<p>For small businesses that have been feeling their ways through the recession, many have chosen the logical tactic of cutting costs. After eight months of stripping expenses to the absolute minimum, for me to suggest that it&rsquo;s time for spring cleaning, you are probably shaking your heads. What I&rsquo;m talking about is actually taking a step back and reviewing your strategies and overall business philosophy. With the strained economy and the tightened budget, staying the course with the current business model might let you survive a little longer, but it&rsquo;s not going to create a long term competitive edge when everyone else is doing the same. Small businesses need to be proactive and create a stronger position, starting by reviewing existing programs and methodologies. Here&rsquo;s the spring-cleaning list:</p> <ol> <li><strong>Know Where Your Customers Are At</strong> <p>The recession has created a new breed of customers. You&rsquo;re doing your spring cleaning and they are too. By re-evaluating their values and needs, their spending habits and purchase behaviours have shifted accordingly. Are you still then sticking to the product offerings, service programs, or marketing tactics you dreamed up in a business plan created a year ago (if you even had one to start with)? You have to talk to your customers more than before to understand their needs, and to send out the signal that you value their feedback and business.&nbsp;</p> </li> <li><strong>Assess Your Brand Consistency</strong> <p>Your brand represents the touch and feel of your business to your customers. It tells them what they can expect from you and how they can differentiate your business from the competitors&rsquo;. After you&rsquo;ve spoken to your customers, does your brand still resonate with your target consumers? Do your visual promotional materials accurately reflect your brand? What about the message you&rsquo;re currently sending out? Is it consistent with the representation you&rsquo;re building? Now is a good time to review your marketing strategies (or the lack of). Track your marketing efforts and return on investment, and weed out any tactics that are not consistent with your brand nor yield results.</p> </li> <li><strong>Create a Leaner Business Process</strong> <p>Recession or not, as long as you run a for-profit business, the goal is always to find the most efficient and effective way to operate your company. Running a leaner operation does not mean cutting costs across the board. The mistake business owners sometimes make is eliminating expenses without first understanding the cost impact of each activity. A very typical example is companies cutting the marketing budget altogether when it&rsquo;s the activity that gets them noticed by paying customers. The trick to a leaner business is to direct resources to activities that have the most impact on the performance, while saving money by getting rid of services or activities they do not need at the moment.</p> </li> <li><strong>Look for New Markets</strong> <p>Streamlining business process is just one element of the formula. Businesses need to increase the overall revenue as well. Your existing target customers have served you well, but it&rsquo;s time to go beyond the traditional market to look for new dollars. Perhaps there&rsquo;s now a segment of potential customers who were initially considered undesirable from a cost or profit point of view. Be innovative and find a way to turn your undesirable customers into great customers.</p> </li> <li><strong>Put Aside Old Ways of Thinking &ndash; Get Used to Chaos</strong> <p>Today&rsquo;s economy is far more complex than 30 years ago due to globalization and technology. The new media darling, Twitter, proves to be such example where businesses scramble to learn the applications within months of Twitter being launched. Business owners need to recognize that constant change is now the new norm. They need to roll with the bunch, stay flexible, and constantly look for ways to add value to the company and product offerings. The review of business model and marketing tactics can&rsquo;t be just a spring cleaning event. Get used to chaos and start thinking strategically.&nbsp;</p> </li> </ol> 2009-05-22T17:40:11Z -7.51864 181 4719 true 5 34103 how-to-spring-clean-your-business 5 2009-05-23T22:22:40Z 2009-05-23T15:26:49Z

To gain a competitive edge in the long-term, small businesses need to review their strategies and overall philosophy, starting by examining their existing programs and methodologies. This article tells you how.

1 2009-05-23T15:26:49Z