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Mominbiz,1 of 1 people found this helpful
You're on the right track. The companies that will survive this recession will clearly be those who care about their customers and make themselves indispensible to them. Right now, many large companies are cutting their marketing budgets and curtailing their customer benefits (e.g., free baggage checking on planes, etc.) This is the wrong approach. Call up your good-to-best customers and thank them for their business over the years. Talk to them about their issues and concerns and see if there is a solution you can offer them. That will endear your company to them, and can induce them to refer their friends and business colleagues to you.
Mominbiz, you might be interested in two articles in the recent issue of Fortune magazine, one that talks about companies that have been able to increase prices successfully during this recession, precisely because their brand was perceived as both necessary and unique. I posted a link to this article on my blog, <a href="http://analysights.wordpress.com/2009/02/23/raise-prices-in-a-recession-thats-crazy-or-is-it/">Insight Central</a>.
The other article talks about the the Arizona Diamondbacks are keeping its fans loyal in these hard times. You can find that article at: <a href="http://money.cnn.com/2009/02/18/magazines/fortune/birger_baseball.fortune/index.htm">CNN-Fortune</a>.
Mominbiz, you genuinely care about your customers and I know you'll do well. I wish you nothing but the best.
No matter what, people will always pay for their electricity. It is a recession proof industry.
This might be a silly response but the things we used everyday still sell in a recession. Stuff like toothpaste, toilet paper, batteries, toothbrush, soap etc. I know I'll never stop brushing my teeth!
What sells in a recession
The marketplace provides a string of
alternate opportunities during a recession. While growth and demand is
slow, those who are resilient will stand a good chance to rise above the storm.
If you create your own products to sell, now may be the time
for quality improvements.. At this point, product innovations are
crucial in order to capture users who are getting sticky with their
spending. Doing so will help you stay competitive by offering superior
products as compared to your competitors.
If you are selling information products, this may be the time for revisions. After all, the changing marketplace demands a constant flux in ideas and opportunities within your subject area.Being in a recession does not mean giving up. Moreover, this is a good time to grab your competitors’ traffic
or even their pool of customers, especially when some of them go out of
resilient. Thus, one of the ways to adapt to shrinking demand is to
diversify. For instance, if you are selling plus size apparel,
diversification could mean moving to petite sizes or shoes and
accessories. This way, you create additional business pipelines just in case some of them hit trouble during the slowdown.
subsequently quitting on your business. If you’ve met enough successful
entrepreneurs, you’ll notice that most of
them speak and act positively. Their positivity sets their mindsets in the right direction, thus allowing them to weather challenges in their businesses.
I agree that the necessities will sell in perceived bad times as well as good times. I think that when the times get good, the customer will gravitate their necessities buying to whoever is convenient.
It is my philosophy that customers now are concerned with the quality and "green" of the product. People still buy more items that the necessities and now they are looking for the most bang for their buck. The products that I sell are higher priced than my competitors and I tell my customers that as well. They buy from me because of the quality of what I do as well as the customer service. I have tried to set myself apart from my competitors, so that when they see the same product by another company, they know the difference and feel good about that they paid more. What I sell to them is a feeling of nostalgia. The next thing I sell to them is a future heirloom.
My opinion is to create and sell more value to the customer not just price.
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I have been thinking about this a lot lately? For one, I was thinking of what I still buy - necessities. However, I also buy from people I care about and care about me. I keep wondering if we, as small busienss owners, should be digging deep to give people the intangibles they want right now - confidence, someone taking an interest, someone going the extra mile.