IT Company In Chicago: Growing Or Shrinking
Is your IT company growing, or is it shrinking? While this question sounds somewhat trivial, it is one of those that entrepreneurs in the IT business have to ponder over from time to time. You are probably wondering why this is the case. The recent advancements in technology have led to IT services being a must-have in the operations of almost all businesses. As a result, numerous IT companies have cropped up to take up the high revenue that this industry promises.
That said, establishing industry-leading IT services, especially in a metropolitan setting like Chicago, isn’t the easiest of tasks. Ahead we’ll take an in-depth look at why your Chicago-based IT company is shrinking and the measures you can take to grow it.
Why your IT company is shrinking and ways you can grow it
Business shrinkage is a topic that most entrepreneurs would rather keep away from. But ignoring apparent warnings of shrinkage is a surefire way of sending your IT business down the drain. Knowing the reasons behind your company’s shrinkage is the first step of turning it around. Below is an outline of some of the reasons why your IT company is shrinking:
Failure to understand your market and customers
The IT service business is one of those where you need to understand your customers’ needs to thrive. Which IT services do the customers need? What makes your IT services more attractive than those of your competitors? Failing to address questions pertaining to your customer’s needs and the factors that give you a competitive edge over other IT service providers is probably among the top reasons why IT service companies shrink. IT service providers should always strive to tailor their services to match their customer’s needs in the best way possible.
IT companies need cash flow to float them through the natural ebb and flow of daily operations. Having insufficient or dry business accounts leads to most businesses having to shrink to remain afloat. Cash is king; you need it to improve your infrastructure, grow your employee pool, market your IT services, among other reasons. As such, you must maintain business funds to grow your company.
Poor marketing strategies
To be honest, it is not feasible to maintain 100% customer retention, and there are numerous reasons for this. Some customers may lose the financial capability to afford your IT services, others will move away from your locality, a few will pass on, and a few more will opt to deal with your competitors. That said, developing a foolproof marketing strategy can help improve your customer retention, well, at least where death or collapse of a customer’s business is not involved. We are talking about strategies like creating SEO content and providing your customers with IT services that make them want to deal exclusively with your company.
Overdependence on a single customer
Suppose your biggest customer decided to move on, would the operations of your company be jeopardized? If your answer to that question is yes, then you should consider diversifying your customer base because your company is treading on a thin line.
IT companies that depend on a single customer tend to shrink when they lose them. This is because, losing your biggest client will diminish the financial prowess of your company, therefore, limiting your ability to make investments that can grow your company. IT companies should ensure that they have a diverse customer pool such that one customer’s decision cannot affect its smooth operation. One way of diversifying your client base is by developing marketing strategies that appeal to different customers and tailoring your services to solve the IT needs of different customers.
Lack of a sound business plan
As the adage goes, “failing to plan is planning to fail.” How well you plan your business determines not only how smooth its operations run, but also how fast it grows. One aspect of your business that should top your planning list is working with a renowned IT service provider who can develop a comprehensive and actionable strategy that aligns with the services you offer. Partnering with such a company will ensure that you have a clear roadmap of where you are and where you hope to be in the future.
Errors when performing IT services
Simple errors when undertaking IT tasks can negatively impact the growth of your company–your operations will slow down, you’ll have downtimes, and when the error is grievous, they can end up halting operations for hours, if not days. Some of the IT errors that may lead to your company shrinking include missing commands, syntactic errors, calculation errors, and bugs.
One sure way of doing away with such errors is partnering with a proven IT service provider that can ensure that all your IT needs are taken care of and no IT errors are present in your system.
Poor reactive attitudes
The IT business is hardly a monopoly kind of industry. Every other day, new IT companies crop up, and existing companies continue to improve their IT services to gain an edge in the cutthroat industry. With that in mind, how you react to your competitors determines your growth rate and your competitiveness. You need to ensure that your company keeps up with the major trends in the IT industry to remain relevant. One of the best ways of doing that is by partnering with an IT provider that’s quick to incorporate the changes in technology in your IT services and tasks.
Partner with CTI Technology for the best IT consultancy services
IT is at the center of almost all business operations conducted by companies across various industries. As such, more and more IT companies develop to share the profits that the IT industry promises. Nonetheless, achieving that feat is easier said than done. You need to be at the top of your IT service provision game to stand out from your competition. Partnering with CTI Technology ensures that your company achieves just that. We offer a wide range of services including, cybersecurity, fractional CIO/CTO, and IT support solutions for companies across various industries including, manufacturing, law, and healthcare. Contact us today to learn more about how our services can help you better serve clients.