A Simple Guide to Sticky Prices

Sticky pricing occurs when the price of a given product or service such as those offered by sterling tow truck remains rigid and resistant to change, despite shifts in demand ad broader economic circumstances, that make other price points seem more appropriate. Price stickiness also referred to as nominal rigidity, is a common phenomenon across different industries. A company decides to keep the price of a product at a static amount, regardless of inflation, changes in consumer demands as well as other factors that influence business.

The same concept can also be applied to wages, specifically when it comes to downward shifts. We all know that workers generally don’t like pay cuts and in those cases, wages will tend to stay rigid or increase than they go down. There are key reasons why companies decide to stick with their prices, and here are some of these reasons.

The cost of adjusting the price is not worth it

Prices may remain sticky if the cost of adjusting to new prices seems not worth it. In some cases, there might be a lot of roadblocks in terms of logistics, hassle, and the cost of shifting prices to meet demand, as all these might seem not to make any business sense. If a company finds itself in that position, then changing prices seems to incur something known as menu costs. It is a term that stems from additional costs restaurants assume when they have to print a new menu with different prices.

Long term contracts

Some businesses have long-term contracts to sell goods and services at a specific price, and may not have the freedom to adjust prices as they so wish. This is common practice with B2B businesses. Such businesses are locked in long contracts to sell their goods and services at agreed-upon prices. If demand for a certain product skyrocket and the vendor has more leverage to charge more for such a product, they would still have to keep the price sticky, with the company they signed the contract with.

Reluctance

Some firms might be reluctant to raise prices as doing so would anger their customers. It is no secret that customers get angered by any slight price difference that goes up or against their advantage. Customers get accustomed to paying a certain price for a given product or service over long periods, and that takes a mental hold on them. Once a customer gets entrenched in that position, it can be hard to shake them loose. That is the case such that raising prices comes at an expense of keeping their business. Even if the demand has shifted in a company’s favor, a hike in price might not be good enough to cover the losses incurred from price changes.

Many industries embrace sticky pricing policy. A good example is restaurants. If fast-food chains want to change their pricing, it would lead to altering their promotional and informational materials, that reflect that shift. Another industry is SaaS. Based on the significant drain in terms of time, efforts, energy, and resources, it makes it less worth changing pricing.

How to Train Your Team in Social Selling

Social media is used by tow truck and other businesses across all industries to reach their target audience and customers. You might have heard about a business that has gained a lot of traction and revenue by selling on platforms such as LinkedIn or Instagram. Others are using platforms such as messenger to respond to customer service queries. But before we can get deeper into the whole process let us understand the whole process of social selling.

What is Social Selling?

Social selling refers to the process of using social media platforms and their networks to add more prospects, opportunities as well as information to your business process. It includes finding, connecting, nurturing, and even converting prospects and members of your target audience through one of the many social media platforms such as LinkedIn, Twitter, or Instagram.

It is very important to train your sales reps in social selling. To train your sales rep in social selling here is how to go about it.

 

Active on Social Media

For social selling to be effective, your salespeople need to be active on social media. A potential customer would not trust you if you are not active on social media. Posting, interacting, and engaging on social media is how reps will remain relevant to their prospects. Potential customers are more likely to engage with a rep who has valuable information to help them.

 

Valuable information

Your reps need to provide valuable information in the 3Cs of social selling. The first is context, where reps should establish context around who they are and their purpose on social. This can be achieved by identifying and engaging with prospects to establish strong relations with qualified prospects. There is also the context where reps need to share valuable content with their prospects. Lastly, there is a collaboration which deals with maintaining an open line of communication with all involved.

 

Make Social Selling Goals

Just as it is with any business strategy, your members need to make goals that are related to social selling. A rep mat set a goal on how much time they will spend on social selling during a given time. They might also set a goal on the approximate number of qualified leads they will identify and reach out to during a given quarter. No matter the goal set, it must be attainable and related to your business.

It is also important for you to introduce your reps to social personas so that they have a better understanding of their targets. Your social persons will most likely be similar to your buyer personas. The only key difference is that they are your buyer personas on social media. There are key things you get right. Understand the platforms your personas are most active on. Understand the type of posts your personas are interacting and engaging with the most.

You also need to understand what type of content your personas want to see and engage with mostly on social media.

