Don’t be an Economic Casualty; Recession Proof Your Business

Ok, I have gone and used that dreaded ‘R’ word. RECESSION. Whether you believe we are in one or not, you must think about how to recession proof your business and fast.

Even the experts cannot agree whether or not we are in one, for sure. But regardless, all the talk is driving consumer confidence way down. And consumer confidence is truly the driving factor when people make buying decisions.

So how do we protect ourselves from these troubling times. Well, the truth of the matter is that businesses go out of business all the time. There are layoffs all the time. Stocks go down all the time. Now I am not saying to not be concerned, but I am saying that if you are on a ledge, come back in, shut the window and take a deep breath.

Bad things happen in the best of times too. So lets just do what we do (or should I say “Should do”) no matter if these are the best of times or the worst of times. And what we should do is prepare.

Always remember to “Don’t be scared; Be PREPARED!”

Even during the great depression there were still people making lots of money. Often times in economic down times comes great opportunities.

So how do we prepare? The key to success during these times (or any times for that matter) and in any business, is to be something people need, not something people want. Consumers are starting to tighten those purse strings when it comes to things they want. But they will always seem to find a way to get what they need.

Take a good hard look at your business. Do people want it or do they need it? I run a martial arts business. If just teach martial arts, no matter how great it is, they just want it (I hope). But if I am the reason kids are getting better grades in school, coming off ADD medication, learning to deal with bullies, then I am all of the sudden something parents need and they will find the money to get it.

If the bad economic news keeps proliferating all over the media, it will certainly and increasingly become more and more challenging to attract new customers. You will need to prepare to work a little harder and a little smarter to get new ones. They will still be out there. I promise.

However, they will be harder to find, harder to convince to check out your good or service and harder to get to pull the trigger and buy. But they are there. I can feel them.

So we roll up our sleeves and do twice as much as we have in the past. Or even more. Whatever it takes. Does this mean to spend twice as much or more? Of course not. But it may mean go to that business after business chamber meeting, make more cold calls, kiss more babies or whatever low cost, hand to hand combat style marketing you can think of. If you do 15 things in a month to attract new business, the reality today is that won’t be enough to sustain what you had before.

If you have become something they need, you will have a much easier time convincing them to call you and turning them into your loyal customers. And I don’t care what you sell, there is a way to position yourself as a necessity. Get out a pen and paper and start brainstorming.

Don’t sell DVD players. Sell systems that will save the consumer hundreds of entertainment dollars compared to the movies. Don’t be a pizza restaurant. Be the place that people can go to still have a good time for a lower cost than many other restaurants. Think about ways to become an absolute necessity to your prospects.

But remember, more than new customers, this is paramount to keeping your current customers yours. It is bad enough when we cannot get new customers. But if you do not keep the ones you already have, it is time for a life vest.

When your customers start to think about what they can do without or who’s service they can cut, if you are a ‘nice to have’ it is all over for you.

The same way you market to your prospects, you have to market to your current clients. Don’t assume that they know what you do, how great you are and why they buy from you. You must continually remind them. Send newsletters, write a blog, call them to say hi. You must continually educate them as to why they needed you once and will continue to need them.

Don’t let the bad economic news, fact or fiction, get you down. Be prepared, be a necessity and do more than you have ever done before, and you can whether the storm. There are no grantees in owning a business. But success leaves clues. And this is what successful business owners do.