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How Recession-Proof Are You? by Hannah Samuel
Recession. It��s the ��R�� word many business owners dread. It can mean blank order books, slow payment, hours being cut and real fears about long-term survival. However, there��s another ��R�� word that helps many businesses carry on business as usual, and even excel, through lean times, and that's Reputation.
It��s the cheapest and most effective way to protect yourself or your business in a faltering economy �C it��s free,[link widoczny dla zalogowanych], simple and has been a proven winner down through time.
Businesses that have earned a positive reputation are better able to weather the storms of economic downturns more effectively than those that rely purely on product, price, place or promotion. Their ��bank of goodwill�� with customers and suppliers enables them to retain not only existing levels of business, but also attract new business.
When times are tough, having a good reputation is a significant asset and can provide a competitive advantage that can move you from ��compete�� to ��unique��.
Developing and maintaining a great reputation isn��t about flash copywriting or fancy slogans, but demonstrating old fashioned values such as integrity, being honourable and building trust. Reputation is about who you are rather than what you are selling or providing. It means people will choose to buy or do business with you over competitors because they know you are loyal,[link widoczny dla zalogowanych], trustworthy and will deliver on your promises.
It��s the business gold that has stood the test of time. Studies have shown that as much as 85 per cent of business comes by word-of-mouth referrals �C happy customers recommending you to others. This unpaid sales force can help you grow your business, especially in times of tough recession. However, personal recommendations only occur when the person making the recommendation is confident in your ability to deliver. After all, it��s not your reputation that��s on the line �C it��s theirs.
So how can you use your reputation to your advantage and keep your order books full?
? Nurture the relationships you have with existing and former customers and contacts. Send them a handwritten card,[link widoczny dla zalogowanych], call them by phone or send them a short, personalised email, 'just to keep in touch'.
? Whatever method you choose, make it personal and make it sincere. Avoid being pushy or aggressively selling.
? If talking business, focus on value rather than cost or price. Clearly demonstrate how you can save them time, money and / or deliver the outcomes they want.
? Customise solutions for them. Not only will this improve your chances of meeting their needs, it will also help set you apart from your competitors.
? Actively engage your 'unpaid sales force' of happy clients. Third-party endorsements are 6-7 times more powerful than straight advertising. Ask happy clients to provide a short testimonial for you and add these to your website and promotional materials.
? Deliver on your promises - on time, every time - and be willing to be held accountable if things go wrong.
When times are tough,[link widoczny dla zalogowanych], consumers want to know the money they are about to spend will be spent wisely and that the person or company they choose will deliver on the promises they make. Consider reputation one of your most valuable assets and the recession will bite less aggressively.
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