measuring customer profitability

Measuring Customer Profitability: 3 Tips Businesses Should Know

If you’re a business owner, you know how valuable a good customer can be—as well as how draining a bad one can be. How can small businesses measure and identify their most profitable customers to attract more of them? Below, we’ll discuss some tips and tricks for measuring customer profitability and how you can use these metrics to grow your business.

What Is Customer Profitability?

You may assume that your most profitable customers are simply those who spend the most money with you. However, this isn’t all that goes into profit—you’ll also need to consider the costs associated with the customer relationship. When measuring customer profitability, consider customers who are high-maintenance and use a disproportionate amount of your employees’ time or who tend to return items more often than other customers. They may be less profitable than lower-maintenance customers who spend a bit less. Some particularly difficult customers may even be costing you money. 

There are a variety of software programs designed to help assess profitability based on your business’s unique metrics. A Chartered Professional Accountant (CPA) can help you evaluate the data these programs generate giving you insights on the allocation of resources and productivity; however, there are some slightly lower-tech ways to measure customer profitability, which we’ll discuss below.

Measuring Customer Profitability: Three Tips

Identify Your Customer Contact Channels

Before you can see what’s working and what isn’t, you’ll need to identify each of the potential ways in which a customer can interact with your company. Do you have a website? Social media pages? A public email address? Storefronts? A call centre? Unless you’re tracking the levels of engagement through all of these potential customer interaction channels, you could be missing key pieces of data that may inform your customer profitability analysis.

Once you’ve identified these channels, you can then evaluate the costs associated with each. These can include: 

  • Advertising and marketing costs
  • Infrastructure expenses (rent, utilities, real estate taxes)
  • Shipping costs
  • Return, refund, and restocking costs

Define Your Customer Categories

Many businesses tend to have customer segments that are clearly defined. For example, there are few daycare customers who aren’t parents of young children—but assessing customer categories for retail and department stores can be trickier, as these tend to attract a much broader range of demographics. 

However, business owners are uniquely positioned to define their customer categories, as you have first-hand knowledge of your business, your products, and your general impressions of who’s spending money (and who isn’t) at your business. Some questions to ask yourself include:

  • What types of customers do you see? 
  • Is your “typical customer” different at different times of the day? (For example, some businesses tend to see more students in the afternoon and early evening, while retirees may make up the bulk of customers from 9 to 5 on weekdays.) 
  • What motivates your customers to purchase from you?
  • Who is your competition? Do your customers tend to be loyal to one business or simply patronize whoever is most convenient at the time?
  • Which categories of customers tend to interact with your staff the most?

With this information in hand, you can begin to do some calculations for measuring customer profitability. 

Begin Tracking and Logging Key Performance Indicators (KPIs) 

Some profitability KPIs you’ll want to measure and track when measuring customer profitability can include: 

  • Average revenue per user (ARPU), calculated by dividing the total revenue by the total number of customers or subscribers.
  • Customer lifetime value (CLV), which projects the entire net profit that will be generated from a customer over the course of their relationship with your business. You can calculate CLV by multiplying the annual profit per customer by the average number of years they’ll stay a customer, then subtracting the initial cost of acquiring this customer. 
  • Customer acquisition cost. Your customer acquisition cost (CAC) is quite simply how much money it costs you to acquire a new customer. It typically includes the cost of your sales and marketing activities. If you want to be accurate when measuring customer profitability, you need to know this number. The formula to calculate CAC is: (Cost of Sales + Cost of Marketing & Advertising) / New Customers Acquired

Some of this data may not be readily accessible. But by thinking about these calculations, you can brainstorm ways to collect and track this information, whether this means investing in some marketing tools or creating an employee loyalty program that can track spending patterns.

Partnering with a CPA can give you access to an even broader range of potential KPI tools for measuring customer profitability approach. For more tips on measuring profitability download The Ultimate Small Business Profitability Checklist, our free guide to help you measure and manage the profitability of your business.

Disclaimer:
Avisar Chartered Professional Accountant’s blog deals with a number of complex issues in a concise manner; it is recommended that accounting, legal or other appropriate professional advice should be sought before acting upon any of the information contained therein.

