There’s a lot that goes into your business, which means there are plenty of mistakes as well. After reading through some very informative articles, I’ve gathered a list of 10 mistakes that every business owner should avoid. If you’re planning to start a business or are already a creative business veteran, these are mistakes you should try to avoid.
- Making Products for Yourself and Not the Customer – You should be focused on what your buyer wants to buy as opposed to what you’d like to make. Remember, this is your business, and your primary goal is going to be making money.
- Having No Business Plan – If you want to turn your crafting from hobby to job, then you need to treat it like a business. Creating a business without any plan at all will get you in trouble. Your business plan should lay out your goals for the business, milestones you hope to hit and the steps you’re going to take to get there. Once your business is off the ground, don’t forget to check back in with your plan. Update it as you reach your goals or change it if certain steps aren’t working.
- Not Targeting Your Niche – When you’re coming up with your product, you should be thinking of who exactly will use it. Ask yourself, “what gaps can I fill?” It’s easier to target a group than take on the whole world.
- Not Promoting Your Business Enough – There are several parts to having a good marketing plan for your business, from creating your brand to promoting your products. The old adage, “If you build it, they shall come” is not going to work. The biggest disservice you can do to your business is not promote it. Get on social media, create business cards, start a mailing list, use all the tools you can to get your products out there. Business’ who have poor marketing strategies or are lacking in their promotion will end up hurting themselves. Make sure you’re using every tool you have available to you.
- Not Encouraging Repeat Customers –A final sale doesn’t mean the end of a relationship with a customer. You want to have customers coming back to you for your products. Take down their name and email and create a mailing list. Inform them of your new products or shows you’ll be selling at. The key is building a relationship with your customers.
- Expecting to Make a Lot of Money Right Off the Bat – Be patient. You’re business isn’t going to take off overnight. It’ll take time to build customers and an audience base. You can ask fellow crafters and creative business owners how long it was till their business was able to pay the bills, I bet it wasn’t a few weeks after they started.
- You Don’t Network – You cannot do this alone, nor should you. When you have a question on pricing, marketing, or craft shows, who better to ask then fellow crafters and business owners who have most likely faced the same problems.
- Pricing Incorrectly – Pricing is one of the trickiest parts of business. Some people price things so high that it discourages buyers. Often time’s people will slash prices thinking it will drive in sales, but it can have the opposite effect and end up losing money. Find a price that isn’t too high that it will discourage customers, but also reflects the amount of time you put in to create it.
- Work, Work, Work – You will do no good to your business if you put your personal life on hold. Take time for yourself, it will help you and your business.
- Poorly Showcasing Your Products – Whether it’s online with your product photos or your booth display at a craft fair, you want to make sure your product is being shown in the best way possible. Take the time to create a good booth display and product photos.
For more information on mistakes to avoid, check out these articles:
- Making Money with Crafts
- 7 Mistakes of Business Startups
- 5 Biggest Mistakes I Made Selling Crafts Online
- 13 Biggest Mistakes Artisan and Craftsmen Make
What is your best advice for craft business owners?
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