Seasonality and Strategic Goals: Navigating the Dog Days of Summer

As business owners, we have all likely built a strategy, either formally or informally, that makes sense to us and positions our organizations for growth and prosperity.

Defining and working towards our strategic goals is pivotal for long-term business success. But strategy isn’t a one-and-done and can be influenced by and amended to accommodate many considerations.

One such factor for many organizations is the seasonality of their goods or services - a busy season offset by an ensuing slower season. For many, summer in particular can present unique challenges and opportunities that require a different strategic approach to business as usual.

?It is essential to understand whether your business requires a year-round strategy or a series of seasonal strategies to support growth and stability during expected business ebbs and flows. Seasonal strategies really serve as subsets of an overall strategy.??

It all boils down to how you as the business owner do things differently when business picks up or slows down. Where and how do you leverage your resources? How do you augment your staff during busy season or downsize when business is down? How does this affect key business drivers like employee retention, company culture, cash flow and so many others?

?While core values, mission and vision should remain constant, businesses that experience seasonality need to strategize differently, as their short-term goals, tactics and approach to operations surely need to shift in order to not just survive the lulls, but leverage them for the long-term betterment of the business.

?Digging Deeper on Seasonality

?Let’s use two contrasting businesses with opposite busy and slow seasons. First, we have a lakeside restaurant that draws substantial crowds in the summer but scales way back come September. Next, we have a ski equipment and apparel retailer that struggles to connect with its market in the off-season.??

Each business wants to optimize both their busy and slow seasons, as no company can really afford to sit idle for six months or more! Riding out the surge of business is arguably the easy part. You think ahead, hire the right size team, and then run hard for the duration of the busy season. But what about those lulls? How can our two hypothetical businesses create seasonal strategies that make them more solid all year long?

?In the throes of a busy summer on the water, our lakeside restaurant can capitalize on peak season with targeted marketing campaigns, special events, and promotions designed to attract crowds and optimize sales. During those same summer months, our ski apparel retailer might pivot their off-season product offerings to perhaps include hiking or camping gear. From a marketing perspective, the ski store can build brand loyalty in the summer by connecting with existing customers via newsletters, social media engagement, and special deals.

?In the winter, the lakeside restaurant can offer catering services, host private events, or offer cooking classes to maintain a steady revenue stream, while the ski apparel retailer enjoys its active sales season.

?While your business might not be a seasonal retailer or restaurant, many organizations still experience seasonality in one way or another. The key to surviving these seasonal lulls is your ability to be innovative and agile.

?How Every Business Can Leverage Slow Season

?Optimizing operations during low and high seasons is crucial for all businesses. During downtimes or off-seasons, consider performing equipment checkups and maintenance, offering leadership and skills training, test run new processes, and start planning for the next busy season.

?It is also essential that organizations create a financial cushion during the busy season to support operations during slow periods. Budgeting and cost management is a year-round effort. ?

?Remember, while the core strategic goals of your business may remain constant, your tactics and operational focus might need to adapt to seasonal changes. Identifying the unique demands and opportunities of each season allows businesses to remain both agile and resilient throughout the year. By adjusting marketing efforts, diversifying offerings, optimizing operations, and continually engaging with your customers, you and your business can effectively navigate the ebb and flow of seasonal trends.

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TAB Business Owner Advisory Boards often tackle tough topics like weathering seasonality and creating agility within their businesses. TAB Board Members support each other with the collective wisdom of their years of personal experience and expertise. Feel free to reach out if you would like to learn more about how a TAB Board can support your growth as a successful business owner.