Business owners in West Virginia are likely in tune with some of the most essential factors that lead to success. Some examples of things that are taught in most business classes include the importance of customer retention, building a loyal customer base, and building a positive brand reputation.
It can be interesting to break down some business tips by looking at the statistics. This can help to highlight some emerging trends and uncover some practices that tend to steer businesses toward success. Here's a selection of stand-outs:
Survival:
- According to the Bureau of Labor Statistics, approximately 50% of businesses survive for five years or more. The longer a business operates, the higher its chances of long-term success.
- The Small Business Administration (SBA) reports that about 80% of new businesses survive their first year.
- The stats above sound somewhat positive, but they also mean that the failure rate for new businesses is still significant, with about 20% failing within their first year, and 50% within the first five years.
- Funding issues and access to capital are some of the most significant challenges for new businesses and an estimated 82% fail due to cash flow problems.
Trust:
- According to Nielsen, 59% of consumers prefer to buy products from familiar brands they trust, meaning that customer service and retention are imperative.
- A survey by software company Salesforce found that 84% of customers claim that "being treated like an individual" is one of the main factors for winning their business, meaning that personalized customer experiences help boost success.
Adaptability:
- As a business owner, do you flow with new innovations and trends? According to PricewaterhouseCoopers (PwC), successful businesses embrace innovation and adapt to changing market conditions, and a reported 61% of CEOs believe that a focus on innovation is a key driver of growth.
It's important to note that success can be subjective and varies depending on the industry, market conditions, and individual business goals, but hopefully, these numbers help you recognize what to focus on most.
For business insurance questions, call or contact Lamar Insurance today.
