Business mentor: Regroup before attacking that ceiling

Q. My business is going well but we seem to have reached a plateau. I really want to give it a boost. Is advertising the answer?

A. Small business sector specialist Sarah Trotman asked Duncan Shand, of marketing consultancy Inside Out, for some advice.

Any business can reach a ceiling which you can't seem to break through. No matter what happens, each month seems to be the same.

In this situation, there are several things you can do. Often a good place to start is to seek an outside perspective. They might look at what you are doing, what your competitors are doing, what your customers are saying and then work with you on ideas that could make a difference.

You don't have to bring in someone external. You could do this yourself or you could give this to one of your team to do as a project. However, you need to support that person and buy into the process. If you're not prepared to try something new, then don't waste the time and energy in undertaking the analysis.

In terms of a structure for reviewing a business, I always start by looking inside the business first. What does it want to achieve, where does it want to go and, at a minimum, what does it want to be the best in New Zealand at? Once you have some answers, you can put together a plan and a map of how to get there.

Advertising can help any business grow, but often there are other things you should address. If your products or services aren't up to scratch, these should be sorted out first.

There is no point investing in advertising if you are not going to satisfy your customers.

So firstly, think about what you want to achieve as a business. Then find out your team's thoughts and what they believe can be achieved - it is vital they be involved.

An article in the latest Institute of Directors Journal describes three styles of leadership with the highest level of positive financial impact:

* Visionary: the ability to build a confident vision of the future.

* Affiliative: the ability to empathise and build bonds.

* Democratic: the ability to collaborate and build teams.

Qualities that destroyed financial value were commanding (authoritative) and pacesetting styles. So bring your team with you - don't tell them where you want them to go. Make sure they are making the decisions with you.

You also have to talk to your customers about what they want and what you could be doing better for them. Find out about where they want their business to be in five years' time and see what you can do to help.

Give your customers the opportunity to be frank with you. This might best involve someone who is not their usual key contact. In larger companies, you might hire a research company to do this for you, for complete objectivity.

Finally, read about and network with other people inside and outside your industry. It is important to stay fresh and introduce yourself to new ideas and new thinking that challenges you.

Once you have gone through this process, you should have a clear idea of new directions and new projects that need to be completed for you to achieve your vision.

Having done this, you need to roll up your sleeves and get stuck into the work. If everyone is on board and knows where they are going, this should be the rewarding part.