Small business resolution: People first

The National Retail Federation reports that of America’s nearly 3.8 million retailers, 99 percent are small businesses. That means that unlike their big counterparts, most business owners don’t have big budgets or dedicated teams of MBAs guiding their marketing strategies.

So New Year’s resolutions for small business owners, says the U.S. Small Business Administration, might look a little different from big-box competitors. Yes, the new year is as apt a time as any to do the usual recommended by the SBA — update the business plan, consider staffing levels, revisit pricing and costs, honestly reevaluate realistic sales and income projections, and update technologies.

But small businesses need to do more to stay bright among the constellations of consumer choices. Culling common elements from a variety of other small business sites quickly elicited an interesting theme.

“Product first” rarely works anymore.

People first. In this increasingly online marketplace, it’s hard to compete with the convenience of shopping in your pajamas. But bricks-and-mortar retailers have one big advantage over Amazon: Humans.

Making your business about people starts with employees. To attract and keep good workers, create a pleasant, safe, and respectful environment where workers feel cared about and personally invested in the company’s success. Evaluate staff on their personal and service skills; if they aren’t good with customers but have other valuable skills, consider shifting responsibilities.

Even the boss should spend time on the sales floor, meeting, greeting and learning about customers. Feeling cared for enhances customer satisfaction and brings them back.

Community. Focusing on people includes making the business an active and responsible member of the local community. Organize volunteer efforts (at least some during paid work time, if employees are encouraged to join) or sponsor and participate in local charity drives (often tax-deductible). Customers increasingly expect this from businesses or take their custom to more community-conscious competitors.

Become a storyteller. Spend any time on social media or perusing successful ads and you’ll quickly note that mini-stories are all the rage, leading up to a marketing pitch. Ditto for blogs — where consumers swap recipes (after buying cookware), project ideas (craft stores), or cleaning and décor tips (carpet store).

Merchandising has changed.

Want to sell a pricey light bulb? Tell the short story of an insomniac who needs one. Have a recyclable or reusable product? The story of the Earth swimming in waste is well-known, but highly effective in driving reusable product sales. Stories fire up customers to buy not just one product, but entire ranges of them.

Which brings us full circle to people.

After all, isn’t your business writing its own story? In this interconnected world, that’s a group effort.

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Sholeh Patrick, J.D., is a columnist for the Hagadone News Network.