Latest news with #businessstrategy
Daily Mail
8 hours ago
- Business
- Daily Mail
Why a huge social media presence and millions in the bank doesn't mean you've made it in 2025
An e-commerce expert with 15 years experience has warned Aussies keen to start their own brands about the pitfalls that have caused so many to fail. Joshua Uebergang, 40, has been helping businesses navigate the Shopify online storefront since 2010 with his marketing agency Digital Darts. He told Daily Mail Australia the two simple rules that can help any business thrive - customer retention and keeping a handle on spending. Mr Uebergang said the recent closure of Exoticathletica, an online activewear brand founded in Noosa in 2014, was an example of companies outspending their profits without locking in a loyal customer base first. The activewear brand collapsed earlier this month owing $13million to creditors after raking in $7million in sales of an 'ultra-comfortable' crop top in 2021. It accumulated debts of over $6.2million, including $800,000 to the ATO, $6.7million to the Commonwealth Bank and $114,000 to staff. 'What you generally see on TikTok is customer numbers, high revenue numbers and media mentions but that's all meaningless compared to what really keeps the business afloat,' he said. 'Building up a brand is perfectly fine but the main thing these brands are missing is the fundamental basis of businesses: Can you acquire a customer for less than what they give you over their lifetime?' Emerging companies are too focused on social media visibility instead of investing in creating loyal customers at a cheap price, Mr Uebergang explained. He pointed to the Lifetime Value to Customer Acquisition Cost ratio (LTV/CAC) which compares a customer's lifetime value to the cost a business puts into acquiring them. This roughly translates to how much a customer is willing to spend on a brand compared to the money a business invests in attracting them in the first place. When the ratio becomes lopsided - usually when a customer spends less than three times the amount a business had spent on them - it can cause issues. 'The smaller that ratio is, the more dangerous the business becomes and it also becomes more of a long-term bet,' Mr Uebergang said. Venture-funded start-ups have more time to make up the margin compared to those which are self-funded as the latter relies on the founder's personal wealth. With venture-funded companies, investors and stakeholders are able to make up the initial difference between profits and spending. 'They can really can push because they've got more money than its founder initially had when they started it. If someone has a small business, self-funded company, they can't push that hard,' Mr Uebergang said. He warned new business owners can easily become obsessed with creating the illusion that they're living 'the dream'. 'Founders are incentivised to promote a dream, and it's a bit like general human reality with social media that we want to favour our successes and not highlight our failures, so it's no different to e-commerce brands,' he explained. 'It comes from a "make money quick" belief, which can be great, because it's good for people to try new things.' But he said some start-up owners can I greatly underestimate the debts their start-ups owe at the end of the financial year. 'It's pretty common to see people in their first year or two of business, someone who is not particular to the e-commerce space, shocked to find that after making $4million they might have to pay $2million in taxes,' Mr Uebergang said. A good rule of thumb for newcomers is to focus on making ends meet first before focusing too much on expansion or growing their customer base. Making sure the business is making enough profits and listening to customer feedback is essential to creating a lasting business, Mr Uebergang said. 'Start from day one with profit in mind, so that's having a product that you pay for and then having at least 500 per cent on top of that with what you will sell it for,' he said. 'That will help account for freight costs, general labour, customs, even some marketing to help get customers. 'Second, really master one marketing channel, focus on one and get really good at it. This can take you to $1million in annual year revenue. 'And thirdly, listen to your customers and improve on their feedback from your first sales. Build 100 customers initially and really seek to make them returning sales because they are the people that you ultimately serving.'
