Interest rates are soaring, prices for groceries and fuel are rising, and businesses have unreliable supply and cost pressures.
Add staff shortages because of the lingering effects of Covid-19, and some small businesses are under severe stress. The natural reaction of many businesses is usually two-fold: Earn more, and/or spend less.
Spending less is the easier option, but many businesses are already cut to the bone. If you do look at cutting costs, be careful not to apply measures that affect your ability to earn more.
One example is marketing. During a downturn, more than ever, it’s important businesses do whatever they can to stay top-of-mind for customers. Research has shown the businesses who continue to put resources into advertising, a website and social media are stronger when times improve.
They are better able to take advantage of the opportunities better times bring.
Whatever your marketing message and delivery, through email newsletters, follow-up emails, phone calls, or advertisements, highlight your company’s brand. You’re letting customers and prospects know (or not forget) who you are and what you stand for.
Look at your core business, hopefully the things you do best and make you the most money. Concentrate on that and build it if you can. Don’t put effort into weaker products or services.
Focus on existing customers and look after them like the gold they are to your business. Remember, it costs more to get new customers than to keep existing ones. They’re all likely to be clamping down on their spending, too, so never give anyone a reason to go elsewhere.
If you’ve built a strong relationship with your customers, you will together navigate the tough times and you will have customers for life.
And be the leader of your business. Delegate the “work” if you can so you have time to make the tough decisions and plan for the future.