Demographics and Economics
Demographics and Economics go together like a Horse and Carriage. Years ago when I'd ride somewhere with my dad, he'd just shake his head when we saw a school with those little "portable classrooms". Having been a school administrator, he'd comment that unless a school had a really large new housing project happen, most schools just needed to count the number of babies born in a given year and make a best guess as to the number of kindergartners that would be attending schools 5 years in the future. Demographics - they have always been readily available.
To benefit economically in any business climate, you need to have enough customers buying at the price to meet your expenses and desire for profit. Demographics are available, and they are part of the equation.
•If you are a financial planner that is targeting prospects that are 50+ years old (boomers), there are lots of them and lots of other financial planners chasing them, too! Economically, you may decide to look into a particular niche of that market (boomer teachers, boomer plumbers, boomer dog groomers, etc) or a niche that serves that market (landscapers, vacation planners, health clubs). Think "where does your target hang out" or what "services do they use"?
•If you are a neighborhood child care center, remember that many neighborhoods will have the same families throughout the children's school age years. Your demographics will change and targeting only your local neighborhood will lead to diminishing returns. But you know this - and it is tracked by the United States Census Bureau.
•If the economics of your prospect is likely to change, demographics may also be playing a part in that. As people go through different stages of their lives, they spend differently. Keeping customers for life means staying relevant to them at their different stages.
Adding demographic reviews and economic projections related to your customers may help make your future more economically rewarding to you!
Copyright 2011 Linda Fayerweather MBA EA
http://www.changinglanes.biz/
419-897-0528
linda@changinglanes.biz
Consider working with a coach or a MasterMind Team to make 2011 the year of your dreams!
Financial Tips and 2011 Tax Season
Often when people start gathering all their information for taxes, they start to think about "how can 2011 be better" Here is a short review you can implement to make things better this year.
Review Your Savings Plan: Establish or review your savings plan to begin accumulating assets for your life goals. Professional guidance will be helpful in reviewing investment alternatives.
Review Your Retirement Plan: Establish or review your retirement plan. Explore the availability of deferred compensation programs through your employer, such as 401(k) and 403(b) plans. Begin contributing as soon as you are eligible.
Review January's Budget vs. Actual: Compare January income and expenditures with your budget. Make adjustments as appropriate to your February expenditures. Make sure you have invested your planned savings amount for January.
Collect Your Tax Information: Verify that you have received all necessary Forms W-2 and 1099 and a statement showing the year-end balance of IRA and Keogh plans. Contact the appropriate company for any that have not been received. For those that have been received, make certain that the amounts agree with your records.
Although taxes for personal returns are not due until April 18, it is best to get an early start since additional follow-up may be necessary. Decide this year to make tax season less about recording history and more about writing a new financial plan.
Copyright 2011 Tim Pinkelman, CPA
Accounting Center & Tax Services, Inc.
"Our Value is Measured by Your Success"
419.882.9255
734.847.0400
http://www.accounting-centers.com/
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