What to do with the business right now to quickly start earning

What to do with the business right now to quickly start earning

Violet Field inLifestyleJun 3, 2020 9 min read5 views

Hiding and waiting out hard times will not work: you have to make difficult and sometimes not very pleasant decisions. How to save the business

1. Try new sales channels

The crisis is another reason to finally open an online store. Gather the page in a special constructor, configure the online payment mechanism and conclude an agreement with the courier service - it is better to immediately find a backup option in case the main delivery service has a large load.

The online storefront is useful not only for traditional shops but also for cafes or restaurants. Connect to the delivery aggregator or start your own courier service - at the same time, employees who are temporarily sitting idle will have the opportunity to earn money.

An online store needs the right logical structure, an operating system for communicating with customers, and competent online promotion. If you cannot hire an Internet marketer, an e-commerce manager, and an SMM manager, recruit them for advice.

Take-out and delivery work allow you to cover the minimum wage fund and stay in touch with your guest. Now delivery is a chance not only not to lose our guests, but also to attract new ones who find us due to the fact that their usual channels are closed today.

2. Look for fresh footage.

Due to the difficult market situation, some sectors were covered by a wave of reductions. If you thought about expanding the team, now you can replenish it with valuable specialists. Before the market starts working again at full capacity, you will have time to bring new fighters up to date.

Now is the time to invest in staff. You can take a mid-level person and, while he sits on self-isolation, educate him. When we enter the usual rhythm, the person will be fully armed and at the same time insanely grateful.

Before the interview, study the candidate’s resume. If he at least a couple of times a year stably changes work, find out what is the reason for this behavior. The desire to develop and grow in your field is absolutely normal, but when the reason for dismissal over and over again is a conflict with colleagues or the refusal of a manager to raise his salary, you should think carefully.

It is important to understand why a person was left without work. If one candidate left due to temporary difficulties, and the other completely closed the company, we would advise hiring just the second. Someone with temporary difficulties, under certain conditions, can return to his previous job, even if you have already invested time and money in his training.

You will have to forget about unhurried internships lasting a couple of months: a new employee must join the team and get to work as soon as possible.
At least one candidate must be taken for one vacant seat so that there is healthy competition between them. Enter an unpaid internship for a week, and if you travel far - pay the fare. Based on the results of this week, make a choice in favor of the best employee.

3. Ruthlessly cut expenses

It's time to review the spending and leave only those without which you can not survive. If possible, try to abandon the office, for now, having agreed with the team about working on a remote site and after canceling the self-isolation mode in your region. 

Recount all indicators, and first of all expense items. Talk with landlords and suppliers about cost reductions, interest-free loans, and deferred payments. Leave only working advertising channels that bring real traffic and customers. Review the payroll - you can reduce the salary and increase the bonus.

Even in a crisis, some expenses should not be completely abandoned. For example, employee training and advertising are investments that can increase the company's profit in the future.

Do not neglect promotion. If you have to limit your advertising budget, use budget-free methods. For example, cross-promo: look for projects with a target audience similar to yours and talk about each other on social networks and mailing lists on customer bases. This tool allows you to expand your customer base. 

4. Think about moving

Not all companies will survive the crisis. So, it's time to stake out the vacant seats. If you have long been thinking about opening a store or cafe in a point with high traffic, it's time to act. There is a chance that in this situation, the landlord will make concessions and give a discount.

Some companies reduce the number of outlets and stop developing in certain areas or even regions. Contact representatives of locations and specify whether the premises will be put up for rent.

When choosing a location, three factors are important:

  1. Conservative calculation of your economic model, based on all known data: pedestrian and car traffic, rental rates, the infrastructure around.
  2. Evaluation of the marketing component of the location: how many new guests can you attract with your signboard. Brand capitalization depends on the recognition of your brand in the market.
  3. A correct and civilized lease agreement: clearly defined conditions, including actions in crisis situations, clean documents, a clean owner. When difficult times come, the success of a company depends, among other things, on the adequacy of partners.

5. Develop new directions

Some areas, due to self-isolation, are forced to literally fight for life. As a result, they find non-standard sources of income: for example, restaurants turn into delivery services, and fitness clubs go online.

We have chosen two main areas: the sale of online certificates at a discount and the online sale of products for salon care with home delivery. These include online stylist consultations, the sale of online training courses, and a discount on enrollment for prepaid services. While the salons are suspended, such measures will help to stay afloat, reduce losses, provide support to employees and maintain contact with customers.

If the usual sales model fails, review the existing set of services and configure it so that even in harsh times you still have profitable channels.

Now is the time to diversify your business. We need to find new sources of income, sales channels, options for cooperation, and affiliate programs. Based on all the calculations, prepare a financial plan and a plan for key indicators. These strategies should be long-term, but with weekly detail and goals. By the time the restrictions are lifted, you will have an understanding of where you are moving and what indicators you expect, and the team will receive a clear motivation and action plan.

6. Decide what you will do after the crisis.

The income of potential customers is falling, which means that ahead of you is a serious struggle with competitors. The way out of self-isolation must be approached in good shape and understand what to offer customers so that they choose you.

Prepare all the tools that will be relevant after the crisis. Count advertising campaigns on the Internet, make landing pages for sales funnels. All reasonable competitors are now doing just that. The one who will be the first, as soon as the restrictions are removed, will be the leader of the segment or market.

Find out what goods or services your customers are missing. It’s risky to build theories based on sales analysis; it’s better to turn to the people for whom you work and ask what they would like to see in your assortment.

The market is on fire, but it did not stop. Work for the future and for knowledge is always an investment in the future. Closely monitor changes, see what others are doing, and rebuild now.

In conditions of change, it is important to listen to the needs of the client’s business, find insights on time, and bring interesting solutions. Talk to your current customers more often and feel free to ask how you can help right now.

In order not to lose customers, stay in their field of vision. Otherwise, after the market comes to life, you have to start all over again.

If customers do not buy because there is no access to services, work with the existing retention base. With the help of newsletters, you can describe the product, offer advice, and thus “warm” people in order to have a ready-made solution for the opening.

A business whose clients are left without money should slowly get out of the crisis. At first, people will satisfy their necessities of life, and only then, as soon as available funds appear, will they begin to spend them on other segments. Add cheaper products, offer a replacement for the usual services, and installment or lending services.

7. Create a remote command

Self-isolation mode has proven that you can work efficiently not only from the office. If you are not limited to finding employees exclusively in your city, there is an opportunity to find competent specialists for quite reasonable money.

The crisis may show that now you cannot afford to hire expensive specialists. The way out is to look for new team members for remote work in the regions. You will be able to pay more to such employees than they would earn from yourself and at the same time not go broke.

Remotely, you can search for developers, testers, designers. In April, we urgently needed a mobile developer to strengthen the team for a large project. The search took three days: from placement on the Telegram channel with vacancies in IT and interviews to signing the NDA and the employment contract.