5 TIPS FOR A BUSINESS TO SURVIVE RECESSION
The world witnessed what was termed the Great recession between 2007 and 2009 which lead to the conclusion by IMF that it was the severe economic and financial meltdown since the Great Depression. Recession as we know is associated with the economy and can greatly affect a business due to little or no cash flow, no credit score, high competition rate as a lot of persons wants to go into business, by selling low-quality goods at a cheaper rate.
Although some businesses are likely not to be recess-free, these tips can help businesses survive the recession.
- PLANNING: what is your plan of action? how ready are you, it is important that businessmen/women make good plans while there is no recession in readiness for it as this helps you to stand firm at all times.
- GOOD RELATIONSHIP WITH YOUR CURRENT CUSTOMERS: have a good relationship with your current customers; be loyal to them because this customer helps you to get more sales through referral without incurring the stress of finding new customers. Your customer service must be top-notch, send and give your customers update always on new goods/service arrival and make sure to follow up
- BE SERIOUS WITH YOUR MARKETING STRATEGY: most people think because there is no recession, therefore, there is little or no need to market their products. you should know that customers want and needs are different and so is their budget, so always put your brand as a great asset, slash prices so as to retain your customers, run social media ad and do a promotional campaign,
- SLOW DOWN ON CASH OUTFLOW AND INCREASE CASH INFLOW: cut all unnecessary costs, reduce to the barest minimum the money you spend. You might want to go lean and look into the inner processes. instead of printing sheets for memo, it can be done on a soft copy.
- MAINTAINING GOOD QUALITY OF GOODS: The customer is King. If so, why do Businesses sell cheap and inferior items to kings? taking your businesses a step further during a recession requires a high quality of goods sold as this would leave a positive review and add to your customer satisfaction rating. You do not want low numbers for your business. Go ask Apple how it’s done.