SHOUT OUT (Week 1)

We informed you that starting from this week we will be giving free SHOUT OUTS to companies in Africa that have done good business, businesses that have changed the game in Africa and improved the look and feel of their location. Our very first SHOUT OUT goes to a Nigeria online store that has done much to change how we see online business. KONGA ONLINE SHOP since 2012 have been great in the way they have gone about their business, they have proved that doing business online is the new big sector in African business. Please support their venture the more. Have u tried online shopping? this online shop will move you to try it. With a well designed website as shown below you cant go wrong finding your products.

Konga.com Online Shopping Limited

40A, Town Planning Way Ilupeju , Lagos State , , , Nigeria

www.konga.com

Phone: 234 1 460 5555

Industry: Retail - Internet & Catalog Order

SIC: Retail-Catalog & Mail-Order Houses (5961)

NAICS: Mail-Order Houses (454113)

Description: Konga.com Online Shopping Limited operates an online fashion and lifestyle retail store for men, women, and kids. The company was founded in 2012 and is based in Lagos State, Nigeria. As of February 26, 2013, 

CEO- Sim Shagaya
Entrepreneur of the year 2013
All African business leaders award

Please submit any business in Africa you think fits our description for a free SHOUT OUT

Starting a boutique, simple approach.

While starting a boutique is somewhat easy, running it and improving on sales is a bit complex. ADEMOLA ALAWIYE writes on how to start one and keep it running

Many people dream of opening their own business. The freedom to have your own schedule and to do things your own way is very enticing.

For fashion lovers, there is nothing more exciting than opening a clothing boutique. With proper preparation and a lot of hard work, you can make your dreams of opening a boutique a reality, and improve your chances for success.

Boutiques are small stores that usually have a specific sales focus. For most, a boutique will sell clothing or accessories. Put differently, boutiques are small businesses that offer personalised customer care and a more thorough shopping experience than a larger store.

Experts say before opening a boutique, it is important to figure out what type of items you’ll be selling. This will determine the location of the store, what financing you’ll need and who your competitors will be. In-depth research of these areas will be necessary at the business planning stage.

Of course, a boutique like any other business, will have a better chance of succeeding with planning and research. Whether done by yourself or a consulting firm, the business plan is essential to organisation and financing. A full plan will include licensing information, tax identification forms, financial projections, mission statements and examinations of nearby competition. Experts say because a boutique is small and more vulnerable to economic upheavals, good research can be a security blanket in the face of uncertain times. According to them, the following steps should be followed to set up and improve the sales of the business.

Learn everything you can about your industry

The best way to do this is to work in the clothing industry, either at a boutique, a design house or a clothing manufacturing business.

Decide what kind of clothing you’ll sell in your boutique

Will you design and manufacture your own clothing, or sell items designed and made by others? If you plan to feature your own designs, begin researching where you will have these items made, and what the manufacturing costs will be.

Choose your location

Make sure you choose an area that will provide the type of traffic you expect to shop in your store. If you plan to sell expensive, designer clothing, you’ll want to set up shop in an area that can support this type of store. It’s also useful to look for locations that will allow for lots of walk-in traffic, such as in strip malls or downtown shopping districts.

Secure the financing that you will need for your business

This could involve getting a business loan from a bank, borrowing money from family, or utilising your own savings. If you plan to apply for business loans, you’ll need to prepare a business plan with solid financial projections.

Set up your boutique

This will require either making the clothing you will sell or arranging manufacturing by others. Get any required business licenses from your town or state. This is also a good time to set up sales and income tax accounts. Open your doors for business. Let all of your friends and family know about your boutique and have them spread the word.

Stock the boutique

Once you’ve planned the store, the next step will be stocking it. The buying process sounds like fun, but it can be complicated and easy to mess up. When first opening a boutique, it’s better to under buy than over buy. Most retail items have a shelf life, especially clothing, and discount sales to get rid of extra items can eat away at profits. Purchase sparingly, unless the manufacturer has a very limited production run of a particular line. Find wholesalers at reputable trade shows or through trade associations and merchant groups.

Experts say that after you must have set up your boutique, you will then need to improve on your sales. Having growing profits is the backbone of any company, but especially for boutiques. Since these small business ventures specialise in items such as clothes, perfumes, bath products, wines, special occasion gifts and other specific items, they say improving business sales would allow a boutique to expand operations, but only if the business owner knows what to do in generating more sales while keeping the established customers you already have. According to them, a solid marketing strategy will allow you to focus the necessary resources on the operational areas that will help your boutique succeed. They say the following steps should be followed to improve sales:

Analyse your business operations

Develop a marketing strategy plan that outlines all your sources of income, competition and market area. Track business sales to understand your best customer base. Pass out boutique surveys to understand customers’ opinions concerning pricing, availability of products and service. Improve business operations, such as late vendors not delivering products on time, slow production procedures or poor customer service handling. Streamline business operations to promote efficiency by consolidating or removing repetitive or unnecessary business functions. By updating your boutique’s internal productions, you will be able to offer more quality products to customers at a faster rate, which will increase sales.

Expand your boutique’s operations into other selling avenues

Create a website to improve sales on the Internet and offer a wide variety of payment options. Contact other local retailers and forge business agreements and relations to sell products on their shelves to draw customers to your boutique. Book concession and event stands at local conventions or outdoor public events to offer a sampling of products while passing out promotional flyers.

Offer reasonable sales to move stock on the shelves that might not be selling well

Give away door prizes to establish customer relations and good word-of-mouth advertising. Review your competition’s selling tactics and pricing so that you can adjust your pricing strategy to stay competitive and draw in more sales.

Ways to find the best deals in properties

      I believe you know a few individuals who seem to easily connect with the right opportunities at the right time. They seem to have the right and most profitable information. You may call them fortunate or lucky but if the pattern is consistent, know that they may be following, consciously or by instinct ,a clear set of working principles.

The same goes for those who seem to be able to get properties at  great locations whenever they desire. We’ll examine seven simple but profound ways to find profitable properties anywhere and anytime.

But first, let’s define what we mean by ‘profitable properties’. In real estate investment,you make money when you buy and also after you have bought. However, if you lose money when you buy, you’ll pay dearly for it before you can reverse the loss.A profitable property purchase should be a property that has a good location and is bought at a discount,that is,a little less than its actual market value.This means ,technically,that you have made money buying.The subsequent appreciation in value, is your next phase of profitability.This  presupposes that you already know what you you want and where you want it. Those who do not know what they want often engage in a wild goose chase.

When looking for properties to buy in an area, you need to find out the average or median selling price of properties in those areas. Making use of the several resources available and that will be discussed in this write-up should give you the price range within which you ought to plan. This consideration when viewed against your current budget should give you an insight as to where you can afford.The wisdom of these preliminaries is to make it easier to reach your goal.As it is said,if you know what you want you are likely to get it faster.

One of the first places to look is in the newspapers.Most of the daily newspapers  feature  real  estate  adverts on specific days of the week.Find out which of the days.There are also magazines  that are specifically for real estate agents where advertisers  advertise their properties for sale. These adverts contain the contact details of the estate agents in charge of the transaction.You can call them and find out more details on the property. And don’t forget to carry out your due diligence before you part with your money.

