It’s that time of the year when football fanatics are glued to the screen to see which teams are going to thrive under tremendous pressure or succumb to their competition. Many business owners can especially relate this year given the state of the economy and fighting to overcome even the toughest competitors rather than being dragged down with their weaker counterparts. This year, make a new resolution and commit to making 2009 your best year yet.
2009 is underway and businesses everywhere are slashing prices hoping to attract post-holiday shoppers hoping to generate additional revenue. With so many businesses struggling to stay afloat and looking for ways to cut costs, increase sales and improve their business, it is imperative to think outside the box to grow your clientele by offering these special discounts or incentives. For example, car companies are slashing prices and offering rebates and finance rates that were previously unheard of to attract new customers.
In your business, pick an offer or product that will cost you very little, but is invaluable to your clientele and positions you as the leading business for your particular industry—showing you take pride in your products, services and customers—and are willing to go above and beyond to stand out from your competitors. Another example is the tire industry. If you own a tired business and offer to fix flat tires for free as long as the customer buys their tires from you, increase your clientele immediately by offering to fix anyone’s flat tire for free. This simple, low-cost gesture on your part speaks volumes to a consumer and immediately results in word-of-mouth advertising boasting about how great your business is. Not only will they begin doing business with you, but their positive experience will drive their friends and family to give you their business as well.
For other ideas on how you can improve your business in an economic downturn, TAB-Scottsdale has several great ideas:
If you are not preparing for an Economic Downturn, the time to start planning is NOW. This is a great time to grow your business and take advantage of those other businesses that are not seeing the whole picture. This has been a discussion at our monthly TAB Board meetings. Following are some of the key points that have been brought up, and that we will be working together with the Boards. If you are smart about your business, it can mean some short term pain, but some long term gain.
1. CASH FLOW IS KING – Cash flow is the key to survival during any recession. It is the first place that should be attacked. Look closely at the 4 major cash flow influencers and what you can do to dramatically improve – Accounts Receivable, Inventories, Pricing (Gross Profit), and debt. Always check to see if you can refinance on existing loans or get better terms with credit card processing companies. 1% change in pricing, or debt can mean a lot to your cash flow.
2. PRICING STRATEGY – Along the same lines optimize your pricing strategy to move inventory and/or liquidate old inventory. Considering bundling like products. Encourage buyers to buy larger lot sizes. Raise prices to companies where it is costing you money to sell too.
Read more…
With all the economic news, its hard to believe when experts say that small business has an advantage. But, here are four advantages we–as small businesses–should use! Let us know if any of these have worked for you.
From TABEastBayNorth.com:
“Small to medium-sized businesses should not be intimated by hiring top talent. More and more employees are looking for meaningful work that only a smaller company can provide. And even if a small business can’t pay as much, money is less important than an individual’s values. Small business can win the talent game this time around!”
Read about the four advantages you may not have thought about….
Have you recently taken steps to be more fiscally responsible within your organization as a result of the economic downturn? Have you met with your employees about cutting budgets and asked for their feedback as to where these cuts should be made? When companies face tough economic times, very few business owners feel this is the time to take risks, implement new ideas or tap into new markets, but should instead cut costs and wait for the storm to pass.
While putting the brakes on in certain areas at times of uncertainty is important, it is also the time to evaluate your business and understand areas in which you can afford to invest and take a few risks in order to increase revenue. Instead of slashing your marketing budget or waiting to invest in exporting your products and services overseas, take advantage of savings not previously available to you when the economy was stable.
For example, many publications have slashed advertising prices in an effort to obtain more business and fill otherwise empty pages in their magazines and newspapers, resulting in much lower advertising rates. Take this opportunity to increase brand awareness and gain market share, especially when many of your competitors may be closing their doors.
The ability to retain your current market share by investing in customer loyalty programs for those customers who have been loyal to you throughout the years also becomes increasingly important. Offer special discounts and deals to show your appreciation for your long-term customers. Often, these types of activities provide value to customers and get them back in the store sooner, leading to an increase in your sales.
Understanding your business well enough to know where you can afford to take these risks will allow you to improve your business, even when facing an economic downturn. Take the risk and implement one of these ideas in your organization so you will come out ahead of the curve when the economy does pick back up.
Company culture can differentiate you from your competition. It helps you attract better employees, retain them longer and, most importantly, it drives performance. Do you have an organization of individuals who do good work because they’re talented? Or, are you successful because your employees will settle for nothing but the best?
To some extent, we are all driven by the tangible benefits of work…like salary, responsibilities and bonuses. But, that only goes so far. One of the most common traits of top companies is a passion for the business and a pride to be nothing less than excellent. Sub-par performance is not an option because the employees take so much pride in their projects that they work to achieve a better end result.
In a tough economic landscape, we must utilize every advantage we can. Turn up the heat and find the passion within. Use this passion to become stronger and more determined and you will beat your competitors. It’s time to step up and fight harder—give 130 percent instead of 100 percent.
So, how do you ignite passion and motivate pride within your organization to create this powerful culture? Here are a few keys:
As I’ve heard one renowned speaker say, “Everything matters. Nothing is neutral.” Passion and pride can play a big role in your commitment to make your organization the best. Put it to work for you today—and watch as your team shatters your expectations.
2009 © MarketChallenges.com | Market Challenges & Opportunities Tips | Submit your blog! Site by KarmaGraphic
All posts