Secret Killers of Business Success

  • June 1st, 2016 at 10:20 am

Secret Killers of Business Success

Your business is being instantaneously judged online and offline!  It is common knowledge that ‘first impressions’ matter, and we make instantaneous judgements every day. Studies by Dr Les Parrot uncovered that it takes a lightning fast three seconds to register a negative impression in the brain. This same immediate judgement is mirrored online and whenever a prospective customer interact with a business’ marketing collateral.

In business interactions, first impressions are heavily influenced by nonverbal cues, via a web site it takes seconds for a user to scan for the cues that will impact their decision on whether to the contact the supplier.

In January, Servcorp undertook an independent study ‘Secret Killers of Business Success’ in conjunction with Roy Morgan Research to understand influential factors that impact a prospective customer’s decision to contact and choose a supplier, and how businesses can master these elements.

Can you make a comeback?

It’s no surprise to hear that a bad first impression can impact your bottom line, it is punishing! But are prospective customers willing to give a business a second chance?

  • 2 in 3 will not offer a supplier a second chance if they make a bad first impression.
  • Of those 1 in 3 who are willing to will wait 3 months+ before recontact.

An additional 21,000 businesses started actively trading in Australia for 2014-2015 (ABS, 2016). Of the respondents surveyed*, 9% are planning to start their own business in the near future. With new businesses always coming onto the marketplace there is an ample number of suppliers to fulfil the requirements of missed opportunities.

It can be controlled

Detrimental factors impacting a prospective customers’ decision not to contact supplier are easily controlled. Many elementary factors are often missed, and not recognising the importance of these hurt!

Key Findings

Top 5 influencers to contacting a supplier

  1. Personal Recommendation
  2. Online reviews
  3. Website quality
  4. Local address
  5. Local landline

With so many suppliers to choose from and available to consumers today, it’s easy to see why ‘Personal Recommendations’ would be the most influential factor.

It was interesting to see that having a local address in the nearest city was almost as important as the ‘quality of the business website’, and more highly regarded than the ‘quality of advertising’. Further it was found a local address and fixed (local) landline are nearly 4 times more likely to be selected as the most influential factors compared to advertising and brochures.

Prospective customers are 20 times more likely to contact a business with a CBD address vs. other typical address options# and 6 times more likely to contact one that displays both a mobile number and a fixed (local) landline compared to all other common alternatives combined.

It is important that businesses realise how important a local address in the nearest city and an additional mode of contact is to their prospective customers, failing to address these two factors will result in missed opportunities. These insights are important for businesses because it helps them decide where to focus their efforts on most. Click here to download the full report.