Periodically, America refocuses on its small businesses. During this recent Presidential election, candiates in both parties as well as their running mates and fellow party members touted the merits of the American small business. Of course, with their being politicians, this could mean anything from nothing at all to substantive allowances and tax credits. Making credit itself available to smaller businesses would be one benefit.
Nevertheless, this could well be the era of prosperity for smaller businesses. That is for the small businesses who can survive the economic downturn and who are willing to market aggressively. There are certain advantages right now to being a small business. when the economy is difficult, people like to return to their comfort zones. They like to go back to what they know best. Clients and consumers tend to trust you more than they would bigger corporations. Clients feel their is a live body at the end of the line, someone who can actually make decisions and who can help them with their choices. The frustration factor is much less, where with larger corporations interchange can often fall on inattentive or even deaf ears. Try complaining to most larger companies. Once you get through voice menu hell, get misdirected to the wrong departments four or five times and then end up with the minimum wage adman who is prohibited foir being proactive in any way.
Small business are more flexible. They can change with the times a lot faster. Decisions take a lot less time, don’t have to be run through fourteen committees before waiting on an evaluation report and four prospective business models, before making adjustments. While smaller businesses may lack the borrowing or buying power of the larger corporations, their overhead is often less, so they may use the cost effectiveness to retain competitive pricing. With smaller businesses, key employees communicate more frequently and are, usually, less prone to encounter political speed bumps that can adversely affect sound decision making.
Ironically, many smaller businesses attempt to emulate larger businesses. In the wrong way. The more they try to copy, the further from their core appeal they are liable to wander. Simply put, if you as a small business have employees that are no logner accessible then you are working to the same disadvantage of a larger corporation. This is not a good idea, especially in this recession and what is to follow.
But as an article by Sean Callahan in B To B Magazine asserts, smaller companies are more optimistic about their marketing. Twenty six percent of the smaller companies said they plan to increase market spending, while only half the larger companies are planning on increasing their marketing budgets. Smaller companies intend to increased thier marketing budgets by 8% while the larger companies are increasing their budgets by a mere o.4 %. A big difference.
So then with smaller companies one of the key considerations is who hire for your marketing team. In a time when everyone is turning to digital media, it is essential that smaller businesses have qualified and creative people aboard. If these employees don’t necessarily create the campaigns, as they are outsourced, then they should be informed enough to oversee these campaigns to best determine what will work and what will not. Preemployment screening will help determine who is qualified for your marketing team. Professionals in the field or HR specialists in the advertising and marketing sector can best conduct the assorted background checks and interview sessions. Assessment and aptitude tests can also prove beneficial.
But the idea is to move forward rather than freeze up and risk your own demise by trying to wait it out. Those who wait it out may not make it. Those who did make it and who can even make a profit are the ones who traditionally seem to do better when times turn around.
With small businesses, it is less about the bottom line than making a profit and retaining the qualified employees. Trimming costs for a better looking bottom line for one annual report may result in disaster over the long haul. To everything there is a season. For some smaller businesses, this is the time to advance into the fray, move cautiously but decisively. Build now for tomorrow. Because tomorrow is that other day.
