.
Lack of perceived value: This is a bit different from price, since it is a combination of “what the product does” versus “how much it costs” (especially compared to competitors). If customers fail to see your product as a good value, then they will drop out of your marketing funnel. Customers don’t buy features—they buy benefits, so make sure those benefits are stated clearly.
Window shoppers: Some users tend to browse around the Internet just looking to see what they can find. It’s similar to visiting the website of that car you’ve always wanted to buy, but never could afford. It’s still great to look at the pictures and imagine yourself driving it, but that doesn’t mean there’s not a marketing guy somewhere wondering why you didn’t convert to a sale.
Lack of actionable information: Have you ever shopped for furniture online and found the missing piece you’ve been searching for, only to discover that no dimensions are listed on the site? This can be a frustrating experience, but it is a great example of how one little piece of missing information can cost you business.
Better deal found elsewhere: In today’s online shopping world, there is no longer extreme brand loyalty. People shop for the lowest prices for most goods, unless they can only find the specific product they are seeking from one company (e.g., an Apple iPhone). Most other products these days are commodity goods, which means there is minimal brand allegiance. When comparing your product to the competition, a customer may decide to go with the cheaper product, meaning you lost.
These are just a few examples of why your website may lose possible business. However, every business is different, and there can be a multitude of reasons why you’re not converting. A business-consulting firm like Ark Applications can help zero in on your current sales channels and help you plug your leaks.
If we can help your business in any way, please send us an e-mail at email@example.com