Business owners are constantly searching for the next best thing to deploy in an effort to bring success to their business. Here are just 7 reasons that barter should be considered for your business, particularly in this economy:
■New customers – it is a great way to acquire customers that you would not have had otherwise and this ultimately ends up taking them from your competitor as well.
■Referrals – utilizing your new found business through barter will allow you to meet customers that are typically happy to provide referrals as long as the goods or services provided were worthy.
■Lowers your overhead – using your barter credits towards existing expenses are a great way to lower the overhead that your business experiences.
■Attract new customers – utilizing the media and other advertising offered through barter can allow you to acquire new cash customers.
■Increase your asset base – there are many opportunities through barter to buy assets, invest in businesses or purchase real estate.
■Retain employees and customers – barter can provide that ability to create staff and customer reward and loyalty programs as well as other incentives such as year-end bonuses.
■Networking with other business owners – you will be presented with many networking opportunities to meet and work with many other business owners.
Barter is simply the trading of goods or services for other goods or services with no cash involvement. To promote bartering and make it easier for companies to interact, barter exchanges were established. These systems enable bartering to be taken to a new level by offering “barter credits” which are used like cash within that specific network. When you “sell” something you get paid in barter credits which you can then use to “pay” for something from another vendor if necessary or bank until needed at a future time.
Barter also happens to mirror the cash economy. In the cash economy, making a sale and collecting the money is the challenging part; however, once you have the cash it is easy to spend. In the barter economy, making sales tends to come easier, but finding the products and services to spend your credits on can be more challenging.
“If I had my life to live all over again, I would elect to be a trader of goods rather than a student of science. I think barter is a noble thing.” —- Albert Einstein