What state is your business in? Which areas have the worst credit scores? If you have a business in a state with lower than average credit scores, it may be time to re-evaluate your product offering and service. Potential buyers who have less buying power, rigid credit limits and limited income options will be tightening their belt for some time to come.
To determine if this is important to your business, here is an infographic which outlines the states with the worst credit vs. the best credit. In addition, other factors that impact credit scores are shown.
Contributed by Credit Score
The small business owner / entrepreneur has an advantage with: a target focus, speed to market and personalization. While larger companies make decisions about marketing and pricing from a more centralized point, small businesses can segment the messages to a more local area.
For instance, many companies will think of Washington and Oregon as a similar target. They both have large forests, are on the Pacific Coast and have similar weather patterns. They are not the same.
The generic approach by large corporations is to the advantage of a local small business owner who understands the culture, needs and wants of their local community.
This is only a quick snapshot but might offer insight as to why your luxury services are not selling like hotcakes the same as in an area where credit scores are much higher.
Is the average credit score a metric to watch in order to understand trends and patterns in the marketplace? Yes.