Although every reasonable effort has been made to ensure the accuracy of the information contained in this post, no individual or organization involved in either the preparation or distribution of this post accepts any contractual, tortious, or any other form of liability for its contents or for any consequences arising from its use.

create a marketing strategy for a small business

How to Create a Marketing Strategy for a Small Business

According to a study of US small businesses, 50% of them are operating with no marketing plan. There are no comparable Canadian stats that I could find, but I suspect it’s similar. That means that one out of every two small businesses has no plan for how they will grow their business, which could explain why 60% of small businesses fail within their first three years and many more never realize their potential.

Consistent growth rarely happens by accident and in this blog we’re going to show how to create a marketing strategy for a small business so you can avoid becoming a statistic.

Always Start with Strategy

This probably sounds a little strange to say always start with strategy when creating a marketing strategy for a small business, but here me out.

Too often, when companies think about creating a marketing strategy, they tend to start to cobble together a bunch of tactics.

  • I need to run Facebook ads
  • I need to find a way to get more leads from social media
  • I have to redesign my website
  • I should be on LinkedIn

Maybe. But none of those, or even all of those together is a strategy. And throwing money at a series of tactics that you read about, or someone recommended, is a sure-fire way to waste money.

Know Your Target

When you set out to create a marketing strategy for a small business, the first thing you need to know is where you are and where you are going. This means having targets you measure your progress against.

Your targets may be revenue based. Or you may be trying to grow into a new market. Or increase profitability. Whatever it is, be sure you quantify it, have a target, and know how you will measure progress.

If profitability is your goal, or how you’ll measure progress towards your goal, the Ultimate Small Business Profitability Checklist provides details on how to calculate five key indicators of profitability to help. You can download it here.

Find Your Ideal Customer

Most small businesses are built to perfectly serve a fairly narrow type of customer. Trying to attract and serve too broad of a market can actually hurt a business sometimes. That’s why it’s so important to define your ideal client as you create a marketing strategy for a small business.

  • Identify your most profitable customers (see the Ultimate Small Business Profitability Checklist for some tips on analyzing that)
  • From that group, identify the ones who refer you the most business
  • Take that group and try to identify some common characteristics (demographic and psychographic)
  • Use that list of common characteristics to create what’s called in marketing a “customer persona”; a profile of your ideal customer

Find Your Unique Value Proposition

Once you have a list of your current ideal customers it’s time to talk to them and find out why they chose you. Get on the phone and call them up. Ask them what they like about doing business with you. Why they chose you over all the other options they had.

If you collect testimonials and online reviews, also review those. What you’re looking for in all of this are common themes that show what your customers think makes you stand out. Be aware, this is often different from what you think it is.

Use what you find to develop some bullet point key messages that represent why they chose you/why someone like them should choose you.

Map the buyer’s journey

The next step to create a marketing strategy for a small business is to map out all the ways you might come into contact with your ideal customer as they progress through their buyer’s journey.

Everyone who has ever purchased from you has gone through a journey. They went from knowing nothing about you, to knowing you exist, acknowledging you might be able to solve their problem, to trusting you, to making a purchase. Hopefully, they then went on to re-purchase and refer you to others as well.

Take those stages and do a little brainstorming about how you might show up to people at those various stages. Here are some examples:

  • Getting to know you – search engines, ads, referrals
  • Trusting you – testimonials, reviews, blogs, discovery calls
  • Purchasing – sales people, website, physical store
  • Repeat purchase – email reminders, mailers, subscriptions
  • Referrals – referral cards, email, champion programs

You can even work some questions about this into your customer interviews you may be doing to help define your ideal customer profile.

Putting It All Together

The final step to create a marketing strategy for a small business is to put all these pieces together. By now you have:

  • A profile of your ideal customer
  • Your core message or unique value proposition that speaks to this person
  • The channels and platforms where you need to show up to reach your ideal customer

Now your task is to put it together.

If your ideal customer is most likely to get to know about you through a Google search, make sure you have optimized your website to show up for what they are searching for and that your page clearly communicates your value proposition in their language.