Forbes
19 hours ago
- Business
- Forbes
Diversify Your Business For Smarter Growth
Colorful diverse people crowd abstract art seamless pattern. Multi-ethnic community, big cultural ... More diversity group background illustration in modern collage painting style. In the dynamic and often unpredictable landscape of the business world, relying on a single product, service, or market can feel like navigating a tightrope without a safety net. By strategically expanding into new markets, companies can mitigate risks associated with market fluctuations, tap into unexplored customer segments, and unlock novel avenues for revenue generation, ultimately fostering long-term stability and a competitive edge. In my interview with Charlene Polite Corley, Nielsen's VP of Diverse Insights and Partnerships, who leads thought leadership and exclusive initiatives, she said, 'Business leaders know to diversify their investment portfolios, why not also their teams?' According to Nielsen's research, 34% of the buying power, or $7 trillion, comes from diverse communities. The American economy is resilient because of the diversity of its consumer base. Polity Corley encourages apprehensive organizations to think about diversity as their responsibility to their consumers. To serve the full market's potential, it is so hard to do without being inclusive. In my interview with Stacie de Armas, the Senior VP of Diverse Intelligence & Initiatives at Nielsen, she explained the business opportunities of serving a more diverse population. For example, the Hispanic population is 10 years younger than other ethnic populations in the U.S. The Hispanic population also overindexes on loyalty, so this is a longer-term opportunity. De Armas said, "When you have these groups of customers who haven't necessarily had the opportunity to build an affinity for your brand yet, this is where your investment is going to get you two to three times more. This is where you're going to get the bigger return on investment. Not only does it make great business sense, but it's also a great opportunity to reach out and build loyalty with customers that you haven't had a relationship with in the past." Polite Corley said, 'Centering one community does not exclude other communities.' When you better serve one community, you better serve all communities. De Armas made clear, 'With diversity, there are more problem solvers. Similar groups have similar ways of thinking. New ideas come from engaging people who have been historically excluded.' Diversity is a significant driver of business growth. Engaging with historically excluded consumer groups is essential for long-term business growth as they represent untapped markets and offer greater potential for building brand loyalty and achieving higher returns on marketing investment. Polite Corley noted, "Black and African American consumers in particular remain the most likely to buy from brands that feature someone from their identity group in their ads. With the right folks at the table with the right data involved in your strategy, these are new opportunities and ways to ensure growth." Understanding nuanced cultural and consumption habits is crucial for effective marketing: A "copy-paste" approach to marketing is ineffective. Brands need to develop a deeper understanding of the media consumption habits and cultural nuances of diverse audiences to connect authentically and build lasting relationships. Data shows, for example, that Black, Hispanic, and Asian audiences spend significantly more time online. That is an opportunity for more online business. Centering diverse narratives benefits everyone and creates a broader cultural impact. Focusing on representing specific communities authentically in content and advertising doesn't exclude other groups. Instead, it provides "windows" into different experiences, enriching everyone's understanding and often leading to broader cultural trends and significant financial success.
Forbes
3 days ago
- Business
- Forbes
Why Companies Are Replacing In-House Roles With Curious Consultants
Hiring a full-time employee used to be the go-to solution when companies needed help with strategy, systems, or data. That thinking is changing. As businesses face growing complexity in their tech stacks, more leaders are turning to outside consultants who offer broader experience and faster results. According to The Business Research Company, the system integration services market is projected to grow from $494.7 billion in 2024 to $532.48 billion in 2025. One of the main drivers is the increasing demand for consultants who can connect disconnected systems and help businesses make the most of their tools. Companies are realizing they need strategic partners who understand how to bring everything together. Consultants who lead with curiosity stand out in this environment. They bring a fresh perspective, challenge assumptions, and identify hidden inefficiencies. They ask better questions and solve problems that internal teams may not even know exist. Internal employees bring deep company knowledge, but that knowledge can become narrow over time. When someone is immersed in one company's way of working, it becomes difficult to spot inefficiencies. Familiarity creates blind spots. People stop asking why things are done a certain way and start accepting outdated processes