SEATTLE, Wash – There is a good chance your business is affected by the COVID-19, the success of your recovery will depend on applying the right plan of action in the right dosages. For over 30 years, Mr. DeMoya has partnered with companies globally. As an operational analyst, an in-depth researcher of history and economics, he offers some ideas that maybe applicable to many businesses. Survival is paramount but for many businesses but this can also be the moment to catapult their business to new heights. Apply to the affected area as needed, no prescription required.
During crises, quickly adapt an “opportunistic mindset,” it’s not easy specially during an unprecedented time as now but it’s essential in problem solving and creative thinking. You must be open to trying new things and keep a clear head. Keep emotion/ego at bay, always keep moving forward. Your attitude is contagious to your entire company, co-workers and family so be careful.
Laser Focus on the 80/20 rule
Focus human and financial capital on the 20% of activities that produce 80% of the revenues and keep a full court press until the company stabilizes. Do not assume anything, review your sales figures to determine the best sellers and those that have a reasonable profit margin. Dramatically increase your level of customer service to your customers, send a clear message that you are strong and will be around for a long time.
Think, Think and Take Action
There’s a good chance that nothing will be the same, take some time to carefully think of some options. Don’t confuse worry with thinking. Thinking solves problems, worrying doesn’t. Forget what you did before, do what you can to deliver your product/service to your customers. Most likely you will need cash but do what you can with what you currently have while trying to acquire additional capital. Throughout history there are countless stories of businesses that have risen from near death to victory, you can be among them. Ask your employees, suppliers, vendors for help, your victory is theirs also. Tighten all expenses but do not strangle the ability for your operation to perform.
Solidify Your Customer Base
Contact your entire customer database not only to offer your products/services, but also get in the fight with them. Dive into their business and discuss how you can position your offering to provide a powerful impact to their operation. You may offer extended terms, new subscription service etc., but never lower the quality of your products or services. The camaraderie you build now can last a lifetime.
Credit or Capital Reserves
If you have ample reserves, investigate purchasing your competition only if it will fit within your company’s core objectives. Another option would be to purchase a company that services your industry that will enhance your product line and/or services. If you need cash explore every avenue possible, be careful about personal guarantees and have your attorney review all documents.
Subscription vs Monthly Sales
Subscription is one of the best business models today. Most consumer-focused companies have made the transition. It’s nice to start the month with cash payments from your customer base. This applies to frequent purchases within a given year. Make sure the value of the subscription is much greater than an individual purchase, it could take the form of lower costs, time saver, more features or longer warranty. This business model can be applied to your entire business or a specific product/service.
DeMoya Group and Associates is a private consulting firm focused on Business Operational Strategies.
If you would like more information about this topic, please call George Michael DeMoya https://calendly.com/gmdemoya, or email email@example.com, https://www.linkedin.com/in/demoyagroup/ https://www.DeMoyaGroupandAssociates.com