If reviews are important for them to trust you, put a plan in place to get more reviews and publish them where your prospects will see them.

If referrals are how people find you, focus on a referral program for both customers and strategic partners.

The tactics almost find themselves once you have the core strategic elements sorted out.

If you’d like someone to bounce some ideas off while you create a marketing strategy for a small business, book a consultation (or if you’re a customer, give us a call). We’ve worked with dozens of businesses and not-for-profits to better define their growth strategy and we’d love to help you.

Disclaimer:
Avisar Chartered Professional Accountant’s blog deals with a number of complex issues in a concise manner; it is recommended that accounting, legal or other appropriate professional advice should be sought before acting upon any of the information contained therein.

Although every reasonable effort has been made to ensure the accuracy of the information contained in this post, no individual or organization involved in either the preparation or distribution of this post accepts any contractual, tortious, or any other form of liability for its contents or for any consequences arising from its use.

All About CASL

What You Need to Know About Canada’s Anti-Spam Law

Almost every business sends electronic messages. If yours is one of them, you must be familiar with Canada’s anti-spam legislation (CASL). Though the legislation has been fully in effect since July 1, 2014, there remains a lot of confusion around it. CASL affects every type of business from private enterprises to not-for-profit groups and charities.

Who Does CASL Affect?

CASL’s anti‐spam provisions affect everyone who sends commercial electronic messages (CEMs) to, from or within Canada. A CEM is any electronic message that encourages participation in a commercial activity, regardless of any expectation of profit.

The term is “tech‐neutral;” in other words, it applies to emails, text messages, social media and other similar forms of communication. The general rule is, unless exempt under the legislation, a sender must have the consent (either express or implied) of the recipient before sending a CEM.

Why Should You Care?

There is a reputational risk if your business or not-for-profit group breaks the law, but CASL also allows for the imposition of rather significant fines. The maximum penalty for a breach by an individual is $1 million and for an organization is $10 million.

In addition to the potential risk posed to your business or not-for-profit group, the legislation also imposes what is called “vicarious liability”. This means that not only is the organization that violates the law held accountable but so are its officers and directors, and employers are responsible for the actions of their employees. This means that any of these individuals may also be fined.

Does The General Public Care?

The Canadian Radio-television and Telecommunications Commission (CRTC) is responsible for the enforcement of CASL. Between April and September 2018, the CRTC received 137,000 complaints. That’s more than 5,000 complaints each week, which represents a lot of very annoyed consumers.

While not every complaint will result in an investigation and the imposition of a fine, you don’t want to be on the receiving end of either. Significant fines have already been imposed. The first instance occurred in 2014, when a Quebec business was fined $1.1 million for sending emails in violation of the legislation. Very few businesses can survive paying a penalty of that size.

Consent

As noted above, unless you fit within one of the exceptions set out in CASL, you must have the recipient’s consent before sending a CEM.

There are two categories of exceptions:

  • exceptions where neither consent nor mandatory content rules apply
  • exceptions where mandatory content rules apply but consent is not required

You can’t request consent if you don’t have consent

Unless you fit within one of the exceptions, you must have the recipient’s express or implied consent in order to send a CEM. It should be noted that a CEM asking for consent is still a CEM. In other words, you need consent in order to send such a request.

Express consent means that you expressly agree to receive CEMs. That consent can be oral but only if it is verified by a third party or recorded. Consent must not be bundled with terms and conditions. This means that, for example, it is insufficient to include the consent in the terms and conditions accepted to buy goods or use a service.

Further, opting‐out isn’t enough. People have to opt‐in to receive CEMs. In other words, people must take an active step to signify their consent. This could include checking a box or typing in a word or email address.

Implied consent

Examples of implied consent include the following:

  • existing business relationship if you either:
  • purchased services within the past two years
  • made an enquiry within the past six months
  • existing non‐business relationship if in the past two years, you either:
  • made a donation or gift to, or performed volunteer work for, a charity registered under the Income Tax Act or a political party
  • were a member in a “club,” “association” or “voluntary organization”

It should be noted that clubs, associations and voluntary organizations are non‐profit entities organized and operated exclusively for the social welfare, civic improvement, pleasure, or recreation or for any purpose other than personal profit if no part of their income is payable to any owner, member or shareholder.

