TOP 20 Sales Tips During Recession
In difficult times, spending habits change. To continue your success, consider if there are other products and services that make sense for your business. Pay attention to the products and services you can provide that people will always use, regardless of the state of the economy. Additionally, it is important to analyze how you can offer them at a competitively more affordable level.
Below you will find tips and examples of services and products worth betting on that have done well in the past during the economic downturn:
1. Food – groceries and long expiration dates
Food is an obvious everyday need of everyone. Offering groceries will be a great way to expand your assortment during an economic recession. Foods with long expiration dates, dry foods, cookies, preserves and frozen foods are the best choices. They will provide a stable shelf and the stocks will not lose their value.
2. Clothing
If your company has related activities with clothing or essential items of clothing, the chance that it will cope with difficult times increases. During a recession, the demand for seasonal and other clothes is significant, in particular underwear, socks and utility clothes wear out. People will continue to reach for them and equip themselves with these essential items of clothing.
3. Cosmetics and related services
Companies that offer beauty products and services usually go through a recession. Despite different economic situations, people have the need to look good or try cosmetics to improve or change their appearance. These products and services will be in demand.
4. Get referrals
Referrals are a major factor in 20-50% of purchasing decisions. The tendency increases when people recommend services or products to their friends, up to four times more. Ask your existing customers to pass on referring information to people who will benefit from your offer.
5. Consumer staples
Basic products are cyclically independent, i.e. desired throughout the year, no matter how the economy is doing. This makes them immune to business cycles. Also, regardless of what their price will be, people will buy them at a constant level. These products include beverages, household items etc, as well as alcohol and tobacco.
6. Items for children
Babies will continue to be born, so the demand for baby care items and various accessories or services will be in demand. Children are a priority for parents and grandparents, which is why baby layettes can be extensive and expensive.
7. Personal hygiene items
Personal care and hygiene items are needed in everyday use. A company offering such products can become an important resource for consumers. Such products are in particular shampoos, toothpastes, toilet paper, deodorants etc.
8. Hair care
Big changes in appearance, such as hair, may be less well-groomed, but usually people do not give up this type of service completely. Depending on the location, prices and scope of services, customers will be happy to use personal care. Often this type of service is considered a necessity rather than a luxury.
9. Focus on keeping your customers
As we know, the slowdown is accompanied by a drop in sales. During peak periods, you don’t pay so much attention to the number of customers you have. The moment of economic slowdown will certainly show which customers are satisfied with the services and stay longer. To maintain this, use the extra time for a strategy aimed at increasing satisfaction with the services you provide. Maybe there are less needed processes that you can remove or change for the better.
10. Recreation
In recent years, ways to rest and relax have become much more popular with the growing awareness of work-life balance. In difficult times, cheaper recreation options are in demand. Therefore, it is good to consider what services or related products can be included in your offer from the recreation category.
11. Movies, TV and video games
Going out after price increases are becoming a rarer choice. Also if the time of restrictions or the risk of covid-19 infection returns. The desire for entertainment or socializing in difficult times is sometimes greater. That is why a significant number of people reach for inexpensive alternatives such as TV, video games or movies on streaming websites.
12. Camping equipment
Differences in consumer decisions can be seen even in the tourism sector and what type of vacation people choose to go on. They give up planning long and expensive stays. Alternatives for stays in cities are field trips, e.g. to a campsite or rural areas, or walking along mountain trails. Along with these choices, there is a growing demand for fishing tackle, sleeping bags, tents, and related camping and trekking gear.
13. Services
Detailed services may require specialized knowledge or a license. But service-oriented companies are always in demand. Offering specialized services can make sense for your business.
14. Automotive parts and services
People with lower wages or after wage cuts are unlikely to decide to invest in expensive new vehicles. It is common practice to keep older cars in good condition. Spare parts are bought much more often and money is spent on renovation. Companies supplying parts and car mechanics can count on the demand for their services.
15. Animal care products and services
Owning pets can be for years, and many people treat them like family members. Pet care, medical and food services are products of choice regardless of the economic situation. Rather, people will not give up on a large scale.
16. Take care of your employees
It’s good to have a job strategy in place. Think if the tools and products will change, what training or materials they will need. As a boss, you must bring hope, your employees will be motivated and efficient at work. Provide them with the safest possible situation, it will surely pay off.
17. Invest in the future
Changes in trends make some trends that have existed for a long time become obsolete. The old ways of operating services will not guarantee a good position in difficult times. Improving the performance of your business ensures that you stay in the market without being eliminated. Companies that took advantage of opportunities before the recession also rank significantly. Try to invest in products not only to sell what is important, but also to improve your business.
18. Cash flow prioritization
In a period of economic slowdown, cash flow and its prioritization are key elements of the company’s sustainability strategy. Cash flow allows you to smoothly manage operations, invest and maintain good relationships with suppliers. Customers or suppliers will focus on offering better service to profitable entrepreneurs.
19. Focus on solutions and stay calm
Panic is one of the worst mistakes when selling your services or products in a difficult time. Salespeople who are pushing too hard to sell will scare potential customers away. Clients are worried about the fate of their ventures or jobs anyway, so don’t give them any additional concerns. Offer calm and focused solutions. People in such times focus on security rather than big profit. Analyze the greatest challenges and threats that potential customers may face, and then adjust your offers in terms of solutions that minimize these threats.
20. Expand your sales team
The recession is another opportunity to increase the strength of the sales team, which will be a bit easier when salespeople look for new opportunities after exiting previous companies. It is worth taking advantage of these circumstances and reorganizing the sales department in order to maximize its potential. You can also devote resources to training to increase sales.
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In our database you will find many industries and companies with which you can cooperate to achieve your goals equally effectively despite the recession.