Since the start of this global pandemic COVID-19, businesses are concerned with what to do and what not to do. With the strict stay-at-home orders worldwide, a big name in the startup community, Startup Genome, has shared a COVID-19 startup impact report. The research and numbers mentioned in the report say that they have surveyed 1,070 startups worldwide. Sixty-five percent of them specified that they would end up having any capital by October 2020. Along with fewer profit margins and other revenue problems, it was projected that over 100,000 small businesses would shut down permanently by the end of 2020.
Without any second thought, we all agree on the fact that this crisis has forced businesses all over the world to make tough calls, from downsizings to salary cuts and forced leaves. Until the pandemic is no more in our lives, survival has to be the top priority for startups.
On the other hand, not all businesses have faced extremely rough patches in 2020. Smart entrepreneurs knew they couldn’t have all their eggs in one basket. That’s why they’re looking for some hacks and additional ways to grow revenues to ensure that they don’t join the list of businesses shutting down anytime soon. So, here are a few growth hacks to increase your startup revenues, especially during uncertain times.
Start Building Up Email Lists & Work on Automated Emails
One hack that startups can easily do and keep on repeating and is always effective is email marketing. The best thing to engage existing customers to get the idea about their experience, journey, or feedback. Gathering emails and building up a list is one the proven and most powerful data-collection tips every startup has ever tried.
Proven research on email marketing stated that if you invest $ 1 in carrying out this plan, you’ll get $ 44 in revenue. You see! That’s why startups must strategize and make an effort to build an email list for exponential growth.
It is found that there’s always a significant increase in the frequency of transactions when you retarget your loyal customers. And we are smart enough to see that:
Increased Transactions = Increased Purchases = Increased Revenue.
If you are already using some small business system, and don’t have much budget to spend on email marketing, go for software with an integrated marketing module. Some of the startups’ favorite systems include:
With these systems, you can manage your customer database and can easily retarget existing customers. All the essential stats are given. You can track if your customers have opened your email and clicked on any of the links.
To make it more interesting, try adding a useful resource for the audience. Offer something for free, such as a beneficial tip that your customers might be looking for. For example, if you belong to the repairing business, the best idea is to give out a list of top repair shops in their area.
Always remember that not all emails work fantastically. You just have to try different tactics at different audiences. Don’t haste to cover everyone in one go. If your emails target one audience, there’s a higher chance of success.
Nothing Is More Important Than Understanding Your Customers
One thing that every startup founder does is giving customer service themselves. Initially, it works when you have a few customers interested in your business, but the bigger your startup goes, the greater is the need for a solid customer support infrastructure.
Put the customer on top priority, always!
Importantly, whenever communicating with a customer, try to figure out their requirement even before they say it themselves. Count every interaction as an opportunity to showcase your services and business’ values. The purpose is to align your product with the problem your audience has. The better you provide them with the solution, the faster your startup will grow. (It’s a hack!)
Doing this not only yields satisfied customers but will generate excellent word of mouth for your startup.
The best way to get in your customers’ minds is by staying in touch continuously. Sending newsletters regularly, holiday cards, or reminder emails will work best in this matter. Inform your existing customers about the new launches, or special promotions, to bring repeat business and get a higher value of profits.
Know Your Sales Funnel
To make the most profit out of your sales, you need to give your customers a reason to buy. You just have to invest a little into it. Try it by introducing vibrant, attractive, and bright-colored sales collaterals that speak for your products and services. Insert a sense of urgency into your promotional stuff to close the sales immediately.
The reason is that the fast growth requires every part of the acquisition funnel to be in the perfect shape. The sales funnel looks different for every small business. Take some time and think about the past strategies to pinpoint precisely what isn’t working for you, whether acquiring leads, converting them, or upselling them.
Growing your revenue stream in a startup requires strong confidence in your product, knowing your customers’ needs, and smart marketing positioning. The hacks mentioned above will help you win over the right audience, align their vision for your product’s value, collect relevant feedback for better strategic decisions, effectively manage your sales funnel, and establish yourself as a renowned startup faster.