Mandatory content of CEMs

Subject to certain exceptions, each CEM must contain the following information:

  • the sender’s name, telephone number and email / web address, as well as their affiliates and beneficiaries
  • a physical mailing address, which remains accurate for at least 60 days after the message is sent
  • an unsubscribe mechanism

The unsubscribe mechanism must be “readily performed.” This means that it must be quickly accessible, simple and easy to use. It is very important to keep the communication distribution lists up to date. If someone has unsubscribed, you must remove them from your distribution list. Any opt‐out or unsubscribe request must be honoured “without delay” and, at a maximum, no later than 10 business days after it is received.

Exceptions to Consent and Mandatory Content Rules

The exceptions to the requirements for mandatory content and consent are few and narrowly defined. A few such exceptions include the sending of CEMs:

  • solely as an inquiry or application regarding recipient’s existing commercial activities
  • between employees, representatives, consultants or franchisees of an organization regarding the organization’s activities
  • to enforce a right
  • by a charity that is registered under the Income Tax Act and has fund raising as its primary purpose

Exceptions With Mandatory Content But Consent Not Required

You are exempt from the consent requirements but must comply with the mandatory content requirements if you are sending a CEM to:

  • provide a requested quotation
  • facilitate, complete or confirm a commercial transaction that the recipient previously agreed to enter
  • provide warranty, recall or safety info about a purchase
  • provide info about an existing employment relationship or related benefits

Conclusion

CASL is complicated legislation. This overview is intended to highlight the most important provisions in a simple way. It does not cover all the details. In order to ensure that you are in compliance with CASL, you must review the legislation and its regulations in their entirety and seek counsel.

Disclaimer: Avisar Chartered Professional Accountant’s blog deals with a number of complex issues in a concise manner; it is recommended that accounting, legal or other appropriate professional advice should be sought before acting upon any of the information contained therein.

Although every reasonable effort has been made to ensure the accuracy of the information contained in this post, no individual or organization involved in either the preparation or distribution of this post accepts any contractual, tortious, or any other form of liability for its contents or for any consequences arising from its use.

Marketing Materials and Copyright

Do You Own The Marketing Materials Your Had Someone Create?

Last week, I received a call from a client. She had hired a company that specializes in website development to create and host a website for her small business. The website is now up and running and it looks great, but she received a letter demanding that she pay $8,000 as a licence fee for the use of one of the photos on it.

It turns out that her website developer had taken the photo from an online stock image company, and $8,000 is the licence fee payable by anyone who uses the photo, whether they knew about the licence fee or not. By having that photo on her website, my client was deemed to have agreed to pay the fee. Unfortunately, this type of demand letter is not at all unusual.

As we discussed the situation, I learned that my client had not signed a contract with the website developer; rather, she received a quote that merely told her what the cost would be and when the work would be finished. Essentially, unless the website developer does the honourable thing and pays the licence fee, she is on the hook for it.

Stock Image Companies

Stock image companies enter exclusive contracts with photographers and other artists to acquire and license images for commercial use. The photographers and artists are paid royalty every time an image is used.

Merely removing an image that was used without permission will not resolve the problem. The stock image company has a contractual obligation to its artist to obtain licence fees for the use of their images, whether the use was authorized or not.

The use of the image without a licence constitutes copyright infringement. The end-user is liable for the infringement and must pay the retroactive licence fee. It is a strict liability offence – lack of knowledge doesn’t excuse or dismiss unauthorized use, nor does it affect your obligation to pay the licence fee.

“I FOUND IT ON THE INTERNET”

Many people use images that they find on the internet. The fact that an image is found on the internet does not mean that it is in the public domain. Public domain is a very narrow exception to the Copyright Act and relates only to works in which the copyright has expired or in which the copyright owner has clearly declared that the work is not subject to copyright. As an aside, every time a client tells me that they are entitled to use something because it is in the public domain, I shudder. It almost always brings problems.

What Is Copyright?

