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Jul12
Is It Smart to Act Small As You Grow Your Business?

Seth Godin contends that its smart for business to start small - testing with small samples, starting with on sales person - in order to see if those small efforts get results that would warrant larger efforts.

I agree completely, especially when you apply this principle to starting, running and growing a business.  I've also talked about that a lot in the sales and marketing blog I write at LandingTheDeal.com

One mistake that I made in a previous business was to be a sponsor of a local So THATS what a $10,000 bill looks like...professional sports team.  "Big crowds", I thought.  "Lots of eyes on our logo", I thought.  How could it miss?

It could miss big, and boy did it.  $10,000 and a lot of man hours involved with being at the events to promote the business resulted in no measurable business revenue increase tied to the advertising.

Looking back, it was probably more about ego, pride of association with a pro sports team, and not knowing how to effectively go after my market.  None of those are good reasons to try a big, expensive promotion (especially that last one!)

Start small.  Sample small.  Hire small.

If it works on the small level, as Godin points out, then you can expand it.  If not, you know you need to change it.

Resist the temptation to go big with advertising and promotion and staffing...stay small and lean as long as you can, until it starts to hold back profitable growth.

 

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