You can also advertise for the properties you want, using any of the newpapers or property magazines. A simple ‘box’ advert titled ‘request’ is sufficient for this purpose. But get prepared for an avalanche of phone calls .This method will give your request maximum visibility and hopefully the right person or agent with the right property will call.

Another effective method of sourcing for properties in a specific area is to drive round the neighbourhood and take note of signages with ‘For Sale’ or ‘Enquiries’ on them. In some more developed and active real estate markets you can also find ‘FSBO’ For Sale By Owner on some properties. Sometimes you can extend this to those with ‘To Let’ on them.

The essence of this is to contact estate agents operating within the area and who may possess information on the properties available for sale.Even if they are not directly in charge,they may know of colleagues who have the type of property you desire for sale.

And sometimes by making discreet enquiries about who owns any vacant or dilapidated property in the neighborhood you may come across a willing seller.

Although this has not yet gained popularity in Nigeria,another source of profitable real estate deals is foreclosures.Foreclosures are usually bank sale of properties whose owners defaulted on a loan and the bank has the authority to sell. Since the bank is basically interested in the recovery of the loan,they often sell such properties less than the actual market value.

In addition to the above,online social platforms are becoming more popular in sourcing for and advertising properties for sale.The large number of people using these platforms,their diversity and the spread of information at a click of a button makes it attractive and convenient.Using major search engines could lead you to good deals.Placing your request on some of these medias gives it a spread that could prove highly effective.

Another good medium is using property professionals whose vast network of contacts makes it easier for them to get you what you want faster.

Experienced real estate professionals will help pre screen properties and narrow down to the ones they consider most appropriate to your purpose.They also have access to professional networks that circulate such information regularly.You will also be able to tap into their knowledge and experience in analysing such properties during or after inspection.

Finally,if you belong to a co-operative society or an investment club of likeminded people, share with those likely to know, what you are looking for. The more you spread the information of the specific request you have the more likely you are to find it.In the words of the good old book ‘every one that asks receives and he that seeks finds’.

Starting a successful business. How?

According to experts, approximately 90 per cent of businesses fail in the first five years. ADEMOLA ALAWIYE explains the necessary things that are needed to prolong the life span of companies, especially new ones

Poor administration and lack of a good business plan can cause an early death of a new business. According to the Small Business Administration, 33 per cent of all new businesses fail in the first two years. Businesses succeed as much as they fail. To run a successful small and medium scale business in Nigeria, apart from adequate capital investment, some basic criteria must be strictly adhered to by the entrepreneur. Experts note that the neglect of these criteria contributes to the failure of most businesses.

Entrepreneurs, especially those just starting out in business must appreciate the fact that shrewd businessmen treat business failure as a milestone on the road to success. They must try to bounce back notwithstanding the fall. Experts note that real entrepreneurs count on learning from their mistakes, and use the experience to move to the next idea. Owners of start up businesses should learn from the mistakes of others to avoid the pain and suffering associated with business failure.

Below are major things an entrepreneur should consider when setting up a business, according to experts.

A good business plan

Many young entrepreneurs often neglect the essence of writing out a business plan for their venture. Experts note that you should not believe the myth that a business plan is not worth the effort.

The Managing Director, Netrack Limited, a small scale business, Mr. Sola Adeleye, says no matter how small a business might be, the entrepreneur must take the pains of writing out a plan.

He notes that the time and energy put into writing a plan shows that the entrepreneur truly wants to transform his idea into a business.

Proper execution of ideas

It is one thing to come up with a business plan and another to astutely execute the idea. Experts note that an idea alone is really worth nothing.

According to them, the idea is useless if not executed. They note that the entrepreneur must be a risk taker and one who takes strict business decisions in order to do well.

Unlimited revenue sources

It is worthy of note to understand that even some non-profit organisations generate revenue or donations to offset operating cost, not to talk of a business outfit established for the purpose of generating income.

Experts note that if your product is free, or you lose money on every sale, it will be hard to make it up in volume.

According to them, your product must be one that will attract customers with adequate purchasing power. They note that if your customers have no money, your business won’t last long.

Passion

This is one reason why many young entrepreneurs give in too early. Experts say the most common cause of start-up failure is when the entrepreneur just gets tired due to lack of passion for the venture and shuts down the company. Despite setbacks, many successful entrepreneurs like Aliko Dangote – Africa’s richest man, and Steve Jobs – founder of Apple Incorporated, remained committed to their vision until they found success.

Business opportunities

Another reason why first-time businesses fail is as a result of limited business opportunities for their products or services.

The Manager, Peers Events, Mrs. Omobolanle Peers-Adekunle, notes that some good ideas may not succeed in the end. She notes that customers at times are indifferent to some products, whether such product is great or not. Experts say that is why it is vital to conduct market research before manufacturing a product.

Strong competition

Too much competition for customers may signal danger for a growing business. Budding businesses which have so many competitors may find it hard to penetrate the market. Experts say this is why it is important for the entrepreneur to embark on thorough research before starting up a business.

Working with experienced people

An inexperienced team will drag a business aground. Experts note that investors fund people, not ideas. So a first-time entrepreneur must get workers with requisite experience if he desires funding from investors.

According to experts, investors look out for people with real experience in the business domain of the start up. Investors want to invest in people with real experience when it comes to running a start up business. Hence, it is important for young entrepreneurs to partner individuals with sound experience of the venture.

Important tools

Some young entrepreneurs underestimate resource requirements for their businesses. Experts say a major resource for any business is cash funding. They, however, note that other resources such as industry contacts and access to marketing channels may be more important for certain products. The tools needed for the marketing of these products are also vital, otherwise the venture may collapse. According to Peers-Adekunle, having too much cash and not managing it shrewdly can be just as devastating as too little cash. She says that entrepreneurs must get the right tools to succeed.

Marketing skills

First-time entrepreneurs must embark on aggressive marketing for their products and services. Experts say the word-of-mouth marketing strategy is not enough to make your product and brand visible to a larger market. Take advantage of the media, advertise on classifieds and adopt other channels to make your product known and appreciated by customers. Without effective and innovative marketing across the range of the media, you won’t have customers and this might lead to business collapse.

I will shortly be elaborating on the mentioned points. Stay tuned.

Nigerian business opportunities

Valuable advice on real estate riches

 

It was Orison Swett Marden, who said, ”we starve ourselves in the midst of plenty, because of our strangling thought.” But I think Harvey S. Firestone stated it more forcefully when he said   “Thought, not money ,is the real business capital, and if you know absolutely that what you are doing is right, then you are bound to accomplish it in due season.” To succeed in life, you need to have and apply accurate information.

Although you cannot allow others to do your thinking for you, you definitely need information from several sources and perspectives to enrich your thought. To improve your chances of succeeding in real estate investment, we’ll consider several valuable advice that has worked for some and hopefully will work for you.

