They say, “Not doing anything is part of the problem.” Physicist Albert Einstein shared similar thoughts too. Many business owners think the right time for growth is after they’ve achieved certain milestones. For example, they’d hire a marketing specialist after the brand name is established, launch a website when the business starts making profit or set up a content strategy when the website starts getting traffic. On the contrary, business growth is an ever-evolving process, one that requires consistent efforts. Even during tough times.
Here are five ways you can ensure business growth during tough economic times:
1. Nurture your most valuable assets – Customers
Don’t lose sight of your customers. Keep your loyal customers close, retain them by offering them personalised services and make sure they are given an excellent shopping experience. This would not only help you earn their continued patronage but will also add to the credibility of your business. If you want your business to thrive, customers have to be the priority.
2. Money is the key – Cash flow
In order for your business to grow, cash flow has to be kept in motion. Focus on increasing inflows and reducing outgoing expenses. Investments made in the past also help steer through tough times, so ensure that you have some money invested that keeps growing, regardless of market conditions.
3. Review – Costs and credits
Firstly, we all know how prices work when competition grows, so get quotes and barter or negotiate on the items you can. Also, find out how you can reduce you expenses without compromising the quality of your products and services. Find cheaper and more feasible alternatives for your business. And secondly, don’t forget to keep an eye on credit ratings. They are the first one to take the hit.
4. Back to basics – Core competencies
Diversification is good but during tough times, it would be wise to focus on what your business does best. Most clients downscale their requirements during recession or plummeting economy, so instead of focusing on adding extras, add stronger, bigger and better features to existing products.
5. Up the ante – Marketing
Many small and medium business make the mistake of cutting back the marketing budget or simply doing away with it when the going gets tough. When in fact, tough times offer the opportunity to make the most out of smart advertising and marketing. Customers will always need products and for that they need information. Make sure your business is using the best practices of marketing.
While nothing can make your business 100% risk-free, the above 5 pointers can ensure your business doesn’t lag behind during difficult economic times. If you play your cards right, you may even end up with profits!