We cannot deny that hard times usually take their toll on businesses. For example, there is a pandemic out there that has brought about millions of people’s deaths. Besides, many businesses have crumbled because they recorded a sharp decline in business transactions.
Most people are at home, living in fear of the virus. Going out has become a difficult task, and there are specific guidelines people have to adhere to. At this point, most businesses are battling with staying in operation. Even worse, it only heralds the beginning of these series of unfortunate events.
Amid these crises, it’s important that your business stays functional. You need to avoid going into bankruptcy. If your business is on the verge of collapse or you’re keen on avoiding such a situation, this article is for you.
There are foolproof steps you can follow.
Stay with us.
Don’t stop marketing
You might feel like it is wrong to market your products and services to your target audience during hard times. However, do not stop. It would be best if you increased the rate at which you market.
Here’s why: with the changes, people would have to look for alternative means to purchase products and services. If you’re offering what they need, there is no better way to sell yourself than with marketing.
Indeed, you need to work on a budget. You do not have to do large-scale marketing. Instead, you can opt for social media marketing, email marketing, affiliate marketing, webinars, etc.
Also, you should set a timeframe for your marketing campaign. It’ll be a key performance indicator to measure your level of success. You’ll be surprised by the results you get.
Stay in touch with your existing customers
These hard times can throw anyone into a state of frenzy. However, it is vital that you do not neglect your existing customers. It is why businesses need to have contact information of people who patronize them.
You can check on your customers once in a while to know how they are faring. This way, they’ll appreciate that you care about them, and it’ll motivate them to transact business with you. Even better, they can refer your business to people who require your products or services.
Always remember that building relationships is a core aspect of achieving tremendous success in business.
Outsource some tasks to freelancers
The hard truth is, many people lose their jobs when economic meltdowns happen. This coronavirus pandemic period isn’t excluded. Millions around the world have lost their jobs because their employers could not afford to pay salaries anymore.
Remember that many of these vacant positions are vital to the success of the organization. Therefore, someone has to handle the tasks. If you’re in this situation, it is advisable to hire the services of freelancers.
Freelancers are not full-time employees. Therefore, you are not bound by any contract to pay them periodically. Whenever you need a freelancer’s services, you can log on to websites like Freelancer, Fiverr, Upwork, etc. to select from a pool of professional freelancers.
These freelancers render their services for a particular time, and it is usually a one-time thing unless you need their services some other time.
Review your cashflow
You need to go back to the drawing board and examine the income and expenditure of your business. First, you should check the income streams of your business. If you have more than one stream, check the revenue you earn on each stream. Take notice of the most performing
and the least performing stream.
Furthermore, review how your revenue is spent. It would help if you examined these aspects because it projects your fiscal situation. Besides, it’ll provide an insight into whether you’re making profits or running at a loss.
When looking at expenses, try and check if there are some that you can keep low. For example, a personal trainer who is struggling with their business expenses can decide which expenses are really important to the business. It might be taking their business online cutting out the insurance for trainers in order to reduce monthly expenditure.
Since you know your most performing income stream, you might want to pay more attention to it. On the other hand, you should decide if you’re going to cut your budget on your least performing stream or even scrap it.
Ultimately, what you require is business analytics.
Besides, you can run a root cause analysis to investigate the problems beset by your organization.
Be prudent and network
Here is a gentle reminder of the reality: you cannot afford to spend on relatively unimportant things. Right now, your focus should be on retaining as much cash as you can. Evidently, a business has expenses required to ensure the smooth operation of the business.
At this juncture, you cannot afford to spend money when it isn’t necessary. Also, it would be best if you considered purchasing second-hand equipment in good condition in place of new ones. Cut down costs whenever you can.
One strategy for placing a business on the map is networking, and it has never failed. There are different stakeholders in the business sector. They include vendors, intermediaries, and consumers. The question that always arises is if you have done enough to make yourself known to various stakeholders.
The function of networking is for you to broaden your horizons and widen your tentacles. It would be best if you gave your business the popularity it deserves. You should ask yourself if many people can recommend your organization to provide products or services.
Whenever there is an avenue to meet people who share similar business interests, do not hesitate to establish a connection with them. Always ‘shoot your shot’ when the opportunity presents itself.
Attract your competitor’s clients
Humans are wired to always look for the best deals. Be it cost or quality, your customers can refrain from patronizing you. Before you can poach clients, you need to offer value. What services are you offering that your competitors do not provide? Are your prices friendly?
To answer these questions, you need to research your competitors and see how they operate. You can look for loopholes in their organization because you’ll capitalize on it to churn out superior quality products and services.
This is where data science comes in. You can find out what its roles are, especially during this pandemic.
If it’s a digital marketing company, you can do competitor analysis. This would allow you to not only assess your competitors marketing strategies, but also to improve on their work with your company.
Tyler Read is the owner of ptpioneer.com which is a website dedicated to helping people get started in the personal training industry. He helps people discover, study, and pass their fitness exams. Check out his free videos for the latest trends.