It is undeniable that the last two years have been incredibly hard for small businesses across the country. Unlike larger corporations, many small and local businesses didn’t have the resources to undergo a quick digital transformation, pivot to working from home, and ride out the economic crisis.
However, just over two years after the start of the pandemic, the economy is bouncing back, and this year represents the best opportunity for small businesses to grow, expand, and recover from the hardships of the last months. Wouldn’t you agree?
However, this isn’t an easy task to undertake. With nearly 32 small and medium enterprises across the nation, it is undeniable that small businesses represent the long-standing main pillar of the US economy. With this in mind, it is time to bounce back and seize the opportunities that today’s economic climate offers with some helpful tips below.
Understand Your Customer Base
No matter whether you own a new business or are the head of an established local enterprise, having a thorough understanding of your customer base is essential to building long-term success.
By understanding your customers’ desires, pain points, and buying decision-making, you can create an offer that is more current and appealing. But how can you learn more about what your consumers want and try to avoid?
Great strategies include running surveys, reviewing your online reviews, and crafting a customer persona – or a portrait of your ideal customer. And, don’t forget that you have one significant advantage over larger corporations: you may be seeing your customers in person every day. This means that you can ask direct questions and learn more about their changing needs.
Pivot To Meet the Changing Needs of Customers
Once you have a better understanding of what your customers want, it is time to pivot to meet their demand. After all, no business can remain static while the economy continues to change. I think we would all agree based on what we’ve seen over the past few years.
However, when you have started your business in your local community, you might have crafted an offer and value proposition. While it is important to stay true to your mission and values, you may want to try to understand how the customer trends are changing and respond to that.
For example, you might consider expanding your offer or narrowing it down to promote a niche, exclusive product. Or, you might consider implementing an innovation that allows you to stay current and relevant in the changing landscape.
Create a Healthier Office Space
If you own a small business, the chances are that you have a few employees who help you move your business forward. Depending on the nature of your enterprise, you might have a team of just two people, or you might have expanded to welcome 10 or more employees.
But, no matter the size of your team, you are actively responsible for improving employee health and providing development opportunities. Career well-being is extremely important.
If you are not sure where to start, consider redesigning or upgrading your office spaces. Some affordable ways to do so include embracing a minimalist design, decorating with plants, and reducing clutter.
But don’t forget to also create workstations that encourage collaboration and the sharing of ideas. And, if you are introducing a hybrid work model, you might also consider investing in virtual conference rooms and co-working spaces.
Embrace Hybrid Work Models
At first, working from home represented a makeshift solution for businesses to continue operating throughout the pandemic. During the first months of the global public health emergency, many professionals had to adapt to this new way of working, turning their living rooms into offices and bedrooms into conference rooms.
However, now, two years after the pandemic fuelled this drastic change, it is clear that working from home is not a temporary measure, but rather an innovation that is here to stay.
For small businesses, giving their employees the chance to work from home (full-time or part-time) has more than one benefit. These include:
- The possibility of downsizing office spaces
- Reduced rent and overhead costs
- The ability to tap into a global or larger talent pool
- The ability to offer their employees a more suitable work-life balance
Outsource Expertise
If your goal for 2022 is to launch your own business or expand your existing enterprise, you will need the help and expertise of industry experts. As an entrepreneur operating on a shoestring, it is often too easy to fall into the trap of trying to do it all by yourself.
And, in the beginning, you might even be able to do so! After all, when the number of customers is still low and you are operating on a very local level, your expertise might be enough to get your business off the ground.
However, as your operations begin to grow, you will start to feel overwhelmed and deal with burnout – unless you surround yourself with the right people!
But what can you do if your budget does not stretch as far as hiring a full in-house team? Outsourcing might be the key to leveraging a professional’s knowledge while sticking to a low budget.
Some of the non-core areas you should consider outsourcing include IT, marketing, sales, customer service, logistics, and shipping. If you can’t find someone local there is a wide variety of online help from various platforms such as People Per Hire, Fiverr, and SEO Clerks – just to name a few.
Get Involved With the Local Community
If you are a local business, your community is your lifeline. It not only represents your customer base but also creates the environment your business operates within. That is why it is essential for all small businesses to work in partnership with other local entities.
For example, you might consider offering your services at a discounted rate for low-income households, partner with local charities, or volunteer at local events. Not only can this help you improve your community, but it can also help you grow and improve your reputation!
Partner With Other Local Businesses
No small business is an island and, without the help and support of other local businesses, you might not be able to count on a solid network. There are multiple ways for small businesses to partner with other enterprises in the area.
For example, you might consider partnering with businesses that offer services that are complementary to the ones you offer. By doing so, your customers can receive a better service and both you and the other enterprise can benefit from their business.
Alternatively, you might consider working with your competitors. When working in a small community, working against your competitors can be extremely damaging to your reputation. So, while you might consider building your offer and competitive advantage, don’t forget the value of working together towards a common goal!
Network, Network, Network,
Networking is essential for all small businesses. For example, you might consider building relationships with other local businesses and industry experts. You might also actively look for a mentor who can guide you through the ups and downs of establishing your business. But you should also consider the importance of networking with your suppliers and other stakeholders.
Your suppliers, as well as the relationship you are able to build with them, can help you access important discounts on your purchases and streamline your business’s finances.
Rethink Your Marketing Strategy
When it comes down to growing your small business, you can’t underestimate the importance of a well-crafted marketing strategy. However, for small businesses operating on a limited budget, this is often a pain point.
Luckily, you don’t have to choose between burning through your budget or not marketing your business. Thanks to the advent of social media platforms and other online tools, you can advertise your business, build an online community, interact with your customers, and target your ideal audience.
Embrace simple DIY marketing solutions that you haven’t already experimented with. This could include adding more content to your website – you could set up a bio page such as this bio of Travis Preston with CalArts to help customers get to know you, or you could start blogging about topics related to your business to help build traffic. When it comes to social media, consider branching out to new social media sites, or explore new types of social media content such as polls.
Don’t forget that ads and other marketing campaigns might seem easy and affordable at first. However, if you are not partnering with the right marketing experts, you might end up not seeing the results you had hoped for!
Focus on Streamlining Your Finances
The way you manage your business finances can impact your business’s chances of success and budget to direct towards future projects. As an entrepreneur, you might be wearing multiple hats during the day, but the one of an accountant should not be one of those!
Just make sure to partner with a financial advisor, tax expert, or small business accountant to understand how to streamline your finances, boost your profits, and cut down on losses and unnecessary expenses!
Embrace Technology
Not all small businesses have enough resources to simply undergo a digital transformation. However, this does not mean that you have to ignore the impact of technology. The right software and systems can help you automate multiple aspects of your day-to-day operations. In turn, this can help you build a business that is more easily scalable – which is essential if your enterprise is subjected to seasonality or you have growth plans in mind.
Focus on Yourself – and Never Stop Learning!
Ultimately, a great percentage of your business’s success chances depend on yourself, your energy, your ideas, and your ability to continue working towards a successful business. That is why it is essential to establish a healthy routine, which should include healthy eating, regular exercise, and plenty of sleep and rest.
After all, when you start feeling overwhelmed and burnout, you might not be able to come up with a great idea or strategy. Learning new things and expanding your knowledge has so many benefits not only for you but also your business, you can take evening classes, seminars and undergraduate degrees.
And, don’t forget to invest in yourself by continuing to learn and develop your skills!
