Whilst it’s understandable to dive straight into panic mode at the word ‘recession’, which tends to trigger a host of financial fears, you may be surprised to hear that a recession doesn’t necessarily have to mean the end of the world for you or your business. In fact, there are many companies out there who not only survived recessions but actually thrived during them! Examples include the likes of Netflix, Airbnb and Lego, who all beat the odds to grow during the 2008 recession.
These inspirational companies all adapted to power through an economic downturn, and you can too! How do you maintain a positive mindset, though, during such an uncertain time? Read on for our top tips…
Collaborate and Communicate
When you feel swamped in worry, it is easy to forget that you are not alone. However, it’s important to remember that many people are going through the same thing as you, especially during a recession. Don’t be afraid to ask for help. Speak up about your concerns, brainstorm ideas, reach out to people in and outside your network; seek inspiration. Not only can sharing your worries make you feel better, but you also never know what help and advice others might be able to offer.
This is arguably the most important tip! If you are caught up in worry about things that might happen in the future or about things you should have done differently in the past, you’re guaranteed to miss the present moment (also, you’re not going to be very productive). By learning to stay in the present moment, you will be better able to adopt a positive attitude and deal with challenges as they come. Staying present can be easier said than done, though, so why not look into mindfulness or meditation to help you out? The Headspace app is a good place to start, with their ‘weathering the storm’ courses currently free of charge.
Utilise social media
Did you know, during lockdown there was a 25% reported increase in engagement on Instagram and TikTok and a 72% increase on #ad content by influencers? Social media has become a crucial tool for reaching out to customers, and all businesses can utilise at least one platform! Even if you experience a slight downturn in sales at first, by focussing on building an authentic connection with your existing customers you can stay fresh in their minds, ultimately encouraging them to spend more when they are able to. This is exactly why building an authentic connection is so important. What can you offer your customer? If you’re a bar, maybe that could be cocktail recipes if you’re a restaurant, that could be an opportunity to showcase your great service and incredible food with beautiful images on Instagram. From blogs to podcasts and videos, there are so many ideas to tap into. The more creative you are, the better. One great example of a company who did this right are Admiral, who automatically gave their customers a £25 refund on car insurance; you can guarantee their customers will remember this when it comes to renewing.
Focus on what you can control
Think about it: there’s nothing you can do about the fact a recession is taking place. Unfortunately, this fact is completely out of your control. So, why not instead turn your attention to the things you can change? Think about what you can actively do right now to make your situation better. Not only will this be a more productive thing to do, but it will also empower you to surge forwards and take your fate into your own hands. Maybe this is even time to sit back and consider how your business is doing well and what could be improved upon.
Look after yourself
In order to keep yourself sane, make sure you take some time out for yourself! Do something you enjoy or find relaxing, like yoga, listening to music or reading. Alternatively, release those endorphins with some exercise. You’re guaranteed to feel better!
Prepare (as best you can)
Brainstorm what steps you can take to best prepare yourself for a possible economic downturn. Also, make sure to check which government schemes are available to help you. Good preparation cannot be understated. Perhaps you could even use this time to scope out new markets and opportunities, which is exactly what one of our clients TUW did, shifting their commercial focus more towards residential interior design. Think outside the box, just like another client of ours, Bitter Twisted, did. This pop-up events company decided to acclimatise rather than cancel, ensuring their latest concept The Chavasse Project is a safe, secure and sanitised drinking experience, maintaining social distancing with innovative private cabins.
Look for the silver lining
If you take away one thing from this blog post then remember this: EVERYTHING is temporary. This will pass, better days will come, and you will get through it, no matter how bad it may seem now! Also, think of this as an opportunity to shake up your business. For instance, by taking their platform online, The Female Hospitality Network have been able to tap into an international audience.
Source: The Drum.