Seek and you shall find           

Whatever you’re looking for, be it property to buy or lease, someone somewhere has it just where you want it. Your job is to find that person and that property. You may need  to read through several property adverts for several weeks, make several calls to make enquiries and carry out several physical inspections but ultimately you will find. And that is what counts.

Start with what you have

There is always a real estate investment that suits your pocket. Often, you need seed capital to start your journey to real estate riches but this capital need not be several millions. A few hundreds or thousands might do. And a cutting back on your cost of living and savings could provide you with this money.

Surround yourself with trusted professionals

There is a limit to what you know. You need others to succeed but not just anybody. Your success team should have a real estate agent/valuer, a legal practitioner, a surveyor, a banker and several real estate related professionals.

Buy low, sell high

This phrase that is often associated with the stock market is equally applicable to  real estate investment. If you buy low and allow your investment to grow, it will make you a millionaire. In a certain area of Nigeria the price of a parcel of land was N500,000 ten years ago. The same land is now N10m.

Focus on high growth areas

Location, location and location. A high growth area is an area that is either close to a commercial or industrial area or one in which a nearby development is stimulating its growth. People normally go to where their jobs are and ultimately most of them will chose to live and settle down close to where they work. The population growth that will result from these trends often affects the prices of property positively. For instance, the location of a university in a community would definitely attract people to that community and usually affect the value of the real estate in that area.

Negotiate

Everything is negotiable. And in every negotiation there are three potential outcomes: win/lose, win/win and no deal. Whether you are negotiating with a buyer or a seller the potential outcomes are the same. Win/win means that the parties were able to reach a compromise and both were satisfied with the deal. In a win/lose deal the parties believe in a winner takes all. Often one of the parties in a win/lose deal is grieved by the deal and considers it one sided .But in a win/win all the parties mutually benefit.

Higher and better use

When you buy a property always explore ways to maximise the value of that property. This can be achieved ,for instance, by turning empty spaces into sources of cash flow. A person could turn a bungalow that has few rooms facing one another into a modern two three bedroom flats with the rooms en suite and getting more income and better tenants in the process. With a little creativity and observation you can dramatically increase the value of your property.

When selling, be careful of prolonged holding out

Sometimes sellers lose a lot of money by being unnecessarily rigid with their sales price while ignoring the market trend. A seller should know how to strike the balance so that he or she does not end up losing out. For instance ,a seller lost over N20m by repelling buyers with unreasonable demands until the information got circulated and people stop turning up for inspection until he had to settle for one of the several low prices he started getting. Always review your position in relation to the reality of the market place.

Cash flow, cash flow and cash flow

It is not enough to buy properties but you must be satisfied with the income they are putting into your pocket. Many astute investors understand that cash flow from properties is one of the most reliable means of securing wealth and retiring well. And it is easy to estimate the potential income that could be generated on a property. The basic system is to find out the current value of the property and calculate an annual percentage increase per annum. Knowing that real estate increases in value, you can be sure that your annual cash flow from your real estate investment will take care of your needs.

 

                                                                                               By Abiodun Doherty

Errors business owners should avoid

 

Running a new business is demanding in many ways and start-up entrepreneurs often make mistakes that bring the company to an end. ADEMOLA ALAWIYE highlights some mistakes that must be avoided

Avoiding some of the most common mistakes made by small business owners can help a venture’s chances of survival in a competitive marketplace. The challenge of growing a small business often frightens some entrepreneurs. Avoiding some common sales mistakes will go a long way toward boosting the performance of your business. Experts say learning sales skills take place in many ways. Most often, we introduce something new or we learn by imitating a best practice, step-by-step.

Sometimes, however, we can make the most progress just by learning to avoid mistakes. That’s especially true when it comes to sales performance. Everyone has something to gain from correcting errors — even veteran sales-people, who often and without realising it fall into habits that are detrimental to their success.

Below are some sales mistakes which an entrepreneur must avoid in his small business, according to experts:

Judging by mere physical appearance

Experts say that entrepreneurs who judge their clients by their mere physical appearance may lose out in certain deals. According to them, a small business entrepreneur is a salesperson and if he prejudges prospects by the car in the driveway or the condition of the home’s exterior, he may end up losing some of his best clients.

They say instead of making judgments based on appearances, rely on a consistent sales process to inform your opinion. This will enable you get the client and complete the deal which may pay off in the end.

Neglecting certain businesses

The Managing Director, Setex Company Limited, Mrs, Seline Adedejo, says some entrepreneurs often ignore certain business.  She notes, “It is important to know that clients want to work with people who genuinely want their business. Customers may have no way of evaluating your level of interest. So you don’t have to assume that just by showing up and assuring that you have made your interest clear.”

She adds that the entrepreneur must ask for the opportunity to work with his clients and must not neglect any business.

Not quitting wrong clients

Experts say that a considerable per cent of your clients will not allow you to make the much desired-profit which you want. With these people, it takes more guts to walk away than it does to agree to proceed. With right clients, you make money, reduce everyone’s stress, and build your reputation.

Not listening

Entrepreneurs should not talk themselves out of a sale, according to business experts. The 80/20 rule applies: You need to spend some time talking about your company, but you should spend 80 per cent of your time listening. Clients love to talk about their problems and ideas. They did not call you to hear you talk about yours, experts say.

Selling up instead of down

Experts say in the architectural community, for instance, only about 30 per cent of what is designed gets built. If you let the prospect’s idea grow into a fantasy project, it may forever remain a fantasy. A better strategy is to allow the fantasy discussion, but try to close on a realistic project.

Not having all the decision makers at the initial visit may make your potential close rate to drop by more than half, experts add.

Not distinguishing yourself

Sales Manager, Gradit Limited, Mr. Chuks Anyanwu says, “As an entrepreneur, you must communicate the differences not the similarities which your product or service has when compared to others. Try writing it down. If you don’t know how you are different from other competitors, don’t expect your prospect to know.”

Not involving clients

Experts say your selling process should be designed to get commitment from a client, not the other way around. You may not get the major contract, but you should get something — a design agreement, a visit to your office, or a specific time for a second meeting.

Failing to use visual aids

It is important that you learn how to draw flowcharts or outline your process on paper or sketch an idea, while your clients watch. They will not only understand more, they will be less fearful and more confident in their decision to proceed, experts say.

Poor display of enthusiasm in your project

According to professionals, enthusiasm sells, and passion is contagious. So if the entrepreneur shows enough enthusiasm for both the prospects and project, his clients will return the favour.

Ignoring customer data

Every sale is an opportunity to make another sale down the road. The entrepreneur must remember that his existing customers are his best source of revenue. You can only tap them if you have a method for keeping track of them. Sales people should try and collect all the names and addresses of their customers that came to their stores over a certain period of time. Experts note that there is great benefit in keeping a database of clients.

                                                                                               By ADEMOLA ALAWIYE

Nigeria Fashion business

Nigerian fashion business has seen major improvements in recent years and its still improving. As we highlighted in our earlier blog, the Ankara design has become so widely distributed and accepted that it has become a huge niche of business on it own. International and local fashion shows have added impetus to the work the industry is doing. These are a few shots from what we have accomplished.

