Coronavirus is changing business operations.
People are scared to leave their houses. Government-enforced lockdowns across nations have forced shut all non-essential goods and services.
The COVID-19 pandemic has left economies across the world in a lurch. Market research reveals abrupt changes in the customer behaviours owing to volatility in the economy. This situation WILL deteriorate in the months to come.
Thus, businesses MUST think outside the box to cater to their customers in these tough times.
Business continuity planning
Careful analyses of profit and loss and cash reserves help understand a company’s current financial status. This analysis makes cash flow forecasting easier.
Meticulous analysis and cash flow forecasting ensure the retention of slim-margin of profits in these difficult times.
Other important steps for businesses include: –
- Cost-reduction strategies, such as assessing existing employee head-count and strategizing supplier contract fulfilment
- Assessment of how long current cash flow reserves can last the company
- Active inventory management
- Better supplier payment terms
- Possible move to online platforms
Good online presence significantly boosts all businesses in this climate.
Customer retention strategies
It’s common knowledge that customer acquisition cost is five times more than customer retention cost (Invespcro).
Regular cash-flow, an essential in this pandemic, can be assured through good customer engagement practices.
Reach out to customers and clarify how you will serve them during this outbreak. Regular client engagement and extra care will go a long way in sustaining your business.
Attractive online marketing
This pandemic seriously hit door-to-door marketing. However, your overall marketing doesn’t need to stop.
A simple shift to online marketing targeting specific social media platforms will give you good results. Leverage data analytics to glean market and customer insights in real-time. Innovative COVID-19 awareness campaigns show that you care about your clients.
Many businesses are creating hype through challenges during this epidemic to engage their audience.
Understanding financial support offers
Recognising the seriousness of this pandemic, various governments have provided aid to businesses. Being aware and acting upon these offers improves your chances of survival through this period.
Though ambiguous, these schemes will help offer some relief to struggling businesses.
Adaptable logistical capabilities
Coronavirus spread is extremely fickle. That’s why governments are changing policies at the drop of a hat. Thus, good logistics are important now more than ever.
Good logistics and delivery systems allow better adjustments to ever-changing circumstances.
Some important challenges to be tackled are: –
- Work-from-home employees: This pandemic has forced most people to work from home. Companies must evaluate how equipped their staff is to carry tasks from home. They also need to consider confidentiality and safety issues.
- Stakeholder engagement: Effective communication with customers and investors is important. Investors should be able to see how business is adapting and how it plans to stay afloat.
These times are undeniably difficult to navigate. However, adaptiveness and resilience will help sail through them.
Layoffs do reduce your costs. However, we hope you find a way to avoid them. The world needs agile and compassionate leaders right now.
We hope you survive (or even thrive) COVID-19.
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