as normal. Consultants who work across industries avoid this trap. They compare what works in one space with what fails in another. They bring fresh context to old problems. And because they are not part of the internal structure, they can ask questions others avoid. When I spoke with Chris Andres, Co-Founder of GTX Solutions, he emphasized something many companies overlook: solving technical problems often starts with understanding human ones. As the former Global VP of Customer Success at Tealium, and now through his leadership at GTX, he has worked with clients across retail, automotive, gaming, travel/hospitality, health care, financial services, and media. These roles have given him a clear view into what executive leaders face when trying to align systems, data, and strategy at scale. As he explained, 'Most companies do not suffer from a lack of data or software. What they lack is a coherent way to make decisions across systems. When no one owns the connections, inefficiencies multiply. My goal is not to implement more platforms. It is to help teams finally hear what the data has been trying to say. At GTX, we don't just uncover the problem. We work directly with client teams to resolve it, embedding alongside their staff or taking full ownership of the execution. That blend of strategy and hands-on delivery is what moves the needle.' That ability to connect dots across platforms, departments, and industries makes consultants like Andres an essential resource for companies that need more than just technical execution. They need someone who can step back, see the whole picture, and make it work. How Curious Consultants Uncover What Teams Miss getty Most employees are managing tight deadlines, meetings, and shifting priorities. Even when they notice a problem, they may not have the bandwidth or authority to take action. Over time, workarounds become permanent. Inefficiencies are accepted as part of the job. Consultants are not bound by those constraints. They are brought in specifically to identify what is not working and recommend a path forward. Their value comes from objectivity and perspective. Because they have worked with different types of companies and systems, they can spot problems faster and offer more creative solutions. What solves a data flow issue for a retailer might work for a healthcare provider. What streamlines onboarding in a gaming company might improve the experience for a financial services firm. These connections are difficult to make from within, but consultants are trained to see across boundaries. Many organizations are not suffering from a lack of tools. They are suffering from too many tools that do not communicate. In earlier research I contributed to for Forbes, we saw how disconnected systems caused inefficiency, confusion, and duplication across departments. These same issues show up today across industries and functions. Consultants often serve as the translators between platforms, teams, and priorities. They help companies get more value from the systems they already have by improving how those systems connect. Instead of recommending entirely new software, the focus is on integration, clarity, and usability. Why Curiosity Sets Great Consultants Apart getty The best consultants do not assume they know the answer before asking the right questions. They take time to understand the organization, investigate root causes, and learn how each team works. This level of curiosity often reveals opportunities that internal teams miss. Curiosity is a mindset and a business asset. It enables consultants to explore, adapt, and test ideas that improve performance across departments. It also helps them stay relevant in a fast-changing environment, where the best solution often comes from a combination of experience and exploration. Why Curious Consultants Are A Smart Investment getty Hiring a consultant may appear to be a temporary fix, but the long-term benefits often outweigh the cost. These professionals bring energy, speed, and clarity to situations that have stalled. They identify gaps, focus priorities, and bring momentum to projects that need a push. They also bring strategic value. Because they have worked across industries, consultants know what is essential and what can be streamlined. They help companies avoid common pitfalls, reduce redundancy, and improve collaboration between teams and tools. Organizations that bring in the right consultants are not outsourcing leadership. They are enhancing it. They are choosing to move faster and smarter by leveraging insights that internal teams alone may not have access to. What Curious Consultants Mean For HR Strategy getty The growing reliance on outside consultants is changing how HR teams plan, hire, and measure success. Instead of defaulting to full-time hires, HR leaders are being asked to evaluate when external expertise makes more sense. This shift impacts everything from workforce planning to onboarding. HR must now support hybrid teams where consultants contribute alongside employees, often driving key outcomes without being on the payroll. It also requires a different lens on performance. The focus is moving toward results, not just roles. For HR, this is a chance to lead with strategy, matching the right talent to the right need, even when that talent comes from outside the organization.