                                                                     Jewel by Lisa

                                                                        Fashion shoot

                                                       International Fashion events

                                                                      Jezreel Designs

Be protected, Get insured

The time had come and gone when Nigerian business was seen as local, as such things were done unprofessionally. One of such things was that people own multi-million companies and run them without insuring such firms. We have heard stories of people who were doing well in the importation business and when their container sink they will loose everything. The insurance industries are here for such contingencies and we should take advantage of what they do to better the way we bear risk in Nigerian business. Without risk there will not be any high earning business or any businesses at all. But risk management has been identified as the best key to doing good business, which is why people employ professionals such as yours faithfully and employ risk  managers and insurance companies to help them minimise the risk that businesses carry. In Nigeria most insurance companies are affiliated with Nigerian leading banks and some are doing better business by establishing a few stand alone ones for example Mansard Insurance. for a list of insurance companies in Nigeria and there contacts please click on this link.  Nigerian Insurance Companies . Lets explain more about these companies.

 

Insurance is the transfer of risk from people & corporate institutions to professional risk carriers, bearers – the insurance companies. Every one of us is exposed to one risk or the other because life is full of risks and all these risks can be identified, quantified and handled by insurance transfer mechanism.
So when risks materialise, they lead to financial losses, and if risks are not managed in a scientific manner, it could ruin anybody, any business, any nation, and any economy. That is why all over the world people have come to accept that the best way to handle risk is by way of insurance transfer mechanism. In life, there are risks associated with business and all endeavors, and the cost of transferring the risk to a risk bearer is the premium that people pay.
The risk bearers
The risk bearers are the insurance firms of different brands, some insurance companies specialised either in life or general business, while some operate as composite firms. These insurers offer a guarantee to compensate insured persons or corporate body for their losses under their insurance policies.
How insurance operates
Insurance is different from the Esusu, which is the local traditional insurance that entails that we have the spirit of being our brother’s keeper, so that when any of our family or friends suffers a loss, all of us will rally round and contribute money to help. The way insurance works is such that a homogenous group that is exposed to unforeseen contingencies or risks are put together with the understanding that it is not in all cases that all of them will suffer a loss.
By the theory and science of probability, insurance operators have been able to calculate to arrive at the average number within that homogenous group that will suffer a loss, and from the contributions of every member that make up that pool, insurance can compensate the few of them that have suffered a loss. So from the pool of fund, insurance can build up reserves and make investments because the group will keep growing and expanding.
Sometimes skeptics come to say ‘You pay premium of N10 and if anything goes wrong insurance will pay you N1000, is that not gambling?’ No, it is not gambling but scientific and it is based on the law of large numbers. The number must be relatively large because if it is large the pool of fund will be huge and insurers can always pay handsomely to compensate anybody who suffers a loss. That is the way insurance operates.
Poor perception of insurance
The poor insurance perception in the country has to do with the literacy level to a great extent. What is the level of education and knowledge that people have? That is why the insurance industry will need to do a lot more in educating the Nigerian public. Even the so called elites hardly can appreciate how insurance works or the benefits. This may be peculiar to our environment because when some of these elites travel abroad, they comply with insurance requirements.
Poverty could also be a factor but cannot be a tenable excuse because the poorest class would be the ones that need insurance most. This is due to the fact that should anything happen to them or should they suffer any loss, the chances of their recovery are slim. But if they have insurance, their hopes are high. In essence, from whatever income you earn, there must be a planned pattern of managing and spending, and such plans must include a level of saving from which you can always do some investment or do so many things.
It is not ideal that somebody will be waiting for manner from heaven or until he can access loan or facility from the bank or a finance house before he could start a business or any venture. So for emergencies, there must be a reserve. Hence, poverty shouldn’t be an excuse, rather we should be preaching to people to get better organised and be operating a plan in whatever they do.
Cultivate the habit of savings
If you can cultivate the habit of savings, it will help you in life. Insurance, which is a way of savings, is there for you too. Through insurance you can save for the future and for the training of your children (education insurance). The general public should shun the apathy towards insurance. It is one of those services in modern times that can always provide a relief or a solution to some of our problems.
Within the African continent, Nigeria cannot be seen as a country of the poorest set of people. How come that insurance penetration or awareness in some African states are a lot better than Nigeria? It is only because of our mindset here and not due to poverty, so we should de-emphasise poverty, but promote insurance education and awareness.
An improved insurance sector
In recent times a lot of efforts are being put by insurance operators into widening micro insurance penetration. That is, conscious efforts to spread insurance to the grassroots, the people on the streets, the market people, the artisans, and so on. People are being grouped into corporative societies and credit facilities are being offered to buy some of the equipment’s they needed for their trade and such equipment’s are being brought back to insurance firms providing the facilities to give insurance covers. It’s quite attractive, and is really gaining ground in the East, Lagos and Ondo States as well as in Abuja. It is not that the insurance sector has started promotion, where people are told to buy this and get that, No. Rather, it is sorts of suasion whereby you make people appreciate insurance.
If you go to the banks, you cannot get credit facility with ease. But insurance firms are coming up to say, we can offer you facility, we can be partners in your business and you will get added protection by coming back to buy insurance, and you are secured.
Secondly, a lot of efforts are also being put into product development that will really address our cultural values. For example, when our aged people die, we spend a lot on funeral rites. However, insurance has developed products that are being packaged to cater for funeral expenses. Also, it is common knowledge that we value the best education for our children, so a number of policies are there to take care of our children’s education.
But at the same time, the prospective buyers should begin to have a change of mind by addressing priorities that could be rewarding to their lives and families in their budget planning. Insurance has done quite a lot by making the products attractive and bringing added values that will attract the public. But the public reserve the right and decision to say “I want to buy it”, and one of the things they could do is to reorder their priorities. They need to reorder their priorities and cultivate the habit of savings and believe in the protection of their assets.  It’s high time, we begin to get our priorities right and appreciate the value of insurance.

Airtel, FirstBank launch FirstMonie Payment Solution

Lagos – Leading Telecommunications Service Provider, Airtel Nigeria has gone into a partnership with First Bank Nigeria Plc to offer Firstmonie Talkmore; the all-new, revolutionary mobile payment solution, to the public.The strategic partnership which was sealed with the signing of a Memorandum of Understanding (MOU), Tuesday, in Lagos makes it possible for Firstmonie Talkmore to run essentially on Airtel platform to make mobile payment services easy and accessible to a broader spectrum of Nigerians.

The partnership is the first major collaboration between leading operators in the nation’s banking and telecoms industries to provide a first class mobile payment solution to Nigeria.Specifically, subscribers on Airtel network who sign up to Firstmonie will be able to send and receive money, buy airtime, pay bills and carry out other forms of transaction on their mobile phones without operating a bank account.In addition, any duly registered subscriber on the Airtel network who signs on to Firstmonie will automatically receive N100 e-value and will be eligible for N240 bonus airtime.

Speaking on the special offering, the Director Regulatory Affairs and Special Projects, Mr. Osondu Nwokoro observed that Firstmonie could not have been better timed in view of the current drive by the Central Bank of Nigeria to entrench a cashless economy in the country.Said he: “As pioneers in the GSM sector and leaders of innovation in the industry, we have no doubt that Firstmonie will definitely revolutionize the mobile payment industry and further endear the Airtel brand to the Nigerian people.”

