4 Ways Small Businesses Can Recover From Economic Disaster
There is something important that needs to be said:
Businesses have survived tough times before. And this one can be one of them.
There are things that small businesses have done in the past that you can emulate today to stay afloat - no matter how big the challenges are that are thrown your way. The key here is to deal with these challenges head on and not stand there defensively.
You see, the key to recovery once the dust settles is to make sure you're already moving before it even has a chance to settle. The businesses that have recovered after an economic disaster are the ones that didn't wait for the dust to settle - they took action during the storm.
Corporations survived the 2008 financial crisis and the Great Recession that followed. For two years, they focused on playing offense so they could stay in the game.
And so can you.
Here's what those companies did to make sure they could recover.
1: Focus on building an audience today.
You may not be able to sell many products right now. Marketing agencies might be seeing their clients reduce their monthly advertising budgets. If you're an e-commerce business, you might be seeing a steady decline in sales. But that doesn't mean you have to stop advertising.
All you have to do is change your offer.
For example, a marketing agency may create a PR package for new clients who need help with their marketing message in the midst of COVID-19. Instead of asking for their regular 6+ month contract, she has clients sign for 1-3 months.
An e-commerce company could offer discounts or create a "buy 1 get one for free" offer.
All of this is for one purpose. To increase your audience.
It may not be the right time to try to land the biggest deal of the year or have the biggest ecommerce sales day yet. But it is the time to figure out how to grow your audience. Because you can be sure of one thing: The economy will come back.
And when it recovers, you can go for that huge contract or try to reach your biggest ecommerce sales goals with the audience you've built. At We at Focus Internet, that's what we did.
We created a free webinar to show companies in Switzerland which tactics and strategies are currently the best for them. That, without imposing conditions or playing offense. We just wanted to do our part to help during the COVID crisis, and didn't think much would happen - we just wanted marketers to stay home to learn while they were there. It turned out that a lot of marketers took our deal.
We would be happy to send you the recording. Just write us a little message.
Don't focus on the money, focus on the audience.
That's how you get back on your feet.
2: Search for strategic partnerships
Part of building a new audience is taking a look at your industry and figuring out who you can work with. The current state of the world has changed a lot - and part of that change has to do with who you can do business with.
For example, you may have participated in some Instagram Live workouts while you were at home. How many of them did you see 3 months ago?
Yeah, we haven't seen any either. Instagram influencers and trainers are jumping on these home workouts to keep their audience engaged with their content. Influencers need content, and trainers need new people to join their virtual classes since their in-person trainigs have been cancelled.
You can even go further and look past collaboration and consider acquisition. There are some business owners who are feeling the heat right now and want to get out of the kitchen. Maybe they've already gotten their business through the last economic turnaround, or they realize they're just no longer interested in the constant pivots and challenges that come with this type of economy.
Guess who can take over? Yeah, that's right... you. If you're interested.
3: Communicate, communicate, communicate
Shall we say it again?
Your business needs crystal clear communication right now, ESPECIALLY when your team is first distributed. Here's who needs to hear from you:
Your municipality (if you are a local business)
Your mother (you can tell her you're fine for the fourth time today).
Small businesses that recovered from the last financial crisis did so by aligning their team with their current goals. Maybe those goals changed three times in the last two weeks - but as long as those goals were communicated to their team, they could work toward them.
Then they passed on the necessary information to their customers, letting them know about new products, offers, discounts, content, or anything else that would be useful to them at the moment. For the local businesses, they stayed in touch with
For local businesses, they kept in touch with their community, worked to support first responders, or provided meals to those in need (when possible).
TIP: Right now, people are holding on to their money just fine. Giving away free or discounted products is one of the best ways to show your audience that you see what they are going through and that you want to help them.
4: Stay out of your head
None of this means anything if you get too wrapped up in what's going on and how you're going to survive it. Sure, this is a stressful situation, but that doesn't mean it has to stay that way.
You're playing offense right now. It's your job to see the opportunities and take them - not run in the opposite direction.
We've seen it time and time again in the tech world that small companies are able to innovate faster than larger companies because they can pivot FAST.
Right now, the name of the game is Pivot, and you're holding the ball. You need to get into the end zone, and you need to dodge any challenges that come your way. The only way to do that is to not lose your thoughts, but to think like an innovative small business that can pivot at any time.
Staying flexible will be critical to whether you survive this crisis and bounce back later. Because right now you have to change your offers, but soon you will have to change them again to adapt them to the new state of the economy.
It will be a state that no one knows (and it is almost impossible to predict), but we can be sure that it is on its way.
So you can predict that you need to pivot your offer and prepare for it NOW - so you can get back on your feet faster than the competition.
Why? Because you are a legend and we, Focus Internt® believe in you!
Say it with us,
"Companies have survived tough times before. And mine can be one of them."
An economic crisis doesn't mean goodbye to all your hard work. There are hundreds of thousands of businesses that recovered from the financial crisis of 2008 and the Great Recession that followed. They did so to stay in the game and get back on their feet when the economy stabilized and began its recovery again.
Everything will be alright again - You can do it too!