Downtimes Can be Times of Opportunity

In NYC, we are now in our 7th week of shutdown (or 8th week or 9th week – who can keep track anymore?). In the beginning, coronanxiety was the problem. As we have settled into our new norm, we’re dealing with layoffs/unemployment, mass reduction in income and a general sense of instability.

But now should also be a time of creativity, development, and growth. There are a few things you should be thinking about:

1. There are two ways to balance a budget: reduce costs or increase revenues.

2. Some of the most successful business have been built or grown out of hard times.

These ideas are interconnected. We are coming to the end of the “reduce costs” time. Obviously, the day to day is the primary concern and most businesses have cut as much as they can. You likely know where you stand. It is time to start considering about the other side of the equation - increasing revenue and strategizing about growing your business. 

Overall, you need to be thinking: “Downtimes can be times of opportunity”.

Need some examples?

What companies started in the middle of the 2008 Great Recession? 

Whatsapp. Uber. Venmo. Square. 

What happened during the 2001 recession? 

Anyone remember the 1990s up-and-coming online book seller called Amazon? During the 2001 recession, they got creative. They started AWS and their fulfillment services. By Q4 2019, Amazon reported revenue of $87.4B,  AWS represented about 11% of that revenue and was their biggest source of profit. 

So, what should you be doing? Start here:

1.      Think long term – it’s time to be creative

Look for opportunities within your existing business model

a. What are your competitors doing that you’re not?

b. What are your competitors NOT doing that you can do?

2.      Incorporate your “team”

If you’re a manager/business owner, bring your players in. Not just senior members – anyone who can contribute. Coronavirus has leveled a lot of playing fields. Ego should have no place in your Zoom room. Now is the time to let everyone be their creative selves. 

3.      Avoid the knee-jerk reaction of “no” when an idea comes your way

When something is out of our comfort zone, our immediate reaction is to push back – to say no. Now is the time to be self-aware, stop that knee-jerk reaction and consider every idea – no matter why you think it can’t work. It is highly likely it may not work. That’s ok. Give it an objective look before you reject it. And if the risk and cost are minimal, try it.

I know what you’re thinking – it’s unlikely any of us will be starting the next Amazon, Uber or WhatsApp during the CoronaRecession (or whatever it ends up being labeled). Growth doesn’t need to be measured at that scale, though. You can come out of this MUCH better than when you went in. And think how cool that origin story will sound.