According to Nwokoro, Airtel has been a leading driver of innovative mobile payment solutions across Africa having singularly planted Mobile Money platforms in 16 countries across the continent.“It is this experience and expertise that we are bringing to bear on Firstmonie in the hope that it will deepen customer loyalty for Airtel and stimulate customer acquisition for FirstBank.We also have no doubt that our prospective subscribers now have one more reason to join Airtel while those who are dissatisfied with the service they receive from their current network providers have just been given the perfect reason to port to Airtel, the network that works,” Mr. Nwokoro further explained.Also speaking on the offering, Head, Marketing & Corporate Communications, FirstBank, Mrs. Folake Ani-Mumuney observed that the product which facilitates the integration of both the unbanked and underbanked population into the financial system also offers an excellent medium for Airtel subscribers to send funds securely to their families and friends across the country.Said she: “Firstmonie offer is open to subscribers of the Airtel network across the nation and registration is initiated by dialing *894# on any basic mobile phone or by logging on to https://www.firstmonie.com/iweb or https://www.firstmonie.com/imobile.”Interestingly, the new partnership on Firstmonie came on the heels of a recent one between Airtel and FBNLife Insurance (a member of the FBN Group) on the product PADI4Life which runs on the robust 3.75g network provided by Airtel

                                                                                                               By Vanguard Newspaper

Cooperative Societies: Untapped investment opportunities

One of the most powerful channels of investment is cooperative societies. Many people have heard about them, but only few understand them and the immense opportunities they offer. As a result, only a fraction of the society are tapping into and enjoying these opportunities.  Even the government is yet to realise how powerful cooperative societies can be, especially in eradicating poverty and improving welfare of the citizens. Fully exploited, cooperatives can enhance job creation and national productivity.
For the individual, especially low income earners, it is perhaps the least stressful and risky ways to save, invest, and improve personal welfare. Going forward, we would devote time and space to exploring the investment opportunities of a cooperative society for the individual and its development benefit for the nation. Also, as we go along, we would compare cooperatives to other forms of investment, so as to highlight its advantages and disadvantages.
A cooperative society is an association of people that come together to pool resources together to engage in business or economic activities for the purpose of improving their welfare. According to the International Co-operative Alliance (ICA), a cooperative society is “an autonomous association of persons united voluntarily to meet their common economic, social, and cultural needs and aspirations through a jointly owned and democratically controlled enterprise.”
The thinking behind cooperative societies is best reflected in an excerpt from the   history of cooperative societies below.
“As the mechanisation of the Industrial Revolution was  forcing more and more skilled workers into poverty, these tradesmen decided to band together to open their own store, selling food items they could not otherwise afford. With lessons from prior failed attempts at co-operation in mind, they designed the now famous Rochdale Principles, and over a period of four months, they struggled to pool one pound sterling per person for a total of 28 pounds of capital. On December 21, 1844, they opened their store with a very meager selection of butter, sugar, flour, oatmeal and a few candles. Within three months, they expanded their selection to include tea and tobacco, and they were soon known for providing high quality, unadulterated goods.” (The History of Cooperative Movement, Wikipedia)
The above is a useful and powerful beginning to understanding cooperatives. The underlying philosophy is –poverty eradication, welfare protection and improvement.
Though, the cooperative society movement is more than 200 years old, this has not changed. Then, it was butter, sugar and tea. Today, it is television, phones, cars and houses. There are many people across the world today that would not have had television, mobile phone, houses and money to retire on if not for their membership and participation in one cooperative society or the other.
In fact, many lives would have been lost to curable diseases; many children would not have gone to school, and many would have had no job but for the easy access to credit and other financial benefits offered by cooperatives. Most importantly, many would not have saved at all during their working careers, or discover the power of savings culture but for membership of cooperative society. Personally, I have benefited from cooperative societies, and I know some of you have. But the truth is majority are yet to, because they don’t know the benefits

                                                                                                 By Babajide Komolafe

Top 10 performing stocks

IPWA Plc, HIS Plc, Forte Oil Plc, MRS Oil Nigeria Plc, PZ Cusson Nig Plc, and UTC Nig Plc were among the stocks that garnered enough investors’ patronage last week to make it to the top ten gainers chart. Others are Champion Breweries Plc, Julius Berger Plc, 7-Up Bottling Company and ABC Transport Plc.
IPWA Plc, listed on the building materials sub-sector of the Nigerian Stock Exchange, NSE, recorded 57.32 percent or N0.47 price appreciation to top the list. It opened the market at N0.82 and closed at N1.29. By virtue of its products profile, IPWA plc is the most diversified paint manufacturing company in Nigeria, producing highly technological marine, protective, packaging, and industrial coatings in addition to building paints, wood finishes and automotive refinishes.
Available financial statement of the company for the third quarter ended 30th September, 2011, showed that gross earning declined by 13 percent to N241.07 billion from N276.06 billion. It recorded loss before tax of N59.21 billion, a four percent decline over negative N61.56 billion reported in the same period of 2011.
Investors’ patronage for the stock seems to be on the increase as it led the top 10 gainers three weeks back. So far, the share price has risen by 158 percent year-to-date from N0.50 at the beginning of the year to the present market price.
Telecommunications services company, IHS Plc, trailed behind with 46.33 percent or N1.20 gains from N2.59 at the beginning of the week to N3.79. Only recently, the company announced that it entered into a definitive agreement with MTN Group Limited (“MTN”) (JSE: MTN) pursuant to which, it will acquire up to 931 mobile network towers from MTN Cote d’Ivoire for US$141 million and up to 827 towers from MTN Cameroon for US143 million. Following the agreement, IHS became 100 percent shareholder of the tower companies to be set up in each country to manage the towers and other passive infrastructure.
The quarter two financial statement for the period ended 31st October, 2012 showed that it recorded 213.9 percent increase in turnover from N3.61 billion in 2011 to N11.32 billion in 2012. Profit, however, nose-dived by 97.4 percent to negative position of N1.22 billion from another loss position of N618.02 million in 2011. Increased investors’ patronage has seen the stock rising by 122.94 from year low of N1.70 to the present market price.
Forte Oil Plc, which closed as the third top gainer in the week, rose by 46.31 percent or N9.42 from N20.34 to N29.76 after the federal government paid subsidies claims amounting to N48 billion to petroleum marketing companies last week. It was among 25 oil marketing companies that received the package.
Just recently, the NSE listed Forte Oil along with 24 other companies that exceeded the minimum listing standards in terms of timely disclosure of their audited annual and quarterly financial performance. The company filed its first quarter financial statement for the period ended 31st March, 2013, over a month ahead of the stipulated submission deadline which falls on 15th May, 2013. Already, the stock price has risen by 284.99 percent year-to-date from N7.73 at the beginning of the year to the Friday’s closing price.
MRS Oil rose by 33.05 percent or N6.28 from N19.00 at the beginning of the week to N25.28. Listed on the petroleum and petroleum products distributors’ sub-sector, MRS engages in the business of marketing and distribution of refined petroleum products, blending of lubricants and manufacturing of greases.
Despite 66.7 percent decline in its profit after tax for the year ended 31st December, 2013, the board of directors is still recommending N23.34 kobo dividend, to be approved by shareholders at the yearly meeting in August. Its revenue for the same period rose by 11.5 percent to N79.72 billion from N71.49 billion in 2011.
PZ was the next with 23.22 percent or N9.14 price gain from N39.36 to N48.50 per share; UTC gained 21.54 percent or N0.14 from N0.65 to N0.79 per share; Champion Breweries’ share price rose by 20.79 percent or N1.47 to N8.54 from N7.07 per share.
Others are JB, which gained N13.73 or 19.61 percent from N70.02 to N83.75 per share; 7-Up was up  by N10.00 or 18.18 percent from N55.00 to N65.0 per share, while ABC Transport’s share price went up to N1.29 from N1.10, gaining N0.19 or 17.27 percent.

