Revlon Target Markets

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Opportunities that present themselves during a recession

The big recession – scary, intrusive, instant and unpredictable! With all these negative adjectives hanging over our heads, it’s hard to stay positive no matter what industry you’re in. For this reason I would like to offer all small business owners and possible start up ventures a bit of inspiration in hopes that a smile and some good news may go a long way. And for those who are reading this with a weary attitude it may come as a surprise that some of the world’s most successful companies were founded during economically tough times such as Bill Gates’ Microsoft Corp in 1975 and Revlon Cosmetics during the 1930’s great depression.

Tips for New Zealand’s small business owners and start-ups to keep on top during the recession:

Get in while your larger competitors are down

As a small business it is a great time to get ahead of your larger competitors. As recessions often happen rather suddenly your larger competitors may find themselves dealing with large losses and downturns in sales and profits that are crippling. In other words, when they are grasping at straws, you can adapt easily and freely. Take advantage of this.

Show your customers that you care

During tough times companies show their true colours and now may be a good time to show yours. Often you will find that many companies are super friendly offering a big smile and a personal touch when business is in their favor, and are impatient and aggressive when it is not. Show your customers a bit of compassion perhaps by offering a small discount or perhaps by adopting extended and alternative payment schemes. One way to ensure cash flow and a good client relationship is to offer clients and customers a discount if they pay on the spot instead of after the ‘requested 28 days’. This way the money comes in and the customer walks out satisfied. These tips are not a recommendation to let customers walk all over you, but an opportunity to lend a listening ear.

Take advantage of social marketing and free networking

With all new social marketing ventures like twitter it’s never been easier to get your name and product out there for bottom dollar, or no dollar in twitters case. When big name competitors are pushing through traditional media with expensive advertising campaigns, you can hone in on your smaller more targeted market and reach them from a personal level. This includes using email campaigns, social nights such as movie clubs and good old fashioned business to business marketing with your trusted smaller partners. You could even partner up with someone else who is also suffering from slowed business. Swap contacts, blog about each other and integrate new business strategies. In fact if you are a small business now is a great time to build up and distinguish your brand name, where you might once have been drowned out by larger competitors, you may be able to shine.

Take the time out to re-evaluate your business strategies and technology systems

This is a great time for adopting new technologies that can help your business run more efficiently. While business is slow, you can use the time to ‘catch up’ with new technologies and find out if you are getting the best prices. What are other suppliers offering? Are there cheaper ways of doing things such as delivery and printing costs?

So if you are thinking of starting a new business, you might consider the slowing economy a good time to take control and re-evaluate your business and the way you offer your products. And by the time your larger competitors have gotten back on their feet, you may have established a strong consumer market with good customer loyalty and a name that won’t be shaken.

About the Author

Written By: Abby Lynne
Abby Lynne is a young entrepreneur and inspirational blogger on business and lifestyle. Her mission is to help young people succeed in their personal and business ventures. For more information on Abby Lynne visit her on LinkedIn at http://nz.linkedin.com/in/abbylynne

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