Copyright is a bundle of rights that applies to certain types of work. That bundle includes the right to copy, reproduce and distribute the work. The scope of the works protected by copyright is very broad – the long list includes printed material such as books, manuals and instructions, artwork (including the logo you have created for your business and the paintings in your lobby), films, videos and software.

MY CLIENT HAS A BIGGER PROBLEM – SHE DOESN’T OWN HER WEBSITE

If you are having materials prepared, it’s important to be aware of certain provisions in Canada’s Copyright Act. The Copyright Act is a federal law, and it says that when work is created by an independent contractor (that is, by someone who is not your employee), the copyright in it belongs to the creator. This means that the creator controls what you can and cannot do with the work. For example, if you have a piece of software developed by someone who is not your employee, the copyright in that software will belong to the developer. You will merely have the right to use it, but you won’t be able to license it to others so that they can use it in connection with their businesses.

The only way of changing who owns the copyright is to have an agreement in writing, signed by the creator, assigning the copyright to you. Since my client didn’t get such an agreement, the website developer owns the copyright on her website. This could pose problems for her in the future.

What Else Should Your Contract Deal With?

Copyright isn’t the only issue that your agreement should address:

  • In addition to transferring the copyright to you, the agreement should also include an assurance from the creator that the work delivered to you will not infringe anyone else’s rights. In the case of a website, those rights include trademark, privacy, personality rights and, as my client learned, copyright.
  • You should also consider whether you need an assurance of confidentiality (that the creator won’t reveal any information that you have provided about your business) and that the creator will not create something with a similar look and feel for anyone else, including one of your competitors.
  • In addition, I recommend including a timeline for delivery, a process for changes and corrections, and a penalty for late delivery.
  • Finally, every agreement should include some provision to deal with disputes. If you believe that the other side hasn’t met its obligations, are you entitled to cancel the agreement? Often, you will be entitled to give written notice of the default and if it isn’t remedied, you can cancel; but that right should be spelt out. Should you be required to go to court if there is a disagreement? Or can you go to arbitration? Again, this should be addressed in your agreement.

What If Your Recieve A Copyright Violation Letter?

If you receive a letter saying that you have violated someone’s copyright, don’t ignore it! Unless you are certain that you have the right to use the image in question, speak with your lawyer. He or she will probably advise you to remove that image as soon as possible. If you are in the wrong, you may wish to consider negotiating with the holder of the rights. Sometimes it is possible to reach an agreement that will result in you paying less than the amount they demanded.

This article has been provided for general reference only. It is not intended to provide you with legal advice regarding a fact situation. For advice on an actual matter, you should consult a lawyer.

Disclaimer: Avisar Chartered Professional Accountant’s blog deals with a number of complex issues in a concise manner; it is recommended that accounting, legal or other appropriate professional advice should be sought before acting upon any of the information contained therein.

Although every reasonable effort has been made to ensure the accuracy of the information contained in this post, no individual or organization involved in either the preparation or distribution of this post accepts any contractual, tortious, or any other form of liability for its contents or for any consequences arising from its use.

Privacy And Online Behavioural Advertising

Online behavioural advertising (OBA) is becoming an increasingly popular form of advertising. If your business engages in OBA, it is important to understand the privacy risks associated with this practice.

If you have ever surfed the internet to look up a particular topic such as “Caribbean vacations” or “laptops” only to find that this same topic reappears in advertisements on other websites, then you likely have been the target of OBA.

While there are many benefits to OBA and online advertising generally, such as allowing businesses to compete with international and online companies, it carries with it certain privacy risks that businesses should be mindful of when engaging in this type of advertising.

WHAT IS ONLINE BEHAVIOURAL ADVERTISING?

The Office of the Privacy Commissioner of Canada (OPC) defines OBA as “tracking consumers’ online activities, across sites and overtime in order to deliver advertisements targeted to their inferred interests.”[1]

As people use the internet, they leave behind a rich trail of personal information. Some of this is deliberate, such as the posting of photos and comments. However, other times it is not. Through the use of certain technologies, businesses can keep track of your web browsing activity such as search terms used, web pages visited, advertisements viewed, articles read, purchases made and even your location. Businesses are tapping into this abundant source of information and using sophisticated data analytics to build personal profiles of individuals in order to deliver specific advertising to them that is tailored to their interests.