Independent Singapore
3 days ago
- Business
- Independent Singapore
Trade costs force 42% of Singapore firms to raise prices, HSBC finds
Photo: Depositphotos/realinemedia SINGAPORE: Rising costs due to tariffs and other trade-related factors, the biggest concern for almost six in 10 Singapore businesses, have led 42% of companies to increase their prices, according to Singapore Business Review , citing a recent HSBC report. In addition to those that have already raised prices, 44% plan to do so soon, and 42% have increased their inventory levels to manage supply disruptions. Rising costs and supply disruptions have also led eight in 10 businesses to reconsider their long-term strategies. Meanwhile, 86% say uncertainty around trade has made them more cautious to expand or invest. When it comes to international trade growth in the coming years, 83% of Singapore companies feel less confident compared to their global peers. In terms of trade dynamics, half of Singapore firms plan to increase trade with South Asia, including ASEAN, India, and China. Beyond Asia, 46% aim to trade more with Europe, and 38% with the Middle East. Last week, Ang Yuit, president of the Association of Small and Medium Enterprises (ASME), warned that some Singapore firms could go into 'life support mode' once the 90-day pause on US tariffs ends. /TISG Read also: 42% Singapore employers to expand their permanent headcount in H12025, with more focus on non-monetary perks Featured image by Depositphotos (for illustration purposes only)
Forbes
3 days ago
- Business
- Forbes
Five Tactics To Thrive During Market Disruptions
Dr. Dmitriy Schwarzburg, the founder of Skinly Aesthetics, is dedicated to blending innovation with personalized care. getty Market disruptions—whether from economic volatility, technological advancements, global crises or rapid industry changes—pose significant challenges to businesses of all sizes. Yet, these turbulent times also present opportunities for agile companies willing and able to adapt. Throughout my career, I've witnessed firsthand how proactively embracing change can turn potential setbacks into substantial growth opportunities. Thriving amid uncertainty requires more than survival strategies; it demands forward-looking tactics that foster resilience, agility and sustained expansion. Here are five tactics, drawn from my experiences, to effectively navigate and capitalize on market disruptions. Traditional long-term strategic planning often falls short during periods of rapid change, as rigid plans become obsolete. Instead, successful businesses adopt flexible, iterative planning processes that emphasize short-term goals and regular reassessments. Quarterly or monthly strategic reviews allow businesses to remain responsive, making real-time adjustments based on current market conditions. This agile approach helps companies pivot swiftly, capitalizing on new opportunities or mitigating emerging threats as they arise. For example, in my own practice, monthly evaluations of market trends and patient demands have allowed us to swiftly adjust service offerings, minimizing disruption to our operations. The importance of robust digital capabilities cannot be overstated during market disruptions. Companies heavily reliant on physical interactions or traditional processes may find themselves at a severe disadvantage. Investing in digital transformation—whether improving e-commerce platforms, enhancing virtual customer support or optimizing remote work technologies—is crucial. Businesses that can quickly and effectively transition to digital platforms preserve their operational continuity, maintain strong customer relationships and even attract new customers seeking reliable digital solutions. When we faced a major shift toward telemedicine, rapidly enhancing our digital healthcare solutions enabled seamless patient interaction and sustained patient satisfaction. In uncertain times, stakeholders crave transparency and reliability. Businesses that excel in transparent, timely communication build trust and reinforce confidence among customers, employees and partners. Clear, consistent messaging about company actions, market conditions and future plans can significantly reduce uncertainty and anxiety. Internally, open dialogue with employees ensures alignment and fosters a culture of resilience and cooperation. Externally, transparent communication reassures customers and demonstrates leadership, enhancing brand loyalty and market position. Throughout previous disruptions, maintaining open communication channels with staff and clearly articulating our strategies has proven invaluable, strengthening internal morale and external trust. Financial health is critical during disruptions when revenue streams can fluctuate unpredictably. Proactively managing cash flow ensures businesses remain resilient. This includes diligently controlling expenses, renegotiating contracts, streamlining operations and securing favorable financing options. Regularly updating financial forecasts allows businesses to spot potential shortfalls early and implement contingency plans swiftly. By prioritizing cash management, businesses maintain the financial flexibility necessary to seize opportunities that competitors may miss due to financial strain. During economic volatility, closely monitoring our financial health and proactively managing expenses have allowed us to invest strategically in new growth opportunities others could not afford. Never become too comfortable with your current offerings. Always seek opportunities to innovate and expand your services or products. In my experience, continually investing in research and staying closely attuned to industry trends has been crucial. Regularly evaluating market shifts, emerging technologies and evolving consumer demands has allowed my businesses to introduce new services proactively. Keeping multiple projects and innovations in development has ensured that whenever a product's popularity wanes, we have the next solution ready, minimizing disruption and maintaining consistent growth. For instance, proactive innovation allowed us to introduce new aesthetic treatments exactly when market interest began shifting, positioning us ahead of competitors. Navigating market disruptions successfully requires strategic foresight, adaptability and decisive action. By embracing flexible planning, strengthening digital capabilities, prioritizing transparency, maintaining financial discipline and continuously innovating your offerings, businesses position themselves not only to endure disruption but to grow stronger from it. The ability to swiftly recognize and adapt to changing conditions transforms challenges into opportunities, enabling businesses to thrive where others merely survive. Forbes Business Council is the foremost growth and networking organization for business owners and leaders. Do I qualify?