 

 

 

Ways to Boost Your Customer Retention Rate

If you ask any business leader such as Kettering towing service what their company goals are, they will tell you growth. When you keenly look at the issue of business growth, you may think that acquiring new customers is key to success. Although getting new customers is good for the success of your business, that is not always the case. Setting out mechanisms to acquire new customers daily may be very costly, and you may need to revert to other methods of sustaining your growth, and that is retaining your existing customers.

Retaining your existing customers is important because the process of identifying, qualifying, and nurturing leads with the hope of converting them may require significant resources. Rather than putting a lot of focus on acquiring new customers, you can instead focus on retaining existing ones and using them to grow your business.

Here are some of the benefits you stand to have when you retain your customers;

–         About 20 percent of your existing customers produce 80 percent of your sales

–         Repeat purchasers spend more and normally generate larger transactions

–         Repeat customers refer more people and normally bring in more business

–         Customer retention will lead to customer loyalty, and loyal customers are wonderful with spreading the word about your business.

–         Reengaging existing customers will save you a lot of resources, and once a customer converts, they will be tempted to spend more in the future.

Here are some of the ways you can use to boost your customer retention rate;

Adjust pricing for returning customers

You can adjust pricing in a way that makes it easy for your current customers to return and do more business with you. There are different ways to go about it. You can offer customers discounts via email in their next purchases when receiving e-receipts for their most recent orders. You can also offer free shipping and returns and offer coupons with various discounts.

Implement cross-selling and upselling

You need to ensure when a customer checks out, there is always something extra in their cart by using upselling and cross-selling strategies throughout your website and all other selling platforms you have. Upselling to shoppers in a physical store is simple – you only need to place related products next to each other and use other merchandising techniques that can draw attention and drive impulse purchases.

Create customer loyalty programs

Implementing a loyalty program for rewarding your most loyal customers can create a sure way of building on existing relationships and offering a way of enticing your clients to return. You may for example send an email to your top 10% of customers with specific offers each month on something enticing you are selling. You can test which of those offers resonate with specific customers and then fine-tune your rewards with time. Rewards can range from a simple thank you note to even free shipping, and discounts.

Additionally, you need to personalize your buyer’s journey. Personalize the whole experience and make their lives easier, by making them feel valued and appreciated.

How to Manage Time Properly

timeWhen it comes to running a small business, be it a shop, tow truck, ecommerce or other services, time becomes very important. It has to be noted that there are not more than 24 hours in any given day. Some people approach time with more focus, while others do not. With the right approach, you can have total control over your time if you approach things keenly and precisely. With a better control of time, you become more efficient, productive and primarily stress-free.

If you are looking forward to better manage your time, here are important tips you should have in mind.

 

Know your goals

You need to ensure that you keep yourself engaged in activities that go in line with your personal and business goals. These goals may be short or long term depending on what you want to achieve. Anything else apart from your goals is a potential time-waster. Your day to day routine should revolve around working on activities and tasks that relate directly to generating income and growing your business as well as promoting your personal development.

 

Prioritize Wisely

From the famous author – Steve Covey, we get to learn the act of prioritizing wisely. Look at what is going to make up your day and stick to the activities in your schedule. Important and urgent tasks must be handled first. You need to do them right away. Then there are important and not urgent tasks. These are tasks that appear important, but upon a closer examination, they are not that urgent. Then we have urgent but not important tasks. These are tasks you should look forward to delegate. Lastly we have not urgent and not important tasks. These tasks have a low priority and you should do them later.

Learn to say No

You are your own boss and no one should dictate your time. If you have to decline a task to focus on what is truly important for you, then just do it. Do not hesitate to say No. The same goes for any other product or service that you are determine to achieve and there are a lot of distractions taking up your time. Be prepared to say No and move on, if that is what is required for you to be more productive. Learn for vital experiences and avoid wasting time on unnecessary things.

 

Plan Ahead

One of the worst things you can do is to jump into daily tasks without a plan at hand. Take time to think ahead and plan how your day and week will be. To plan your day effectively, you can do that the night before or just pick it up the first thing in the morning. You can wake up a few minutes early or start working a bit early to create time and schedule how your day will be. The few minutes you spend planning your day will go a big deal towards saving vital time wasted in between the day for lack of time planning.

