The Determining Factors for Your Business’s Success in 2022

As we finish 2021, against a backdrop of rising infection rates and yet another Corona variant, many businesses are facing 2022 with an air of apprehension. Coming in the middle of the Christmas period, the busiest shopping time of the year, the new wave has not only disrupted the holiday season but also the wider return to normality. With many firms reporting a sense of ‘corona fatigue’, and markets also sluggish, how can companies find the motivation to excel in the new year?

Passion: the fuel for success

Whilst marketing, sales and distribution are on every entrepreneur’s priority list, research indicates that one’s personal traits can also have a marked effect on business success. A report by the Harvard Business Review, examining the link between entrepreneurial passion and business success, concluded that the more passionate you are about your venture, the more likely you are to make it work.

What is your true mission?

Venture capital investors, whose job it is to discover and nurture firms, assume that the desire to get rich is, in itself, not enough to predict a company’s trajectory. Doug Leone of Sequoia Capital has been quoted as saying that true entrepreneurs “don’t do it for the money; they are passionate about their mission”. The mission could be to create an innovative product or solve a nagging societal problem, but, by and large, the mission supersedes the fundamental desire to just make money.

Howard Schultz, CEO of Starbucks, has often described how coffee was not the “business he was in”. When asked to explain what he meant, the notoriously passionate leader referred to his landmark trip to Italy—the one in which he had an epiphany on the importance of creating a sense of community in his coffee shops. After the life-changing trip, Schultz began preaching his gospel of the ‘third place’. That is, Starbucks should be where people want to go, in between work and home. Although ostensibly a coffee vendor, Starbucks is actually selling a concept—it’s a place where you can relax and feel a sense of belonging.

Common sense also dictates that passion can give you the motivation you need to push through hard times. Business is difficult; most fail. So, if you don’t believe in what you’re doing, it makes sense that you’ll be more likely to simply give up when times get tough. Passion is appealing. Who wants to buy from, or work with, someone who is not fully convinced by their offering? Passion is contagious—insipid, apologetic leaders, who lack confidence, can’t hope to inspire others to support them.

The danger of passion without a plan

Authors such as Cal Newport, however, warn against the current trend of blindly following your passion in the vain hope of making it into a career. In his estimation, it’s not enough just to be passionate about what you do. You’ve got to have a clearly structured plan or purpose. He points out, “Compelling careers often have complex origins that reject the simple idea that all you have to do is follow your passion.” Newport is an advocate of acquiring ‘career capital’—skills, knowledge and experience in a particular field—and argues that ‘rare and valuable skills’ make you more marketable. Entrepreneurs often spot opportunities as a result of being embedded in a particular field, and are able to formulate a plan because they understand how an industry operates.

Surviving the first lockdown

For Belfast-born fitness entrepreneur Kim Constable, known as the Sculpted Vegan, the first lockdown, which almost pushed her company to breaking point, forced her to utilize her industry knowledge to create an innovative product that became her ‘savior’. 

Constable says: “When the pandemic first hit, I didn’t know how I was going to keep The Sculpted Vegan afloat. What I learned in those nerve-wracking moments was I had to dig deep and push harder than ever before, if I was going to save my team; my company.”

Amidst a rapidly changing market, with new consumer priorities, Constable released a digital fitness program—Butt Camp—aimed at the home workout market. As a competitive bodybuilder, Constable had amassed considerable expertise in the fitness market, which allowed her to ‘spot’ growing trends. The program was a financial success, paving the way for a part two, and encouraging her to share her insights through The Million Dollar Mentor—a learning program for would-be entrepreneurs.

Cash-poor but rich in determination

One of the greatest examples of success in the fitness arena is Kevin Plank, CEO of fitness apparel giant, Under Armor. Plank spotted an opportunity to create moisture-wicking sports clothing—a new concept, at the time. Starting out, he was severely lacking in cash. To fund his fledgling company, he sold clothing, scraping together $20,000 in cash, with another $40,000 on credit cards. Sizeable sales to Georgia Tech University, and two dozen NFL teams, created a surge of revenue that established a firm base. Today, the company has retail sales of around $2 billion per annum, with 5,900 staff.

Although he wasn’t a professional sportsman, Plank had built up industry knowledge and insight, during his time as a fullback at the University of Maryland. He had discovered a recurring problem (sweat-laden shirts) and made it his mission to solve it. Whilst he took financial risks, he also understood the potential returns. His combination of self-belief, foresight, and passion propelled him to heights that few thought possible. 

As business leaders approach 2022 and search for fresh sources of inspiration, perhaps they should consider the question: what is my overriding mission? As researchers suggest, connecting with your passion could be the surest way to safeguard your business.