Greece went bankrupt recently and other European countries are facing the prospect of following in the same direction. All around the world, the supposed “superpowers” are feeling the continuous and seemingly contagious effects of the whole global financial crisis. If the average person is caught in the middle of all this financial turmoil, what do they need to do?
The state of the economy nowadays pushes people to consider more streams of income, so that they don’t rely solely upon their salary. Some people invest in stocks and shares or mutual funds, while other people decide to start up their own business. You may wonder: In light of the economic downturn, how will a small, start-up business thrive?
Make Your Small Business Grow
Managing a small business nowadays, whether online or offline, does not mean you do not have a fighting chance for it to succeed. Think of Amazon or eBay, both companies started out as small businesses, yet overtime they became two of the most successful Internet companies in the world.
That’s all well and good, but in economically lean times, how do you stay in business?
1. Expand Your Business
Your sales may have dropped lower than your target revenue for the past quarter, but the worst thing you can do is panic! While most people would resort to panic-driven strategies, you can consider the following:
- Test and develop new products/services – People will always want more. Since you already have an established customer base, you can introduce more products and/or services that would cater to them and be useful. Be vigilant in looking for more opportunities to expand your existing line of products and services, effectively answering to customer demands. A simple way to do this would be to do some market research and actually ask your customers what they want.
- Broaden your target market – Consider tapping into a new market or a different demographic. This may mean a new age group or other geographical areas. The idea is to increase your market share. The larger your target market, the more potential there is to make profits!
2. Establish Partnerships, If Deemed Necessary
Many people think that engaging in business partnerships means that it’s the end for you as a business owner, this simply isn’t true.
Try forming partnerships with companies/individuals that can enhance your current line of services. You can also exchange business strategies with your partner. You can hand over tasks to them that are within their expertise. The main objective is to work together to make the business grow.
3. Make More Investments
In order to make a business succeed, you need to continually invest for the future. Finances are good, but there are also other things you need to do.
- Look for more financial capital – Expanding your business means you need more money. You can look for more investors or you can apply for government grants and loans.
- Pay more attention to customer feedback – Be more grateful that your customers actually took the time to air their thoughts to you. Take each feedback seriously, and then act on it. If it’s negative, listen and respond. If it’s positive, you can ask if you can add their opinion as part of your marketing materials.
- Adjust your marketing strategies – When the economy plummets, one of the common mistakes businesses commit is trimming their budget for marketing. However, if you do this, you also limit yourself in reaching out to potential clients. You can refine your marketing strategies to meet the needs of your customers, especially during the economic crisis.
Even if you own a small business, the first step is your willingness to make it grow despite the economic problems. Hopefully, these tips will be great jump-off points for your success and you too can make your small business grow!
Thank you to my Guest Post Author: Elston Marcelo
Elston Marcelo is an all-around marketing guy. In the morning, he works as a marketing consultant for Business Aid Centre, a small business assistance provider for individuals and companies. In his free time, he writes for blogs and shares his knowledge through different blogs on the internet.