Car Wash - Summer 2016 - (Page 98)
HOW ARE YOU GOING TO
GAIN MARKET SHARE AND SCALE?
Market share can be approached in three ways: create a new
market, expand a current market, or take market share from
current competitors. Market share is not cheap. You need to
know which area you will focus on and be prepared financially
to earn the market share you want.
BY PROF ILE S INT ERN AT ION A L
IF YOU'VE EVER watched Shark Tank, you know there's a lot
more to being successful in business than just having an ingenious new product or offering. Evaluating whether to become an
entrepreneur can be daunting, as it involves not only generating
customer demand but also strategizing how you will outshine your
competition on an ongoing basis, and how you will fund your
business. A demonstration of entrepreneurship being no easy feat,
statistics show that about half of new start-ups in the U.S. fail in
the first five years. So how do the successful entrepreneurs do it?
Below are five questions that Entrepreneur.com contributor, Steve
Tobak, believes all successful entrepreneurs can answer.
PROBLEM DO YOU SOLVE?
Start by asking yourself what customer problem you or your product solves. Tobak goes on to say,
"...if you don't come up with a big
problem that customers will pay to
have solved, your entrepreneurial
career will be very short-lived." Use
this question as a starting point
when mapping out your business
or solution. The customer will
ultimately drive demand for your
product or service.
How you will make and keep your
customers happy is as important as
knowing how you will grow your
customer base. Competitive strategy is also critical, as you can be
certain that competition around
a product or offering similar to
yours will come once you achieve
success. What will create a greater
demand for your offer as compared
to that of your competitor?
Your solution needs to be unique.
Make sure you understand what your
competitors are offering, and then
ensure that your solution can provide
more value to the customer. Failing to
increase value proposition will make
your product or service a commodity.
This is most likely the toughest question to answer.
It is also the most common reason entrepreneurs
fail (and why Shark Tank investors are so selective
about their investments). Be sure to clearly map
out your plan for funding your new business, and
stick to that plan as closely as possible.
HOW ARE YOU GOING TO
ATTRACT AND RETAIN
WHAT'S YOUR SOLUTION,
AND WHAT'S ITS VALUE
HOW ARE YOU
GOING TO FUND
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If you can answer these five questions, you are off to a great
start for going into business for yourself. It's not the complete
package-or the final solution-to being an entrepreneur, however. Having a plan in place that answers these critical questions,
and the ability to successfully execute them, should allow you
to do quite well for yourself. Tobak suggests, "If you don't, you'd
better keep working on it until you do, because none of them are
optional if you want to get anywhere on your own."
Table of Contents for the Digital Edition of Car Wash - Summer 2016
Letter from the ICA
By the Numbers
Along for the Ride
Employee Training Is Critical to Success
New & Improved
Funding Your Big Idea
Be Prepared to Stop
The Car Wash Show 2016
ICA Unveils New Strategic Plan
Take a Tour
Blast from the Past
Car Wash - Summer 2016