Three Insider Tips to Winning New Business in a Down Economy

As 2023 steams ahead, the economy continues to face headwinds, and many companies are scrambling to maintain growth and reach their business development objectives. While turbulence and intense competition in the market poses challenges to growth, they are not reasons to give up and await better times.

As this HBR article points out, “…companies that use tough times to maximize their bang for their buck in sales and marketing are able to increase revenues by tens or even hundreds of millions of dollars within one to two quarters. They’re also the companies that emerge stronger than ever as markets turn around.”

The question is: How can companies leverage their sales and marketing foundations to win new business and reach their revenue targets? Let’s take a look at three ways companies can achieve these goals:

Pitch Strategically

Adopting a strategic approach to your business development pursuits is one of most important steps your company can take to optimize performance, revenue, and profits—especially in a down market. There is no point in wasting your time and resources churning out proposals for less-than-ideal opportunities. These include:

• Low-Percentage Pursuits: Skip the impossible longshots and focus your efforts on winnable deals instead. Stop responding to every RFP/RFQ that comes your way and adopt a more selective and strategic approach.
• Low-Margin Opportunities: Sacrificing margin for the sake of a quick win is counterproductive. Take the time to understand the numbers and avoid less profitable pursuits.
• Low-Relevance Contracts: Stay within your wheelhouse to maximize your wins. You can’t be an expert at everything—just as a real estate lawyer has no business bidding to litigate on a high-profile murder case. No matter how challenging the economy is, stepping too far afield will only have you spinning your wheels needlessly.

Up Your Presentation Game

If you knew how similar pitches are from company to company, you would likely change the focus of your proposals and presentations immediately. Remarkably, they all seem to follow the same roadmap—with a strong emphasis on the company’s background and capabilities.

It should not be a surprise to anyone that your competitors are very much qualified for the opportunities they seek—just as you are. You all have similar expertise, experience, qualifications, and certifications. And while I’m certain that you have an outstanding track record of success in your industry, I’m equally sure that others in your space do as well.

This is not to say that your experience is unimportant, but it is highly unlikely that you will win a pursuit simply because you are more qualified, so let’s stop making that the primary focus of your proposals.

Instead, focus your pitch on the strategic goals and needs of the organization. Demonstrate that you have an understanding of the company’s core objectives and pain points. Include the needs of all stakeholders in the company to optimize buy-in.

Leverage Your Relationships

We’ve all seen the statistics on how much easier and cheaper it is to court existing accounts to generate new business than it is to establish new relationships with unfamiliar companies. Your business development team may be searching far and wide for new prospects when there may be golden opportunities right in your own backyard.

Take the time to conduct a comprehensive needs assessment to identify areas where you can provide value. You can also tap into your existing relationships to make introductions and expand into other departments within the same company.

Just because the economy is experiencing a lull, that does not mean you should put your company’s growth on the back burner. Tighten your business development engine and you can still win lucrative pursuits and reach your new business objectives.