| Yes, an upside. To the recession. Really. | | | | every business. |
| First, though, a perspective to see it from. A | | | | But during a recession cycle that changes. A client |
| recession unleashes an enormous force of change. | | | | will consider strata below their normal service |
| It's also part of a natural business cycle, so we | | | | providers. They do this a) because they feel it is |
| always know that one is coming, and after that, | | | | a responsible or social thing to do, b) to find a |
| there will be more prosperity. | | | | product normally in a higher strata that has fallen, |
| Each time a recession happens, we face the | | | | or c) in the hopes that they will not have to |
| same three choices: have hope, lower our | | | | compromise too much. Regardless, they are |
| expectations, or create a bypass by creating new | | | | exploring stratums below them. |
| value. | | | | This is your opportunity to gain their attention and |
| Having hope is essentially wishing for a quick | | | | confidence. By increasing your value during this |
| economic turnabout while you wait passively, | | | | cycle, when the recession passes you will retain |
| praying that your resources will outlast the wait. | | | | the client, and possibly move up a stratum or two |
| Lowering expectations is resigning yourself to | | | | yourself. |
| limited opportunities, and giving up on an | | | | Because the marketplace is quieter right now, the |
| expanding future. The fight is seen as already lost, | | | | client is more likely to be able to find you. With |
| with ambitions and goals permanently downsized. | | | | less marketing noise happening, a message |
| The bypassers are the innovators, seeing or | | | | requires fewer repetitions (and therefore less |
| creating new opportunities and product values. | | | | cost to you) to achieve the desired impact and |
| They take advantage of technology - the digital | | | | needed retention. When the cycle passes you will |
| revolution in the fullest sense - to avoid being | | | | have vaulted higher, to top of mind recognition. |
| turned into a commodity. This group finds and | | | | Increasing marketing budgets and efforts goes |
| expands into the upside. | | | | against the grain and will be nerve-racking, but it |
| There is a very old quote to hold dear and | | | | will work. It's a perfect time to explore unique |
| conduct yourself by in the upside pursuit. It's from | | | | marketing exposures since, with your client |
| Epicteus's lecture dated 1011AD, "It's not what | | | | activity slowing, you have time to consider more |
| happens to you, but how you react to it that | | | | unconventional approaches. |
| matters." This quote wraps around the core of | | | | Now let's discuss creating new value or products. |
| the upside. The core, of course, is reacting in a | | | | Obviously, the longer this economic cycle runs its |
| forward way. So let's take a look at some of the | | | | course, the more irreversible change takes place. |
| upsides you can take advantage of. | | | | Responding to the recession, lots of |
| The first place is in your own back yard. When | | | | entrepreneurs are bringing new products and |
| things are going great, you are busy, money and | | | | approaches to the population, which will forever |
| clients flow in, and you tend not to notice the | | | | change them. It's an amazing time to explore how |
| leaks in the boat or they seem too small to | | | | you can change your offerings, values, and |
| bother with. Well now you have the time to look | | | | approaches. This is not to suggest that you dump |
| after them. Go through your books and examine | | | | everything you have done for a reinvention. It's |
| your systems. You will find things that may | | | | more to look at how you can evolve. |
| surprise you. It could be recurring charges for | | | | In our age, technology is turned to for salvation in |
| services that you don't really need. It might be | | | | fighting through a recession. It can totally alter |
| something that was a convenience for you | | | | you business model and your approach to things. |
| before, but is not convenient enough anymore. | | | | Take advantage of this time to explore |
| There could be a supplier that is higher priced than | | | | technological opportunities and see how they can |
| another. With this last one, before you jump ship, | | | | help improve your bottom line, innovate your |
| ask your current supplier if they can match the | | | | products and services, and enrich your client |
| competition. | | | | relationship approaches. |
| There could also be some dated equipment that | | | | Remember, though, that building relationships is |
| needs to be retired, because running it costs | | | | what will increase your income. Be wary of using |
| more than new equipment would. Now is a good | | | | any technology that will commoditize you. Just |
| time to look into buying things, since loan rates | | | | because technology makes something possible |
| are very low and there are great deals to be had | | | | does not mean that you will always benefit by |
| as suppliers move to lower their inventory and | | | | doing it. |
| make sales. Be sure that what you are buying is | | | | You are not alone in looking for solutions; other |
| what you really need, and that it will give you a | | | | businesses are faced with the same challenges. |
| return on your investment. | | | | This makes for the possibility of profitable |
| Next, turn to marketing. A number of interesting, | | | | collaborations. Business that would not let you in |
| helpful things are currently in play. When there's a | | | | the door before may suddenly recognize great |
| recession, the marketplace gets quieter. The knee | | | | value in a partnership. It may take a bit of |
| jerk reaction of most companies is to reduce and | | | | creative thinking, but the opportunity is there to |
| in some cases eliminate their marketing. Into this | | | | create a powerful win-win-win (that's a win for |
| marketing void, your message will have a wider | | | | you, a win for them and a win for both sets of |
| reach and more staying power in your next | | | | clients). |
| client's mind, and in a lot of cases, you might find | | | | For example, we have discovered that |
| marketing more affordable. Marketing vehicles are | | | | performance photography is a real crowd pleaser. |
| also having an inventory problem, and theirs is | | | | I wire up to a wireless headset, get one or two |
| time dated. | | | | attractive models, have a simple light setup, then |
| You still need to follow your plan, consider your | | | | I take photos. As I do so, I am telling bystanders |
| market and their needs, and speak to that. Our | | | | what I am doing and why. They can see the |
| company has been through five of these cycles, | | | | resulting images on a screen. With all of this |
| and with the arrival of each one, we have | | | | attention, I talk a little about us, too, assisted by |
| ramped up our marketing budgets. Following this | | | | nearby staff to answer questions and develop the |
| practice, we have emerged into the upswing | | | | potential client's attention and interest even |
| always better positioned. | | | | further. |
| Here are some of the things that happen. In the | | | | We take this on the road to stores doing radio |
| consideration of saving money, the clients you | | | | remotes, and dealerships and larger stores are |
| would not normally be exposed to - those a | | | | perfect for it as well. It's quite possible that we |
| stratum or two up - will consider buying some | | | | will be able to turn this promotional activity into a |
| services below their normal consumer and social | | | | sellable product later on. |
| stratum. | | | | A cool thing about collaborations is that they |
| The level of value and quality that a client | | | | actually become endorsements of you by the |
| expects to receive is directly proportional to their | | | | partnering business. This raises your prestige and |
| buying power. This is their "stratum". So a client | | | | standing as a by-product. |
| may normally consider the majority of services | | | | This is just the tip of the upside of recessions. |
| below their stratum to be beneath their | | | | Yes, they can be disastrous, but amazing things |
| expectations of quality and value, thus not | | | | always emerge. They hold the possibilities of |
| worthy of their attention or money. The same | | | | stunning growth for you. |
| client will view many services above their stratum | | | | No matter how you approach this cycle, it's worth |
| as being too expensive or overkill to their needs | | | | remembering the inscription in the ring that Ben |
| and requirements. It does not matter which | | | | gave an ancient and revered King, "This too shall |
| stratum they are in, there is always stratas | | | | pass. |
| above and below them. The same goes for | | | | |