November is the month of opportunity for planning to gain increased sales.
Attraction to the November Black Friday and Cyber Monday events has seen recent record sales and this month also heralds the lead into Christmas gift shopping and summer holiday, traditional Boxing Day sales.
According to a recent survey, the ‘Christmas tills will be ringing’ despite the current economic climate. Shoppers will be more frugal with cost-of-living pressures impacting but are still ready to buy.'
Whatever your Business if you want to get your share of revenue, follow these Tips. Increased sales equals increased revenue and who doesn’t want that!
It starts by understanding WHY November planning is crucial for Sales Success
Simpy said, with a range of opportunities you can't afford to miss out. Think strategic and back with sound planning and preparation to capture and gain market share.
Read more...
Most importantly How is this Relationship affecting you!
Inflation, Wages and Productivity, it’s a push-pull relationship!
Inflation has surged, prices are rising faster than wages and the measures to counter inflation is hurting many, including Morgagees and Small Business owners.
Households sinking under the pressure of inflationary cost of living expenses are looking for answers and solutions. What to do, who to turn to!
Small Businesses too are seeking answers on how to survive and thrive during this period. They are under pressure on many fronts, including;
- With increased cost of goods and supplies how to maintain a profit margin
- Staffing, Wage-price dynamics - responding to demands
Inflation affects every area of Small Business, your Business, from the rising price of goods and services to how much your overheads cost, such as rent., to how much customers will pay for your products.
But, don’t be disheartened, there are answers, ways to meeting these inflationary challenges. Create your healthier relationship with the following!
4 Ways to Survive and Thrive during inflation:
- Get your pricing right: Be fair when setting your prices. Customers don’t want to be ripped off. Pricing should reflect the value and quality of products. Adapt your prices as needed to reflect the changed economic conditions. Avoid over or under-pricing. You need to maintain a reasonable profit margin to survive.
- Reward your Employees: Reward your staff with fair wages and incentives. Be creative. Staff will show appreciation with their contribution and extra effort. Encourage upskilling as growth opportunities if ‘monetary’ bonuses aren't an option.
- Keep on top of your cashflow: Cashflow is the lifeline of your Business. It’s critical to stay on top of what’s going out and coming in. Adopt processes and systems to issue invoices quickly and offer automated payment options. Closely monitor and manage your debtors ledger to get timely payments.
- Rework your Business Strategy: With changed circumstances now is the time to review, rethink and rework your Business Strategy. Be creative, look at what has changed and what opportunities it brings. Be progressive, consider what technological improvements may be possible and rethink, and look at new ways of doing Business. Going forward, adapt your Business model to the current economic environment.
What created this situation!
The high inflation we are experiencing is the fallout of the COVID pandemic and Ukraine conflict. These events interrupted supply in the global economy pushing up prices and costs. Along with this the fiscal and monetary policy responses to the pandemic underpinned a strong recovery in demand that also pushed up prices. In essence the ‘push pull’ of supply and demand!
How do we bring inflation down?
Read more...
Read the story! You decide!
The Big Mac Index so described by the Economist has seen the price of McDonalds burgers more than tripled in the 40 years of reporting. And they are still in the business of selling burgers to the masses!
What is this index? The Big Mac Index published since 1986 measures the cost of a Big Mac in different countries and indicates the difference in purchasing power parity between them.
How did McDonalds do it!
McDonalds generic competitive and growth strategies are designed to maximize efficiency, minimize costs and ensure profitability. Its pricing strategy includes price bundling along with psychological pricing that encourages customers to buy more products. Its a formulae for success as profits indicate.
A different approach is used by another mega US retailer. Their strategy aims to keep prices steady following a business model, described by the company’s finance boss as ‘arrogantly simple’, to hook shoppers by offering high-quality products at the lowest prices.’ The company attributes its enduring success to this approach.
What’s your Business model? What Strategies do you use to be competitive!
During this period of inflationary pressures and price increases running a successful Business is challenging for most, whatever your industry.
You may be one of them, a small Business owner, faced with the rising costs of doing business. Increased costs for supplies, commodities, labour and energy. How do you tackle setting price points that keep customers happy while still maintaining reasonable profit margins. It's push - pull economics!
For example, a recent news headline ‘price hike on the menu for Aussie pub classic’ suggests possible further price increases to menu favourites Burgers, nuggets and chicken fillets. This follows as a major poultry producer warning of higher production costs that will need to be recovered.
Similar sentiments expressed by a local hairdresser, saying he was forced to absorb rising costs to avoid passing them onto his customers and possibly losing them as price can be the difference between someone coming to his salon or going somewhere else. He cited increased cots of electricity, rent, products and superannuation, and is the hardest time we've ever known at running a business.
Are there any answers, solutions!
Yes, consider these Strategies.
Look at margins: Most retailers boost profits by marking up prices. Short term cost impacts can be managed thru margin initiatives, but these need careful planning to avoid losing customers. Engaging with your customers is critical during these times
Read more...
The importance and power of a positive Business image can’t be understated or underestimated. This is how the world, and your customers, see you, and relate to you or not.
No matter if you are a corporation giant or family small Business corner store, it's important to show what you stand for and what you stand by. Your Business principles, core values, and goals. Your public image should be reflective of your Business.
Why it's important to build a strong brand image and identity
- A strong brand identity helps raise awareness about your services and products to customers and potential prospects.
- Creating a positive Business image is vital as public perception helps build a customer following.
- Your corporate identity, brand reputation, and how you are perceived by your customers, potential clients and community are critical to your success.
And in a time of economic challenges, and market uncertainty consumers are looking for Businesses they can trust, believe in and respect.
Customers want a feeling of stability and security during these turbulent times.
In this environment, your brand IMAGE is crucial to building loyalty, positive relationships, relationships that see customers coming through your door and returning for more! Your words and actions need to resonate with your customers and deliver what you promise. Personal and Business credibility is key to your success.
The alternative, as we often see, is damaged reputations due to various misadventures that have customers abandoning you.
How to Build a Strong Brand Image
Follow these steps:
Read more...
What does it take!
Is there a secret recipe?
No secret but there is a recipe. It's a mix, by combining the ingredients of experiences, wisdom, little gems, mistakes and lessons learned that make successful relationships in marriage, Business or both!
A secret recipe! Add these 8 Ingredients.
- Have a Vision, Belief and Goals. Share your dream with loved ones and your associates to bring it to fruition, and make it a reality! Be an entrepreneur of your ideas, add passion, commitment, creativity and innovation. Think Blue Sky and dream Utopia!
- Develop your Pitch. To get buy-in and attract partners you need to promote, sell and clearly articulate your dream. Keep your message simple, avoid jargon, frills and whistles!
- Build relationships on strong foundations: Develop trust and build bridges and bonds with partners by finding common ground and mutual interests. Together, develop a roadmap, a guide to know where you, your Business, and your partner are going, how and what it takes to get there.
Your Accounting Partner
Your Management Accounting Partner
Your Expansion Engineer
Your Special Projects Partner