                                                                                                 By NKIRUKA NNOROM

INVESTORS’ SPEAK: How to manage risk of investment in shares

Mr. Samuel Iserhien:
By nature, the capital market is highly risky. And that is why some people call it a gambling exercise, but I am telling you that every investment, be it in the capital market, in housing, construction and others are kinds of gamble.
Nevertheless, profit potential is worth risk taking. But still, the higher the profit potential, the higher the risk. In other words, if you are expecting high gain, you must be able to take high risk.
In the last one year, the market has been interesting, most especially because of the recovery from the huge losses experienced between 2008 and 2010 when the market recorded a collapsed. But in the past one year, those who still held on to their stocks were able to regain part of the losses.
Some of the stocks have even risen beyond the point they were before the crises of those years. For instance Nestle was never as high as N200 in the good days like 2006, but currently, Nestle is now selling between N950 and N1000 ,the same can be said of Unilever, UAC and Cadbury.
Though Cadbury rose up to N60, at a time, but you know it fell to as low as N8 in 2009. But today, it is around N60. So, such stocks have actually risen very high even higher than they were in the good days before the crisis.
Today, the only sector that is appreciating at a slow pace is the banking sector. I will say that it is sluggish, but the fact remains that the market is currently recovering from the downturn. And this is the right time for those who have the money and are willing, should go and invest in the market.

Mrs Oteh

But to reduce their level of risks and errors, they need to invest on expert’s advice, because they can’t just go in like that and be victim of some of the risks. Therefore, they need to look for an expert, most especially a stockbroker for advice and if possible look for other reputable sources where they can get enlightenment about the happenings in the market.
I think some of the point that one needs to understand before going into the market is to know about the company he wants to invest in. Ensure you are aware of their performance, financial record and statements, their annual reports, their chairman and director’s statements and see what they are forecasting in relation to the general economy situation.
If after looking at all these you are convinced that the company is heading towards a good time of huge performance and good profits, and then you can join in holding a part of their shares.
COMPLAINTS AND INVESTIGATIONS
I need a stock broker in Calabar
How can I locate a registered stockbroker in Calabar, Cross River State? (Asuquo Ene)
Investors Forum
Check the website of the Nigeria Stock Exchange (www.nse.com.ng) for list of registered stock brokers.
I need information on First Inland Bank
I bought shares from First Inland Bank plc at Awka in Anambra State since 2008. But ever since then, no certificate or dividend was given to me. I even opened a CSCS account as the bank instructed me to do, but all to no avail. I am beginning to get confused. I bought 200 units at rate of 19,000 that is 8,500 per unit. (Adinde Chukwuemeka).
Investors Forum
You need to tell us the shares of the company you bought. If it was the shares of First Inland Bank that you bought from one of their branches, then you should contact the registrar of FCMB, the bank which acquired First Inland Bank. However, we suspect foul play as the shares of First Inland Bank was never sold as high as N95 per share. The registrar of FCMB is City Securities Limited. The address is Primrose Tower, 2nd Floor, 17A Tinubu Street, Lagos. Tel: 234-1-2641298, 234-1-7924462.
No dividend from Zenith, Union and AIMs
I have shares in Zenith Bank and Union Bank, but since 2010 I have not received any dividend. Also, I invested N1.5 million with an investment company called AIMs Asset Management Company some time ago. I visited their office and they were not there. I fear that they have folded up. (Egbulem Chukwudi Clement)
Investors Forum
For your investment in Zenith Bank, contact Zenith Registrars Limited at Plot 89 Ajose Adeogun Street, Victoria Island Extension, Lagos.  Tel: 234-1-2708930-4. E-mail: enquiry@zenithregistrars.com. For Union Bank, please contact Union Registrars Ltd at No. 2, Burma Road, Apapa, Lagos. Tel:  2793160 – 2; 0700 826 7341.  The contact of Aims Asset and Management is 23, Ajao Road, Off Adeniyi Jones, Ikeja. Tel: 2347029523916, 8095988382; Email: aims@aimsassetmgt.com.
No communication from Oando
For four years, no dividend or report has been paid to me on my investment in the shares of Oando.  Kindly verify for me why my annual reports and dividend from Oando were not sent to me for almost five years now (Ekanem, Mfon Udoh )
Investors Forum
Please contact First Registrars, Plot 2 Abebe Village Road, Iganmu or call  08033018295, 08191410456
No dividend from First Bank
No dividend from First Bank, I have shares with First Bank of Nig Plc, but I have not been able to get my dividend since 2011. Help me find out why it is so (Ogbolo O. Francis)
Investors Forum
Please contact First Registrars, Plot 2 Abebe Village Road, Iganmu or call  08033018295, 08191410456
I want to recover Oceanic Bank dividend
I have shares in Oceanic Bank, now Ecobank, and I am having dividend of Oceanic Bank of Oceanic Registrar and I want to change it to Ecobank dividend.
Investors Forum
Oceanic Registrar was merged with ESL Registrars Limited (the registrar of Ecobank Plc). Your unclaimed dividend should still be valid. So, contact ESL Registrars at  16/A Rauf Taylor Close, Off Idego Street, Victoria  Island, Lagos  or call 01-7301260
Is Zenith Point Capital genuine?
Is Zenith Point Capital Investment Limited in Minna a genuine company?  (Yakubu)
Investors Forum
Our investigations did not reveal any registered stockbroker, or dealer with the name of the company.
How can I reclaim unclaimed dividend
I have shares with UBA and Diamond Bank, but I have not been able to get my  dividend since I bought them in 2005. I have my share certificate with me.  How do I recover the unclaimed dividend from UBA and Diamond Bank?  Please sir, help me find out what the problem is. Also, I bought Mutual Benefit Assurance Plc shares during its I.P.O,  but up till now, I  have not received  my share certificate. (Tommy Esegbona)
Investor Forum
For your investment in UBA, contact Africa Prudential Registrars Plc at 220B,  Ikorodu Road, Palmgrove, Lagos. You can call 01-8401153, 01-8931501,  and 01-4606460 or send message to info@africaprudentialregistrars.com. For Diamond Bank contact Centurion Registrars Limited, via 59, Ogunlana Drive Surulere, Lagos.  Tel 012710574, 01 8446896.  For Mutual Assurance Plc contact BOI Investment and Trust Company Limited, 23 Marina, Lagos. Tel 01-2715215
Is Sun Insurance still existing?
I invested in Sun Insurance Plc in the early 2000, but suddenly, l did not hear again from them and all my efforts to trace them to recover my premiums proved abortive. Help me find out if the company still exists and how l can locate them.  (Mr.Wale Salako)
Investors Forum
Sun Insurance Plc was one of the seven insurance companies recently liquidated by the National Insurance Commission (NAICOM) for inability to meet new capital base.  Consequently, the company was delisted from the Nigeria Stock Exchange.  The implication is that the company does not exist again, and the fate of shareholders investments rests with NAICOM.
I want to sell Daar Communications shares
I invested in Daar Communication since 2008, but I have not received any dividend and I want to sell, but they said I can’t sell. My broker is Golden Security Limited please help me investigate.
Investors Forum
Daar Communications has not paid dividend since it was listed on the stock exchange.  You can’t sell because there is no demand for the shares.
I need contact of Union Bank registrars
Please, I need help with the Union Bank’s shares I bought in 2007. What’s the contact of the registrars?  (Eric Benin city)
Investors Forum
Please contact Union Registrars Ltd at No. 2, Burma Road, Apapa, Lagos. Tel:  2793160 – 2; 0700 826 7341
I need reliable stockbrokers
I bought shares from UBA, STB, EIB, WEMA, Skye, Ocean Bank, Transcorp and DAAR Communications between 2004 and 2008. Kindly get reliable stockbroker to dispose of the certificates (Dan Pedro, Benin)
Investors Forum
We don’t recommend stockbrokers to readers. Please visit the website of Nigeria Stock Exchange (www.nse.com.ng) for list of registered stock brokers.

