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We have all heard the new buzz – word, “recession” that has been doing it’s rounds, and to a lot of people, that spells doom and gloom, and the occasional panic, but the way we see it, another word for recession is OPPORTUNITY!
The recession has made it inevitable for even the most successful of businesses to look more closely at the idea and technique of cash flow and money management. It is important to remember that a sluggish economy does not mean that there are no entrepreneurial opportunities – it just means that you have to become more aware of issues that you previously might not have placed as much emphasis on, such as cash flow and customer service.
Most businesses are based on parallel opportunities, meaning that they compete with other businesses selling similar products or services to the same target market. Finding success in your field means seeing a niche in the market that is not being filled. ( Something relating to a skill or ability that you have). Therefore, the first step to finding opportunity in a sluggish economy is keeping your eyes and ears open.
Although here in South Africa, we haven’t felt the recession as badly as the rest of the world has, we have been pulled out of our comfort zone and thus more “thinking outside the box” is needed in order to succeed and come out on top.
Online Opportunities
With the rising petrol costs resulting in less commuting, there is a greater willingness to stay at home rather than going out. This introduces opportunities for businesses to offer services directly to the home. Some of these services include home shopping and on call hair styling. People are also looking for ways to build and grow their businesses online. This gives way to opportunities for industries such as graphic design, computer programming and ISPs.
Offline Opportunities
Time and money. Most people have one and not the other. If you can offer them a solution to their problem, you have found an opportunity. Some industries that are flourishing in the recession are:
Recruitment Agencies. Businesses are closing, people are being retrenched and now more than ever, there is a need for a steady income.
Discount Stores. More emphasis on family budgeting means that people are wanting more value for their rand.
Outsourcing. Many businesses are downsizing and in turn, outsourcing.
Catering. People are leaning more toward this route than eating at expensive restaurants.
DIY. People are wanting to repair what they have instead of buying something new.
Here are 5 tips on how to spot an opportunity during a recession:
1.Monitor the market. Proactive business owners know how to build something positive out of bad circumstances. Be alert to new and arising market needs.
2. Spot opportunities. Just because there is a change in spending habits, it does not mean that people stop spending. People will always buy necessities and inelastic products, and will be looking for the best prices while doing so.
3. Meet your customer needs. Adapt your products or services to meet individual needs. The most successful products are created out of market research.
4. Think creatively.
5. Market value for money. Highlight the benefits and money – saving aspects of your products or services.
“Keep in mind that the foundation for some of the greatest fortunes in history were laid by ordinary people during the Great Depression. “
Successful corporations including Burger King and Hewlett Packard entered the marketplace during turbulent times. These companies recognised a change in consumer needs and responded accordingly.
To veiw more on cash flow solutions visit www.threepeaks.co.za
The recession has made it inevitable for even the most successful of businesses to look more closely at the idea and technique of cash flow and money management. It is important to remember that a sluggish economy does not mean that there are no entrepreneurial opportunities – it just means that you have to become more aware of issues that you previously might not have placed as much emphasis on, such as cash flow and customer service.
Most businesses are based on parallel opportunities, meaning that they compete with other businesses selling similar products or services to the same target market. Finding success in your field means seeing a niche in the market that is not being filled. ( Something relating to a skill or ability that you have). Therefore, the first step to finding opportunity in a sluggish economy is keeping your eyes and ears open.
Although here in South Africa, we haven’t felt the recession as badly as the rest of the world has, we have been pulled out of our comfort zone and thus more “thinking outside the box” is needed in order to succeed and come out on top.
Online Opportunities
With the rising petrol costs resulting in less commuting, there is a greater willingness to stay at home rather than going out. This introduces opportunities for businesses to offer services directly to the home. Some of these services include home shopping and on call hair styling. People are also looking for ways to build and grow their businesses online. This gives way to opportunities for industries such as graphic design, computer programming and ISPs.
Offline Opportunities
Time and money. Most people have one and not the other. If you can offer them a solution to their problem, you have found an opportunity. Some industries that are flourishing in the recession are:
Recruitment Agencies. Businesses are closing, people are being retrenched and now more than ever, there is a need for a steady income.
Discount Stores. More emphasis on family budgeting means that people are wanting more value for their rand.
Outsourcing. Many businesses are downsizing and in turn, outsourcing.
Catering. People are leaning more toward this route than eating at expensive restaurants.
DIY. People are wanting to repair what they have instead of buying something new.
Here are 5 tips on how to spot an opportunity during a recession:
1.Monitor the market. Proactive business owners know how to build something positive out of bad circumstances. Be alert to new and arising market needs.
2. Spot opportunities. Just because there is a change in spending habits, it does not mean that people stop spending. People will always buy necessities and inelastic products, and will be looking for the best prices while doing so.
3. Meet your customer needs. Adapt your products or services to meet individual needs. The most successful products are created out of market research.
4. Think creatively.
5. Market value for money. Highlight the benefits and money – saving aspects of your products or services.
“Keep in mind that the foundation for some of the greatest fortunes in history were laid by ordinary people during the Great Depression. “
Successful corporations including Burger King and Hewlett Packard entered the marketplace during turbulent times. These companies recognised a change in consumer needs and responded accordingly.
To veiw more on cash flow solutions visit www.threepeaks.co.za
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