When the whole world is reeling under the impact of global recession, small business owners are concerned how the recession can affect the business and what needs to be done to meet the challenges ahead. Times are hard for everyone with consumers tightening the belts and disinclined to spend only on the essentials. This scenario does not make it easy for small business owners. If the small business is also a service-based business, then things may be even harder – as many buyers (clients or customers) may feel they can afford to do without service. 
Small business owners are aware of the economic downturn and most of them are at a loss how to reorient their marketing ways to stay and survive in business. Small business owners must devise some permanent marketing strategies and apply them effectively to make business recession-proof and insulate business from economic upswings and downturns.
Some say economic recession will be a time of great change for small business owners who have the vision and courage to think anew and try hitherto untested methods of marketing. You can use the challenges of recession to secure a firm position in the marketplace. Small business owners will do well to draw up an innovative action plan to combat the adverse effects:
- Reexamine all old sales leads by ferreting out all business cards, brochures, customer letters or any other lead that one may have neglected earlier and start contacting these clients. This calls for patience and perseverance to follow those leads and remember there is nothing to lose and lots to gain if a few leads suddenly fructify.
- Bear in mind that it is the existing loyal clients that keep the business running when times are tough. Now is the time to take special care of these clients as desperate, eagle-eyed competitors will make efforts to snatch away such clients. Send a letter of appreciation to these customers for their continued support over such a trying period but never let the word ‘recession’ come in your appreciation drafts or acknowledgments.
- If there had been rigid views earlier on some less important clients, then a more flexible attitude is now called for. Change the business philosophy and bend rules a little to accommodate these clients since they may have the potential to pull the business out of the recession and over time could bring in more acceptable clients.
- In times when competitors may resort to undercutting and play foul, make sure to maintain levels of customer service. It is a known fact in marketing that satisfied clients bring in new clients for the business. Make customers feel they are getting much more than what competitors offer by way of service. If possible, provide additional warranty on products and services or offer on site service if feasible.
- Last but not least in importance – Follow the philosophy of ‘Customer is King’ and also try to make your employees follow the same notion. It will, in a way, will try to reduce any apprehensions of your staff members about the job security.
During times of recession, it is understandable that all prospective clients and existing customers will be looking for the best possible value for money. So, it calls for a fresh approach and revised ways to marketing to convince people more powerfully than the competitors. After all customers are also people living within the same economy and they will be hurt financially too. Business owners must make sure clients do not rush to a competitor thinking it will save them money or if not, at least fetch better value for their money.