If you are an entrepreneur, you broke away from “the man” believing you could do something bigger, better, and brighter. Your dream of being the next millionaire business owner, and your aspiration to control your own destiny were unstoppable. But that was years ago. The fancy car you were going to buy is no longer in production, and that vacation home has never been further from reach.
Your revenue continues to grow, but your pockets aren’t any deeper.
Your optimism tells you, “Just a few more clients, and we’re going to make it.” But the clients come and nothing changes. You’re the hamster in the wheel of entrepreneurship. How do you get out?
I’ve got good news! You’re already doing part of the answer. You just need to do it a little more.
Stop trying to be everything to everybody. Like Audi, Audible, and Aldi, you must choose who to lose. You cannot be a premium car brand while expecting the masses to buy. You cannot be a price-focused grocery retailer without sacrificing customer experience. You cannot be cutting-edge e-book company while also selling books the old fashioned way. To be successful in business you have to decide if you are going to be Audi, Audible, or Aldi.
What makes those companies so successful? They compete for being more who they already are. Every decision on product, experience, and price is made naturally from the core of their brand DNA. All three companies know who they’re trying to be, and who they’re not trying to be. Strengths improve strengths faster than they improve weaknesses.
To get out of the hamster wheel, find your area of innovation. Ask yourself these questions:
- What are my five most profitable clients? (Notice I did not say highest paying clients)
- What area of innovation do I provide to them? (Premium service, convenient services, cost leader, etc.)
- What process can I develop to find and service more profitable clients like these?
When you decide that you will not be everything to everybody your business will begin to thrive. Instead of just increasing revenue, you’ll be increasing profit because you’ll be more efficient. And that efficiency comes from repeatedly providing the same type of service and product over and over, without the distraction of the other things you don’t need to be.