PRIVACY ISSUES

In Canada, the Personal Information Protection and Electronic Documents Act, SC 2000, c 5 [(PIPEDA) or equivalent privacy legislation in certain provinces] governs the collection, use or disclosure of personal information.

Personal information is defined as “information about an identifiable individual” [s. 2(1)]. The OPC has stated that it will generally consider information collected for the purpose of OBA to constitute personal information.[2]

Pursuant to privacy legislation, an individual’s consent is required for the collection, use or disclosure of personal information. Privacy legislation does recognize that the form of consent can vary. For example, express (opt-in) consent is typically appropriate for sensitive information and implied (opt-out) consent for less sensitive information. The OPC has stated that implied consent may be a reasonable form of consent for OBA, provided that certain conditions are met including, but not limited to:

  • making the individual aware of the practice in a clear and understandable manner before collection occurs; and
  • providing them with the ability to easily opt out of the practice with immediate and persistent effect.[3]

However, the OPC has cautioned that its 2011 OBA Guidance does not render opt-out consent the default for all OBA and that careful consideration of all the circumstances must be taken into account. On April 7, 2015, the OPC published its findings that a mobility company’s Relevant Advertising Program (RAP), which consisted of using customers’ network usage and account / demographic information to serve targeted advertising, violated PIPEDA.

While the RAP providers did not have access to information that identified particular customers, and while the company gave customers the option to opt out of the RAP, the OPC nevertheless found that “the sheer breadth of information being used or contemplated for the RAP… renders such information more sensitive when compiled” and therefore express opt-in consent was appropriate for the use of such sensitive information.

In addition to the sensitivity of the information, the OPC also considered the reasonable expectations of the company’s customers. It found that the company used its customers’ information for the purpose of delivering its primary paid services and therefore its customers would reasonably expect it to obtain express opt-in consent for the use of their information for the new secondary purpose of OBA.

As a result of the OPC’s findings, class action lawsuits were launched in Ontario and Quebec against the mobility company and its affiliate claiming $750 million in damages for, among other things, breach of privacy (the tort of intrusion upon seclusion) arising from the unauthorized use of consumers’ personal information for the RAP.

BUSINESS TAKEAWAYS

The following four strategies will help businesses comply with their obligations under privacy law when engaging in OBA.

Obtain appropriate consent (express or implied). Given the OPC’s findings against the mobility company, businesses using OBA should consider whether seemingly innocent, non-identifying pieces of information they are collecting could be considered sensitive information when compiled together. If so, this would require express consent.

Provide clear information regarding OBA practices. Privacy legislation requires that businesses obtain meaningful consent. Accordingly, businesses should provide users with clear information regarding their OBA practices. This should include what information is collected for OBA, how it is collected and what it is used for. This information should be easily accessible – such as by way of advertising icons – rather than buried in a website’s extensive privacy policy. 

Provide user-friendly opt-out mechanisms. Businesses using OBA should provide users with a user-friendly ability to opt-out of the OBA practice. Again, this could be in the form of advertising icons placed directly on the advertisement which, if clicked, provide a choice to opt-out.

Safeguard information. Once information is collected, businesses should have in place adequate physical, organizational and technical measures for safeguarding the information that is appropriate to its level of sensitivity.

[1]       Guidelines on Privacy and Online Behavioural Advertising published December 2011 (2011 OBA Guidelines).

[2]       2011 OBA Guidelines and the OPC’s Policy Position on Online Behavioural Advertising published December 2015 (2015 Policy Position).

[3]       2011 OBA Guidelines and 2015 Policy Position.

Disclaimer: Avisar Chartered Professional Accountant’s blog deals with a number of complex issues in a concise manner; it is recommended that accounting, legal or other appropriate professional advice should be sought before acting upon any of the information contained therein.

Although every reasonable effort has been made to ensure the accuracy of the information contained in this post, no individual or organization involved in either the preparation or distribution of this post accepts any contractual, tortious, or any other form of liability for its contents or for any consequences arising from its use.