 

Eliminate Distractions

The number one reasons we fail to stick to a time plan is opening ourselves up to allow distractions.  Pay a keen attention to the number of times you are distracted from your work. How many times are you interrupted when you are in the middle of task? What impact does such distraction have in your tie and productivity? Unless you evaluate these vital questions, you will not be able to realize how important it is to avoid distractions. Shut down doors and switch off your phones and social media channels that act as your biggest distractor.

 

 

 

 

 

 

Why and How to Take Risk in Life

riskLife is composed of a series of calculated risks that we have to take every day. Everything that you decide to do, be it opening a business such as https://towtruckfairfax.com/locations/alexandria-tow-truck, going vacationing in wild places, playing a dangerous game, etc. has some margin of risk. There is no outcome that is 100 percent guaranteed to be without risk. The life that we live depends on the choices we make.

In most cases, taking a risk requires some blind trust. There is nothing that is guaranteed. However, you take the risks out of you trust your instincts on where your gut is leading you to.

 

Why take risks

Taking risks doesn’t all come in vain. There are many benefits involved with risk-taking. Taking risks opens you up to new opportunities and challenges. You may push yourself to learn a new skill that can come in handy for your career. Risk-taking empowers you to establish new limits in your mind. We all have boundaries and a comfort zone we don’t want to get out of. However, if we get out of this zone, there are many opportunities that await us.

 

Creativity

Taking risks helps you to become more creative. When you put yourself out of the comfort zone, you are forced to innovate and be creative. You activate your natural problem-solving skills and you open yourself to new ideas. In that way, you will be ready to try something new. Taking risks can result in a positive outcome. Not every step you will take will result in a success, but there is a high chance of landing on a very positive outcome.

 

Focus

Taking risks helps you to clearly define what you want. Calculated risks are always taken with a careful thought. The fact that you are taking risks pushes you to do things the right way. First, you sit down and evaluate if the reward is worth is to motivate you to take the risk. If the reward is worth, you then proceed to take the risk.

Once you become used to taking risks, you place yourself in a better position to have a better life and way of thinking. Instead of fighting to stay safe and in your comfort zone, you work hard to gain more momentum and confidence to push you to the next level. You will always find new opportunities where others are yet to reach. You will feel empowered and stronger to overcome new challenges.

 

Smart Ways to Be More Effective

smartWe are beings of habit and the same applies to our brains. When we establish a routine, we carry out tasks faster and more effective since we do not have to think about many tasks. Regardless of the work or industry, you are involved in, every person will always not have enough hours in a day to get everything done. As a result, we get this feeling of being always behind, and this is not good for our overall productivity.

There are smart ways everyone can employ if he or she wants to be productive. Here are top of these ways;

Write down important tasks

Every morning, you need to write down the most effective tasks that you need to accomplish. You need to take time to prioritize on these tasks you have written, for the better part of your day. Be clear with what you write, and ensure that it is something doable. Ensure that you do your best to stick with what you have set in your goals list for the day.

 

Learn to say No

For some people, saying no is harder than they may think. However, if you want to elevate your productivity levels, then you should not let people play with your time the way they want. You need to be your boss and gain control of your time. You need to learn to tell people when you are busy and tell them that you will let them know when you are free.

 

Procrastination

ProcrastinationYou know that feeling you get after realizing you have spent an hour of your time browsing and visiting unnecessary social media pages. It can never be a good feeling. If you have to procrastinate, then you must do it positively. You must be productive even in your procrastination. You should look for something productive that doesn’t have to do with your work, to help you relax your mind. It can be reading a book or discussing some topics with a colleague.

 

 

Restrict social media usage

You need to restrict the use of social media for a maximum of 30 minutes per day. We are all humans and as human, we want to spend time on anything exciting. Social media is composed of exciting stories and posts and in most cases. We pop every now and then to see what is happening. To be more effective, you need to set limits for yourself, for about 20 -30 minutes every day, and minimize the time you waste on social media. You should also limit the time you spend on your phone, to ensure that your phone doesn’t take most of your time.

 

Set Deadlines

You need to have a simple note that lists all the things you have to do, as well as their deadlines. Working without a deadline can be quite disastrous. There will always be other things popping up and will distract you. You need to have a deadline for every task you do, to ensure that you don’t miss out on anything important. Even if a task is not particularly time-sensitive, you must establish a deadline on when it will be done.

