Don’t let these tough economic times get you down. As an entrepreneur and small business owner, there are lots of reasons why you can stay afloat and swim to success while your bigger kin keep floundering and sinking. Here are ten tips to help you succeed in 2009:
1. PLANNING
Now more than ever, you need a business plan which is nothing more than your road map to show you how to get from here to where you need to go. It helps you formulate and shape your vision, clearly state your mission, document your goals and objectives and set a schedule of milestones, activities, due dates and responsible individuals so you can guide decisions and measure progress.
2. THINK INSIDE THE BOX
We all live and think inside a box that is defined by our economic circumstances, our wants and needs, our social backgrounds and our value systems. To understand how our product or service can bring value to a customer is to understand how that customer thinks. Thinking inside the customer’s box is critical to providing satisfaction to the customer. If you are uncertain about how your customers think and what they want, ask them. This works especially well if you need to expand your customer base by going after new customer sets.
3. CUSTOMER FOCUS
Concentrate only on those customers who want your product because of the value they get and this will make both your company and your brand more unique. Your company is also closer to your customers so
they can reach any level of your company at at the drop of a hat and that is a good thing.
4. VALUE
Never describe your products or services in terms of their list of features or their accompanying benefits.
If you have thought inside the customer’s box, you can easily relate the value that is most important to the needs of your target customer. Clearly describe your product in terms of the value it brings to the customer.
5. NETWORK
This is your life line of support and make sure it comprises the following types of resource: Lawyer; Banker; Insurance Broker; Accountant; Suppliers: Trade Associations; Business Advisors (SCORE, SBDC); SBA or other federal/state/local agencies.
6. BUDGET
Credit is tighter so you need to understand your financial landscape so that you can position your company to raise the capital necessary for growth. Don’t wait until you need it: plan ahead. Get the advice of your banker and financial planner and restructure your loan portfolio and asset base so that your business is able to raise capital for some of the opportunities that will present themselves in a sluggish economy.
7. MARKETING
Whatever you do, do not stop spending on marketing. This is the biggest mistake that most small businesses make. They cut expenses and the first thing to go is generally marketing. Try to make sure that you get the return for the marketing dollar keep spending as many of those as you can.
8. COMPETITION
Pay attention to your competitors and how they are failing to deliver value by the steps they are taking in reaction to the economic downturn. Most of your competitors will tend to lower investment in advertising and marketing. Many will downsize and let experienced employees go and this may be a source for you to tap into. They also tend to drop prices rather than create additional value and this can be the place where you can capitalize on their weaknesses.
9. TECHNOLOGY
Try to deploy as much technology as possible since this can help you appear to have a bigger presence and can simultaneously allow you to better service your customers. Put in place training for both your employees and your customers so that you web applications become easy to use.
10. LEADERSHIP
Remember, people follow good leaders. This holds for your employees as well as your customers. You need to be a manager, sometimes a coach, sometimes a cheerleader but most of all you need to lead..
Summary
Your small business is like a small sailboat while your bigger kin are like battleships and aircraft carriers – they can’t respond to sudden changes. In tough economic seas, you need to tack often and because you are so nimble and quick you can readily do so. Spend time also understanding the emotional needs of your people and your customers and modify your style to keep them happy and motivated. Your experienced people are the heart of your business, your customers are the lifeblood of your business.