Avisar Charter Professionals - Window to the World

Your Window To The World

If Your Company Doesn’t Have A Website, Now Is The Time

Having a website is essential because so many potential customers are connected to the Internet. Statistics confirm this: by the end of 2017, an estimated 95% of the North American population was connected to the Internet.

The volume of print advertising has declined and digital advertising has grown. Your potential customers are looking to the Internet for information.

Developing a website for your company requires careful thought about the words and images that carry your message. There is a temptation to do the design and write the copy yourself, but if this is not your area of expertise, it is better to go to an experienced website designer. If the website looks amateurish, you will too.

WEB ADDRESS

Get a memorable domain name for your website. A complete URL (Uniform Resource Locator) incorporates your domain name (i.e., the unique identifier of your company’s website) along with other detailed information to create a “web address” that directs a browser to a specific page online called a web page.

CONTENT

An experienced website designer will tell you what information is necessary to present your business. Addresses, contact numbers, hours of operation, etc. are essential, but it is important to keep text to a minimum. Present information in a simple, short, quickly readable style that can be easily scanned and absorbed.

Your Type Of Business Determines The Content Of Your Webpages

Your type of business determines what you should put on your web pages. For example, if your business is home renovation, include pictures of the insides and outsides of completed homes.

Contact information should be prominently displayed. Include a link from your address to maps that can easily be downloaded to smartphones.

Make it easy for your website visitors to get prices, place an order, visit the nearest store, or do whatever is necessary to move them toward a sale. The greater the expectations for the website, the more is required in the structure of the design. For instance, placing an order requires a payment method and the additional security necessary to protect the client and your business from hackers.

You need to secure your site with an SSL certificate to encrypt the two-way communication between your business and the customer. If you want to be able to accept orders and payments online, be sure the way your site handles or stores customer payment information complies with PCI DSS (Payment Card Industry Data Security Standard) requirements.

SOCIAL MEDIA

Determine whether you want to integrate your website into other social media platforms such as Twitter, Facebook or LinkedIn. Such connections will increase your exposure to various social and age demographics.

Make sure the content of your website is always fresh and relevant to your business; without regular updating, the site and the extended platforms will not be able to maintain interest.

More and more smartphones and tablets are using the web. Computer-based access is not mainstream anymore. Statistics demonstrate that individuals who access a website by tablet or smartphone are intent on shopping — now. Thus, your website design must adapt to the screen size used by the visitor; this is called “responsive web design.”

FINAL REVIEW

Once the website is designed, have it tested by a third party unfamiliar with your company and products or services to critique the website’s ease of use. A few areas to consider include:

  • grammar and spelling
  • cultural or gender sensitivity
  • ease of navigation through the links
  • interactivity with the user
  • correctness of contact numbers, email addresses, business location
  • ease of access from various devices

HOSTING

A WebHost is a service company that gets your newly designed website onto the Internet and makes it findable. The hosting company will also maintain the website. Good hosting is essential to ensure fast access to your homepage. Slow response time will not only turn potential clients away but will also affect your ranking with search engines. (Many search engines use algorithms to detect loading speed.) If your site access time is slow, the system simply relegates your site to a less desirable ranking. Search engines also use other information in your web pages, including embedded data that is not visible to the end-user, such as meta tags, to help visitors find the content they are looking for. Some of the major search engine providers, such as Google, offer Search Engine Optimization (SEO) tools to help website owners identify potential issues that may result in a lower ranking.

UPDATING

Website design is not a one-time process. You will need to maintain the website and update it regularly to keep customers interested and to promote new products or services. Your website designer should become familiar with not only your products and services but how much time they need to maintain your site.

Disclaimer: Avisar Chartered Professional Accountant’s blog deals with a number of complex issues in a concise manner; it is recommended that accounting, legal or other appropriate professional advice should be sought before acting upon any of the information contained therein.
Although every reasonable effort has been made to ensure the accuracy of the information contained in this post, no individual or organization involved in either the preparation or distribution of this post accepts any contractual, tortious, or any other form of liability for its contents or for any consequences arising from its use.