How have you been through the recession? It seems to me that being small, efficient and most importantly smart helps during times like this.
It’s been really hard lately keeping up with all these blogs I run lately let alone do much personal work. This is a shame as I have quite a lot I want to get done! The reason for this, believe it or not is that we have been inundated with work. A client of mine believes this is because smaller companies like ours are very attractive during times of financial crisis as our overall costs are lower than bigger companies with larger overheads.
Although it is true that by being competitive a company is likely to survive where more bloated companies cannot, I do not believe this is the only reason smaller companies are doing well right now. I think it all has to do with people being smarter with their money. Companies need to make money – this we all know, and when there is a downturn in the economy it becomes harder and harder for the majority of businesses to keep going as at the end of the day they are all affected in some way by the the demand and disposable income of the general public. When times are hard it affects the average family quicker than anyone and this has a knock-on affects to nearly all business. People just don’t spend as much when they are feeling the pinch.
So with shrinking advertising budgets due to lower turnovers what should a business do to survive? Keep pumping more money into the same methods of selling? Or try something smarter? It really does amaze me that some clients approach me with successful businesses that have only recently considered getting an online presence. A website can not only act as a non paid salesman for a company, it can also be used as a tool to increase efficiency and do many of the tasks that normally take a lot of time, money and effort. Why post or fax documentation that is needed before a sale when your website can email it straight to your customer, for free and within minuets? That’s just one example, and I am sure you can think of loads yourself, you get the point, I think this kind of thinking will benefit companies prepared to adapt to a changing financial climate. It’s survival of the smartest.