Operating in hard times

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Opportunities exist for businesses to survive and prosper during hard times if entrepreneurs look beyond the present, see their business from a new perspective and do business differently.

Every day, newspaper headlines dramatise the negative – rising fuel prices, a housing slump, credit crunch, rising inflation, a deepening recession and the possibility of nil growth in the economy. Yet these changing economic conditions open up opportunities for resourceful companies to outsmart larger competitors who, during a downturn, carry on business as usual or are unable to adapt quickly – except to fire employees.

The tough need to get going

Neither individuals nor businesses care whether the country is technically in a recession or not – a decline in gross domestic product (GDP) for two consecutive quarters or more. All they really care about is money in their pockets and making a good living. Most businesses today are being affected by the recession, and most individuals are, at the very least, uneasy about the future.

So, how do we process all this information when the going gets tough? You may be familiar with the answer – the tough get going! This famous proverb, attributed to Joseph P Kennedy, father of John F Kennedy, could never be more applicable than it is today.

Take the attitude that, even in an economic downturn, some people still need the products or services that you offer and no one is going to satisfy their needs more than you.

Ignite the passion for what you do

Remember why you got into your given field and try to reignite the enjoyment you have had for the business. Passion creates positive energy, which ignites and excites. Stress creates negative energy, which deflates and fatigues instead.

When you have a passion for what you do, you enjoy the process (your job) as much as the end result (your income). And passion is contagious, enthusing your staff, co-workers and customers and producing better results in the process.

Focus on what you want

Do not focus on what is wrong or you will defeat your purpose. All business owners go through periods of doubt and fear. Remember, the glass is half full not half empty.

Find solutions

Ask for help. Identify your obstacles and share them with another person, get creative, encourage one another to find solutions.

Provide a world-class customer experience

As competition increases and business slows, there is often a knee-jerk reaction to reduce prices to match or beat the competition. This is a no-win situation. All it will do is send you broke.

Focus on the unique value that you provide through an outstanding customer experience, with value-added benefits that customers and clients cannot receive anywhere else. Protect your turf by reinforcing the value that you provide before the competition outpositions or undersells you.

When was the last time?

When did you last call one of your customers and tell them that they are a valued customer or to see how the product or service you provided is working?

For most of us, the answer is never or maybe once or twice. So what would happen if you did just that? You would gain the customer’s respect and trust, it would put the odds in your favour that the customer would think of you first when making another purchase and it would give you an opportunity to ask for referrals.

Statistics show that most companies lose 25% of their business by not following up. All it takes is just an easy phone call, email or short note that could increase your sales by 25%.

If you have a website, when was the last time you optimised your site? Unless you do it once a week, you will lose your rankings.

Don’t be afraid to talk to everyone in your social and business network about your business and give them a business card. Even your children’s educational facilities and sports clubs can provide additional leads.

Focus on new business development

If spending is affected by a slowdown, expanding your customer base can make up the difference. There are others in your market who could be just as satisfied with your products, services and customer experience as your existing clientele are – they just don’t know it yet.

Extend your brand

Consider new revenue sources that you can capitalise on within your business. What add-on products and services would be of interest to your existing clientele that could provide additional revenue without a lot of additional cost or additional effort?

Be realistic

Never, ever tell yourself everything will be fine until you are sure everything will be fine. Look at all angles of the problem, set out a course of action and then and only then move on and solve it.

Remember your three most valuable assets – attitude, attitude, attitude.

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