3 Practical Steps To Creating a Profitable Business Model

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(Newswire.net — November 9, 2020) —Building a business model with efficient processes is undoubtedly the challenge for every entrepreneur. The interrelated steps that a business follows to get the product/service and the emotion of a brand reach the customer are what define the consumer’s preference and purchase. However, most companies focus on the customer adapting to the structure of their organization and buying the product; when in fact it should be the company that establishes the processes and forms the organizational structure based on the client’s needs. We teach you to create a profitable business model in 3 steps.

1.  Formulate business processes focused on the type of customer
Take into account the customer’s lifestyle, this will allow you to set prices for products that the customer is willing to pay, it will help you to know what distribution channels to focus on, the personality and gender that your brand should have, and how you should charge your client. Remember that among a niche of clients, not all people have the same lifestyle, so having several types of clients will allow you to formulate more exact business processes. Channels, product distribution, and how you are going to pamper the customer are the three most important decisions among business processes and will change depending on the customer’s lifestyle.

NOTE: The best way to know your type of client is by taking into account: their social level, how much they earn, where they live, how old they are, where they buy, their lifestyle (is it proactive or reactive?), Activities they carry out in your free time and your preference for modern or traditional trends.

2.  Design support processes that make business processes efficient
The support processes should make the client prefer your brand vs. from the competition at the time of purchase. You must take into account the processes that will support sales, collections, customer service, and distribution, without losing sight of the type of customer and the coherence that support processes and business processes must carry. For example, point of sale activations and inventory supply purchases are very common support process activities.

3. Reinforce coaching processes
A business model can be efficient, but if your workforce is unmotivated the results will not lead to profitability. It is important to generate and develop specific abilities and skills in the human team that is why you must have coaching processes. The mentality that your team has (pessimistic or optimistic) influences the execution of each process, so it is essential that you know the strengths and weaknesses of your human team and that you propose activities that allow you to strengthen the skills of your team to achieve each objective.