Stand Out From Your Competitors

2009 is underway and businesses everywhere are slashing prices hoping to attract post-holiday shoppers hoping to generate additional revenue. With so many businesses struggling to stay afloat and looking for ways to cut costs, increase sales and improve their business, it is imperative to think outside the box to grow your clientele by offering these special discounts or incentives. For example, car companies are slashing prices and offering rebates and finance rates that were previously unheard of to attract new customers.

In your business, pick an offer or product that will cost you very little, but is invaluable to your clientele and positions you as the leading business for your particular industry—showing you take pride in your products, services and customers—and are willing to go above and beyond to stand out from your competitors. Another example is the tire industry. If you own a tired business and offer to fix flat tires for free as long as the customer buys their tires from you, increase your clientele immediately by offering to fix anyone’s flat tire for free. This simple, low-cost gesture on your part speaks volumes to a consumer and immediately results in word-of-mouth advertising boasting about how great your business is. Not only will they begin doing business with you, but their positive experience will drive their friends and family to give you their business as well.

For other ideas on how you can improve your business in an economic downturn, TAB-Scottsdale has several great ideas:

If you are not preparing for an Economic Downturn, the time to start planning is NOW. This is a great time to grow your business and take advantage of those other businesses that are not seeing the whole picture. This has been a discussion at our monthly TAB Board meetings. Following are some of the key points that have been brought up, and that we will be working together with the Boards. If you are smart about your business, it can mean some short term pain, but some long term gain.

1. CASH FLOW IS KING – Cash flow is the key to survival during any recession. It is the first place that should be attacked. Look closely at the 4 major cash flow influencers and what you can do to dramatically improve – Accounts Receivable, Inventories, Pricing (Gross Profit), and debt. Always check to see if you can refinance on existing loans or get better terms with credit card processing companies. 1% change in pricing, or debt can mean a lot to your cash flow.
2. PRICING STRATEGY – Along the same lines optimize your pricing strategy to move inventory and/or liquidate old inventory. Considering bundling like products. Encourage buyers to buy larger lot sizes. Raise prices to companies where it is costing you money to sell too.

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