How to recession-proof your business in 13 steps (Part 2)

Bubble about to burst? Pic credit: Flickr CC FotoDawg




OK, here's part 2 of my thoughts about how, in these times of financial hardship, you can go some way towards making your business recession proof.

(If you missed part 1, go here to see it.)




8. Your product is your marketing. Too many companies come up with a product then think about how to sell it. That's the stupid way. You should have your market in mind when your potential product is still in R&D. Marketing isn't a bolt on service, it's an integral part of the whole enterprise. (Want ideas for products? See point 5 and listen to your customers!)

9. Stop advertising. Start RED marketing instead if possible. If you won't do that, just stop throwing same-old, same-old ads out there. They cost too much and the best you can hope for is 2% response. So 98% of people ignore you. There was a name for people at school who got ignored by 98% of the other kids - losers. Ads have a place in the marketing mix, but save your money where possible and throw it into the other ideas in this list.

10. Build relationships with suppliers. I mean real relationships. Get to know them. Understand their business model. Not only are they valuable sources of information about the market, they might even be able to help you in ways you haven't thought of. So take them out for lunch (yes, you pay!), pay invoices on time, play golf, ask about their families. Networking is key. Suppliers might traditionally be lower on the food chain but in this interconnected world that's BS that you should forget about.

11. Build relationships with your competitors. I mean real relationships. Whilst it may seem counter intuitive (less business = more fighting, not more cooperation, right?) it's definitely the way to go. More heads are better than 1 and even in a recession there should be enough business around for you and your competitors to thrive, as long as you have real relationships. Plus, you're going to be so busy rocking your new niche focus (see point 6) that you won't have to worry about your competitors soon enough. So it's all good networking.

12. Embrace the fear. Scarcity, strife and difficulty all lead to trouble, right? Wrong! They also lead to innovation, if you're smart! Let your superstars (point 3) and your customers (point 5) lead you down the wonderful path of innovation. Then you get to point 1.

13. Look around you once in a while. Plenty of organisations thrive in a recession. Plenty come out of it stronger than ever. Look at what other people are doing and copy it where you can. Recessions come and go, economies are cyclical. You can sit around whining about it or you can get down to business. (And if you've read this far, I reckon you're more likely to go with the latter, right?)


There's my 13 points. As I said in part 1, more intended as a starting point for a conversation than a complete 'how to' guide. What do you think though?

Am I completely off the mark? Am I on the right track? What have I missed? What would you ignore? What are you already doing? Is the whole recession thing a load of crap anyways? I'd love to hear answers to these questions and comments generally so shout up if you want to get involved. Comments or email, I love 'em both.

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P.P.S. Like some of the ideas in this but no idea how to execute? Why not drop me a line and I'll be happy to help out. In case you don't know, I'm a freelance marketing guy (the non-evil type) and I love talking to people about ideas and strategies for their business. See my site for more info, or just give me a call (07732 083 548) or drop me an email (james at jamesparronline dot com)