As everyone has noticed the market is down. This is obviously effecting your business just like everyone else. But what can you do to help your business stumble through this recession? There are two ideas I have for you to think about. One is in regards to your marketing concepts and the other is in regards to typical economics. 

First, just has everyone has stated in the news, try extending your sales period. I would say not only extend your sales period, but try to capitalize on customers returning items. You already have them in your store so now it is your time to convert them into another sale. Where do you advertise to them? Use the Internet to your advantage! Start your gorilla marketing campaign now!

Facebook ads and Google ads are at low prices. Did you know that the typical person spends more time on the Internet than the TV? Then why aren’t more people advertising on the Internet? Because most small businesses still do not know how to use these resources. Figure out how to advertise on the web and make more sales online and you can guarantee that your bottom line will be up.

There is one other point I would like to make that most businesses are overlooking, which is simple economics. Do you remember P (Price) x Q (Quantity) = TR (Total Revenue)? This means do not be stubborn in these times of financial troubles. Instead, try to turnover more inventory and take the profits you can get without putting yourself out of business. The thought process is that you will sell more items because they are at a lower price, which will still help you get to your goal. Your goal is to make money, not hold onto inventory. Why hold out for a higher price when you can convert the sale now? 

If you are able to capitalize on both of these points you should be able to last throughout this recession and gain a competitive advantage on your competitors. Remember you are in business to make money, so do not be stubborn and be willing to turnover your inventory so long as you are making money off the transaction. I wish you the best throughout this recession and Happy Holidays!

Tags: economics, Internet, Marketing, Recession, small business

This entry was posted on Saturday, December 13th, 2008 at 7:21 pm and is filed under Economy, Entrepreneur, Marketing, Saving Money. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.