                                                                                            

China vs Dubai: The battle for the Nigerian market

The importation of goods into Nigeria by traders who seem to be showing preference for variant lucrative business attractions that Dubai offers compared to what is  obtainable in China has continued to generate comments by Nigerians. In this report, Nigerian businessmen and women, who bared their minds, believe that business in Dubai, the Persian Gulf city, is more favourable.
Mrs. Kate Ibe (aka Madam K), who trades in Dubai gold ornaments, said, “ Doing business in Dubai is full of excitement  because of its proximity and the lack of visa-restriction rules that comes with it.
Unlike China, the business environment is very conducive and the infrastructure is reliable.”
Kate further stated, “A large number of Nigerians come to Dubai on weekly basis to engage in buying and selling because of the access to visa and decent profit margins that they make on sale of purchased products back home in Nigeria, and this is not achievable with products from China”.
Jonathan Ozoemena, a merchant, said he had to relocate from his manufacturing business at Idumota to Dubai due to the alleged invasion of substandard goods from China, in addition to Nigeria’s incessant interruption of power supply, deplorable road condition, and insecurity which has led to crime almost unavoidable.
According to Jonathan, who hails from Anambra State, “I travel to Dubai each time I exhaust my stock and I have been doing this for over three years now. It was a friend who introduced me into this line of business in Dubai, and I have not encountered any problem so far. Doing business here in Dubai is quite conducive. The only time you have a problem is when you try to go against their law.”
The market leader
Comparing both markets ( China and Dubai), Jonathan disclosed that although China is one market that is giving Dubai a quick run, majority of Nigeria business men feel better buying from the Dubai market.
“Majority of the goods that come into Nigeria from China may be sold at cheaper rates, but lack quality and durability, because some of our Nigerian businessmen in China specify the quality of the items they want manufactured for them and, most times, they place orders for low quality goods in order to attract low prices. This attitude, ironically, has attracted more patronage, and profit for them, which, if viewed in real sense, is dangerous.
This unmindful attitude of these traders also explains why Nigeria seaports consider most items that come from China as substandard.”

Entrance of the bustling China Town in Lagos.

The merchant frowned at the operations of the Standards Organization of Nigeria (SAN), which, he said, “ Is a show of total neglect to the welfare of  fellow citizens, because, by demanding a token as penalties from importers, who brought in sub-standard products that are harmful, they have sabotaged the vision of the organisation, which is to ensure that no sub-standard products get to end users.”
Sunday Vanguard further gathered that Dubai enormous business attractions and non-visa restrictions on visitors, who have genuine businesses to transact, have enabled  a large number of Nigerians who specialize in trade and commerce to achieve better returns on variant products purchased.
These products which range from gold, textiles, spare parts, cosmetics, electronics, telecommunication gadgets and household items can be obtained at a bargain if the trader knows his/her way about the numerous souks (markets) in the city.
In accordance with the rush to Dubai, three major airlines now offer daily flights from Lagos and Abuja to Dubai and with what appears to be pocket friendly flight fares, Dubai is for many Nigeria traders synonymous to a successful business.
What opened Dubai was the objective of a free trade zone, established in 1979, which permitted foreign investors unrestricted import of labour and export capital.
Owing to this, Dubai is now one of the world’s major trade and business hubs, and, among African countries, Nigerians rank highest among countries that travel to Dubai to import trade goods.
Majority of Nigeria traders in Dubai agreed that, knowing where you source your products and getting the best bargains is very critical if one hopes to make reasonable profit margins back in Nigeria. Igbo traders based in Dubai have established direct links with big time suppliers who sell at very cheap rates to traders.
Speaking also to Sunday Vanguard on the grounds of anonymity, a young man, who trades in female outfits said, “ I am better off with clothes from Dubai, even though they are slightly higher in price than those from China; they have quality and durability,” adding, “In Dubai, you do not have this long stretch of agents who you have to settle at the end of every purchase made, which is the situation in China.
Personally, trading in Dubai has given me my business more and better millage, and I do not think I would want to compromise.”

                                                                                                By Vera Samuel Anyagafu

FG approves 300million naira for nigerian film industry

Nollywood

A few weeks ago we had a discussion on the need for Nigerian movie industry to do better. Under our article entitled "Doing business in Nigeria (Entertainment, Art an culture)" we explained that the federal government needed to jump in and support Nollywood for it to do better business and represent Nigeria better. In honour of that thought president Goodluck Jonathan and the able Finance Minister has jumped in as it were with financial support to see Nollywood do better business.

The Federal Government on Sunday said it had approved N300m capacity building fund for the Nigerian film industry.
The fund, according to a statement from the Ministry of Finance, is part of the N3bn entertainment fund, which was pledged last year by President Goodluck Jonathan.

The Presidential Intervention Fund called: Project ACT Nollywood, is managed by the Minister of Finance, Dr. Ngozi Okonjo-Iweala, and her Culture and Tourism counterpart, Chief Edem Duke.
In the statement, which was signed by her Special Adviser on Communication, Mr. Paul Nwabuikwu, Okonjo-Iweala said the fund would be inaugurated on Monday (today) through the activation of a website, where it could be assessed.

