5 ways poor communication is costing small businesses money

ways poor communication is costing small businesses money

When last did you buy an item from a vendor in a physical store, and what was your experience?

Shopping for tomatoes and peppers from the vendor down the road or in the market has a similar experience; everyone is rushing shouting. Sometimes the poor communication pushes you to hiss and buy from another seller. You may be thinking maybe the solution is to shop online from vendors on Instagram, but slow replies, price hikes and rude attendants will drive you back. What influences how you feel in the market is communication, how the seller talks to you, if they laugh, if they attend to you quickly, and that also influences how your customers choose whether to buy from you or buy from a competitor.

Like many business owners, you know your customers are essential, and you've heard the famous saying that customer is king. Still, like many business owners, you may not be sure of how poor communication is costing your small business money.

What is communication in business?

Communication is every interaction your customer or employee has with your business. Whether through staff at your store or on the comment section of your Facebook page. It's more than what you say; it's the tone you say it and how invested you are in helping your customer.
If you don't get Communication right, your business will lose a lot of money, and here is how:

Poor communication equals Less Credibility

A business that is inconsistent with communication either by not updating customers when there is a problem or not communicating with customers the terms of your service would lose credibility. If your customers don't trust you, they won't return.

Customer communication
Customer communication

Poor communication equals new customers walking away.

And in case that wasn't clear, impoliteness would drive your prospective and existing customers to someone else. Don't forget that other people sell what you sell or do what you do - the difference is the way you do it and how they feel after buying from you.

Ensuring that every member of your team treats every customer with a smile and a good attitude is one of the most critical sales strategies for any thriving business.

Poor communication will drive  loyal customers to churn

Imagine every Sunday, you went into the same supermarket to buy eggs for your signature Yam and eggs breakfast, and every Sunday, the attendant at the store very casually packed your eggs, and you went. The day another supermarket opens up that's closer or cheaper, you would most likely switch. An excellent communication hack is to treat your loyal and existing customers with more care than you treat even newer customers. The reason is that existing customers know and trust your business and are easier to sell.

Train your staff to remember customers' names, their favorite products, or even throw in discounts now and then.

Customer communication
Customer communication

Poor communication equals the loss of good employees

Your employees help your business run. The cleaner makes sure the store looks good enough for your customers to shop from, and the person who responds to your customers on Instagram is significant in closing all the sales you had last week. A quick thing that can make employees work less is poor communication.
Poor communication with customers can be picked up from existing employees and, in some cases, the business owner.

Poor communication equals undelivered goods and services

"I want a refund" or "I used this business, and it was horrible", which is worse for you to hear as a business owner because both can happen if you don't take communication seriously.

These two scenarios often happen when a customer is unsatisfied with the goods or service and can be even worse when they don't receive what they paid for. Avoiding both situations is possible either by letting the customer know there is a delay as early as possible or by showcasing exact pictures of your product, so there is less room for confusion.


You may not know it, but poor communication costs your small business way more than you can currently afford. So invest in proper communication training or read a book. However, you want to go about it, hack adequate communication within your business and watch it take your business to the next level.

Customer communication
Customer communication
Onyinyechi Nneji

Onyinyechi Nneji