Hacks to Prepare Your Business for the Next Wave of Demand

Listen, no one knows exactly what’s going to happen next in this pandemic, but as a business, you can’t afford to hang back and “wait and see.” If this extraordinary time has taught us anything, it’s the importance of being prepared.

Although it can be hard to see past the hype in a 24-hour news cycle, most reports are confirming that this epidemic is behaving predictably, and there are early reports of leveling out on the West Coast. That means that we’re following an established bell curve, and eventually that bell curve will decline and then flatten.

In the meantime, your business needs to do everything it can to stay nimble and ride out this unprecedented health crisis. The good news? There are hacks you can use to make your business stronger on the other end.

HACK #1 - RESTRUCTURE BUSINESS FINANCING

If you’re one of my clients, you’ve already heard my advice, again and again, to build a 6-month supply of cash and liquidity to weather unexpected storms. However, not all businesses have followed this rule of thumb. (But make it a priority going forward!)

To build your financial reserves right now, revisit all of your business and personal loans or mortgages. Interest rates are very favorable, and incentives exist. So, this is the time to do things like refinance loans and mortgages. You may find you can reduce your payments considerably. This first hack can save you hundreds or thousands of dollars this month and then you’ll see those savings again and again in months to come.

Another financing hack is to get or expand your lines of credit. Again, banks are in good shape, interest rates are favorable. Banks are motivated to lend. Talk to your bank immediately, or shop for other lines of credit that can help you weather this storm.

HACK #2 - PREPARE FOR A WAVE OF PENT-UP DEMAND

Your balance sheet in Q2 is going to be choppy (or just plain stink.) Q3 may also be flat as people get back to work and businesses find their footings. However, once Q4 hits, we’re going to experience a tsunami of pent-up demand. When the traditional uptick in Q4 spending combines with millions of clients and customers who have not been able to spend for months, you may find your resources are actually overwhelmed by orders, clients, and sales. If you’re not prepared for this wave of business, you are going to miss out on big sales that could help you minimize the financial damages wrought by COVID-19.

Even people and businesses that have money want to keep it in their pockets right now, but in Q4 people will want stuff, and they will want a lot of it. Your business needs to be able to ladder up, be prepared with seasonal workers, and have pre-orders ready to keep the funnel going. Businesses that are not prepared will run out of stock, inventory, or the people and bandwidth needed to serve the wave of business. Get resources in place now that will allow you to make the most of this demand.

How are you going to do this? Map out your year and get estimates in place for demand. What do you think will happen each month, and when will sales rebound? Look at your business using both macro- and micro-vision. What are you likely to receive now, over the next couple of months, over the fall, and next spring? Once you map the year out, you might find it looks better than expected. When you create a picture of the long-view, you don’t have to make decisions minute by minute. Instead, you can do things that will help your business survive and thrive into the future.

HACK #3 SHORE UP CYBERSERCURITY

Now we know that many people actually CAN work from home. Now that the genii is officially out of the bottle, get ready for a much more mobile workforce. More remote access points mean that your server and your information needs to be better protected. This is a good time to get with your IT team and bolster your cybersecurity.

Make sure all of your data and intellectual property is thoroughly protected. Think about how viruses, hackers, or even bad actors within your organization can compromise your information. And then protect yourself against cyber threats, and make sure you have backups in place in case servers are ever compromised.

HACK #4 - PROTECT YOUR RELATIONSHIPS WITH FLEXIBLE CONSUMPTION STRATEGIES

No matter who you are, you have to stay visible to your customers now, or you will be invisible later. That means that you need to go to the people you have professional relationships with and start protecting that connection.

No, don’t ask for money or more sales. It’s the wrong time to try a hard sell approach. Instead, use this time to build trust and credibility by doing one of three things:

(1) Deliver “more for same.” Give your clients and customers extra services, products, or packages for the same price. These can be limited-time add-ons and positioned as your way of pitching in during the crisis. Find ways to help your customers through this time by giving a bit more.

(2) Deliver “same for same.” For many customers, the fact that you are stable and reliable in this turmoil is invaluable. Wal-Mart, Target, and Amazon are offering the same for same. They are not cheaper or faster than before, but they are open and consistent. If you’re a law firm, continuing to offer the same hours and the same access is essential. Same with accountants, marketing services, and deliveries. And in this environment, demonstrating to your customers that you are still here and still ready and able to work is huge.

(3) Deliver “same for later.” I suspect a lot of us will be doing this during the crisis. When you deliver same for later, it means that you continue to work together, but you give generous or deferred payment terms. You’re flexible and understand that although they may continue to need your products and services, their cash flow has dried up. When you can do the work or provide the products now, and refinance or bill when the economy returns, you will create an enormous amount of goodwill.

HACK #5 – DON’T USE EVERGREEN CONTENT

This is the wrong time to ignore your outdated brochures or packaging flyers. All your messaging now must be timely not timeless. Look through all your communications and pull messages that talk about vacations, big meetings, and crowds of people.

In this environment, people want tips and advice, so do what you can to make it easier to use your products and services during this crisis. One popular approach is to create videos, even rough DIY videos, with information your customers can use. Give your clients and customers remote working tips. If you sell mattresses, show them how to flip a mattress. If you sell construction materials, show them smart building techniques and hacks. If you’re a B2B business, show your customers how they can be working now to get prepared for the eventual spike in demand.

Stay Well and Keep Working!

Even if you’re not selling, manufacturing, or consulting, don’t stop working. Use this time to get your ducks in a row, align your resources, shore up your defenses, and hit the ground running once the economy revs back into action. Remember that this is a short period of time in the life of your business. Stay motivated, stay positive, and stay in business.

Have questions? Don’t hesitate to comment here, contact me through LinkedIn, or email me directly at [email protected].