The capacity building fund, she stated, was the first in a series of initiatives planned under Project ACT Nollywood, and was made up of two components.
The first is N150m dedicated to training and skills acquisition by Nollywood practitioners in all competencies along the entire value chain of Nigeria’s movie industry.
They are scriptwriting, directing, production and production design, special effects, lighting, sound, acting, cinematography, make-up and editing.

The second component is the Capacity Development Fund, which is also worth N150m. It will give grants to existing Nigerian-owned private institutes that offer training courses, programmes and technical certification in the movie industry.
Additionally, the CDF may be used to upgrade existing facilities, procure equipment and develop internal capacity to offer a set of courses and training programmes, which address key skills gap.
The statement also quoted the minister to have said that the establishment of the fund underscored government’s commitment to supporting Nollywood in recognition of its contributions to the economy.

“This is the first of the initiatives planned under Project Act Nollywood. And it shows that the President is keeping his word to the industry and to Nigerians. Nollywood deserves this support because it has added value to the economy by creating jobs and acting as an ambassador to the country, projecting Nigeria to many parts of the world that hitherto knew little or nothing about the country,” she added.

A case for Digital Marketing

 

Most modern organisations set objectives that drive their businesses for its growth and progress; these objectives give your business a clearly defined target. Setting goals and objectives is an effective way of ensuring that you are headed in the right direction.

However, objectives cannot stand alone; they need the support of solid plans. These plans are set in motion to enable the realisation of set targets.

When setting business objectives, ensure your objectives are SMART (that is specific, measurable, attainable, realistic and timely).

Impact of SMART goals on your business

-They keep you focused on you main goal, When your goals are SMART, the company is focused on the specific goals and steps to achieving them. This eliminates waste of resources and manpower.

-Progress can easily be monitored and measured. With smart goals, there are key measurement metrics in place by the company to measure the progress on the goals. Each department’s goals will be measured weekly, monthly, quarterly or at a chosen time by the company. Questions to ask to make sure your goals are measurable include: How many? How much?

-They enable you to have a positive outlook and increase enthusiasm. Since the goals are specific, it is easier to envisage the success as goals look more achievable when they are broken into smaller fragments.

After setting SMART business objectives, discover ways and strategies of achieving them. One major strategy is marketing. Every serious organisation has a marketing department; and every focused marketing department sets objectives which ensure that the organisational objectives are met using trusted and tested marketing strategies.

Marketing is the practice of realising organisational objectives by pooling and surpassing customer desires. For a marketing process to be effective and successful, you need to identify, anticipate and supply customer needs and requirements. Marketing plays a major role in achieving the objectives of a company as it is seen as the main driver towards achievement of your set objectives.

Two main media of marketing

-Traditional Marketing: It makes use of Product, Price, Promotion and Placement to introduce and market products and services. Tools used in this form of marketing include: television, radio and newspapers.

-Digital Marketing: focuses on the use of the internet platforms and mobile applications to disseminate information about products and services. Tools used include: social networks, videos, search engines, and other options.

Over the years, most companies used the traditional marketing platforms to achieve their marketing goals. In recent times, the business world has changed and currently operates at a faster rate; the Internet has therefore been employed by a lot of companies to realise their objectives. Hence, it is therefore advisable for companies to follow this lead and take up this profitable trend.

 

What you benefit from digital marketing

-Your business can achieve measurable results and objectives.

-You can make your business decisions using real data and qualitative results.

-Digital marketing affords you the opportunity to reach your target audience exactly where they are.

-Direct and immediate feedback from customers: Customer feedback is paramount when determining a customer’s needs and taste; social media enables you communicate directly with your customers and target audience.

-An affordable way to get your message out without breaking the bank: For medium-sized companies that cannot afford the traditional marketing charges and bills, a well planned digital marketing strategy is ideal as some of the platforms used for digital marketing is free while results gotten from the paid ones last for a long time.

-Business of all sizes can employ digital marketing strategies to drive their business as it is cost effective. A recent survey by Constant Contact shows that the adoption of various online marketing tools by small sized companies has rocketed: “98 per cent of survey respondents now use email marketing (up from 64% saying they used them 5 years ago), while 87 per cent use social media marketing (up from just 10 per cent  five years ago).

And while finding new customers remains the chief concern for small businesses today, among those who are finding this task easier, a leading 53 per cent  say that’s due to more affordable online marketing tools”. (www.marketingcharts.com)

-You are able to build and develop relationships with your customers via social media and communities: With digital marketing, your customers find it easier to get in touch with you and convey either their satisfaction or dissatisfaction with your company services. This will facilitate reputation monitoring and control. Also, new product/service lines can be developed based on feedback from customers on what their current needs are.

-You can modify your message on the various online platforms whenever you want.

In essence, digital marketing has become a trusted way of measuring and achieving your business goals, with digital marketing you are more likely to record a successful business year.

 

                                                                                 By Amara Nwankwo

outsourcing companies target 10 million jobs

       

Before I wrote my article on outsourcing, most of my readers did not know what outsourcing meant and how it was a good business branch for Nigeria. We had nice reports on the article and we promised to keep you updated with the latest on outsourcing. As we rightly projected outsourcing is already doing a lot to provide job opportunities for Nigerians and with the creating of NAITEOC board will do even more

 

     Outsourcing companies and practitioners in Nigeria have stated their commitment towards creating 10 million jobs in the country.

 President, Institute of Software Practitioners of Nigeria, Mr. Chris Uwaje, said outsourcing had the capacity to create 10 million jobs in the country within a short period if given the necessary encouragement. He spoke in Abuja on Thursday at the inauguration of the board of the National Association of Information Technology.

 

 Uwaje, who is also member of the new NAITEOC board, said, “With Nigerians in the Diaspora remitting N21bn to the country on annual basis, we have seen what our people are capable of doing. We can indeed export knowledge through outsourcing.”

Buttressing the point, another member of the board and President of the Information Technology Association of Nigeria, Mrs. Florence Seriki, said Nigeria had not been reaping from the lucrative global outsourcing business because of late preparation.

 

 Another member of the board and Managing Director of Interra Networks, Mr. David Onu, said although huge opportunities existed in business process outsourcing abroad, there was the need for the government to jumpstart the industry by harnessing the opportunities at home.

 According to him, it was this strategy that India adopted to make the country an attractive destination for global outsourcing business.

 

 Onu said one of the ways to do this was to bring government closer to the people through outsourcing, adding that at the moment, government was far from the generality of the people.

 Acting Director-General, National Information Technology Development Agency, Dr. Ashiru Daura, said the government would do everything possible to grow the outsourcing industry in order to create jobs for unemployed Nigerian youths.

 He said, “We had the first outsourcing conference in 2011. At that conference, a resolution was taken that the board of the outsourcing association should be constituted. The journey has been long and slow.

 

“All of us need to work hard to make Nigeria the hub of outsourcing not only in Africa but also in the entire world. A lot of jobs are out there but we are not getting our fair share because we have not been organised.”

He expressed confidence that with the constitution of the board, outsourcing would begin to yield more results for the country.

 Daura pledged that NITDA would provide the board with a takeoff grant as well as a furnished office.