There are currently three sets of words which are instantly recognisable to citizens the world over; Barack Obama. Jade Goody. Credit crunch. If you’re anything like me, the doom and gloom of being told that our economic situation means that now is the worst possible time to be starting any kind of career, let alone your own business, is driving you ever so slowly insane. Luckily, I’m a believer that if you can’t make money without money, then you can’t make money with money. Whilst the financial climate is undoubtedly problematic, and many small businesses will see a sharp decline in trading or fold altogether, there are some areas in which you can reclaim some pennies. Take a look at my crunchy tips on ways to scrimp, where to spend, and how to sell.
SAVE
* Unless you’re a large firm, there’s no real reason why you should ever need to splash out on photo shoots. There are thousands of high quality photographers and models out there who will be willing to work on a TFP basis, so whatever you need images for, find them, and pitch them your ideas.
* Make the most of your blogs and social networking profiles for free advertising and self promotion.
* Slash your PR budget by trying to gain as much promotion of your own as you can. Target blogs and online publications to generate some free exposure.
* Now’s a great time to rethink your suppliers. Spend a morning on Google and your local telephone directories to shop around and see if you can better your print, packaging or stock costs.
SPEND
* A well designed website is an essential investment that will boost your sales and presence no end, and right now it’s easier to tempt people online than it is in-store.
* Quality image retouch or graphic design work is always worth paying for, as it has a strong impact on your branding.
* Advertising is still a crucial method of reaching consumers, so if you’re purchasing slots which are working for you, try and maintain them. Enquire about discounts for booking in bulk, or simply ask if they can better their price; many businesses depend on advertising to survive, and many will be willing to entice you further. However, many won’t, so be polite, and don’t count on their generosity.
SELL
* Try running promotions and discounts which flag up or mock the credit crunch, with an emphasis on the savings available.
* Target your marketing campaigns towards pay days and student loan instalments.
* Increase your range of services and products to include smaller packages and price points.
* If you’re really struggling to shift excess stock, have a sale. Ultimately, if it’s getting hard to stay afloat, it’s better to sell at cost price and break even than to sell nothing and be out of pocket.
* Try ridding yourself of leftover supplies or personal items on Ebay.
* Keep p&p costs to a minimum, and don’t try and gain a profit from shipping items to your customers. Buyers are savvy, and watching every additional cost, so don’t put them off by adding an unnecessary £5 to their purchase.
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This has, of course, been a general overview of the basics of beating the credit crunch; if you’d like to read detailed information and advice on how to keep your business profitable and to minimise costs, Sarah-Jane will shortly be releasing a set of immensely helpful business E Books, covering this, and many other topics of interest to young creatives, in depth. To receive news of when these guides become available, please send your details to sarahjane@sarahjaneadams.com, or join her on Facebook.
Image by Bitzchelt on Flickr
