What’s YOUR WHY?

As a small business owner, understanding the "why" behind your business is crucial to achieving success. Knowing your purpose, values, and goals can help guide your decisions and actions, attract customers and employees who share your vision, and ultimately drive growth and profitability. In this blog post, we will explore why understanding your "why" is important and how you can go about identifying it.

Why Understanding Your "Why" Is Important

1. Provides Clarity and Direction

Knowing your "why" can help you focus on what's important, align your decisions with your goals, and avoid distractions. When you have a clear understanding of your purpose and values, you can prioritize tasks and projects that are in line with them, and say no to opportunities that don't fit. This can help you avoid burnout and stay motivated, as you're working towards something that truly matters to you.

2. Differentiates Your Business

Understanding your "why" can help you stand out in a crowded market by communicating your unique value proposition. When you know what sets your business apart, you can tailor your messaging, branding, and customer experience to attract and retain customers who share your values. This can lead to stronger customer loyalty and word-of-mouth referrals.

3. Attracts Like-Minded Employees

When you have a clear understanding of your "why," you can attract employees who share your values and are passionate about the work you do. This can lead to a more engaged and productive workforce, as well as lower turnover rates. Employees who feel a sense of purpose and connection to their work are also more likely to go above and beyond to deliver excellent customer service.

Identifying Your "Why"

1. Start with Why

Simon Sinek's book "Start with Why" is a great resource for understanding the importance of purpose in business. Sinek argues that the most successful companies are those that have a clear sense of purpose and communicate it effectively to employees and customers. He encourages business owners to ask themselves three questions: Why do you do what you do? How do you do it? What do you do? By starting with "why," you can define your purpose and values, and use them to guide your decisions and actions.

2. Conduct a SWOT Analysis

A SWOT analysis can help you identify your strengths, weaknesses, opportunities, and threats. By analyzing your internal and external environment, you can identify what sets you apart from competitors, where you need to improve, and what opportunities exist in the market. This can help you identify your unique value proposition and align your goals and actions with your "why."

3. Get Feedback

Talk to your customers, employees, and stakeholders to get feedback on what they value most about your business. Ask them why they choose to do business with you, what they appreciate about your products or services, and what sets you apart from competitors. This can help you identify your strengths and unique value proposition, as well as areas for improvement.

Conclusion

Understanding your "why" is essential to achieving success as a small business owner. By defining your purpose, values, and goals, you can prioritize tasks, differentiate your business, and attract like-minded customers and employees. Whether you start with Simon Sinek's "Start with Why," conduct a SWOT analysis, or get feedback from customers and stakeholders, taking the time to identify your "why" can pay dividends in the long run.

Sources:

Sinek, S. (2009). Start with why: How great leaders inspire everyone to take action. Penguin.

MindTools. (2021). SWOT Analysis. https://www.mindtools.com/pages/article/newTMC_05.htm

Forbes. (2018). Why It's Essential To Know Your 'Why' In Business. https://www.forbes.com