 

How to Win Friends Easily

FriendsAfter you are out of school, it may be a bit difficult to make friends and connections with people who are not necessarily your colleagues. But what you need is to build a network and make friends in your industry. This means you have to make people like you. But the question is, how do you make people like you?  It seems to be hard to achieve that, but there are simple ways you can do about it to ensure your chances of making people like you.

Here is how to go about it;

Do not criticize

If you are looking forward to winning friends, you should not criticize, condemn or criticize. We will not be able to make real changes to the world if our lives are based on criticizing others. It is very important to understand that while dealing with people, we are not dealing with creatures of logic, but dealing with creatures of emotions. People are motivated by pride and ego, and we must handle them with keen. Criticism can be very futile as it put the other person on the defensive end, and usually makes them try their best to defend themselves.

 

Give honest and sincere appreciation

The only way you can make someone do anything you want is by giving them anything they want. In most cases, people want health, food, money, and sex. These may be important, but there’s still another one – the desire to be important. One of the deepest principles of human nature is the desire and cravings to be appreciated. There is no need to take anyone for granted. Flattery comes from the tongue while appreciation comes from the heart. There is the need to stop thinking about ourselves and start appreciating others.

 

Make the other person eager

eagerIn most cases, you are interested in what you want, but no one else is. Everyone is interested in what he or she wants, and that is the nature of life. To convince someone to do something, we have to work on it in terms of what interests them. To motivate others, we need to be able to see things from their point of view. This is the reason why the greatest salesperson see things from the customer’s angle and try to make customer interested in a product. The word is full of people who are self-seeking and grabbing. If you find someone who unselfishly tries to serve others from his heart, then they have an enormous potential.

 

Avoid arguments

The only way to get the best out of an argument is to avoid it. In most cases, we are often tempted to argue with others especially when we are very certain to be right. But even if we are right, what will argue bring forth? There is no big pleasure in proving someone else wrong. Arguing in most cases results in making the other person feel more convinced to be right.  If we win an argument, it is good results. But that means we won by making the other person feel inferior, through hurting their pride. This means in the end, we still lose.

 

How to Achieve a Positive Mindset

PositivityThe key to happiness is keeping your heart free from hate and your mind off from worry. You need to live simply, expect little and give much. You need to forget about yourself and think more of others. That’s the true definition of positive thinking. Positivity does not necessarily mean smiling and looking cheerful, but it is more of the overall perspective on life and the tendency to focus on all what is good.

To have a positive mindset, it critical you follow key issues. First, you need to have confidence and then look at your problems shrink. The world is all about the thoughts you have relating your experiences. In order to have a worry-free, first, you need to imagine a worry-free life.

 

Here are simple ways you can achieve a positive mindset.

Believe in Yourself

You need to believe in yourself and visualize your goals. Confidence is very important because the moment you feel inferior, you will subsequently act inferior. Although confidence alone will not solve all problems, it can be key to achieving a lot in life. If you can actively change your thoughts and beliefs that you can bring value in anything you do, then you put yourself in a position of achieving positive outcomes.

 

Tailor your Attitude

Your attitude determines your entire life. The world is all about the thoughts you have out of the experiences you have passed through. The world is a reality and the life you live is determined by what you think about the experiences you have. The experiences that you have can be good or bad, but you can turn those experiences to something positive. You should not choose negative thoughts to dictate and determine your life.

 

Live worry free

You need to imagine your life free of worry and become less concerned about what the future holds. You need to imagine yourself living like a worry-free person in the future. You only need to imagine that it is possible to live without worry. Worry is a leading source of stress and may lead to undesirable health effects such as arthritis, heart diseases and other forms of sickness. The key to having a positive life is to live free from all forms of worries.

Focus on Good Things

The life we live is composed of both good and bad things. However, you should try as much as possible to be positive always. However small they may be, always focus on the good things. You are going to encounter a lot of obstacles on in life and your happiness will be determined by how you decide to deal with these obstacles. You need to find humor in bad situations and turn your failures into life lessons.

 

The way you talk

You need to transform negative self-talk into positive self-talk. Negative self-talk can come up easily and sometimes it is hard to notice. When you find yourself experiencing a negative self-talk, you need to stop and think hard about it. Focus on the present and avoid worrying too much about what will happen in the near future.