To bring better selling opportunities for start-ups on the market, it is important to get early customer feedback during the design phase of a product.
In the following article we will show the common mistakes made by new businesses while trying to sell their products on the market. Next, we will see the common obstacles they face during the promotion of their products. Finally, we will introduce the successful sales model that every start-up should adopt in order to succeed in sales.
Entrepreneurial Selling Mistakes
A global survey reveals that most company founders regret waiting too long to start selling their product. These interviewed business managers have shared a list of frequent mistakes to avoid in sales. First, one should neither start late nor fail to listen. If you ignore customer feedback and idea validation at the beginning of your product’s development cycle, you risk losing time and money, because your final product might not sell. Second, avoid offering discounts of any kind without putting the terms in writing. Otherwise, it may weaken your long-term pricing power. Lastly, avoid a false sense of validation by making early sales to family and friends. Their reason to buy from you may be love, pity, or a sense of obligation. Seek instead strategic buyers who may provide referrals, usage data, beta testing and valuable feedback.
Common obstacles in sales
Many entrepreneurs face objections from potential customers. The first objection is efficacy, as prospects doubt the product quality. Then comes credibility. Customers are skeptical of a new company founder’s background such as age, gender, and experience. Size also matters, because many customers ado not trust small companies. The final factor is price. Prospective customers experience anxiety of unexpected costs and ask for discounts on new untested products.
Successful Sales Model for Start-Ups
To be successful in sales, start-ups should meet the prospects before the product is created. First, these meetings will help to gather market information on product design, promotion, distribution, and pricing strategies. Next, based on feedback obtained, the entrepreneur will see if his idea has some weight and value to the potential customer, before generating further sales activities. Finally, by engaging with prospects early, business creators will increase prospects’ involvement in the process, raising chances to sell the offer.
We insist that early customer feedback is a key to success in sales for every start-up on the market.