3 Tips to Help Navigate Your Business Through Tough Economic Times
April 2, 2020
Courtesy of JetCo Solutions
Recent developments with COVID-19 have caused uncertainty for many businesses. But during this tough economic time, are you doing all you can to help your business thrive? Consider implementing the following items into your business strategy as you navigate the waters of uncertainty.
1. Focus on your current customers and clients.
According to a 2018 Forbes article, attracting a new customer costs five times as much as keeping an existing one. Now is the time to focus on strengthening your relationship with existing customers. Is there new content you want to provide to clients? Is there something in your onboarding process that needs improving? This is not to say that you shouldn’t market to new customers (I’ll visit that in my third point) but focusing on your current customers and clients will result in stronger connections, happier customers, and likely more business.
2. Diversify your revenue.
By diversification, I don’t mean changing up your core competencies. During a tough economic time, you should stick to the products and services you’re best at. However, diversifying your revenue stream can increase financial stability and reduce business risk. For example, now is the best time to diversify into government sales. With a $2 trillion stimulus package and an increased demand in products and services, the government, now more than ever, needs capable companies to purchase from. Interested in government sales? Learn more.
3. Use marketing.
In tough economic times, marketing is often the first budget item to get cut. But now more than ever, companies should be utilizing marketing to reach their customers. A shift in the economy can mean new buying decisions for customers and an opportunity to test messages. Along with this, reach out to partner companies to see how you can help each other’s businesses grow. As certain sectors slow, you may be able to address another company’s gap using your services.
Uncertainty can be scary, but by implementing those three items, your business could be on the road to a brighter future. Looking for more resources to help your business thrive? Here are a few local resources that can help your business prosper and stay informed during this time.
Covidwm.org, a one-stop website made by The Right Place, the Grand Rapids Chamber, and several other organizations that serves as a West Michigan digital resource for all things COVID-19.
The Small Business Association of Michigan’s daily briefings, which help small businesses navigate the COVID-19 crisis.
The Small Business Development Center’s COVID-19 resource page.
For Michigan companies wanting to do work with the Department of Defense or Department of Homeland Security, the Michigan Defense Center has a Proposal Writing Services grant program.