Business in Crisis: How to Restart and Move Forward

We are currently in a recession that is being felt across all industries. An April McKinsey & Company survey indicates, “Consumers are feeling the impact of COVID-19, with about 34 percent noting that either their income or ability to work has been negatively impacted.” Rising unemployment and consumer economic uncertainty are rippling through organizations in both B2B and B2C arenas.  

However, consumers and businesses are still spending. How and what they are consuming is changing. Those changes will likely stick around after the pandemic is over. The same survey indicates, “The next normal has started emerging, with consumers indicating that they will adopt long-term behavioral changes that will last beyond the current situation. Consumers who have switched to new brands or retailers largely intend to stick with them, with almost two-thirds of consumers indicating an intent to continue.”

Businesses are following suit – making purchasing changes based on supply chain availability and selling changes based on necessity. Additional survey data on B2B sales indicates that “Almost 90 percent of sales have moved to a video conferencing(VC)/phone/web sales model, and while some skepticism remains, more than half believe this is equally or more effective than sales models used before COVID-19.”

Do you know how to move forward in a restart? Ask yourself these questions:

  • Do you know how to control your spending without thwarting growth?
  • What will you do to preserve essential customer relationships?
  • Are you equipped to find revenue in new ways?
  • Do you understand where new revenue opportunities exist?
  • Can you change your way of thinking to adapt?

In a recent webinar Paul Single, Managing Director at City National Rochdale, explained the forecasted economic curve as being shaped like a Nike swish – with a sudden drop-off and a slow but continuous upward swoop. While the economic rebound will almost certainly happen slowly, your business needs to be poised for revenue growth now to capitalize on opportunities as they arise.

Topics: Profitability B2B Sales Strategic Revenue Growth Action Plan B2B SMART Revenue Revenue Generation Innovation Planning Revenue Development Action Plan Change Management

Well, That Escalated Quickly!

Two weeks ago, I wrote in this blog that the chance of a recession being triggered by the COVID-19 as being “Probable.” This situation has changed very quickly. At this point, we are way past “Probable.” We are in the early stages of a recession. You heard it here second. The stock market, which is always about the future, was the first to tell us that a recession is upon us.
 
The questions, at this point and in my mind are, how bad will it be and how long will it last?

Topics: Profitability Forecasting Economic Trends

B2B Pricing for Profit. Is Low Price the Best (or Only) Answer?

 

Businesses exist to make a profit. And price is a key component in profitability. Regarding businesses in the for-profit sector, it has long been said, “If there is no margin (no profit), there is no mission.” While other goals may exist, creating and sustaining profitability is critically important.

Topics: Profitability Profit B2B Pricing

The Pros and Cons of Outsourcing vs In-house

Outsourcing of various functions is not a new topic; it has been a trend for 20 years or more. It really started with the idea of sticking to a company’s ‘core competencies’ and outsourcing (or just getting rid of) things outside core competencies. What I’m talking about here is true outsourcing, not just making employees contractors to try and avoid payroll taxes and HR compliance issues.

Any function can be outsourced. I’ve heard of virtual companies that have only one employee, and that employee is the CEO and owner of the business. In the case I’m thinking about, the owner had outsourced product design, manufacturing, distribution, marketing, sales and accounting. I guess the ultimate step would be to find a company that offered outsourced CEO services and outsource that too.

Topics: Profitability Hiring Outsourcing

Increase Profitability with SMART Revenue

"It is time to lower the price." Competition, entering a new market, bad economy, and lack of success are all reasons you might have this thought. Is it worth the risk to lower price knowing it will impact your profit margin? 

Moving forward, instead of lowering prices and firing staff, consider what it takes to increase profitability with SMART Revenue.

Topics: Revenue Growth Profitability B2B Sales Strategy SMART Revenue

Every Business Needs a Predictable Revenue Machine!

Wouldn't it be great to have a predictable revenue machine?!?

One where all of your sales opportunities go in one end, the machine does the work, and predictable revenue pops out the other end?

You can create your own.

Predictability is an essential component of ongoing of revenue generation and business growth.

Predictable revenue will improve cash flows, stabilize staffing levels, increase the value of a business over the long term, and give the business owner peace mind. Without predictability a company’s growth can be erratic causing problems with cash flow, productivity, staffing levels, debt servicing, budgeting, and more.

Topics: Profitability Sales Strategy Strategic Revenue Growth

3 Keys to Making Your Business Thrive

As the economy continues to rebound the focus is shifting toward growth and increasing profitability.  Now is the time to make and implement plans for strategic, profitable revenue growth. 

Topics: Profitability Leadership Infographic Strategic Revenue Growth

The 5 Essentials for Profitable Revenue Growth

There are five steps that are essential to achieving profitable revenue growth.
Your company can increase its profitable revenue by working to maintain those clients who are your company’s BEST clients and targeting prospects who will become your BEST clients.  Don’t waste your team’s time, energy and resources by keeping the wrong clients and targeting the wrong prospects.  Hour upon hour will be devoted to keeping existing clients and gaining new ones, make sure they offer you the best opportunity for increasing revenues and profits.

Many business leaders often find themselves wondering why the clients that take up 80% of their organization’s time only generate 20% of their revenue or profit.  It’s because they are focusing their valuable time, energy and resources on the wrong clients and prospects.

Topics: Revenue Growth Profitability Strategy