Why Confidence is the Key for SME Business Owners: Unlocking Success in Pricing, Sales, and More
When it comes to running a small business, confidence is your secret weapon. The trouble is when you first start out your venture your confidence is at an all time high, and over time this confidence can wain, It is very much linked to whether you are doing what you intended, whether you are still passionate about what you do, and if you are confident that you are headed in the right direction. Confidence in yourself as an independent business owner is intrinsically linked to the success of your business. It’s not just about knowing and understanding your product or service; it’s about believing in its value and having the self-assurance to price it correctly, communicate its benefits, and stand firm in sales negotiations. Having worked with many SME owners many struggle with confidence, with a tendency to second guess themselves. Unfortunately that lack of confidence can affect critical business decisions.
Here are some ways that confidence play a pivotal role in shaping your business success:
1. Defining Your Product Offering
Knowing what you bring to the table is essential. Confidence in yourself and your business allows you to identify your strengths and therefore your authentic niche. It allows you to see beyond the ‘current trend’ or compete on every front. It allows you to be you. We talk a lot about the importance of authenticity. Authenticity and confidence are very closely linked. By staying true to your niche you will find ‘your people’. You will find your audience and your customers. It empowers you to discuss what you do best and communicate that clearly. Uncertainty about what you offer will show, and that uncertainty will confuse potential customers.
2. Setting the Right Price
Pricing is one of the trickiest parts of running a business. Many business owners I have worked with have a tendency to undervalue their products or services. This is very often because they lack confidence and doubt their worth. This can very much lead to missed opportunities, and therefore revenue. Confidence in your offering gives you the courage to price appropriately. This does not mean too high to scare off customers, but not so low that you are undervaluing your product or service. When you believe in the value you provide, it becomes so much easier to communicate why your prices reflect the quality and outcomes customers can expect.
3. Closing the Sale
Selling is not just about convincing someone to buy. It is about building trust. Having a confident approach helps build your reputation and establish yourself as an expert, someone customers feel comfortable investing in. Building this confidence is not about being pushy or aggressive, it is about having a clear understanding of the value you offer and being able to articulate that in a way that resonates with your potential customers.
4. Making Strategic Business Decisions
Confidence influences more than just pricing and sales. It has the potential to shape your overall approach to running your business. Whether it's deciding on growth strategies, considering diversification, hiring employees, or even investing in marketing, having a confident mindset allows you to make decisions that are bold but informed. It helps you make decisions and take calculated risks that have the potential to push your business forward rather than staying in your comfort zone.
5. Building Strong Relationships
Being a confident business owner heavily influences how you interact with partners, suppliers, and even employees. By approaching business relationships with certainty, it becomes easier to negotiate deals, ask for what you need, and inspire others to see the value in working with you. Strong relationships can lead to increased opportunities, repeat customers, and a solid support network that will help you and your business reach its full potential.
At Totemo Consulting, we understand the importance of building your inner confidence and aligning that confidence with sound business practices. We work with entrepreneurs like you to boost their confidence in everything from pricing to product development and beyond. When you believe in yourself and your business, it shows—and that confidence is infectious.
Read Lorna’s testimonial to see how we helped increase her confidence when building her high-end bespoke jewellery business, Lores.