During the days of COVID-19, there appear to be more businesses closed than open. COVID-19 is devastating worldwide economies, and no one is immune. An estimated 25 million jobs have been lost around the globe from the pandemic.
For small business owners, times are more than tough. But there are ways company owners can overcome the challenges COVID-19 has created. Here are five tips for small business owners for staying afloat during the worldwide pandemic.
1. Keep Marketing
First things first, do not stop marketing during the pandemic. If you cut off your advertising, you decrease your brand awareness and lose business.
How businesses respond to an international crisis influences how customers view their brand. Businesses like Chubb, Heinz, and Netflix have publicly donated to COVID-19 relief funds. Local businesses have donated supplies and resources to shelters, hospitals, and food banks. Not only are these actions notable, but they create excellent press for your brand.
History shows that marketing during a crisis can benefit your business. During the recession in the early 1990s, McDonald’s pulled back on its advertising. Pizza Hut, a top competitor of McDonald’s, did not. The result was Pizza Hut’s sales increasing by 61% and McDonald’s sales decreasing by 28%.
2. Adapt Your Services
Brainstorm creative ways to deliver your products or services despite COVID-19 restrictions. Identify your business need and find ways to supply customers without posing health risks.
Restaurants forced to close dining locations adapted by offering curbside takeout. Grocery stores ramped up delivery services and established hours for high-risk shoppers. Distilleries are using their alcohol for home-made hand sanitizers. These are prime examples of businesses adapting amid COVID-19.
3. Have a Strategy for Later
As a company owner, don’t live day-by-day. Devise a long-term strategy to keep your company afloat. Do not assume that once COVID-19 cases decrease, things will automatically go back to normal.
Maintain health precautions in your office, and make sure your customers know you’re taking extra measures to maintain safety. COVID-19 has changed how businesses work, so expect remote communication and purchasing to continue after the virus has passed. Prepare your business now to ensure long-term stability and profit.
4. Keep Your Employees and Customers Posted
Your company strategy must include transparent communication.
Employees need to know remote work strategies and shifts in your business’s procedures to ensure optimal health. Keep employees posted with daily updates, memos, and briefings. Make your employees know they are appreciated and offer them flexibility during the crisis.
Consumers need to know if their services will be interrupted and how the company is maintaining safe operations during the pandemic. Harvard Business Review found customers who are separated from companies value the services less. Keep customers informed, and in return, your clients stay loyal to your brand.
5. Use Federal Relief
The U.S. government is well-aware of the detrimental impact COVID-19 has had on businesses. The government is in the process of creating relief packages to help struggling businesses.
The Small Business Administration is providing millions in funds for low-interest federal disaster loans. The federal government is also issuing employer tax credits and federal income tax deferments.
Keep your business afloat by taking advantage of relief packages, like merchant cash advance companies. These programs supply business owners with loans. Owners repay the debt through credit card transactions or revenue.
Get More Tips for Small Business Owners
Businesses of all sizes are feeling the impacts of COVID-19. How you react can make or break your business. But by following these five tips, you can keep your company afloat until things return to normal.
If you’re looking for more tips for small business owners, browse our website.