Judging by my inbox and the comments on this blog, it seems that the current recession is having a very different impact on different people. That’s to be expected, yet I’m seeing businesses of similar sizes, in the same industries and the same region having totally different experiences.
Recession marketing
I wrote a while ago, about how some businesses managed to grow significantly during the last recession – whilst their competitors were treading water or going broke. You can read the secret of their success here!
Time and time again, we see that it’s NOT outside factors that determine our success or failure, but how we choose to deal with them. As they say;
When life deals you lemons – make lemonade!
One of the advantages that small and medium-sized companies have over larger ones, is their ability to spot an opportunity and quickly get to work on it. Large companies and corporations move like a cruise liner – small businesses can move like a speedboat.
Make sure you focus on opportunities and when you spot one, take action!
Business success in a recession
With the media spreading nothing but doom and gloom, I have decided to write a series of posts for you; about businesses I know, who are currently enjoying great commercial success. These are businesses in highly competitive industries, which are thriving.
To make sure you don’t miss out, subscribe to this blog now, using the RSS button on the top right of the page!
i agree with jim completely. But i’m facing a different problem. Our startup Naabo Solutions based in india which provide saas based IT solutions in healthcare sector.we are getting a lot a projects from sectors we have not entered yet. We are about to launch our 2nd product. Do you think its a good idea to divert our attention to new project or we should focus on our main product.
there’s too many factors there to make a blanket assessment. But if your core competency serves both industries effectively then I say go for it. Is there a trend to another industry? Is there an industry reputation to protect?
too many unknowns.
Great assessment. Tools like blogs and twitter online are allowing small businesses to run circles around the big guys. Newspapers and the record labels are just 2 examples of industries that will got the way of the “buggy whip” industry over the next couple of years.
The companies that survive are the ones that meet the needs of their customers. IE, customers are hurting financially so either CUT your prices to help them, creating a loss-leader that will generate loyalty for the long run, or, and my favorite, find a FREE option for your customers. They will love it. Too many businesses do the standard fire-sale gimmicks that customers are far too used to. Buy one, get one free, etc… that says to a customer, we want your business, but we want your money first. And when the recession is over, that customer will go back to their old shopping habits. But, give a customer something for free, like all of Jim’s great advice, and they will be back again and again.
Just because people have less money doesn’t mean they can’t go without buying things. People will always have needs. Find and satisfy those needs in a efficient and cost effective way and a recession won’t change things. It is the services that deal will somewhat useful stuff which fall.
And to india guy in comment 1. What gives you th best profit margin…what can you do well?
Yep, a company must be flexible, and big companies aren’t as much as medium and small companies are.
It’s all about survival of the fitness and marketing. Not only do you have to be competitive, you have to let your potential customers know who you are as well.
always enjoy your good common sense and wonderful info, Jim – so I have nominated your blog for the “I LOVE YOUR BLOG” award
http://redmoonantiques.blogspot.com/
Your words are a breath of fresh air in the current doom and gloom economic climate.
I’m looking forward to your series of success stories! Learning from others is more important than ever – thank you for sharing, and also for your quick, to-the-point style!
I think your advice can and should also be extended to individuals’ careers. Even if you’re currently gainfully employed, or self-employed and doing well, you cannot afford to sit around and be happy with the status quo. Just like businesses need to reinvest now, everyone should be reinvesting in their personal career development now. One small step in that direction is making sure that your online identity is in order, which I discuss in the blog article below:
http://www.domesticatingit.com/index.php/2009/01/18/create-a-compelling-resume-online-with-wordpress/
ok, I’m an individual freelancer, but my writing business is going well, in part I think because I keep turning off the news.
I think flexibility is the most valuable trait we can seek for employees and is the trait we need to bring to our roles in business every day. Now is the time to find a way to make it work by being flexible (unlike the failing car makers) and trying new ways to achieve our goals. I too see more opportunity now than ever – thanks for the inspiration!
Jim, you are always encouraging! We write custom software applications for small to mid size companies, and we feel that the current situation is actually a great opportunity to strengthen our niche. These companies need to save money, and for a very reasonable investment we can help them. We have had to streamline and become more focused by eliminating some of the other services we used to offer, such as on site support services. Now all we do is write custom software, and of course support it.