Why Selling Is The Most Important Skill New Entrepreneurs Need to Know
Pushing a new business to its first $1 million in sales is easier than most people think. At the same time, if never done it before, it will be one of the most difficult challenges new entrepreneurs will ever face.
And the worst part is, no matter how hard you try, you may actually never achieve it.
Selling is the Most Important Thing To Focus On
The most difficult test a new entrepreneur will face is how to generate sales for their business and build a customer base.
I know first-hand what it’s like to be a new entrepreneur and be blinded to the importance of this.
At 18 years old, I dropped out of university and pursued my entrepreneurial journey. I started a dozen different businesses, all of them had failed over the span of two years.
I always had the belief that my startups failed because the product wasn’t good enough. Now when I look back, I realize it was never the product that caused my businesses to fail — it was my inability to sell the products.
In fact, many of the business ideas could have easily been successful if I had the same knowledge back then as I do now.
After 5 years of building Soxy to a 10MM business, and meeting with hundreds of entrepreneurs in various stages of their careers, the most common theme I’ve noticed amongst struggling entrepreneurs is they aren’t able to sell their product.
The most important skill an entrepreneur needs in order to grow their business is how to sell their product and put the sales process into motion.
The Biggest Mistake New Entrepreneurs Make
Before a business makes its first sale, it’s nothing more than an idea.
In launching a new business, many entrepreneurs run away from focusing on selling their product.
They choose to spend their time, energy, attention, and money on other things like designing logos, printing business cards, and other tasks — mostly due to inexperience and lack of knowledge.
These are fun to do, but ultimately don’t help grow your business.
I’ve consistently come across new entrepreneurs that believe once all the ‘setting up’ is complete, the product will basically begin selling itself.
This is an extremely amateur opinion, and quite frankly arrogant and selfish.
Having this belief is known as the “build it, and they will come” mentality, and it’s what stops entrepreneurs dead in their track when they finally launch their business.
Real entrepreneurs understand the market determines the value of a product, and the market does it through two ways:
1. They spend money to buy it
2. They spend time to use it
If customers believe your product is of value, they will pay for it with money or time.
If they like it, they will recommend it to their friends and probably buy again.
If they don’t like, they won’t buy it again. and probably even return it back.
Going from $0 to $1 Million in Revenue
As a new entrepreneur, it’s hard to imagine that a single core product can generate $1 million in sales.
In fact, the easiest way to do so is by focusing on creating a great product, understanding who would buy it, and figuring out how you’re going to get it in front of them.
To simplify, before you begin selling, you need to do the following:
- Determine your core product
- Determine your audience
- Determine your channel
Don’t Spend Time Perfecting Your Product
Getting your product right from the beginning is impossible, so its best to to get to a point where its “good enough” and then try to sell it.
The only way for you to determine if your product is good is by getting real market feedback on it.
And when your product begins selling, that’s when you can go ahead and make it better.
As much as eighty percent of time should be spent on selling. If you don’t know how to sell your product, even if it’s the most incredible product ever created, you’ll never be able to build a business.
As an entrepreneur, you have to become your company’s number one salesperson. Selling is not optional when starting out, it’s essential.