We see a lot of brands coming up with vibrant colors, flashing with a wonderful start. But how many have made it up more than 5 years? Brands are killed by its own creator. The following are the problems and situation that pushes a brand owner to that state:
Expectation of immediate success – Every entrepreneur is clear when he is up with a startup idea of what he wants to give with his/ her product to their customer. What also has to be given a though of is, “What is expected as a return out of the service / product? When the benefits can be taken out of the business? And how long can the firm fuel the wait for success?
Burden of overheads – Then main pressure for expectation of immediate success is the burden of overheads. A brand owner should have a detailed plan of where they’ll have to invest and should stick to the priority order. Any expense made for a secondary priority would push you out from the availability to spend for priority one. When cash flow becomes tight, raises the unsatisfied feeling on the core team and gradually would increase to doubt on scope of the product itself.
Over confidence on the product – What you think that is different from your competitor, need not look different for your customer. The brand is your child and everyone loves their own. Never be overwhelmed by what your immediate circle reviews about the product. Market is far too big than what our circle is. Do a detailed market study with a big sample size. If you have not reviewed who you are, then there would be no chance of right prediction for investment and so you would be in high expectation for immediate success to meet out daily needs.
Being profit oriented from day one – The primary goal of every business is profit, but existence and expansion of presence are equally important for sustained business success. Don’t be keen on profits for every single transaction. Don’t expect returns from day one. Keep investing on market expansion rather than to squeeze out juice from what’s in hand. Focus on a long-term success, not on immediate returns.
Trying to be over secured – Trust and calculated risks are the primary characters that makes up a successful entrepreneur. Expectation of over security comes from the inability to handle risks. If you are not going to take your call, someone else would definitely pick. From what we had experienced the risk-taking attitude is reducing with the age of a firm. We are out of the race as soon as we start becoming over cautious. To build a product or brand from scratch, it is important to invest on risk handling abilities rather to avoid risk.
There are a lot more reasons where the brand owner feels that something unfair had happened to him by the existing competitors and the society as a whole. It’s an existing market which would exist with or without your presence. IT’S NO MORE SURVIVAL OF THE FITTEST, IT IS SURVIVAL AMONG THE FITTEST
What do you feel is the major myth a start-up brand owner should take out before entering competition?